pricing procedure scenarios

[Former Member]

hi, can you tell me , usually 1) how many pricing procedures do we have in a real time implementation.?

2) in what scenarios do we need to create different pricing procedures?

please explain giving some examples.....

thanks

s.r. chowdhary

[Former Member]

The number of Pricing Procedure depends on the requirement of the scenarios. In one my implemenration, we had 7 countries, 5 Business Process & we configured only 2 Pricing Procedure i.e one for service related scenario & another for product related scenarios. Only the taxes were differing in differing in different countries, so the condition type was maintained for different taxes in same pricing procedure & the taxes triggered in sales order based on condition record / manual, as per client requirement.

Pricing Procedure may differ if the calculation methodology is different for different process, Service related & product related cases will require different pricing procedure & so on ...........

Regards,

Rajesh Banka

Reward suitable points.

[Former Member]

Hi Seema,

there are no hard and fast rules to decide the number of pricing procedures in a company. It basically and very seriously depends on the taxing structure. There can be number of plants under a company code. Suppose you have 2 plants under one company code.

One plant is an EOU (100% export oriented unit) and the other one is the DTA (domestic Tariff area). The 100% EOU will have tax exemptions from the government and the taxing structure will also be different for this plant. The taxing structure for DTA also will be different.

Now suppose you do export as well as domestic sales from both the plants then the taxing structure will vary accordingly because of the various extra taxes. So you may have 2 pric proc each for both the plants.

Now suppose if you have free of charge deliveries also then you may have another pricing procedure. If you have intercompany billing scenario then this will add one more pric proc.

You can maintain one pricing procedure but for this you need to have formula based pricing procedure.

I hope i have answered your query. Reward valuable points if solution found useful.

Regards,

Allabaqsh G Patil.

[Dsk]

1. Pricing procedures - This depend on the type of business u do.

2. The pricing procedures will be limited based on type of sales u do.

what is ur sales cycle ...

[Former Member]

Hi Neha,

It all depends on clients requirements.

normally, you can have separate pricing procedures for sales, contracts, credit/debit memos, resource related billing etc depending on clients requirements.

thanks