Using the Condition Technique in Calculating and Determining Pri (SAP Library

Using the Condition Technique in Calculating and Determining Prices

Various different functions in Pricing are based on the condition technique. For example, the condition technique is used in storing sales prices as condition records in the system, and in performing calculations using calculation schemas.

You will find basic information on the elements of the condition technique, such as condition types, condition tables and access sequences in the Sales and Distribution documentation under Conditions and Pricing.

Pricing uses the following different types of calculation schema:

Purchase price calculation schemas

Sales price calculation schemas

Calculation schemas for price determination

Purchase price calculation schemas are defined in Customizing for Purchasing, while sales price calculation schemas and calculation schemas for price determination are defined in Customizing for Sales and Distribution.

When structuring these calculation schemas for SAP Retail Pricing, you should take the following considerations into account:

Purchase price calculation schemas

Purchase price calculation schemas are used in sales price calculations to calculate the purchase price for merchandise procured from an external vendor.

The purchase price calculation schema assigned to a pricing item is determined using the schema groups of the vendor and of the purchasing organization.

The settings required for schema determination must be maintained in Customizing for Purchasing.

The purchase price calculation schema takes into account only those condition records for which the Relevant to pricing indicator has been set.

When you define a condition type in Customizing, you can set an indicator to have the system generate pricing-relevant condition records when you create the condition type. You can set a different indicator to determine whether or not the pricing relevance can be changed.

If scales have been defined for the condition types, one scale level can be flagged as relevant to pricing. If no scale level has been flagged in this way, the relevant scale level is determined using the standard purchase order quantity maintained in the purchasing info record.

Existing condition records can be converted to Relevant to pricing using report RWVKP01U.

The step in the purchase price calculation schema that is used for the (net/net) purchase price must be flagged using the subtotal S. The condition value in this step is converted to the sales price unit and sales quantity unit and displayed in the EKPNN list field. The pricing currency for the pricing item and the currency from price determination match up.

The first main condition type found that represents a price (condition class B) is used for the basic purchase price that is displayed in the pricing table.

You will find further information on determining prices in the sales price calculation function under Purchase Price Determination.

Sales price calculation schemas

Determining sales prices in the sales price calculation function is performed using a sales price calculation schema. The schema consists of a set of rules for calculating the sales price from the purchase price. The information required for this calculation, such as planned markup (planned margin) or competitor prices, is read from the database using the main conditions in the schema.

You should note the following:

The sales price calculation schema has to be constructed in accordance with a markup calculation.
Data is transferred between the sales price calculation schema and the pricing table. You can control how the data is transported. As certain list fields of the pricing table (such as (net) sales price = list field VKPNE) have fixed meanings, you should ensure that the data from these list fields is transferred to the corresponding parameters in the sales price calculation schema during data transports.
When the sales price is changed, in the VKPBR (gross sales price) list field, for example, the actual markup is gradually adjusted in line with the changed sales price. Reverse calculations are never performed.

Calculating sales prices is controlled by the following Customizing settings:

You define data transfer between the sales price calculation schema and the pricing table in Customizing for Pricing under Control Data for Pricing Table and Data Backup. Here, you need to enter a condition type or a sales price calculation schema subtotal for the list fields of the pricing table.

Data transfer between the sales price calculation schema and the pricing table must be defined for the (net/net) purchase price, actual markup and (net/gross) sales price list fields. No control parameters can be defined for list fields that are calculated using program logic, such as the Net margin and Gross margin list fields.

The sales price calculation schema assigned to a pricing item is defined by the associated pricing type. Pricing types are maintained in Customizing for Pricing and then assigned to a distribution chain or a price list (with currency) in a separate step.

You can use the supplied sample calculation schemas WWS001 and WWS002 plus the control parameters as examples for structuring a sales price calculation schema and for data transport.

The (net/net) purchase price that was determined in the purchase price determination function and transferred to the schema using condition type EKNN (see graphic, arrow 1) forms the starting point.

The actual markup in the pricing table is linked to condition types AUFS and AUFX by subtotal 2. These markups relate to the purchase price displayed above them in the schema.
The (net) sales price and (gross) sales price are linked to subtotals 5 and 6 respectively. The gross price is calculated from the net price by adding tax (condition type MWST). The prices are transferred from the schema to list fields VKPNE and VKPBR (see graphic, arrows 2 and 3).

If rounding to price points has been defined, the sales price that was determined using the schema is rounded (see graphic, arrow 4), and the calculation is adjusted in line with the rounded final price. When you save, the value of the ENDPR list field is written to the database as a condition (see graphic, arrow 5).

You will find further information on determining prices in the sales price calculation function under Sales Price Determination.

Calculation schema for price determination

Many applications in the Retail area use a calculation schema to read saved sales prices or additional sales conditions from the database when determining prices. The pricing overview in Pricing and the POS Outbound Interface are two of the applications that do this.

A schema similar to a purchase price calculation schema is used to determine the distribution center transfer price in two-step pricing in the purchase price determination function. This means that the basic purchase price and the purchase price are determined using the same process as is used by the purchase price calculation schema. The net/net purchase price must also be flagged using subtotal S. The results of this price determination are displayed in the Purchasing detail screen.

These calculation schemas are used not only in determining sales prices, but also in the Valuation at Retail function to determine the final price without tax. This is calculated according to sample calculation schema VKP001 and flagged in the calculation schema using subtotal 3.

You define calculation schemas for price determination in Customizing for Sales and Distribution.

The calculation schema for price determination is determined using the sales area, the document schema and the customer schema.

Under the general control parameters for Retail master data in Customizing, you can enter a document schema to be used for schema determination in Retail. If you do not maintain a schema here, the system uses document schema A as a default.

The following points apply when determining the customer schema for sites that sell to customers:

As with sales orders, the system first accesses the master data of the anonymous customer (customer of the site) determined from the POS inbound profile for aggregated sales. The POS inbound profile is entered in the site master of the site or of the reference site.
If an inbound profile is not maintained, or does not contain an anonymous customer, the system uses the customer data of the site or reference site itself.
If the sales area data is maintained for the customer determined in this way, the customer schema entered there is used. If no sales area data is maintained for this customer, the initial value for the customer schema is used to determine a schema.
If no entry has been made in Customizing for the key determined in this way, the system uses one of the sample calculation schemas supplied with the standard system: VKP001 for store distribution chains and VKP002 for DC distribution chains.

The sales price (or promotion price) in the calculation schemas for price determination must have the same condition type (or promotion condition type) as the sales prices calculated using the sales price calculation function (or the promotion prices activated in promotion processing).

Parallel prices in euro do not have to be saved as condition records in the system. You can determine these prices when you determine your sales prices by making certain settings in the calculation schema. Sample calculation schema VKP001 contains an example for calculating euro parallel prices for your standard sales prices (Condition type VKPE ) and promotion prices (Condition type VKAE ). This example uses calculation formula 43. This formula is used to convert the condition value in the current line of the schema to the 'after' currency entered in the currency conversion table. This means that, when you use formula 43, the condition types for the euro parallel prices should be displayed directly below the condition types for the sales prices.

See also:

Two-Step Price Calculation for Stores

Pricing Overview