Thursday, April 9, 2009

How The System Proposes Probability For Each Item


You have to enter probability % in IMG of sales document header. 
  
The probability (expressed as a percentage) of the customer confirming the inquiry or quotation as part of a sales order. 
  
The system uses the probability and net value of each item to calculate a total expected order value for the sales document. The expected order value appears in the double-line entry screen. 
  
The system proposes the probability for each item. You can change the value manually depending on the sales document category. 
  
For example: 
  
A quotation contains two items:  A quotation contains two items: 
- Item 1 has a value of $100 and a probability of 100% 
- Item 2 has a value of $200 and a probability of  25% 
  
The system calculates the total probability as follows: 
($100 x 100% + $200 x 25% ) divided by $300 = 50% 
  
In this case, the probability of this quotation resulting in a sales order is 50%. 
  
You can generate requirements from quotations. The probability of the quotation items affects how the system passes on requirements. For example, a quotation for 100 pieces and a probability of 50% will generate requirements for 50 pieces.

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