Trade Agreement Model

This document describes how to set up a trade agreement model.

A trade agreement model for customer orders comprises the different trade agreements in which a customer order line might qualify. A trade agreement model can have different sequences for different selection matrices with different connected trade agreements.

The trade agreement model used for customer orders can be specified on either the customer order type 'CO Type. Update Field Selection' (OIS014/H), the customer local exception 'Customer. Open Local Exceptions' (MFS610/E), or the customer file on 'Customer. Open' (CRS610/G) which can be inherited during customer order entry in 'Customer Order. Open' (OIS100). It can also be entered manually in the customer order header on (OIS100/H).

Note: When copying a customer order, the trade agreement model is always copied.

Follow these steps

Define a trade agreement model
Trade agreement models are entered in 'Trade Agreement Model. Open' (OIS438). This can be inherited either from the customer order type, customer local exception, customer file, or can be manually entered in the customer order header during customer order entry.
Note: The trade agreement model defined in the order type has a higher priority that defined in the customer file.
Define trade agreement model lines
The trade agreement model contains sequences that can be defined in 'Trade Agreement Model Lines. Open' (OIS439). These sequences find a trade agreement in which a customer order line qualifies.
You must specify the following for the trade agreement model lines:
- Trade agreement class classification grouping defined in 'Trade Agreement Class. Open' (CRS122).
- Trade agreement selection matrix defined in 'Trade Agreement Table. Open' (OIS436) is connected to the model lines to map out the trade agreement and corresponding recipients that the customer order lines qualify.
- Specify the date used to retrieve and apply the trade agreement conditions. It can be either the invoice date, order date, actual delivery date, proof of delivery date, or accounting date.
- How calculation of accruals is managed by the trade agreement:
  - If management of accruals is setup as '1 - Per Invoice' in (OIS439), accruals are calculated upon generation of invoice.
  - If management of accruals is setup as '2 - Batch' in (OIS439), accruals are calculated through a batch program in 'Trade Agreement Calculation. Open' (OIS450).

It is optional to define the net amount after sequence for a trade agreement model line. The net amount sequence indicates the reference sequence that is the calculation basis for calculating the trade agreement.