Configuration Price Modification

When a configuration is created for a Business Opportunity lineSales Quotation line, or a Customer Order line, the Total Part Price is calculated as the summation of Part Price and the Calculated Characteristic Price. The modification to the Calculated Characteristic Price can be done by updating the configuration characteristics setup at the Price List or Sales Part level. Also, it is possible to use price adjustment functionality to modify the Calculated Characteristic Price.  

Update Characteristic Price

The Calculated Characteristic Price can be updated by adding an Amount Offset or adding as a Percentage Offset of the part price for the configuration characteristics at the Price List or Sales Part level. Addition to that, it is possible to add a Configuration Characteristic Sales Price Combination, or a Configuration Characteristic Sales Price Formula and the return value is included to the Calculated Characteristic Price.

Adjust Characteristic Price

Configuration Price Adjustment allows you to override total part price and distribute the difference among configuration characteristics, offset each characteristic price by a percentage or a value, or offset the price of groups of characteristics and distribute the price difference among the characteristics of the group. In basic data, you can mark which characteristics should be excluded from price adjustments and define Max Override (%) to stop the characteristic price from being overridden below a desirable price. Therefore, above functionalities collectively allows the sales teams to adjust the total part price to meet customer expectations within profitable limits.

Update Characteristic Price

Basic Data

Configuration Characteristic Sales Price Combination

Configuration Characteristic Sales Price Combination table is used to evaluate the combinations of different configuration characteristic option values and quantities to return an amount which can be added to the Calculated Characteristic Price.

In price combination tables, it is possible to set a default return setup. The possible default return types are Combination or Amount. Based on the return type, it is possible to setup a default return Combination table or a default return amount. if no hits are found in the combinations list, then default return amount will be directly added to the Calculated Characteristic Price. The default combination will be directed to another price combination table to find the relevant return amount.

In price combination table list section, the columns will be enabled based on the added combination factors and the factor types

Combination Factors

Combination Factor Types

Based on the combination factor setup, the operator columns, and columns to add option values are enabled in the Combination Values section. There are three types of return types;

In Combination Value section, it is possible to setup different combinations to return the return value based on the return type. The return amount based on the combinations is included to the Calculated Characteristic Price as an AddOn value or a Replace value.

Configuration Characteristic Sales Price Formula

Configuration Characteristic Sales Price Formula is used to calculate the return amount based on various types of elements (eg: Char Value/QTY, Char Price, Function, Price Combination etc..) used inside the formula.

When setting up the formula it is possible to use other price formulas and price combinations which are belongs to the same configuration family and have the same currency code. Also, it is possible to use characteristic prices of other characteristics which are available in the configuration family.

Based on the characteristic option values and characteristic quantities added in the Create/Edit Configuration pages, the price formula is evaluated and return value is calculated.

The return value of the formula is included to the Calculated Characteristic Price as an AddOn value or a Replace value.

Note:

When setting up the price formulas, there can be situations that closed loops are created with the usage of Char Price inside formulas.

If closed loops are created, for each and every change in Create/Edit Configuration page, the Calculated Characteristic Price will be update (if the connected formula contains Char Price in element sections and the connected Char price is get updated with other changes). This type of setup is not valid. During the setup this kind of closed loops should be avoided.

Connect Sale Price Combination or Formula to the Configuration Characteristics

Price combinations and price formulas can be connected to the configuration characteristics at   three levels.

When connecting, one price combination table or one price formula can be connected to the characteristic at a time. To connect, the price combination or price formula should be in Released status. Also, the Currency Code should be the same.

Configuration Pricing Update

During the configuration pricing the relevant configuration characteristics are included in the Create/Edit Configuration pages. The connected sales price combinations or formulas to the configuration characteristics are also visible in these pages. When adding the characteristic option values and quantities, the return values of the sales price combinations and formulas are included to the Calculated Characteristic Price.

When the Apply command is performed, the calculation logic is executed one more time. This is used to calculate the price formulas which contains Char Price in element section one more time. The reason is, the Char Price used in the element section can have been changed after the initial calculation. So, the recalculation will include the latest changes as well into the Calculated Characteristic Price.

Example

Price Combination

Price Combination ID : Price_Cmb_A

Combination Factors

Display Sequence

Factor Type

Factor Value

Characteristic 1

Characteristic Value

Characteristic 1

Characteristic 2

Characteristic Value

Characteristic 2

      Combination Values

Sequence

Characteristic 1 Operator

Characteristic 1

Characteristic 2 Operator

Characteristic 2

Return Type

Return value

1

Equal To

10

Equal To

Yes

Amount

1000

2

Equal To

20

Equal To

Yes

Amount

2000

3

Equal To

10

Equal To

No

Combination

Price_Cmb_B

4

Equal To

20

Equal To

No

Formula

Price_Fr_C

 

 

 

 

 

 

 

Price Formula

Price Formula ID : Price_FR-A

                          = 1000 + Char Value [Characteristic 1] * 20 + Price Formula [Price_FR-B]

Price Formula ID : Price_FR-B

                          = Char Quantity [Characteristic 1] * Price Combination [Price_Cmb_A]

Configuration Characteristic Setup at Price List Level or Sales Part Level

 

Characteristic ID

Percentage Offset

Amount Offset

Price Combination ID

Price Formula ID

Replace/AddOn

Characteristic 1

0

150

Price_Cmb_A

 AddOn

Characteristic 2

0

200

Price_FR-A

 AddOn

 

 

 

 

 

Calculation at Create/Edit Configuration Pages

Characteristic ID

Option Value

Quantity

Price

Calculated Price

Price Combination ID

Price Formula ID

Characteristic 1

10

1

1150

1150

Price_Cmb_A

Characteristic 2

Yes

1

2400

2400

Price_FR-A

 

 

 

 

 

 

Calculated Characteristic Price [Characteristics 1]   = Offset Amount + Combination table Return Value

                                                                                  =  150 + 1000 (Combination sequence 1 is returned)

                                                                                  = 1150 

Calculated Characteristic Price [Characteristics 2]   = Offset Amount + Formula Return Value

                                                                                  =  200 + 2200 (Calculated result of the formula)

                                                                                  = 2400

Adjust Characteristic Price

 Basic Data

Configuration Characteristic Groups

Configuration characteristic group is used to group configuration characteristics and offset the group price (using Adjust Characteristic Prices by Group), after completing the sales part configuration. New groups can be defined in Configuration Characteristic Groups. Configuration characteristic can later be connected to a Characteristic Group ID in Configuration Characteristic.

Override Allowed

Override Allowed is an option that decides whether a specific characteristic price can be overridden while using sales configurator. This option is available for configuration characteristic prices (offsets) defined in Sales Part/Configuration Base Pricing or Configuration Price List. Override Allowed option is selected by default.

Max Override (%)

If Override Allowed is selected for a specific configuration characteristic, it is possible to set a Maximum Override (%), to stop the characteristic price from being overridden below a desirable price. You can set the Maximum Override (%) for a specific configuration characteristic in Sales Part/Configuration Base Pricing or Configuration Price List. If Maximum Override (%) field is left blank, it means there is no maximum override limit.

Adjust Price

Price adjustments can be done when configurations are created or edited in Business Opportunity, Sales Quotation or Customer order. Adjust Price is enabled in Create Configuration, Edit Configuration, and Edit Pricing (only available for Released customer orders) when the configuration is Completed. Under Adjust Price, four commands are available to adjust the prices.

  1. Adjust All Characteristic Prices
  2. Adjust Characteristic Prices by Group
  3. Adjust Total Price
  4. Clear Adjustments

Herein after

 

Adjust All Characteristic Prices

You can use Adjust All Characteristic Prices to offset the price of each eligible characteristic, using either an offset (%) or an offset amount.
It is not allowed to offset a characteristic price below the Minimum Price of the characteristic which is calculated as below.

Minimum Characteristic Price

For the eligible characteristics, new price will be calculated using the formula below.

New characteristic price

If the new characteristic price is less than the Minimum Price for a specific characteristic, Minimum Price of the characteristic will be taken as the new characteristic price. Any other characteristic which does not violate this condition is updated with the new characteristic price.

Price of each characteristic will then be updated with the new price, Characteristic Price and Total Part Price in the header will be recalculated, and source line price will be updated.

Example

Characteristic Calculated Price (USD) Price (USD) Override Allowed Maximum Override % Minimum Price (USD)
Characteristic 1 10,000 10,000 Yes 10% 9,000
Characteristic 2 20,000 20,000 Yes 50% 10,000
Characteristic 3 30,000 30,000 Yes   0