Manage Price Escalations - A summary of the activity

The “Manage Price Escalations” activity facilitates you to record/update//view/cancels price escalations with regard to sale contracts, part pricelists and service pricelists. Tell me more.

Price escalations are typically percentage of increments that are applied to various prices in contracts / pricelists based on mutual agreement.

You can manage escalation rates at contract/pricelist level along with an Effectivity period in which the update /revised prices would become automatically valid. You can define price escalation rates based on:

4   Pricing Basis for contracts

4   Pricing Element/ Resource Type in service/part pricelists

The system will automatically revise/update prices in contracts/pricelists based on the price escalations for the effective period defined in this activity, if the following settings have been defined for in the below-mentioned activities:

4    In the Manage Sales Contract activity of Sale Contract

4   In the Set Sales process Parameters activity of Customer

Based on the settings explained above, the scheduler automatically applies the escalations on the contracts/pricelists and then generates new version with revised prices/rates.

You can also use the search facility to retrieve documents (sale contracts, part pricelists and service pricelists) and then record/update price escalation details to be effected on them.