- When creating new trade agreements lines for two vendors and same item with purch.price type and another two trade agreements for the same two vendors and the same item with line.disc. type
- With creating a new PR with the selected items in the trade agreement, system select automatically the vendor who has the lower purchase price with neglecting the discount percentage, this ensures that any potential discounts are also considered when determining the most cost-effective option.
Please refer to the example below for more details:
if we created four trade agreements lines:
1.For vendor 1001:
Price= 20.00
Discount= 50.00%
- As a result net amount for 1 each= 10 USD
2.For vendor 1002
Price= 15.00
Discount= 10.00%
- As a result net amount for 1 each= 13.5 USD
Actual Result
- The system specified the cheaper vendor in purchase price with neglecting the discount percentage “vendor 1002” with net amount 13.50.
Expected Result
- The system should put in consideration the total net amount and specify the cheaper price “vendor 1001” with net amount 10.00.
Comments
For further clarifying please refer to the below comment:In standard D365FO, when creating a purchase requisition, D365FO selects prices based on trade agreements with the lowest unit price without considering available discounts. If there are two purchase price journal trade agreements with prices of 20 USD (vendor 1) and 15 USD (vendor: Vendor 2) respectively. Additionally, there are two line discount trade agreements offering discounts of 50% (vendor 1) and 10% (vendor 2). The system currently selects vendor Vendor 2 with a unit price of 15 USD for the purchase requisition. However, considering potential discounts, vendor Vendor 1 offers a better net amount as its unit price after applying a discount would be 10 USD (20 – (50% * 20)). Desired Behaviour: The system should retrieve and apply prices based on both unit prices and any available discounts to determine and select the lowest net amount.
Category: Procurement and Sourcing