Price retrieval

A priority-based search mechanism is used to retrieve prices in LN.

Step 1. Retrieving prices from a contract

When searching for prices, LN first checks whether a valid special contract and next a valid normal contract exists.

You can specify:

Step 2. Retrieving prices from a price book

If LN cannot find a price in a special contract or a normal contract, LN tries to retrieve prices from a price book.

LN uses a specific searching logic:

  1. Supplier price book with high priority
    LN first searches for a supplier price book as defined in the Supplier Price Book field of the Pricing Parameters (tdpcg0100m000) session, for combinations that have the High Priority check box selected in the Price Book Lines (tdpcg0131m000) session. This search step is only applicable when retrieving purchase prices, not sales prices.
  2. Price book linked to a price matrix
    Next, LN searches for price books that are linked to valid price matrices, selected from the price matrices for which a matrix priority is defined. LN looks for price matrices with a matrix definition and matrix attributes that match the properties of the relevant order. Note that all of the matrix attributes must match the properties of the order. When found, the price book of the price matrix, in which the matrix definition and the matrix attributes are stored, is used to calculate the price of the order. If more than one valid price matrix exists, price retrieval is controlled by the Price Control/ Price Control parameters in the Pricing Parameters (tdpcg0100m000) session.

    For service items, these conditions apply:

    • Normal pricing
      The Sales Prices Search Method field in the General Service Parameters (tsmdm0100m000) session determines for what origin prices are searched for. For example, if this parameter is Price Books Service, only price books are searched for that are linked to price matrices for which the Price Origin is Service in the Sales Price Matrices (tdpcg0130m010) session.
    • Internal pricing
      If the price origin is set to Commercial Price for the Subcontracting Depot Repair scenario in the Intercompany Trade Agreement (tcitr1600m000) session, an internal repair price is retrieved from a repair price book, which is linked to a transfer price matrix in the Transfer Price Matrices (tdpcg0130m030) session.
    • If the price origin is set to Time and Material for the Subcontracting Depot Repair scenario in the Intercompany Trade Agreement (tcitr1600m000) session, a subscenario must be specified in the Intercompany Trade Agreement - Transfer Pricing Rules (tcitr1605m000) session. If the subscenario is of type Internal Material Delivery or Labor and the Price Origin is set to Commercial Price, an internal transfer price is retrieved from a price book, which is linked to a transfer price matrix in the Transfer Price Matrices (tdpcg0130m030) session.
  3. Default price book

    Finally, LN searches for:

    • A default sales price book, as specified in the Default Sales Price Book field of the Pricing Parameters (tdpcg0100m000) session to retrieve sales prices.
    • A default service price book, as specified in the Default Service Price Book field of the Pricing Parameters (tdpcg0100m000) session to retrieve service prices.
    • A supplier price book, for combinations that have the High Priority check box cleared in the Price Book Lines (tdpcg0131m000) session to retrieve purchase prices.
Step 3. Retrieving prices from the item files

If prices cannot be found in price books, LN searches for prices in the Items - Purchase (tdipu0101m000) session, the Items - Sales (tdisa0501m000) session, or the Items - Service (tsmdm2100m000) session.

Note
  • Price retrieval for internal trade transactions between specific entities or enterprise units is based on the pricing data specified in the Intercompany Trade Agreement (tcitr1600m000) session.
  • If the Use Upgrade Prices check box is selected in the Unit Effectivity Parameters (tcuef0100s000) session and the order line contains an effectivity unit, upgrade prices are added to the price.
  • You can always specify or update prices.