UNIVERSAL SALES REP COMMISSIONS DOCUMENTATION UPDATES

Transcription

1 DOCUMENTATION UPDATES Date Description Where Changed 8/4/03 A correction was made. The Important note, The Tier break basis is only applicable when the Minimum Basis is set to Range or PTD, has been changed to The Tier break basis is only applicable when the Break Basis is set to Range or PTD. Commission Schedules chapter, in the Schedule Brakes section, in the Break Type field definition (page 26)

2 NIVERSAL ALES EP OMMISSIONS

3 The documentation in this publication is provided pursuant to a Sales and Licensing Contract for the Prophet 21 System entered into by and between Prophet 21 and the Purchaser to whom this documentation is provided ( License Agreement ). In addition, the licensed software to which this documentation refers may be supported in accordance with a customer support agreement by and between the same parties ( Support Agreement ). All warranties, conditions of use, transfer restrictions, and other provisions in the License Agreement or Support Agreement which are applicable to Licensed Software, are applicable to this publication. In addition, this publication may include inadvertent technical inaccuracies or typographical errors for which Prophet 21 is not responsible. Changes may be periodically made to this publication; these changes will be incorporated in new editions of the publication. Any questions about the material contained in the publication should be addressed to the Prophet 21 Customer Support Department at Nothing in this statement amends or extends the terms of your agreement with Prophet 21 including any warranties that may be included in our products. Warranties for such agreements are set forth in your agreement with Prophet 21. Improvements and/or changes to the Licensed Software described in this publication may be made by Prophet 21 at any time without notice. DOCUMENTATION CONVENTIONS The eyeglass symbol ( ) indicates a field on which you can browse. The star ( ) indicates the system default for a field. To allow for the widest possible parameters when printing a report or performing a function, accept the defaults for all of the parameter fields. To accept the defaults, either escape through all the fields, or press [Enter] without specifying any values. Generally, samples in the documentation are shown using the default values. Start and End parameters define the limits to a range of information you will print on a report. If information does not appear on a report, it may be because the information was excluded from the Start, End range. For a detailed explanation on how maintenance screens function, refer to the Tour Guide manual. Use the search tool in Adobe Acrobat Reader 4.05c or higher to find which manual describes a specific module, job, or function. 8/4/03 Prophet 21 Acclaim Version 14 The Prophet 21 system and Prophet 21 Acclaim are registered trademarks, and Prophet 21 and ScratchPad are trademarks of Prophet 21. All other trademarks and registered trademarks are the property of their respective companies. iii

4 Table of Contents 1 INSTALLATION INSTRUCTIONS 6 2 SETUP AND PACKAGE DEFAULTS 9 Access Options 9 Changes to Existing Menu 10 Set Sales Rep Commissions Defaults 11 Set Company Defaults 11 Report Defaults 17 3 COMMISSION SCHEDULES 21 Schedule Breaks: Example 28 Commission Schedule Hierarchy 28 4 COST FACTORS 31 Enter Cost Factors 32 Edit Cost Factors 34 Delete Cost Factors 35 Print a Cost Factor List 35 5 REPORTS 37 Sales Rep List 38 Schedule List 39 Commission Report 42 6 COMMISSION SPLITS 47 Set Up Commission Splits 47 Enter Commission Splits 47 Enter Commission Splits for Product Groups 49 Entering Commission Splits on Orders 51 Display Commission Splits During Order Entry 52 Edit Commission Splits on Quotes / Orders 52 Edit Assembly Component or Line-Item for Commission Splits 54 Calculating Commissions 58 iv

5 Appendix A: Report Warning Messages 60 Appendix B: Create Default Sales Rep Splits 62 v

6 NSTALLATION NSTRUCTIONS To install the Universal Sales Rep Commissions package, you need the shipping paper that was sent to you by Prophet 21. This shipping paper contains a serial number that is used in a later step. Installing Universal Sales Rep Commissions requires that files be created and / or expanded. Prophet 21 recommends that you perform this installation at night or on the weekend. Due to file size and system configuration, we cannot offer an estimation of how long the installation will take. Caution! Caution! Before installing Universal Sales Rep Commissions, you must convert your Sales History to Real- Time Sales History. Before installing Universal Sales Rep Commissions, make sure you have a total copy of your system. 1. Stop the system. 2. At the Utility Command, run the VERIFY command and the MISMATCH job to check the integrity of the files. For more information on these commands, refer to your Prophet 21 System Administration manual. 3. Turn all units offline. For more information on turning your units offline, refer to the System Administration manual. 4. Make a total copy of your system. For more information on creating a total copy, refer to the System Administration manual. 5. After the total copy is made, keep the system stopped and turn all units online. For more information on turning your units online, refer to the System Administration manual. 6. At the Utility Command, press [Esc] to access the Job prompt. 7. At the Job prompt, press [Enter] to log into the system. 8. At the jump to box, type PKG-INSTALL [Enter]. 6

7 1 INSTALLATION INSTRUCTIONS The following screen appears: 9. Enter the serial number that appears on the shipping paper you received from Prophet 21, and press [Enter]. A. If you enter the correct serial number, the following message appears: Proceed to Step 10. B. If you enter an incorrect serial number, the following message appears: If you receive the previous message, retype the serial number on your shipping paper. If you still receive the previous message after you retype the serial number, contact the Prophet 21 Inside Sales Department for assistance. If you receive the message in Step A after you retype the serial number, proceed to Step 10. Note: To suspend the installation of Universal Sales Rep Commissions, type [N] [Enter] when the system prompts you to run the INSTALL. When you are ready to resume the installation, type INSTALL [Enter] at the jump to box. 10. To install Universal Sales Rep Commissions, type [Y] [Enter]. The Universal Sales Rep Commissions installation screen appears. 11. When the system prompts you to proceed, press [Y] to continue with the installation. 7

8 1 INSTALLATION INSTRUCTIONS 12. The system starts creating the files and job streams required to install the Universal Sales Rep Commissions package. 13. At the Utility Command, type GO to activate all terminals. You are now ready to use Universal Sales Rep Commissions. 8

9 ETUP AND EFAULTS ACKAGE The Universal Sales Rep Commissions package allows you to create flexible sales rep commission schedules. ACCESS OPTIONS You can access the fields associated with the Universal Sales Rep Commissions package from the Sales Rep module, or Sales Rep Information menu. To access the Sales Rep Information menu, type the following at the jump to box: Sales-Rep [Enter]. A screens similar to the following appears: Sales Rep Maintenance... allows you to enter, edit, and delete sales rep and order taker information. For more information on this option, refer to page 10. Schedule Maintenance... allows you to enter, edit, and delete universal sales rep commission schedules. For more information on this option, refer to page 21. 9

10 2 SETUP AND PACKAGE DEFAULTS Cost Factor... allows you to define cost factors for salesman commission calculations. You can define cost factors for any combination of customers, vendors, product groups, and items. Cost factors are applied against the cost of the item prior to calculating the profit during commission calculations. For more information on this option, refer to page 31. Reports... accesses the Reports menu, which allows you to print the Sales Rep List, a Schedule List, and a Commission Report. For more information on this option, refer to page 37. User Options... allows you to set company and report defaults. For more information on this option, refer to page 11. CHANGES TO EXISTING MENU After you enable the Universal Sales Rep Commissions package, the Sales Rep / Taker Maintenance screen only displays the sales rep number, name, address and phone numbers. Because the Universal Sales Rep Commissions screens allow you to customize the sales rep commissions schedules through the Schedule Maintenance option, the Commissions screens no longer appear on the Sales Rep / Taker Maintenance screen. When you select Sales Rep Maintenance from the Sales Rep Information screen, a screen similar to the following appears: 10

11 2 SETUP AND PACKAGE DEFAULTS SET SALES REP COMMISSIONS DEFAULTS You can set company and report defaults for the Universal Sales Rep Commissions package. The company defaults affect how the system calculates sales rep commissions for your company. The report defaults allow you to determine what kind of information appears on your reports. SET COMPANY DEFAULTS From the Sales Rep Information menu, select User Options. From the User Options menu, select Company Defaults. Now choose the General option from the Company Defaults screen: A screen similar to the following appears: General Defaults Enable Universal Commissions... determines whether universal sales rep commissions are enabled. If this option is set to YES the system only uses universal sales rep commission tables. All other sales rep commission packages are disabled. NO the system does not use universal sales rep commission tables. Although you can still enter sales rep schedule tables, the system calculates sales rep commission tables in 11

12 2 SETUP AND PACKAGE DEFAULTS the standard way, through Sales Rep Maintenance. Sales Rep Splits... determines how sales commissions are divided among the sales reps. If this option is set to NONE all commissions are given to the primary sales rep indicated on the order. The primary sales rep is the sales rep you entered in the Rep 1 field in the Rep Commission section in Customer Maintenance. This sales rep appears as the default during order entry. In addition, when you print a WBW Report by sales rep, sales are recorded under the primary sales rep in the order. ORDER commissions are split among the sales reps specified on the order header. LINE commissions are split among the sales reps specified on the order line-items section of the order. Add Taker to Splits... determines whether order takers are to receive part of the sales rep commission. YES The default Order Taker Number is added as part of the sales rep split. Both the sales rep and the order taker would be created with splits of 100%. NO Order takers do not receive any part of the sales rep commission. For more information on order takers being added to sales rep commissions, refer to the Order, Quote Entry, ScratchPad section on page 54. Line Splits Default... determines how the commissions are divided among the sales reps for each lineitem. Important! This option will only affect your commissions if the prior Sales Rep Splits field is set to LINE. If this option is set to HEADER commission splits for each line-item default from the commission splits specified in the order header. HDR/LINE commission splits for the first line-item and any inserted items default from the commission splits specified from the order header. Commissions for subsequent line-items default from the commission splits used for the previous item. PROD GRP commission splits for each line-item default from the commission splits set up in the Product Group record. If no commission splits exist in the Product Group record, the system uses the commission splits specified in the order header. Auto Display Splits... determines when the commissions split screen appears during order entry. Important! This option is only functional if the Sales Rep Splits option is set to Order or Line. This option is not functional if the Sales Rep Splits option is set to None. If this option is set to ALL the commissions split screen appears when you enter order header, line-item, or component information. HEADER the commissions split screen appears when you enter order header information. 12

13 2 SETUP AND PACKAGE DEFAULTS HEADER/LINE the commissions split screen appears when you enter order header or line-item information. LINE the commissions split screen appears when you enter line-item information. LINE/COMPONENT the commissions split screen appears when you enter line-item or component information. After you have completed entering all order information, the Sales Rep Split Maintenance screen appears automatically before the Field prompt appears. Force Splits to Total 100%... determines whether the sales rep commission splits should total 100 percent. If this option is set to Yes the sales rep splits must total 100%. You will not be able to proceed on this screen if the commission percentages do not total 100%. No the sales rep splits do not have to total 100%. You will still be able to proceed if the sales rep splits do not total 100%. Allow Negative Commissions... determines whether customer returns and no charge invoices are processed. If this option is set to Yes the system calculates negative commissions for customer returns and no charge invoices. No the system does not calculate negative commissions for customer returns and no charge invoices. However, negative commissions can still be calculated in situations where invoices result in a negative profit. Commission Cost Basis on Quotes... determines whether the cost of each line-item displayed on the quote is based on the cost basis of commission. If this option is set to STND the cost of each line-item displayed on the quote is based on the standard cost basis of commission. L-AVG the cost of each line-item displayed on the quote is based on the location moving average of commission. C-AVG the cost of each line-item displayed on the quote is based on the company moving average of commission. NONE the cost of line-items on quotes are not affected by the cost basis of commission. When you convert the quote to an order, the system uses the actual cost of the item. Standard Cost Source... determines what standard cost value is recorded in Real-Time Sales History. CURR The current standard cost at the time the commission report is run is used for universal sales rep commission schedules with a cost basis of standard cost (STND). INV The standard cost value captured at invoice time is used for the commission schedules with a Cost Basis of STND. 13

14 2 SETUP AND PACKAGE DEFAULTS The Receivables option maintains the accounting options. To access the Receivables option, select User Options from the Sales Rep main menu, and then select the Company Defaults option. Select the Receivables option from the Company Defaults menu: A screen similar to the following appears: Commission on Partial Payments... determines whether you can include partial commissions in the commission totals. Important! This option is only applicable if the sales rep is paid commissions based on paid receivables. If this option is set to Yes the system calculates partial commissions when partial payments are made in Receivables. No the system does not calculate partial commissions when partial payments are made in Receivables. Commission Penalty Days... determines the number of days within which the customer must pay, so that the sales rep does not get a penalty on their commission. If the customer does not pay within this specified period of days, the sales rep gets a penalty on their commission for the sale. To make sure the sales rep does not get a penalty on commissions based on when the customer makes a payment, set this field to zero (0). Important! This option is only applicable if the sales rep is paid based on paid receivables. 14

15 2 SETUP AND PACKAGE DEFAULTS Commission Penalty Percent... determines the percentage deducted from the sales rep s commission if the customer does not pay within the number of penalty days specified in the Commission Penalty Days field. The value in this field must be a number between 0 and 100. For example, the commission penalty days is 60 and the commission penalty percent is 25. Therefore, if the customer does not pay within 60 days, the sales rep s commission is cut by 25%. Commission Cut-Off... maximum number of days between the invoice date and the final customer payment during which commissions must be paid. Important! This option is only applicable if the sales rep is paid commissions based on paid receivables. No commission payments can be made for this invoice beyond the number of days that exist between the invoice date and the final customer payment. Include State Tax Writeoffs... determines whether commission is reduced for state tax write-offs. Yes Sales rep commission is reduced for state tax write-off amounts. No Commission is not reduced. Include Other Tax Writeoffs... determines whether commission is reduced for other tax write-offs. Yes Commission is reduced for other tax write-off amounts. No Sales rep commission is not reduced. Include Out Freight Writeoffs... indicates whether commission is reduced for outgoing freight write-offs. Yes Sales rep commission is reduced by the outgoing freight write-off amounts. No Sales rep commission is not reduced. Include In Freight Writeoffs... determines whether commission is reduced for incoming freight write-offs. Y Incoming freight write-off amounts do reduce sales rep commission. N Commission is not reduced. Include Phone Charge Writeoffs... indicates whether commission is reduced for phone charge write-offs. Y Sales rep commission is reduced by phone charge write-off amounts. N Commission is not reduced. Include Misc Charge Writeoffs... determines whether commission is reduced by miscellaneous charge write-offs. Y Miscellaneous charges for other than freight and phone charges do reduce sales rep commission. N Sales rep commission is not reduced. 15

16 2 SETUP AND PACKAGE DEFAULTS Include Discounts... determines whether discounts applied to a payment reduces the commission paid to a sales rep. Yes Commissions are reduced for the discount taken. No Discounts are ignored; the full commission is given to the sales rep. The commission is reduced by the percentage of the invoice that is discounted. For example, if a $100 discount is applied to a $1000 invoice, the sales rep receives 90% of their allowable commission. 16

17 2 SETUP AND PACKAGE DEFAULTS REPORT DEFAULTS From the Sales Rep Information menu, select User Options. From the User Options menu, select Report Defaults. A screen similar to the following appears: General Cust PO... determines whether the customer PO appears on the Invoiced or Detailed reports. Y customer PO appears on the reports N customer PO does not appear on the reports Inv Date... determines whether the invoice date appears on the Invoiced or Detailed reports. Y the invoice date appears on the reports N the invoice date does not appear on the reports Sched... determines whether the commissions schedule appears on the Invoiced or Detailed reports. Y the commissions schedule appears on the reports. N the commissions schedule does not appear on the reports. 17

18 2 SETUP AND PACKAGE DEFAULTS Price... determines whether the entire price or just sales rep percentage appears on the Invoiced or Detailed Reports. The full price is not broken down or split into commissions. Y 100% of the price is displayed on the Invoiced or Detailed Reports. N The price multiplied by the sales rep split percentage appears on the Invoiced or Detailed Reports. Comm $... determines whether the commission dollar amount appears on the Invoiced or Detailed Reports. Y the commission amount appears on the Invoiced or Detailed Reports. N the commission amount does not appear on the Invoiced or Detailed Reports. Cost... determines how the cost of invoices displays on reports. Note: This field had had values of YES/NO prior to this change. NONE The invoice cost does not display on the report. FULL 100% of the cost displays on the report. (This is the same effect as when you set this field to YES previously.) SPLIT The cost shown is the result of taking the total cost and multiplying it by the sales rep s percentage split. (This is the same effect as when you set this field to NO previously.) Profit $... determines whether the profit dollar amount appears on the Invoiced or Detailed Reports. Y the profit dollar amount appears on the Invoiced or Detailed Reports. N the profit dollar amount does not appear on the Invoiced or Detailed Reports. Profit %... determines whether the profit percentage appears on the Invoiced or Detailed Reports. Y the profit percentage appears on the Invoiced or Detailed Reports. N the profit percentage does not appear on the Invoiced or Detailed Reports. 18

19 2 SETUP AND PACKAGE DEFAULTS Detailed Item Code... determines whether the item code appears on the Detailed Report. Y the item code appears on the Detailed Report. N the item code does not appear on the Detailed Report. Desc... determines whether the item description appears on the Detailed Report. Y the item description appears on the Detailed Report. N the item description does not appear on the Detailed Report. Group 1... determines the columns that display on the Detailed Report. PROD GROUP the Product Group column displays on the Detailed Report. DISC GROUP the Discount Group column displays on the Detailed Report. VENDOR NUM the Vendor Number column displays on the Detailed Report. SALES CLASS the Sales Class column displays on the Detailed Report. MANUF. CLASS the Manufacturer s Class column displays on the Detailed Report. POOL the Pool column displays on the Detailed Report. NONE no columns appear on the Detailed Report. Disp... determines whether the order disposition (REG, DS or LPU) displays on the Detailed Report. Y the order disposition appears on the Detailed Report. N the order disposition does not appear on the Detailed Report. Group 2... determines the columns that display on the Detailed Report. PROD GROUP the Product Group column displays on the Detailed Report. DISC GROUP the Discount Group column displays on the Detailed Report. VENDOR NUM the Vendor Number column displays on the Detailed Report. SALES CLASS the Sales Class column displays on the Detailed Report. MANUF. CLASS the Manufacturer s Class column displays on the Detailed Report. POOL the Pool column displays on the Detailed Report. NONE no columns appear on the Detailed Report. 19

20 2 SETUP AND PACKAGE DEFAULTS Charges... determines whether incoming and outgoing freight, phone, miscellaneous, and handling charges display on the Detailed Report. Y all these charges appear on the Detailed Report. N these charges do not appear on the Detailed Report. Group 3... determines the columns that display on the Detailed Report. PROD GROUP the Product Group column displays on the Detailed Report. DISC GROUP the Discount Group column displays on the Detailed Report. VENDOR NUM the Vendor Number column displays on the Detailed Report. SALES CLASS the Sales Class column displays on the Detailed Report. MANUF. CLASS the Manufacturer s Class column displays on the Detailed Report. POOL the Pool column displays on the Detailed Report. NONE no columns appear on the Detailed Report. Split %... determines whether the sales rep split percentage appears on the Detailed Report. Y the sales rep split percentage displays on the Detailed Report. N the sales rep split percentage does not display on the Detailed Report. 20

21 OMMISSION CHEDULES To create Universal Sales Rep Commission Schedules, select Schedule Maintenance from the Sales Rep Information menu. When the fields are completed, a screen similar to the following appears: Schedule Code... indicates the number/code of the sales rep commission schedule. Schedule Information Description... informational field that describes the schedule. Sales Rep... sales rep number of the sales rep defined in this schedule. The value in this field can be a number between 0 and A value of 0 in this field indicates all sales reps. Rep Class... sales rep class number of the sales rep defined in this schedule. The value in this field can be a number between 0 and 99. This is the sales rep class 21

22 3 COMMISSION SCHEDULES number defined in the Sales Rep Maintenance screen. A value of 0 in this field indicates all sales rep class numbers. Cust Type... determines the way you define customers for whom commissions are affected by the schedule. CUST you can specify the customer for whom commissions are affected by the schedule. CLASS you can specify the customer class of customers for whom commissions are affected by the schedule. GROUP you can specify the group of customers for whom commissions are affected by the schedule. SIC you can specify the SIC number for whom commissions are affected by the schedule. ALL commissions for all customers are affected by this schedule. Customer Start/End... determines the way you define customers for whom commissions are affected by the schedule. This field is directly dependent on the Cust Type field. If the Cust Type field is set to CUSTOMER, enter the specific customer or a range of customers for whom this schedule affects in this field. If the Cust Type is set to CLASS, enter the customer class of the customer for whom this schedule affects. If the Cust Type is set to SIC, enter the SIC number of the customer for whom this schedule affects. If the Cust Type is set to ALL, commissions for all customers are affected by this schedule. Payment Time... determines when the system calculates commissions. INV the system calculates commissions when you generate invoices. RECV the system calculates commissions after customer payments are received. Break Basis... determines how the system calculates commissions. LINE the system calculates commissions based on the line-item cost. INV the system calculates commissions based on the invoice amount. ORD the system calculates commissions based on the order amount. PTD the system calculates commissions based on the start /end date and within the effective / expiration dates on the commission schedule. RANGE the system calculates commissions based on the period of time from the effective date to the expiration date on the schedule. If the expiration date is greater than the end date, the system only bases calculations up until the end date. The system does not recalculate commissions beyond the end date, but new commissions will use the breaks based on the entire amount within the effective and expiration date range. Therefore, if the break basis on your commission schedule is 22

23 3 COMMISSION SCHEDULES set to Range, you should set the Break Type to Tier. Group Type 1, 2, 3... determines how you specify the group of items that are used for the commission table. PROD GRP you will specify the group of items affected by the commission table by product group DISC GRP you will specify the group of items affected by the commission table by discount group ITEM CODE you will specify the group of items affected by the commission table by item code VEND CODE you will specify the group of items affected by the commission table by vendor code SALES CLS you will specify the group of items affected by the commission table by sales class MAN CLS you will specify the group of items affected by the commission table by manufacturer s class POOL you will specify the group of items affected by the commission table by pool SALES CAT you will specify the group of items affected by the commission table by sales category ALL all items are affected by the commission table Group 1, 2, 3 Start/End... specifies the group of items that are used for the commission table. This field defines the setting of the Group Type 1, 2, and 3 fields. For example, if the Group Type 1 field is set to VEND CODE, you would enter a specific vendor code, or a range of vendor codes, in the Group 1 Start and Group 1 End fields. Important! If Group Type 1, 2, or 3 is set to ALL, the Group 1, 2, or 3 Start and End fields are not accessible. This is because ALL indicates all groups of items; therefore, you do not have to specify a group of items in this field. 23

24 3 COMMISSION SCHEDULES Schedule Type... determines whether you give a sales rep a bonus on his commission. BASE the commissions table is standard; a base schedule does not provide a way to give a bonus to a sales rep. You can only apply one base schedule to an item. BONUS the commissions table provides a way to give a bonus to a sales rep on their commission. For example, you might want to give bonuses to sales reps for selling a particular item or for selling a large quantity of items in any given period. You can apply any number of bonus schedules to an item, in addition to one base schedule. Bonus Allowed... determines whether bonus schedules can be added to base or standard schedules. Important! This field only affects your commissions table if the Schedule Type field is set to Base. If the Schedule Type field is set to Bonus, this field is not accessible. YES the system adds any number of bonus schedules to this base commission schedule. NO the system does not add any bonus schedules to this base commission schedule. Charges In Frt... determines whether in-freight charges are included in commission schedule calculations. Out Frt... determines whether out-freight charges are included in commission schedule calculations. Phone... determines whether phone charges are included in commission schedule calculations. Misc... determines whether miscellaneous charges are included in commission schedule calculations. Handling... determines whether handling charges are included in commission schedule calculations. Minimum Basis... determines whether the basis for the minimum commission is by invoice, order, PTD, or based on the range of the effective to expiration dates. INV the minimum amount of commission that the sales rep receives is based on the invoice amount. ORD the minimum amount of commission that the sales rep receives is based on the 24

25 3 COMMISSION SCHEDULES order amount. PTD the minimum amount of commission that the sales rep receives is based on the period-to-date amount. RANGE the minimum amount of commission that the sales rep receives is based on the range of effective to expiration dates. If the minimum basis is set to PTD or RANGE, the sales rep must sell a certain dollar amount before he starts receiving commissions. Terms... determines whether the minimum commission amount is based on gross or profit dollars. Gross the minimum commission amount is based on gross dollars. Profit the minimum commission amount is based on profit dollars. Amount... specifies the minimum dollar amount needed for the sales rep to receive commission on an order. For example, if the minimum basis is set to ORD, the minimum terms are set to GROSS, and the Amount field is set to 100, the sales rep only receives commissions if the gross order value is over $ Other Eff Date... starting invoice date when the commission schedule is effective. Exp Date... ending invoice date until when the commission schedule is effective. Cost Basis... determines the cost basis on which the commission is based. LIST the commission is based on a list cost basis STND the commission is based on a standard cost basis YEAR the commission is based on a year-end cost basis BASE the commission is based on a base cost basis LAST the commission is based on a last cost basis MVG the commission is based on a moving average cost basis ORD the commission is based on an order cost basis INV the commission is based on an invoice cost basis Compare Cst... indicates which cost is used for the commission schedule. NO Costs are not compared and the system uses the cost value indicated by the prior Cost Basis field. YES When Compare Cost is set to YES in conjunction with a Cost Basis value other than INV, the system compares the cost specified in the prior Cost Basis field to the invoice cost and uses the greater of the two. 25

26 3 COMMISSION SCHEDULES Order Type... determines the kind of orders to which the commission schedule applies. All the commission schedule applies to all orders Regular the commission schedule applies to all orders except for manufacturer rep orders, service orders, and returns Manufacturer rep the commission schedule applies to manufacturer rep orders Service order the commission schedule applies to service orders Returns the commission schedule applies to returns Stock Type... determines whether stock or nonstock line-items are affected by the commission table. STK only stock items are affected by the commission table. NS only nonstock items are affected by the commission table. ALL both stock and nonstock items are affected by the commission table. Disposition... specifies the order disposition affected by the commission table. : REG regular orders are affected by the commission table DS direct ship orders are affected by the commission table LPU local pick-up orders are affected by the commission table ALL orders of all dispositions are affected by the commission table Schedule Breaks Break Type... determines the dollar amount on which commission schedules are based. STND the sales rep receives a commission based on the total dollar amount they sell. TIER the sales rep receives a commission based on a tiered break structure, which involves indicating that a certain dollar amount corresponds to a specific commission percentage. The sales rep receives a specific percentage of a specific amount they sell. For example, the tier could indicate that they receive 10% on the first $ they sell, and 20% on the second $100 they sell, and 30% on any amount after that. Therefore, if they sell $500, they receive 10% on the first , 20% on the second $100.00, and 30% on the last $ Important! The Tier break basis is only applicable when the Break Basis is set to Range or PTD. Limit Type... determines whether breaks are evaluated based on the gross dollar amount or 26

27 3 COMMISSION SCHEDULES the profit dollar amount. Gross the system evaluates breaks based on the gross dollar amount Profit the system evaluates breaks based on the profit dollar amount Break On... determines whether the system evaluates the breaks based on the dollar amount or the profit percentage. Important! This field only affects your breaks if they are based on the profit dollar amount, or if your Limit Type is set to Profit. If Limit Type is set to Gross, the Break On field is not accessible. $ - the system evaluates the breaks based on the dollar amount % - the system evaluates the breaks based on the profit percentage % Comm... percentage of commission paid if the dollar amount is less than or equal to the quantity specified in the corresponding Break Limit field. This field can be a value between 0 and For example, if the Break Type was set to Tier, the following break limits indicate that the sales rep receives 10% on the first $0 to $ they sell. If they sell $200.00, they receive 10% on the first $100.00, and 20% on the second $100.00: % COMM BREAK LIMIT If the Break Type was set to Standard, the sales rep would receive 20% commission on the entire $ Break Limit... maximum dollar amount sold at which the corresponding commission percentage applies. A break limit of zero is equal to a break limit of infinity. Therefore, according to the following break limit table, if the Break Type was set to Tier and a sales rep sells $250.00, they receive 10% on the first $100.00, 20% on the second $100.00, and 30% on the last $ % COMM BREAK LIMIT If the Break Type was set to Standard and the sales rep sells $250.00, they would receive 30% commission on the total value of $250, or $ Calc Type... determines whether the commission is calculated based on the gross dollar amount, or on the profit for the specific break level. 27

28 3 COMMISSION SCHEDULES Gross the system calculates commission based on the gross dollar amount Profit the system calculates commission based on the profit amount SCHEDULE BREAKS: EXAMPLE Break Type: STND / TIER Limit Type: PROFIT Break On: $ % COMM BREAK LIMIT CALC TYPE PROFIT PROFIT PROFIT Using this example, because the break type is standard (STND), if the sales rep made a $200 profit, they would receive a 20% commission, or $ If the break type was Tier and the sales rep made a $200 profit, they would receive 10% on the first $ and 20% on the second $100.00, or $ If the sales rep makes a $250 profit, they would receive 10% on the first $100.00, 20% on the second $100, and 30% on the last $ COMMISSION SCHEDULE HIERARCHY The system uses schedules set up in your system to determine how it is going to calculate sales rep commissions. The system determines which commission schedule it is going to use for a line-item based on a specific hierarchy of information about commission schedules currently in your system. For example, the system first searches for a base schedule in the system. If a base schedule does not exist, the system will not calculate commissions and will generate a warning message. If a base schedule does exist and the Bonus Allowed flag is set to Yes, the system uses the base schedule and all applicable bonus schedules. If a base schedule does exist and the Bonus Allowed flag is set to No, it uses a base schedule only. After the system establishes what kind of schedule to use, it searches for a specific sales rep with a schedule table that is currently effective and applies to the current line item. If a schedule table with a specific sales rep exists, the system uses that commissions schedule. If a schedule table with a specific sales rep does not exist, the system searches for a specific sales rep class. If no specific sales rep class applies to the line-item, the system then looks for schedules that have a customer type of Cust. If no such schedules exist, it looks for schedules that have a customer type of Class, etc. 28

29 3 COMMISSION SCHEDULES The following Commission Schedule Hierarchy flowchart describes the way the system finds the appropriate commission schedule. After searching through this information in the commission schedules, it can determine which commission schedule it is going to use for the order line-item. 29

30 3 COMMISSION SCHEDULES Schedule Type Does a Base schedule exist? NO YES No Commissions calculated - generate warning message Is the Bonus Allowed flag set to YES? NO YES Calculate Base Schedule only Calculate Base Schedule & Bonus Schedule Sales Rep Specific Sales Rep All Sales Rep Rep Class Specific Rep Class All Sales Class Cust Type Cust Class Group SIC ALL Payment Time RECV INV Break Basis Line Inv Ord PTD Range Group Type 1 Item Code Vendor Number Sales Category Product Group Discount Group Sales Class Manufacturer Class Cost Pool All Group Type 2 Item Code Vendor Number Sales Category Product Group Discount Group Sales Class Manufacturer Class Cost Pool All Group Type 3 Item Code Vendor Number Sales Category Product Group Discount Group Sales Class Manufacturer Class Cost Pool All Disposition Specific Disposition ALL Stock Type Specific Type ALL Schedule Number Largest Schedule Number A payment time of RECV takes precedence over a payment time of INV, even if the receivables payment date is not within the Start / End payment date parameters. When determining if a schedule is active, the system compares the effective and expiration dates to the invoice date. 30

31 OST ACTORS You can apply cost factors to the cost of the item before calculating the profit during commission calculations. This allows you to apply extra costs before the commission calculations to account for special circumstances. For example, if it is more expensive to do business with customer ABRTOO, you can set up a cost factor for all items sold to ABRTOO. You can define cost factors for any combination of customers, vendors, product groups, and items. To set up or define your cost factors, select Cost Factors from the Sales Rep Information menu: When you select Cost Factor, the following menu appears: Enter... allows you to enter, or set up cost factors. Edit... allows you to edit existing cost factors. Delete... allows you to delete existing cost factors. List... prints a list of existing cost factors. 31

32 4 COST FACTORS ENTER COST FACTORS To set up a cost factor, select Enter from the Cost Factor menu. Then, complete the fields on the following screen: To include all customers, vendors, or items in your cost factor, enter 6 asterisks (******) in the appropriate field. To include all product groups, enter 4 asterisks (****) in the Product Group field. For example, on the previous screen, a cost factor of is set up for customer ABRTOO and item 3M from March 1 st through June 1 st, In other words, every time you sell item 3M to customer ABRTOO from 3/1 to 6/1, the system uses the cost factor of before calculating the commission. Because the vendor and product group are not relevant to the cost factor calculation, no particular vendor and product group is specified here. Therefore, to include all vendors and product groups, six asterisks appear in the Vendor field, and four asterisks appear in the Product Group field. 32

33 4 COST FACTORS Customer... specifies the customer for whom you are defining the cost factor. For example, if you want to make sure that the system increases the cost of all invoiced items for customer ACME by a factor of 1.20, enter ACME in this field. Vendor... specifies the vendor for whom you are defining the cost factor. Product Group... specifies the product group for whom you are defining the cost factor. Item Code... specifies the item code for whom you are defining the cost factor. Effective Date... specifies the effective date for whom you are defining the cost factor. This allows you to define the first day that the cost factor affects the system. The Effective Date and Expiration Date fields allow you to specify a period of time during which the cost factor is in effect. Expiration Date... specifies the expiration date for whom you are defining the cost factor. This allows you to define the last day that the cost factor affects the system. Cost Factor... specifies the cost factor. The system selects the most specific cost factor that matches as many fields as possible. The system only uses additional cost factors if other cost factors exist that are set up exactly the same as the first. In this case, the system combines those cost factors with the first one to calculate the value for the final cost factor. For example, the system finds one cost factor, 1.2, for customer ACME and item 3Z12. It then finds another cost factor, 0.9, that specifies customer ACME and item 3Z12 as well. If every other field for these cost factors is the same besides the effective and expiration dates, the system then multiplies those values together to determine the final cost factor. (1.2 x 0.9 = 1.08). You can also set up a cost factor for a vendor and product group. For example, an incentive program is put in place for items sold from vendor 3M in product group 100 from March 1 st to August 15 th. Therefore, you can set up a cost factor for all customers who buy this product group / vendor combination. In turn, when you invoice items with a product group of 100 from vendor 3M, the system decreases their costs by a factor of 1.2 for all customers before calculating commissions. 33

34 4 COST FACTORS The Cost Factor Entry screen should look similar to the following: Cost Factor Hierarchy Since you can specify all items, product groups, vendors or customers, it is possible to have more than one cost factor for any given item. When this occurs, the system applies the cost factor for the item based on the following hierarchy: 1. Item Code 2. Product Group 3. Vendor 4. Customer The system only applies one cost factor. To determine which cost factor is used, the system scrolls through the cost factors until it finds the first one within the hierarchy. For example, there are 4 cost factors set up for the item CON WHITE that is being purchased by the customer CLARICO. Customer Vendor Product Group Item Code ****** ****** **** CON WHITE ****** ****** 1000 ****** ****** CORONA **** ****** CLARICO ****** **** ****** When determining which cost factor to apply, either the cost factor for the item or the customer, the system first searches the Item Code. Since a cost factor applies on this level, the system doesn t search any further. However, if there were no cost factor for this item code, the system would continue to search until it found an applicable cost factor. EDIT COST FACTORS After you enter cost factors, you can easily edit them by selecting Edit from the Cost Factor menu, and entering the appropriate information on the Cost Factor Edit screen. 34

35 4 COST FACTORS For example, if you have an existing cost factor for customer ABRTOO and item 3M 10240, enter ABRTOO in the Customer field, asterisks in the Vendor and Product Group fields, and 3M in the Item Code field. When you press [Enter], the system displays the remaining set parameters, similar to the following: At the Field prompt, enter the sequence number of the field you want to edit, and revise the contents of that field accordingly. DELETE COST FACTORS You can delete existing cost factors by selecting Delete from the Cost Factors menu. When you select this option, enter the appropriate information on the Cost Factor Delete screen. The system displays the remaining set parameters, and prompts you to delete the cost factor. A screen similar to the following appears: To delete the cost factor, press [Y]. The system deletes the record and displays the following message: When you press [Enter], the system displays the Customer prompt on the Cost Factor Delete screen again. If you don t want to delete the cost factor, press [N]. The system does not delete the record and displays the Customer prompt on the Cost Factor Delete screen again. PRINT A COST FACTOR LIST You can print a list of all existing cost factors in your system by selecting the List option from the Cost Factor menu. 35

36 4 COST FACTORS When you select List, the Cost Factor List parameter screen appears, similar to the following: Customer (Start, End)... specifies the range of customers for whom you want to view the cost factor list. Vendor (Start, End)... specifies the range of vendors for whom you want to view the cost factor list. Product Group (Start, End)... specifies the range of product groups for which you want to view the cost factor list. Item Code (Start, End)... specifies the range of item codes for which you want to view the cost factor list. Effective Date (Start, End)... specifies the range of dates for which you want to view the cost factor list. When you press [Enter] at the Field prompt, the system displays the Cost Factor List according to the parameters you specified, similar to the following: 36

37 EPORTS The Universal Sales Rep Commission package has three individual reports: Sales Rep List Schedule List Commission Report To access these reports, select the Reports option from the Sales Rep Information menu. The Reports menu appears, similar to the following: 37

38 5 REPORTS Sales Rep List... prints a list of all sales reps that are included on commission schedules. For more information on this option, refer to the following section, Sales Rep List. Schedule List... prints a list of commission schedules. For more information on this option, refer to the following section, Schedule List on page 39. Commission Report... prints a list of commissions for each sales rep. For more information on this option, refer to the following section, Commission Report on page 42. SALES REP LIST When you select Sales Rep List from the Reports menu, the following parameter screen appears: Start Sales Rep, End Sales Rep... determines the range of sales reps that the system displays on the report. Include Zero- Rep Schedules... determines what commission schedules the system displays on the report. If this report is set to Yes schedules that are set up to apply to every sales rep are included on the report. No only schedules that are set up for specific sales reps are included on the report. After you complete the parameters and press [Enter], the system displays the report, which includes the sales rep names and addresses. The schedule numbers that apply to each sales rep are also included. 38

39 5 REPORTS A screen similar to the following appears: SCHEDULE LIST When you select Schedule List from the Reports menu, the Universal Sales Rep Report Parameter screen appears: 39

40 5 REPORTS Schedule Code (Start, End)... determines the range of commission schedules that the system displays on the report. Sales Rep (Start, End)... determines the range of sales reps that the system displays on the report. Payment Time... determines which commission schedules, based on the setting of their Payment Time field, appear on the report. INV the system only displays commission schedules that specify INV in their Payment Time field. RECV the system only displays commission schedules that specify RECV in their Payment Time field. NA the setting of the Payment Time field does not determine which commission schedules display on the report. Commission schedules with the Payment Time field set to INV or RECV will appear on the report. Notes: To verify the setting of the Payment Time field for a specific schedule, select the appropriate schedule in Schedule Maintenance. Break Basis... determines which commission schedules, based on the setting of their Break Basis field, appear on the report. LINE the system only displays commission schedules that specify LINE in their Break Basis field. INV the system only displays commission schedules that specify INV in their Break Basis field. ORD the system only displays commission schedules that specify ORD in their Break Basis field. PTD the system only displays commission schedules that specify PTD in their Break Basis field. RANGE the system only displays commission schedules that specify RANGE in their Break Basis field. NA the setting of the Break Basis field does not determine which commission schedules display on the report. Commission schedules that specify any kind of break basis will appear on the report. Disposition... determines which commission schedules, based on the setting of their Disposition field, appear on the report. REG the system only displays commission schedules that specify REG in their Disposition field. DS the system only displays commission schedules that specify DS in their Disposition field. 40