SAP MM: August 2008

SAP Transaction Code for: Parameter transf. to V_LEDRUCKPROF1

PRPR

Automatic Document Adjustment when Conditions Change in SAP MM

Use

If conditions change after a purchase order has been created and if the new conditions are to apply, the system can change the conditions automatically in all the documents concerned. This avoids invoice differences occurring, for example, or the wrong moving average price being updated.

The vendor changes the order price before the invoice is paid.

Prerequisites

Documents can only be changed automatically by the system as long as no follow-on documents have been generated. Order data, for example, can be changed as long as no invoices have been received or labels printed. If a goods receipt has been posted, the movement data is corrected during Invoice Verification. This is also the case for conditions requiring subsequent settlement.

The system does not take any conditions into account, and no prices are determined.

Features

The system looks for the documents in which the changed conditions are to apply and adjusts them accordingly.

Documents are changed automatically in the same way as if you had changed the documents manually. In the case of a purchase order, the document is completely revaluated. This also occurs even if only one conditions has changed, since the condition could be a header or group condition.

When you save a document, the system updates all the data that would normally have been updated if you had changed the document manually. Since the system is aware of the exact conditions involved, it does not carry out a complete new price calculation but uses a pricing variant to determine the changed condition records. For this to take place, however, both the old and the new pricing data must be available in the system.

Activities

You trigger adjustment of the document from the Purchasing menu by choosing
Purchase order ® Follow-on functions ® Automatic document adjustment or if you are working in a Retail system Purchasing ® Purchase order and then Purchase order ® Automatic document adjustment.

Updating Prices in the Background in SAP MM

Prerequisites

You have created a job variant in which you have defined contracts, scheduling agreements, or info records that are to be processed.

Scheduling agreements must have time-dependent conditions.

It is not absolutely necessary to use this function, since the system updates prices automatically as of Release 4.0.

Procedure

Choose Outline agreement or Master data ® Contract or Scheduling agreement or Info record ® Follow-on functions ® Set prices in background.

Define the criteria for the job and save.

Result

The system carries out a new price determination process for the documents specified in the job variant (that is to say, the currently valid conditions are applied in order to determine the current price).

If you did not carry out a test run and the price that is determined varies from the price in the contract, scheduling agreement, or info record, the previously existing price is replaced by the new, up-to-date price.

Maintaining Variant Conditions in the Info Record in SAP MM

Prerequisites

The material for which the info record is to be created or changed is configurable.

Procedure

Choose Master data

Info record

Create

or Change.

Enter the vendor, the configurable material, the purchasing organization, and the plant.

Press

ENTER

Make the necessary specifications (see

Creating an Info Record for a Material With a Master Record

Choose Extras

Variant conditions

Enter a variant key.

Select the variant key and press

ENTER

A box containing the condition types defined for the variant key appears.

Choose the desired condition type and specify the period during which the discounts and surcharges are to apply.

Enter the amount and save.

Result

The next time the material is needed in a sales order (i.e. the configurable material is either reconfigured in such a way that a characteristic value is reached or it is already so configured), a requisition is generated for it and converted into a purchase order, the system applies the variant conditions when determining the purchase order price.

See also:

Variant Conditions in Purchasing

Changing the Currency in SAP MM

You can

Convert the default order currency in the vendor master record to "euro". The minimum order quantity is adjusted accordingly.

To do this, choose Environment ® Currency conversion ® Vendor.

Convert the currency in time-dependent conditions in info records, contracts, and scheduling agreements and in customers’ own conditions to "euro" as of a certain key date.

To do this, choose Environment ® Currency conversion ® Conditions.

You can choose a different currency than the euro.

Changing Prices Collectively in SAP MM

You can change a vendor’s prices in info records, contracts, or scheduling agreements (only those with time-dependent conditions) in two ways:

Gross price

The price change is applied directly to the gross price.

Condition type

The price change relates to one particular condition type only. If the price change solely affects the freight costs, you can restrict the change to the condition type for freight costs.

If price scales exist and the period in which the changes are to be effective overlaps the validity periods of the scale levels, only the price in the first scale level is changed and this value is adopted in the remaining levels.

The info record for the material Steel 1 and vendor Miller Corp. contains the following price scale:

12.01.1997 to 12.31.1997: $100

01.01.1998 to 31.12.1998: $120

You increase the prices of the conditions in the period 12.01.1997 to 12.31.1998 by 10%.

The price scale is then as follows:

12.01.1997 to 12.31.1997: $110

01.01.1998 to 31.12.1998: $110

Procedure

Choose Master data

Conditions

Vendor price change

The initial screen appears.

Enter the purchasing organization, vendor, and your remaining selection criteria.

Specify whether the price change relates to the gross price or a condition type.

– Gross price

Enter either an absolute value or a percentage.

– Condition type

Cancel the selection of the Gross price field and enter the condition type and an absolute value or a percentage.

Via the Sign (+/-) field, specify whether the relevant value is positive or negative, or whether the condition (but not the +/- sign) is to be overwritten.

If the change is not to apply to the price levels of a scale, cancel the selection of the Scale lines field. Price changes in scales are only possible if they are expressed as percentages.

Define the validity of the price change in one of the following two ways:

– Enter the validity period in the Conditions valid from/to fields if the price change applies to a certain time period.

SAP recommends this procedure.

Please note that the existing validity periods are changed in accordance with the newly entered time period.
If, for example, the conditions of an info record apply to the current year, but the price change applies only to the months May and June, the system divides the previous time period into three sub-periods: January - April, May - June, and July - December.

– Enter the date as of which the change is to take effect in the Conditions valid on field. The change is then effective for all conditions that are valid on this key date.

In the standard system, price changes are initially only simulated. To implement the changes, you must cancel the selection of the Test run field.

Choose Program

Execute

The old and new prices are displayed with the validity period.

Save the changes.

Maintaining Customers’ Own Conditions in SAP MM

Prerequisites

If you need your own key combinations for conditions and have therefore created your own condition tables, you can create condition records in these.

An access sequence must be assigned to the condition.

If you use this function to enter conditions for condition types that are not defined in the standard system, please ensure that the link to the condition type is established in your calculation schema. This also applies if you have changed the calculation schemas in the standard system.

Daily Ruling Prices for Metals

You also maintain ruling metal prices at this point.

When you maintain the gross price in the purchasing info record, you must maintain a condition for the precious metal price on which this gross price is based. Condition type GAU1 is available in the standard system. Maintain a gold price of $20 per gram for this condition type, for example.

Procedure

Choose Master data

Conditions

Other

Create

Enter the condition type.

Choose one of the following menu paths:

– List all condition records for the condition type according to your selection criteria

Choose Environment ® Condition info and enter the selection criteria. After Execute, you will see all the condition tables that contain records for the relevant condition type.
You can also make changes at this point.

– Create condition records in a certain condition table

Choose Edit ® Key combination, select the key for the desired condition table, and press ENTER.
Create the conditions.

Save your input.

Listing General Conditions in SAP MM

Choose Master data

Conditions

Prices

By material group

or Discounts/surcharges and then the desired level (e.g. By vendor sub-range).

Enter your selection criteria.

Choose Program

Execute

The conditions for the chosen level are displayed on the price overview screen.

If desired, process the conditions
See

Creating Conditions on the Price Overview Screen

and

Changing Conditions on the Price Overview Screen

Listing Conditions for a Contract in SAP MM

Choose Master data

® Conditions

® Prices ® By contract

Enter:

– The contract only (if you wish to list the header conditions)

– The contract and the item number (if you wish to list both header and item conditions)

Choose Program

Execute

The conditions for the contract are displayed on the price overview screen.

If desired, process the conditions
See

Creating Conditions on the Price Overview Screen

and

Changing Conditions on the Price Overview Screen

You can also list further contracts to be processed. You can then transfer contracts from this list to your original list and process them there.

To do so, choose Edit ® More contracts ® For material. After Execute, you see the other contracts for this material. Select the desired contracts and adopt them in your original list.

Listing Conditions for an Info Record in SAP MM

Choose Master data

Conditions

Prices

By info record

Enter:

– The vendor and material or material group, or

– The info record

– The plants (if you wish to list the conditions for certain plants only)

Choose Program

Execute

The conditions for the relevant info record are displayed on the price overview screen.

If desired, process the conditions
See

Creating Conditions on the Price Overview Screen

and

Changing Conditions on the Price Overview Screen

Listing and Processing Conditions (Gen. Overview) in SAP MM

There are various ways of processing conditions.

You can call up a screen with a general overview of all selection criteria.
You can call up screens with restricted selection criteria (and thus select by contract or material group only, for example).

Procedure

Choose Master data

Conditions

Prices

or Discounts/surcharges

General overview

Enter your selection criteria.

You enter a contract and an item number.

You enter a vendor and a material group.

Choose Program

Execute

The conditions satisfying the selection criteria are displayed on the price overview screen.

If desired, process the conditions.
See

Creating Conditions on the Price Overview Screen

and

Changing Conditions on the Price Overview Screen

Setting the Market Price in SAP MM

Choose Master data

® Conditions ® Prices ® Market price

Enter the material for which you wish to maintain a market price.

Choose Program

Execute

If a price has already been maintained, it is displayed.

To enter a new price or change an existing one, position the cursor on the material and choose Condition

® Create

or Change.

Enter the amount and specify a validity period (if applicable).

The remaining functions on this screen have no significance with regard to the market price.

Save your data.

Maintaining Time-Dependent Conditions in SAP MM

Create the desired document (info record, quotation, contract, scheduling agreement) or choose one you wish to change.

Choose one of the following menu paths:

– Header ® Conditions

– (After selecting an item) Item ® Conditions

– Extras ® Conditions (from the Purchasing Organization Data 1 view in the info record)

If several main conditions exist, you will see a dialog box allowing you to choose the desired condition.

If several validity periods have been defined, you will see a dialog box containing the existing ones. Choose an existing period or create a new one.

The condition screen appears. The main condition has been inserted.

Enter the validity period and the amount of the main condition.

Display the supplementary conditions belonging to the main condition:

Choose the Default condition supplement button from the button bar at the end of the screen and enter the relevant amounts.

You can delete conditions for which you do not wish to enter any amounts. To do so, choose the Restore supplementary conditions button and click Yes to confirm in the dialog box which then appears.

If desired, you can create scales for conditions:

a) Select the condition.

b) Choose Goto ® Scales.

c) Specify which amount applies as of which quantity or value. Note that the first quantity (or value) should normally be 0.

Quantity	Amount
0	10
100	9
200	8

If the quantity 0 were not specified, the system would not determine a price for quantities below 100.

If desired, specify a price range on the detail screen for a condition. Choose Goto ® Details and enter the necessary data in the Lower and Upper limit fields.

If the condition in the purchase order is changed manually and the price range is not adhered to, the system issues an error message.

Save your data.

Configurable Materials in SAP Purchasing
Archiving SAP Purchase Orders
Monitoring SAP Purchase Orders
Blocking a SAP Purchase Order
Cancelling a SAP Purchase Order
Changing a SAP Purchase Order

Maintaining Time-Independent Conditions in SAP MM

Create the desired document (purchase order, quotation, scheduling agreement) or choose one you wish to change.

Choose one of the following menu paths:

– Header ® Conditions

– (after selecting an item) Item ® Conditions

The condition screen appears.

If conditions can be adopted from an already existing document, or general conditions are valid, these are inserted.

Enter the desired condition types with their amounts.

Save your data.

Configurable Materials in SAP Purchasing
Archiving SAP Purchase Orders
Monitoring SAP Purchase Orders
Blocking a SAP Purchase Order
Cancelling a SAP Purchase Order
Changing a SAP Purchase Order

Maintaining Conditions in SAP MM

Use

You have the following options:

You maintain time-dependent conditions for info records, RFQs, scheduling agreements, and contracts directly in the info record or purchasing document.

You can also enter document conditions for contracts and info records via the master data menu. SAP recommends maintaining such conditions via the relevant document.

Time-dependent general conditions are always maintained via the master data menu.

Time-independent conditions are always maintained directly within the relevant document.

In addition, you can do the following via the master data menu

- Define the market price for a material

The Vendor Evaluation component uses this figure to compute a vendor’s price level.

- Maintain condition records for condition types you have created yourself

- Change the prices in info records, contracts, or scheduling agreements on a collective basis

How conditions are maintained depends on whether they are time-dependent or time-independent.

The following table shows which conditions can be maintained for which documents.

	Time-dependent conditions	Time-independent conditions
Info record	Yes	No
Quotation	Depends on document type	Depends on document type
Scheduling agreement	Depends on document type	Depends on document type
Contract	Yes	No
Purchase order	No	Yes

You can specify both time-dependent and time-independent conditions at header and item level. The conditions in the info record are an exception: these are stored at info record level.

In the case of time-dependent conditions, you can additionally enter:

Supplementary conditions
Validity periods
Scales
Upper and lower limits

Required Quantity in SAP PP

In the Required quantity field, you can enter the quantity to which all component quantities displayed refer.

The component quantities are relative to the base quantity. The system uses the following calculation:

Component quantity =

Required quantity * Stored component quantity
---------------------------------------------------------------
Base quantity

Calculating the Component Quantity: Example

The following table shows an example calculation for calculating component quantities with reference to the required quantity.

Recalculation of Component Quantity for Assembly Blue paint-01

Component	Component quantity (liters)
	Base quantity (3 liters)	Required quantity (30 liters)
Blue pigment	0.3	3.0
Solvent	1.2	12
Water	1.5	15

If you do not enter a required quantity, the component quantities displayed are based on the base quantity.

Items which have a component quantity defined as a Fixed quantity (Detail screen: General data) are not affected by the required quantity entered.

Validity Period in SAP PP

The system uses the validity period you enter for the BOM header to determine which items are valid. You can restrict the validity period for displaying the BOM.

On the initial screen, you can use the following four fields to define the validity period:

Change number

Valid-to date

Valid-from date

Revision level

The following table shows which entries you can make to define validity.

User Entries for Validity Period

Validity period required	Field	Description of user entries
On the valid-from date of a change master record	Change number	The date is copied from the change master record. All BOM data valid on the valid-from date of the change master record or on a specific alternative date in the change master record is displayed.
On a specific date	Valid-from date Valid-to date	Date on which you want to display the BOM Same entry as Valid-from date
Within a time period	Valid-from date Valid-to date	Date at beginning of time period Date at end of time period
Over its entire validity period	Valid-from date Valid-to date	Delete character "!" at beginning of field No entry
Up to a specific date	Valid-from date Valid-to date	Delete character "!" at beginning of field Date up to which you want to display the BOM
At a specific revision level	Revision level	Revision level assigned to a change with a change number. The system determines the Valid-from date from the assigned change master record.

Before You Display Your BOM in SAP PP

To display the BOM with all the data you require, you need to establish the following:

Do you want to display a specific alternative of a multiple BOM or a specific variant of a variant BOM, or the entire BOM group?

Which validity period do you want to use for displaying the BOM?

Which required quantity to you want the component quantities to refer to?

Displaying a Material BOM in SAP PP

You use this function to display a material BOM (single-level) over a certain validity period.

The sections listed below contain detailed information on the following subjects:

Before You Display Your BOM

Validity Period

Required Quantity

The R/3 System also supports functions for displaying multi-level BOMs for various analytical tasks.

See also:

BOM Reporting Functions

Displaying One Variant BOM

Displaying one Alternative in a Multiple BOM

SAP Transaction Code for: Parameter Transaction for FBWD

FBWD2

Estimated Price in SAP MM

Use

Instead of a net order price, you can enter an estimated price and flag it as such. At the time of invoice verification, higher tolerances will then apply in the event of price variances than in the case of purchase orders issued with an exact price.

Prerequisites

The tolerances must be defined accordingly in Customizing for Invoice Verification. (Invoice block ® Set tolerance limits.)

Activities

To maintain an estimated price, enter the amount in the Net price field on the item detail screen and select the Estimated price field.

Daily Ruling Prices for Precious Metals in SAP MM

Use

There is a separate condition category for pricing components that vary according to daily fluctuations in ruling rates. It causes the price for the material to be redetermined according to the day’s ruling price at the time a purchase order is created or a goods receipt posted. In the case of the PO, the date chosen by you is taken. In the case of a GR, the key date is the posting date.

Prerequisites

You must make the following settings for each precious metal in Customizing:

Define a non-dimensional unit of measurement (Global settings ® Check units of measurement)
Set up two new condition types (Purchasing ® Conditions ® Define price determination process ® Define condition types)
Make new entries in the calculation schemas Purchasing ® Condition ® Define price determination process ® Define calculation schema)

The settings for one precious metal are supplied in the standard system. If further precious metals are to be taken into account in the price determination process, they must be set up beforehand in Customizing. You can use the settings supplied in the standard system as a reference for copying purposes.

Non-Dimensional Unit of Measurement

You must create a unit of measurement that links the precious metal with the unit of measurement. (E.g. GAU for "gram of gold"). ("G" stands for "gram" and "AU" is the symbol for the chemical element "gold".) The proportion of the precious metal is specified for this unit of measurement in the material master record (e.g. 1 piece of wire = 3 GAU).

Two New Condition Types

For the precious metal price portion (GAU1) included in the material price.

For the current ruling price of the precious metal (GAU2).

Both condition types have condition class A, condition category U, and calculation rule C (quantity-dependent), and the same unit of measurement (e.g. GAU) must be assigned to each.

An access sequence must be assigned to the condition type for the current daily ruling price (GAU2). In the standard system, access sequence 0001 is defined for this purpose.

New Entries in Calculation Schemas

Document Schema

The two new condition types must be included in the document schema. Document schema RM0000 is available in the standard system.

The two condition types must be entered in the document schema in the above sequence. Different but directly consecutive steps must be assigned for both. The Statistical indicator may not be set for either.

The first condition type must be flagged as "manual" and have the calculation formula "31".

The second condition type may not be flagged as "manual". It must have the calculation formula "32" and the requirement "31".

Supplementary Calculation Schema for Price

Document schema RM0002 is available in the standard system.

Here you must enter the first condition type (GAU1). The Statistical indicator must be set.

Activities

For information on how to maintain current ruling precious metal prices, refer to Maintaining Customers’ Own Conditions.

Conditions Dependent on the Order Unit in SAP MM

Use

You can enter separate conditions for individual order units.
During the source determination process, the system offers you the order units for which prices have been maintained. If, for example, prices have been maintained in an info record for the order units pallet and crate, you can only order these units from the relevant vendor. If no order-unit-dependent conditions have been maintained, you can order in the units that have been maintained in the info record or the material master record.

Prerequisites

In order to work with conditions for each order unit, you must set the Variable OUn indicator on the general data screen in the info record.

Weight- or Volume-Dependent Conditions in SAP MM

Use

You have the option of maintaining weight- or volume-dependent conditions. The condition types for weights and volumes are then taken into account during the purchase price determination process.

Activities

You can maintain the Gross weight and Volume fields in the additional data for the item.
Both fields relate to an order unit. This means that if you order 100 pcs. of material A, for example, and one piece weighs 10 kg, the Weight field contains the figure 10 kg (not 1000 kg).

Price Variance in SAP MM

Use

A price variance occurs when the net price of the PO item differs from the standard or moving average price defined in the material master record. If the price you enter does not equal the price in the master record for the material, the system issues a warning message.

Different Currency in SAP MM

Use

If you wish to create a PO in a currency that differs from the default currency taken from the vendor master record, you must change the currency before creating the PO items.

Activities

To maintain a different currency in the purchase order, branch to the PO header data before entering the relevant item and change the content of the Currency field.

Foreign Currency in SAP MM

Use

If the PO is issued in a foreign currency, the system calculates the net value of the order based on the ruling exchange rate defined in your system.
The rate can be changed when the invoice is entered if it differs from the rate specified when the purchase order was created.

However, if the rate in the purchase order is to be the basis for the invoice amount, you can specify a fixed exchange rate in the purchase order. This way, the invoice amount has to be based on the exchange rate specified in the purchase order.

Activities

To specify a fixed exchange rate for a foreign currency, branch to the PO header data, enter the exchange rate, and select the Fix rate field.

Planned Delivery Costs in SAP MM

Use

Planned delivery costs are delivery costs (incidental procurement costs) agreed with or stipulated by the vendor, a forwarder or carrier, or a customs office before the purchase order is placed, which are entered in the PO when the latter is created.

Planned delivery costs can be subdivided according to the following criteria:

Source of the costs

Freight charges
Duty

Calculation of costs

Fixed amount, independent of quantity
Quantity-dependent amount
Percentage of value of goods delivered

Planned freight and duty costs are linked to a vendor. If they are not to be invoiced by the vendor who receives the PO, a different vendor must be entered at the time the delivery costs are planned in the PO. (This so-called "freight vendor" may be a forwarder/carrier or a customs office, for example.)

At the time of goods receipt, the vendor can be changed. In contrast, at the time of invoice receipt, only the "freight vendor" can invoice you in respect of the delivery costs.
Planned delivery costs are entered in the purchase order for each order item. Such costs can only be posted in an invoice if there has been a goods receipt for the relevant order item, that is to say, the delivery costs have actually been incurred.)

Activities

You can store planned delivery costs in the purchase order on the Item conditions screen.

To enter a different vendor (i.e. a "freight vendor" or a customs office), select the desired condition on the condition screen and choose Goto ® Details. Overwrite the content of the Vendor (creditor) field.

Taxes in SAP MM

Use

The relevant tax rate is taken into consideration in the PO automatically. The tax rate is derived from the key in the Taxes field in the relevant PO item.

The tax code is suggested at the time of invoice verification. You can thus check the vendor’s net price when the invoice is received.

Non-deductible tax portions are displayed in the conditions and taken into account in material valuation.

During the price determination process, it is possible to have the system find the relevant tax code via the conditions. This is useful, for example, if different tax rates apply, depending on whether a material is taken into stock or consumed directly.

You can determine how the tax amount was calculated in the item conditions from within a PO, a quotation, or an outline agreement.

Activities

To display the calculation of the tax amount, proceed as follows: (This function can only be performed in the case of items having a valid tax key.)

Select an item on the item overview screen.

Choose Item

More functions

Taxes

The system lists all amounts and condition types included in the calculation of the tax amount. The condition types and their amounts are determined from the tax calculation schema defined for your country in Customizing.

The base amount, from which the individual tax amounts are deducted, represents the net value of the item.

Some Selected Conditions in SAP MM

Use

Refer to the documentation on the following types of condition:

Taxes

Planned Delivery Costs

Foreign Currency

Different Currency

Price Variance

Weight- or Volume-Dependent Conditions

Conditions Dependent on the Order Unit

Daily Ruling Prices for Precious Metals

Estimated Price

Functions from the Retail Environment

Discount in Kind (Discount in the Form of Bonus Goods)

See the documentation

SD Basic Functions and Master Data in Sales and Distribution Discount in Kind.

SAP Retail: Promotion: Discount in Kind

Rounding of PO Quantities

See the documentation

SAP Retail - Order Optimizing.

Additional Items

See the documentation

SAP Retail - Additional Items.

Determination of Purchase Price (Example) in SAP MM

Purchasing creates a PO for 100 swivel chairs at $250 each, to be supplied by vendor Miller Co. No outline purchase agreement exists with this vendor. The agreed condition (discount of $10 granted on each chair purchased) is stored in an info record. No general price stipulations apply.

The system carries out the following price determination process:

Assignment of price calculation schema:

RM0000

Search for condition records belonging to the condition types listed in the calculation schema:

The system searches only for condition records belonging to condition types that are marked in the schema as non-manual.

Condition type PB00

Determination of access sequence

0002

Accesses within access sequence 0002

Accessing of condition table 068 (plant-specific agreement item) is not carried out

Accessing of 016 (contract item) is not carried out.

Table 017 (info record) is accessed and the condition record is found.

Condition records belonging to the other condition types are then sought.

In the example, no further condition records are found because condition type RB00 (discount) is a supplementary condition belonging to condition type PB00 and thus has no access sequence of its own.

The system then suggests a price of $240 per chair in the purchase order. The buyer can then enter further conditions (covering delivery costs, for example).

The following graphic illustrates the steps in the process:

Price Determination in SAP MM

Use

When you create a purchase order or scheduling agreement with time-independent conditions, the system searches for valid conditions and inserts them into the new document (this is the process of price determination).

In the case of purchase orders, the system searches for conditions in info records and contracts (for contract release orders), and for general conditions.
In the case of scheduling agreements with time-independent conditions, the system searches for conditions in info records and for general conditions.

If no conditions are found, but the last PO is noted in the info record, the system can adopt the conditions from this PO. You can specify how the system treats the conditions from the last PO in Customizing for Purchasing (default values for buyers).
The system can proceed in similar fashion in the event that a scheduling agreement with time-independent conditions is noted in the info record.

Price determination involves the process of determining already existing conditions only. Thus, if the buyer enters further conditions in the purchase order - over and above those inserted by the system - and a new effective price results, the latter is not calculated via the price determination process.

If the conditions were adopted from the last document and the buyer performs the New price determination function, these conditions will not be inserted again.

Date of Price Determination

In the automatic price determination process, the price can be calculated as at the document date of the PO, or as at another date (such as the current day’s date, the delivery date, or the goods receipt date). You can specify the date to which the price that is determined relates at the following points:

In the vendor master record, in the Pricing date control field, if you wish to use the same price determination date for all a vendor’s materials.

In the purchasing info record, in the Pricing date category field, if you wish to use a different pricing date for a certain material supplied by a particular vendor.

The value in the purchasing info record takes precedence over the value in the vendor master record.

In the purchase order, in the Pricing date category field (found via Item

® More functions ® Additional data

).
The value from the info or vendor master record is preset when a purchase order is created. However, this is only used if you change it in the purchase order and carry out a new price determination process.

The pricing date category in the PO takes precedence.

Example:

In the info record, you have specified that the price determination process is to be carried out with the conditions that are valid on the delivery date (pricing date category 2). Furthermore, you have created two validity periods (from 04. 01.1997 until 04. 31.1997 and from 05. 01.1997 until 12. 31.1997), each with different conditions.

You create a purchase order with the delivery date 05.05.1997. The pricing date category from the info record is adopted. In the course of the price determination process, the info record conditions from the validity period 05. 01.1997 until 12. 31.1997 are then adopted.

If you wish to adopt the info record conditions from the first validity period in the purchase order, you must change the pricing date category in the PO to blank and carry out a new price determination process.

Condition Technique in SAP MM

Use

The condition technique is used to determine the purchase price by systematic consideration of all the relevant pricing elements. A feature of the technique is the formulation of rules and requirements. By applying conditions defined by means of the condition technique, the system arrives at a suggested price for purchase transactions.

For more information on this topic, refer to the documentation SD - Conditions and Pricing.

Prerequisites

The price determination process is set up in Customizing for Purchasing.

Features

The most important elements in price determination are the following:

Condition type
Condition table
Access sequence
Calculation schema

Condition Type

Condition types represent price factors in the system. There are condition types for absolute and percentage discounts, freight costs, customs duties, or taxes, for example. Via the condition type, you specify how the price factor is calculated (e.g. percentage or absolute amount).

Group Condition

You can define a condition type as a group condition. If the same condition occurs in different document items, the item values are added up and the result used as the basis for determining the scale level. If the condition type is entered at header level, the value is apportioned among the items.

Supplementary Condition

Supplementary conditions are time-dependent conditions that are usually maintained for a certain condition type (main condition). Supplementary conditions are stored with their associated main condition in one data record in a condition table (=condition record).

No access sequence (see below) is assigned to condition types for supplementary conditions because no separate condition record has to be found for them. All supplementary conditions that the system is to suggest for a certain condition type must be grouped together in a separate calculation schema (see below). This calculation schema must be stored for this condition type (main condition).

Discounts/surcharges and freight costs are frequently maintained in relation to the gross price (PB00). They are therefore entered as supplementary conditions belonging to the gross price.

The supplementary conditions are grouped together in calculation schema RM0002. This schema is assigned to condition type PB00.

Condition Category

You can assign a condition category to a condition type. The condition category has various control functions. For example, condition category U (for precious metal discounts and surcharges) causes a new price determination process to be carried out at the time of goods receipt, and condition category E (for cash discount) causes the discount to be derived from the terms of payment.

The following condition categories are relevant to Purchasing:

Cat.	Description	Assigned to the following condition type in the standard system:	Further information
H	Base price	PB00	A condition type with the condition category H must always exist in the calculation schema. Exception: Stock transfers. If an access sequence is assigned to the condition type, you must assign a supplementary calculation schema to the condition type. Otherwise, the system is not able to calculate a net or effective price. If you manually enter a price in the purchasing document, it is inserted into the condition type.
B	Delivery costs	FRA1	If you use this condition category, you can enter separate invoices for material costs and delivery costs (e.g. freight charges). You must flag the condition type as "provision-relevant". You must assign a transaction/event key in the schema (for account determination purposes).
N	Non-deductible input tax	NAVS	Depending on the tax code in the PO item and the tax calculation schema, the system calculates the non-deductible tax portion and inserts it in the condition type with the category N. The condition type has the calculation rule "absolute amount". Normally, the access sequence that regulates tax code determination is assigned to the condition type.
d	Vendor’s confirmed price	EDI1, EDI2	If the vendor confirms a price via EDI, the system inserts the price in the condition type with category d.
E	Cash discount	SKTO	The system derives a percentage from the terms of payment and inserts it in the condition type with the category E. The condition type is included in the calculation on a statistical basis only.
U	Precious metal discount/surcharge	GAU1, GAU2	See Daily Ruling Prices for Precious Metals
G	Moving average price	P101	The system inserts the moving average price/valuation price of the material in the condition type with category G. This makes sense if no purchase price exists (e.g. in the case of stock transfers).
J	Sales price excl. taxes (only for Retail)	MVK2 (prior to Release 4.5A, MVK1)	The system inserts the currently valid sales price (excluding tax) for the ordering store in the condition type with category J. If sales price valuation is active in the valuation area of the store, the condition type should exist in the calculation schema used for determining the purchase price.
W	Sales price incl. taxes (only for Retail)	MVK0	The system inserts the currently valid sales price (including tax) for the ordering store in the condition type with category W. If sales price valuation is active in the valuation area of the store, the condition type should exist in the calculation schema used for determining the purchase price.

Condition Types in the Standard System

The condition types supplied include the following:

Condition type	Condition class	Description
PB00	Price	Gross price: Price without taking any possible discounts and surcharges into account
RB00	Discount/surcharge	Absolute discount
ZB00	Discount/surcharge	Absolute surcharge
FRB1	Discount/surcharge	Absolute freight amount
ZOA1	Discount/surcharge	Percentage duty amount
SKTO	Discount/surcharge	Cash discount
NAVS	Taxes	Non-deductible input tax

The purchasing department has agreed with vendor Miller Co. that the latter will grant a discount of $10 on the normal price of $250 for each office chair purchased. An info record with the following conditions is created for this purpose:

PB00: 250

RB00: 10 (supplementary condition)

The system writes this information to a condition record and stores the latter in a condition table.

Condition Table

A condition table consists of one or more condition keys and a data part. The data part contains a number that references a record in another table. The latter table contains the condition records.

In the standard system, table 017 is available for the condition record created by Purchasing. This has the condition keys Vendor, Material, Purchasing organization and Purchasing info record category.

You can also create your own condition tables. How to create condition records in the latter is described in Maintaining Customers’ Own Conditions.

Access Sequence

An access sequence is a search strategy by means of which the system searches for valid records in various condition tables. It consists of one or more accesses. The sequence of accesses controls the priority of the individual condition records among each other. Through the accesses, the system is told where to look first and where to look next for a valid condition record in each case.

Condition type PB00 has the access sequence 0002. The following accesses are defined within this access sequence (among others):

(a) Accessing of condition table 068 (Does a plant-specific agreement item exist?)

(b) Accessing of condition table 016 (Does a contract item exist?)

(c) Accessing of condition table 017 (Does a purchasing info record exist?)
With this access, the condition record created in the example for the condition type is found and the search ended.

There are some condition types for which no condition tables are created (for example, header discounts, which are only entered manually, or supplementary conditions). No access sequence need be specified for these condition types.

Calculation Schema

A calculation schema groups together all condition types that play a part in calculating the price. It sets out the order in which the condition types are taken into account in the calculation. In addition, the calculation schema specifies the following:

Which subtotals are arrived at
To what extent the price determination process can be carried out manually
The basis upon which the system calculates percentage discounts and surcharges
Which requirements must be satisfied in order for a certain condition type to be taken into account

You can define a variety of calculation schemas (for individual purchasing organizations and/or vendors, for example).

In the standard system, calculation schema RM0000 is defined for determining the purchase price in purchasing documents.

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