Enter Part Detailed Pricing

Explanation

This activity is used if you want to use detailed part pricing for purchase parts entered in a supplier agreement.

When detailed part pricing is used the purchase price can be built up by a base price and several price elements which will contribute to the final purchase price. Three types of price elements exist; material, amount and percentage. A price details list will be enabled where you can define price details manually for amount and percentage elements. Material price elements contribute to the final price based on the share of the material included in the inventory part in combination with the price of the material and will be added to the details automatically if they exist.

Price elements of type amount are used to enter an amount that will contribute to the final price. Default price unit of measure will be fetched from the part line on the supplier agreement, but it can be defined in a different unit of measure as long as the base is the same as on the agreement line. You can also define a different currency than the agreement currency.

Price elements of type percentage can be used with two different percentage bases to calculate the contribution, either Base Price or Calculated Price. Both positive and negative percentage values can be defined in the price details. Price elements of type percentage are always based on the agreement currency.

• Base Price - The contribution is based only on the base price defined on the part agreement line.
• Calculated Price - The contribution is based on the base price defined on the part agreement line plus the summarized value of all other price detail contributions except percentage lines.

For price detail lines with type amount and percentage you can define additional validity periods or a range of quantities when the price detail line should be valid. You can set a fixed range for both periods and quantities or leave it open at one end to make the line valid only for a start or end value. It's also possible to use a combination of both date periods and quantities to define when the line should be valid.

When quantity is used for validation it uses the total cumulative quantity ordered for the specific part on the current agreement to check if the line is valid or not.

For material price detail lines, it is not possible to enter validity periods as these are defined on the material price elements tab of the inventory part.

Prerequisites

• A purchase part must have been entered and saved on the supplier agreement.
• Price elements must have been created in the basic data.
• A material share must exist in the material price elements tab on the inventory part (if material price elements are to be used).
• Material prices must have been entered with a valid date on the materials tab on the supplier agreement (if material price elements are to be used).

System Effects

The purchase price will be updated according to the detailed part price contributions.

Pages

Supplier Agreement

Activity Diagrams

Enter Blanket Purchase Order
Enter Purchase Agreement
Re-Negotiate Supplier Agreement