openpro application guide sales order pricing logic (so)

OpenPro Application Guide

Sales Order Pricing Logic (SO) 10061 Talbert Ave Suite 200 Fountain Valley, CA 92708 Telephone 714-378-4600

Fax 714-964-1491 www.openpro.com

[email protected] Last Updated April 2019

Sales Order Pricing Logic and setup OpenPro has many level of pricing logic this is the main program logic. The following is the different layers of pricing structure. The pricing is based upon the below priority and logic.

1. At order entry overrides setup based upon rules and others. 2. Customer contract pricing – where a customer gets a specific price for an item

created under Sales Order, Maintenance, customer contract pricing. 3. IC item price codes setup and item format based upon Customer type, class and or

quantity pricing based upon inventory control price codes. 4. IC price Codes using matrix pricing, several records builds a pricing matrix for

discounts, mark up and by customer or by product line. 5. Customer discounts setup in the AR customer table 6. System wide dynamic price updates based upon how much inventory is left in the

system

Sales Order Pricing Logic Override pricing

At order entry time if in the business rules allows price over ride, you can then update the system generated unit price.

Sales Order Pricing Logic Override pricing

In the business rules you can setup a password to override the unit price, or just give everyone capability to override the unit price.

Allow user to change order item prices. Setup password to allow price change.

Sales Order Pricing Logic Customer Contract Pricing

Customer contract pricing will override any other system pricing, but the contract must be valid and with-in the date range.

Sales Order Pricing Logic Customer Contract Pricing

With the contract pricing, you can also specify the customer part number and description of the product.

Sales Order Pricing Logic IC item pricing

Inventory control Prices are setup by item.


Inventory control Prices are setup with 10 base prices, they can also very based upon the Item Price code, customer discounts, item quantity, discount, markup logic, etc.


Item Price codes give options if you are going to pick a price 1-10 based upon customer class, customer type, mark up or discount by class, quantity, order type, if you are going to do a cost plus pricing, or base price discount pricing method.


Inventory control Price codes are setup in the Business Rules Table, Price Computation Code.

1. Discount by quantity order, based upon the quantity they get price 1, 2 3, 4, 5. If the quantity is less than or equal to the quantity in column 1 it will use price 1…etc 2. Discount by Customer Class, it will take class and then the discount percent in quantity column

one and reduce price 1 by that amount. 3. Disocunt by Customer Type, , it will take type and then the discount percent in quantity column

one and reduce price 1 by that amount. 4. Mark up by customer class. 5. Mark up by customer type 6. Pick Price by quantity ordered 7. Pick price by customer type 8. Pick price by order type 9. Pick price by customer class. 10. Discount by customer type percent 11. Discount by product category by percent 12. MCAT – matrix pricing structure, where you have several different fields 13. MCCQ – matrix pricing structure for customer class and qty breaks

Pricing calculator, this is a link between the Customer (type or class), the IC items (product category, class, price levels) and the IC Price codes. This link happens during the entry of sales order processing. Important when entering the IC Price code information, check the codes have to be the exact CASE, upper and lower case.


Inventory control price codes setup under maintenance.

This is where the link is setup between the price code, and what kind of discount or markup you want to assign to the customers.


Item price code details, you can see that specific customer types get different prices in the inventory item file. So based upon where you place the customer type code, if its located in Code1 will receive price 1 in the item table. If you put the customer type in Code 2 that type customer will receive price 2, etc.


Inventory Item below shows this item receives the price code P1, price by customer type.

The item must have a price code setup for the customer to get discounts associated to this product.


Now we can pull up the customer, see that the customer type is wholesale. If we look at price code P1 it shows that wholesale receives price #3., so when this customer purchases item FG100, he will receive it for $94 instead of 100.00. If the customer has a discount percent in the customer file, then the discount will be on top of the line item discount.

Sales Order Pricing Logic Sales Order Examples

Sales order processing when selecting the customer (with a type of wholesale) and the item FG100 (with a price code of P1) receives price number 3 in the item table.

Sales Order Pricing Logic Customer Discount

Pull up the customer record.

Sales Order Pricing Logic Customer Discount

Customer discount percent will be added to every line item from the customer.

Price Code Definitions P8 Mark up by customer type

Mark up by customer type price code: Take the cost 1 and mark up the dollar amount by what is selected for customer type.

EXAMPLE: Retail customer types will receive a $10.00 dollar mark up from the cost 1 field. Wholesale customer types will receive a $5.00 dollar mark up from cost 1 field of the item master file.

P8 Mark up by customer type

Put the Customer type in Code and Percent markup in Amount.

P8 Mark up by customer type EXAMPLE: Notice unit price of $10.80. Cost of item is $10.00 times 8% = $10.80

P7 PRICE BY CUSTOMER CLASS

Put the Customer Class in Code and the Percent in Amount.

P7 PRICE BY CUSTOMER CLASS

If a customer has NETCUST, price will be amount from price 2 field, COD price 3 field. EXAMPLE

Customer is a COD class. Unit price defaults to 70 (price 3 field)

P1 CUSTOMER TYPE

Put Customer type in the Code field.

P1 CUSTOMER TYPE Customer type: choose a price from the price fields depending on the type of customer.

Customer type is chosen during customer creation or when editing a customer. If customer is used and price code of customer type is being used, price will be chosen from one of the price fields where code is the same as customer type.

P3 - ORDER TYPE

Put sales order Order Type in the Code field.

P3 - ORDER TYPE

Depending on the order type of the sales, price will be chosen from the item master.

During order entry, by selecting the order type OpenPro will select the price from the item file from the price fields. EX: If order type is E-Commerce, OpenPro will choose price field 3 from the item file because the price code states ecommerce order type will have

P2 – Select a price by customer class

Put the AR customer Class in the Code field.

P4 Discount By Qty ordered.

Put in the quantity ordered in the Amount fields.

P9 Price by Qty ordered.

Put the quantity in the Amount field that you want it to price the price code from.

Price Matrix process MCCQ The price matrix uses 2 main factors to figure out the pricing for an item.

Say you want to setup a tier of pricing discounts.

1. Based upon customer type 2. Based upon quantity ordered.

So if you are a Dealer 10% and ordered 10-19 item it will take the unit price1 from the item (normally retail) and multiply by 0.6335 and come up with the correct price for that item. This is using the price code MCCQ.

Price Matrix process MCCQ Need to setup the price computation code

In this example it shows the MCAT, but can also add MCCQ

Price Matrix process MCCQ Then setup the price code layout, for each customer type you create a record, and then this will be looked up during order entry process. In Code # will have the qty range. Amount will have the percent discount. Last quantity will have a NOT have a+ to say that over 50 units will have the same pricing.

The amount is a % of the Price 1 on the item table (normally retail price) amount, so if you have a FG100 that sells for $100. It will cost $45 for 50 plus units sold to this distributor customer type.

Price Matrix process MCAT The price matrix uses 2 main factors to figure out the pricing for an item.

Say you want to setup a tier of pricing discounts.

1. Based upon customer type 2. Based upon Item Category.

So if you are a Dealer 10% and ordered category bike item it will take the unit price1 from the item (normally retail) and multiply by 0.6335 and come up with the correct price for that item. This is using the price code MCAT.

Price Matrix process MCAT Need to setup the price computation code

Price Matrix process MCAT Then setup the price code layout, for each customer type you create a record, and then this will be looked up during order entry process. In Code # will have the item Category code. Amount will have the percent discount.

Price Matrix process MCAT Item categories are setup here.

Dynamic Price update process.

Special Dynamic price updates based upon percent sold from a base or based up on how much inventory is left over.


Both of these use a separate table to update a scale by price.


When you setup the Percent method, you must have a Start Quantity (showing the number of pieces as a base) and the start percent and end percent and price. When you setup Quantity method, you put in a start quantity and end quantity and the price. During order processing when processing an order it will dynamically update the price based upon the tables.


Setup the price table based upon percentage, when the quantity available moves from one percentage to another it will automatically update the price.


This process will do the update on a mass scale.


During the check out process it will check the available items and price and update the price to the correct amount.

OpenPro Application Guide

Sales Order (SO) 10061 Talbert Ave Suite 200 Fountain Valley, CA 92708 Telephone 714-378-4600

Fax 714-964-1491 www.openpro.com

[email protected]

openpro application guide sales order pricing logic (so)

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