Case study 2B Sales and marketing

Objectives

Enter a sales order, review the order totals, and confirm the sale
Setup commissions for sales orders.
Create a sales order with commission, and then check the registered sales commission on the sales order.

Exercise #1 Enter and confirm sales order

Objective: Enter a sales order, review the order totals, and confirm the sale.

A sales clerk at USMF who is responsible for receiving and recording sales orders in the system so that customer requests are fulfilled.

She received a request form Customer US-004, who wants to buy 1 of Item T0004 (“Television M120 37”) with a color of black.

She is not sure on the steps enter and confirm the sales order.

You are called to provide assistance. What would you do?

Enter sales order header details

Go to Sales and marketing > Sales orders > All sales orders.
Select New.
In the Customer account field, select the drop-down button to open the lookup.
In the list, find and select the customer US-004.
Select OK.
Select the Sales order line fast tab then select the chevron icon next to the Sales order line.
Select Dimensions.
For this example, on the Dimensions Display pane, select the Color from the PRODUCT DIMENSIONS, Site and Warehouse from the STORAGE DIMENSIONS. The dimensions you select here will appear in the sales order grid. If you want your selections to persist, set the Save setup option to Yes.
Select OK.
In the Item number field, select the drop-down button to open the lookup.
For this example, select item number T0004.
In the Color field, select the drop-down button to open the lookup.
In the list, find and select Black
In the Quantity field, enter 1.

Review the order totals

On the Action Pane, select Sales order.
Select View > Totals.

Note The Totals page displays details about the entire order. This includes the subtotal amount, which is a sum of all line net amounts adjusted for eventual line discounts, the total invoice amount, which is a subtotal amount adjusted for eventual order-level discount, charges, and sales tax, the customer credit limit situation, and more. The invoice amount is the amount that will appear on the customer’s invoice document.
Select OK.

Confirm Sales order

On the Action Pane, select Sell.
Select Generate> Confirm sale order.
On the Confirm sales order screen, access the Posting and Print confirmation fields by selecting All under the Parameters tab. Check that the Posting toggle is set to Yes and Print confirmation toggle is set to Yes.
Select OK.
Select Yes to post and print the sale order confirmation on the screen.

Exercise #2 Create and review a sales order for commission

Objective: Create a sales order with commission, and then check the registered sales commission on the sales order.

The sales manager is required to manage the sales commissions for the sales representative team. Part of this process is to extend the commission calculation rule that expired. She will need to set up the necessary commission to ensure the commission for customer US-013 is being calculated for all items.

You will need to help her to create a sales order for customer US-013, who is requesting 2 units of item D0001. You will proceed with all of the sales order process until the invoicing step. Then you will check the registered sales commission on the sales order.

You will have to do the following:

Set up commission groups and commission rates
Assign a commission group to a customer and a product
Invoice a sales order that qualifies a salesperson for a commission.
Review the registered sales commission.

Setup customer groups for commission

Go to Sales and marketing > Commissions > Customer groups for commission.
Select New.
In the Group field, enter 01.
In the Name field, type a NY.
Select Save.
Close the page.

Setup commision item groups

Go to Sales and marketing > Commissions > Item groups.
Select New.
In the Group field, enter 01.
In the Name field, type a New York.
Select Save.
Close the page.

Setup commision sales groups

Go to Sales and marketing > Commissions > Sales groups.

[!NOTE] A Commission sales group specifies the employees in sales representative roles who are eligible to receive a commission when a customer associated with the relevant sales group buys certain items. In the USMF demo data company, the ales group is called “Sales reps US.
On the Action Pane, select General.
Select Sales rep..

[!NOTE]
The Sales rep. page displays a list of the company’s sales people who are associated with a specific commission group. You can assign multiple sales representatives to the same group and define their respective share of the total commission fee as a percentage value. The total commission share across all employees must not exceed 100.
In the list, mark the selected row.
Select Edit.
Set Commission share to 50.
Select New.
In the Name field, select the drop-down button to open the lookup. Use the Quick Filter to find records. For example, filter on the Name field with a value of ‘Susan Burk’.
Select Select.
Set Commission share to 50.
Select Save.

Setup commision calculation

Go to Sales and marketing > Commissions > Commission calculation.

[!NOTE] In the Commission calculation page, you define the commission rate that the employee is to receive for a sales transaction when it contains the pre-set combination of customer and product. As part of the commission rate setup, you must specify the commission calculation basis and whether it should include or exclude discounts. You can also enter a validity period for when the commission rate is active.
Select New.
In the Item code field, select Group.
In the Item relation field, select the drop-down button to open the lookup.
In the list, find and select the group that you created earlier.
In the Customer code field, select Group.
In the Customer relation field, select the drop-down button to open the lookup.
In the list, select the group that you set up earlier.
In the Sales rep. relation field, select the drop-down button to open the lookup.
In the list, find and select the desired record.
- Keep the Before line discount option.
- Keep the Revenue option as the basis for commission value calculation.
In the Commission percentage field, enter a number.
Select Save.

Invoice a sales order that qualifies a salesperson for a commission

Go to Sales and marketing > Commissions > Commission calculation
Select Edit.
In the To field select 12/31/2024
Select Save.
Close the page.
Go to Sales and marketing > Sales orders > All sales orders.
Select New.
In the Customer account field, select the drop-down button to open the lookup.
In the list, find and select US-013.
Select OK.
Select Header tab.
Expand the Setup section.

[!NOTE] The value in the Sales group field represents a group with one or more sales representatives assigned to it. The people in the group are the ones who will receive commissions when the order is invoiced, as per predefined rates and distribution. The value is copied from the Customer card, but you can change it if you wish. The Sales group is also copied to the sales order line. You can change it so that it can differ from the one in the header and/or between lines.

[!NOTE] The value in the Commission group field represents a group that you have created for one or more customers with the purpose of tracking commissions. The value is copied from the Customer card, but you can change it if you wish.
Select Lines tab.
In the Item number field, select the drop-down button to open the lookup.
In the list, select D0001/MidRangeSpeaker.
In the Quantity field, enter 2.

TIP Review the net amount. It represents the sales revenue, which in this example is the basis for commission.
Select Save.
On the Action Pane, select Sell.
Select Generate> Confirm Sale Order.
This will prompt you with a screen where you will check the Posting field is set to Yes and Print confirmation is set to Yes.
Select OK.
Select Yes to post and print the Sale order confirmation on the screen.
On the Action Pane, select Pick and Pack.
Select Generate> Post packing Slip.
This will prompt you with a screen where you will check that the Parameter Quantity Field is set to ALL and the Posting flag is set to Yes.
Select OK twice.
Select OK.
On the Action Pane, select Invoice.
Under Generate field group, select Invoice.
Expand the Parameters section.
In the Quantity field, select All.
Select Yes in the Posting field.
Select OK.
Select OK.

Note It may take a minute or so to post the transaction. Allow the processing to complete.

Assign a commission group to a customer and a product

Go to Sales and marketing > Customers > All customers.
In the list, find and select the desired record.
Click Edit.
Expand the Sales order defaults section.
In the Commission group field, click the drop-down button to open the lookup.
In the list, select the group that you created earlier.
In the Sales group field, click the drop-down button to open the lookup.
In the list, find and select the desired record.
Click Save.
Go to Product information management > Products > Released products.
Use the Filter to find records. For example, filter on the Item number field with a value of D0001.
In the list, click the link in the selected row.
Click Edit.
Expand the Sell section.
In the Commission group field, click the drop-down button to open the lookup.
In the list, select the commission group that you created earlier.
Select Save.

Review the registered sales commissions

On the Action Pane, select Invoice.
Under Journals field group, select Invoice.
Select Details > Commission transactions.
Review the details in the Overview tab.

[!NOTE] The Overview tab displays lines representing the commission amounts payable to sales representatives who are associated with the invoiced sales order.
Close the page.
Select Voucher.

Note You can review the voucher transactions for the commission amounts that have been posted to the predefined commission expense and commission payable accounts.
Close all pages.