• For example, an inquiry is created when a customer requests information about products or services.
• As a vendor, you answer the customer's inquiry with a quotation. The quotation to a purchasing organization defines the delivery of materials or the performance of services under the conditions stipulated. The quotation is binding for the vendor for a particular period of time. You can create a quotation for a service order with or without a service product. For more information on the different scenarios in quotation creation in Customer Service, see Quotation Creation Scenarios (CS).

On acceptance of the quotation, you can bill the customer according to the prices stipulated in the quotation (flat rate billing) or using resource-related billing for the services that were performed, or for the materials that were delivered. For more information about billing, see Billing (CS).

In the component Customer Service (CS), you create quotations using the sales pricing function. In sales pricing, the system condenses information into so-called dynamic items.

For more information on the prerequisites, see Quotation Creation Process (CS).