Why Use This Procedure?
This procedure is used to register probability codes that can be used to rank quotes (place them in order of preference). But it can also be used to configure an expected outcome or result of the different quotes in a percentage, which in turn can be used in your requirements planning. You can enter a probability code for a quote when you register quotes. Quotes are registered in the Register Quote procedure in the Sales module. You can also classify and select by these probability codes in the Quote List and Quote Statistics procedures. In the Quote List procedure you can see how this probability affects the quote backlog's value.
The probability codes can be used for information purposes, in order to reflect how "hot" a quote is when it comes to the customer accepting the quote or not. They can also be used as selection tools in lists. A slightly more advanced use of probability codes is to configure the expected result of your quotes in percentage form. These quotes can thereafter be included in your requirements planning.
Examples of How to Rank your Quotes
Below we will give you an example of how you can use probability code names to rank your quotes for information purposes. In this case there are 6 phases apart from probability 0, which is for a dormant offer on standby. You can also configure a percentage for each probability code, in case you want to apply simulation/requirements planning for the quotes:
Requirements Planning for Quotes
You can use probability codes in percentage form to indicate the expected or awaited results of a quote in percent. This is intended for those who wish to use requirements planning for quotes as well. In this case, the expected results or outcome of the quotes is calculated in the requirements planning using the probability code in percentage form that has been selected for each respective quote.
During quote registration, you can choose to include this quote during simulation / requirements planning.
You can then choose to apply requirements planning for quotes in the Requirement Calculation procedure and in the Run Netting procedures.
As an example, let us say that you have registered four quotes for the same part. Quote A has a quantity of 100 and a probability of 70%; Quote B has 200 quantity and a probability of 40%; Quote C has 150 quantity and a probability of 50%; and Quote D has 300 quantity and a probability of 40%.
In this case, the requirement calculation will not calculate the real quantity (750 pcs in total) for the quotes, but use the percentage of the probability codes as a factor. So the results for the four Quotes A-D would be:
100 x 0,7 + 200 x 0,4 + 150 x 0,5 + 300 x 0,4 = 345
It would therefore be reasonable to assume that for 345 out of a total of 750 quoted parts, it is probable that real order rows will be generated. Therefore the requirement calculation will reserve these 345 parts from your stock.
Window Functions
Read more about the Window functions under Window Functions in the MONITOR Basics guide.