Updating material price information – general logic

After the material price information is retrieved for a purchase or sales document, the material price information can be updated.

The material price information can be modified by:

  • Manually changing the material price information
  • Redetermining material prices
  • Updating the parent document line

Note: If change requests are used to modify approved purchase orders and activated purchase contracts, the material price information linked to these documents can be modified only by using the change request process. For more information, refer to Change requests - overview.

Manually changing material price information

If you manually modify the retrieved material price information, the Manual check box is selected in the relevant session, by default. If you manually modify the material actual price, the Manual Actual Price check box is selected in the Document Material Information (tcmpr1110m000) session, by default.

Copying material price information is a manual action. Accordingly, the Manual check box is selected for the copied material price information, by default.

Redetermining material prices

Click Redetermine Material Prices on the appropriate menu of the Material Price Information (tcmpr1600m000) session to start the Price and Discount Recalculation Parameters (tdpcg0240s000) session, wherein you can redetermine the material price information for a document.

Optionally, manually added and modified material information can be excluded from the redetermination process and the manual changes are retained.

Updating the parent document line

If fields, such as business partner, item, effectivity unit, option list ID, and date are modified for a document line, the linked material price information is always redetermined.

The Redetermine Material Information (purchase documents) and the Redetermine Material Information (sales documents) fields in the Material Price Parameters (tcmpr0100m000) session are used to determine the process to manage the linked material price information, when the parent document line is (re)approved. The price information can be redetermined automatically, interactively, or never.

If Redetermine Material Information is Interactive, you can decide if the manually updated material price information must also be redetermined. If Redetermine Material Information is Automatic, manually updated document price agreements and document material information are not included in the redetermination process.

Updating the document line price

If materials are linked to a document line, you can manually update the price for a document line. However, you must specify a price that is higher than the material price. Else, an error message is displayed.

Example

Document line 10 pcs of item A
Material price 12 EUR
Price excl. material price surcharges 20 EUR
Material price surcharge 5 EUR
Document line price 25 EUR (20 + 5)

If you change the price from 25 to 11 euro, an error message is displayed, because the price cannot be lower than 12 euro.

Base and actual prices can be decreased in the Document Material Information (tcmpr1110m000) session.

If the material base price for materials that are linked to a document line are modified, the Price field is not updated on the document line if the line does not include material price surcharges. The reason for this is that material base prices are assumed to be included in the price. The price change can be processed only when calculating surcharges for the materials.

Example

Item Copper Wire
Sales price 50 EUR/ kg
Material Copper
Material base price 35 EUR/ kg
Material actual price 37 EUR/ kg
Sales price 50 EUR/ kg
Material price 35 EUR/ kg

Sales order line with material price surcharges

  • Sales order line price: 52 EUR/ kg (sales price 50 EUR + material price surcharge 2 EUR)
  • Material price: 37 EUR/ kg

The material price specified for the sales order line constitutes the following:

  • Material base price: 35 EUR/kg
  • Material actual price: 37 EUR/kg
  • Material price surcharge: 2 EUR/kg

If the material base price changes from 35 EUR to 40 EUR, the material price surcharge changes to -3 EUR (37 EUR – 40 EUR). Consequently, the sales order line price becomes 47 EUR (sales price of 50 EUR + material price surcharge of -3 EUR).

Sales order line without material price surcharges

  • Sales order line price: 50EUR/ kg (sales price 50 EUR)
  • Material price: 35 EUR/ kg

The material price specified for the sales order line constitutes the following:

  • Material base price: 35 EUR/kg
  • Material actual price: 00 EUR/kg
  • Material price surcharge: 00 EUR/kg

If the material base price changes from 35 EUR to 40 EUR, the sales order line price remains 50 EUR.

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