When multiple prices formulas apply to a single sales order or puchase order, Inform ERP applies them to the pricing based on a set hierarchy.
Each combination in the Price Matrix is assigned a level number within that hierarchy. To see those levels for the sales price Matrix, go to Sales>Pricing>Price Matrix, and search for the price formulas in which you are interested. To see them for the Purchasing Matrix, go to Purchasing > Purchasing Matrix.
The remainder of this article uses the Sales Price Matrix as an example, but you can apply those same principles to the Purchasing Matrix.
You can see all available levels by clicking the Levels button.
These levels determine which pricing combination formula will be used on a Sales Order. Combinations with lower level numbers (at the top of the list) override the combinations with higher level numbers (at the bottom of the list). These combinations can contain up to 4 parameters. For example,
|16||Customer + Price Group + Product Line||Selected Customers when they order a product within both the selected Price Group and Product Line|
The use of these levels will depend upon how your pricing structure is organized. For example, if you do not use Price Groups then you will not need to create price formulas involving Price Groups. However, the option to create these groups will still exist, and they will still be listed as a level.
For example, a customer orders a pencil that is part of your Office Supplies product line.
- In your system, there is a price matrix set to give this customer a price that is 10% less than the list price (L1 - 10%) for all products that belong to the Office Supplies product line.
- This price combination has a level of 09 because the price setting applies to one customer for one product line.
However, there is another price matrix set at the product level
- This same customer has a price matrix that is 20% less than the list price for the specific pencil product that you are selling in this sales order.
- This price combination has a level of 06 because the price setting applies to one customer for one product. Because the Customer + Product combination is more specific, it has a higher priority level, and this price will be used for the sales order.
Tip: Once you create a formula, create a test sales order for the products to verify that the pricing is not being overridden by another formula.
Note on Price Contracts Although contract prices may be set up in the Price Contract screen or the Price Matrix, they may be overridden by formulas and net prices in the Price Matrix. There are several levels for contract pricing, with the level 12 Contract/Product combination being the most common. Any matrix prices or formulas set above level 12 will override the price on the contract.
* Product ABC is on a Price Contract that customer 1234 is assigned to.
* Product ABC also has a net price set in the Price Matrix (level 01) just for the product.
* The Price Matrix net price will override the pricing on the contract when customer 1234 buys the product.
Keep this hierarchy in mind when you are setting formulas in the Price Matrix, and when you are setting up price contracts through the Price Contract screen.