provide the percentage escalation facility for any line item in PO

[hiteshbhandari]

We have a contract for which we need to create the PO where it is required to maintain the payment to labors for different work activities. For different activities, different labor charges are specified and the charges may be variable as notified by the government. For example: If today labor charges are 100 Rs per hour, there may be case that after 3 month government raise the 5% in labor charges changing it to 105 Rs per hour, which may be changed to 10%(with respect to initial price i.e 100 Rs) in next 3 month with effective price of 110 Rs per hour. For different activities different increment with respect to initial price may occur.

How to configure for such contract in our PO which provide facility of percentage escalation on base rate on any line item.

thanks in advance.

Hitesh

[Former Member]

Hi,

Creating new Validity records with the effective dates in contracts might be the solution.

[JL23]

You might want to test a series of steps:

MEKR to elevate a condition price in a contract by a percentage

SE38 for report RM06ENP0

SE38 for report RMEBEIN4

MEI2 to update the prices in your call offs.

Make sure to read the documentation behind the i-button in the selection screens

[yang_bai]

Hi,

I'm not sure if I understand your requirement correct or not, but you can use Scale in pricing to define different price based on particular condition in the contract. Or you can create different validity period for each price.


Best regards,
Yang