Recipients

This document describes the basic setup for trade agreement recipients. Recipients are the beneficiaries of the trade agreement.

Trade agreement recipients

Trade agreement recipients are the beneficiaries for the customer order lines covered by the trade agreement. The recipient of the trade agreement can be an agent, business, chain, customer, or salesperson. Multiple recipients can be defined when there is more than one beneficiary for the trade agreement. Recipients must be defined in the customer file in 'Customer. Open' (CRS610).

It is mandatory to specify the valid from and valid to dates for the recipient connected to the trade agreement. Initially valid dates are inherited from the trade agreement header but they can be modified.

Note: The valid to and from dates for the recipient must be within the valid date range of the trade agreement.

A reservation percentage/amount can be entered on the recipient based on the paying units set on 'Trade Agreement. Open' (OIS430/F) which is used to calculate the internal reservation on the accrued trade agreement:

Percentage is entered if paying unit is between 01-05
Amount per quantity is entered if paying unit is between 10-13.

If the advance method on (OIS430/E) uses a fixed rate or fixed amount, then the reservation field in 'Trade Agreement Recipients. Open' (OIS431) is also used to calculate the advance, or periodic settlement, payment to the recipient during the agreement.

An advance percentage can be entered for the recipient which indicates the percentage to be applied on reserved amounts during advance payments. If an advance percentage or amount is specified for the agreement, then only that calculated percentage/amount is paid out in advance. For example, a recipient has a total accrued amount of 1,000 USD. If the percentage is 100, then the entire amount is credited in advance. If the percentage is 80, then 800 USD is credited.

Recipients can also be limited to how much they are allowed for accruals and payouts:

If amount is entered in the maximum paying unit, it indicates the maximum paying amount to be covered to the recipient. Once the limit is reached, accruals are stopped.
If amount is entered in the maximum agreed amount, it indicates the maximum amount to be paid to the recipient. Once the limit is reached, accruals are stopped.

This program is accessed by using related option 11-'Trade Agreement Recipients. Open' in (OIS430).

Select the 'Copy scale rate' check box on (OIS431/P) if the scale rates defined in 'Trade Agreement Scaled Rates. Open' (OIS432) for the 'Copy from' recipient is to the new recipient.

Settlements for the recipient can be put on hold by selecting parameter 'Hold settlement' on (OIS431/E). This is initially inherited from (OIS430/E) and can be modified on (OIS431/E).

Note: Deletion of a recipient is not permitted when calculated accruals exist for the recipient. Deletion is also not permitted if the recipient is connected to a selection matrix.