Monitor Customer Discounts with SAP Business ByDesign
Sales organizations need to balance the need to push the top line with the overall company target to keep the bottom line stable. This means they have to give a certain amount of freedom for discounts but at the same time track this carefully by sales team, product line or customer.
In the demo below you see how you can take the profit detail report in the managing my area work center and adapt it to track the figures using a KPI:
Setup of the source and KPI for “Discount Monitor”
The KPI is based on the “Profit Detail by Contribution Margin Scheme” report which you can find in the “Managing my area” work center for sales and marketing managers. In order to adapt the report views and selections for your needs you need to do the changes in the “Business Analytics” work center:
Most important is to add and use the characteristic “Price Component” and to select only the discounts and to create selections including the current and last fiscal year.
In the Business Analytics work center you can also create and change KPIs. In the following can you see the settings for the Discount Monitor KPI.
a.) General KPI settings: Here you reuse the views and selections (e.g. current fiscal year discounts) from the “Profit Detail” report.
b.) KPI Values and Thresholds: Again you can reuse the views and selections (e.g. last fiscal year) from the report.
c.) KPI Additional Contexts: These are additional report views you want to display in the KPI or use for navigation.
More details on customer analytics can be found here:
- Embedded customer analytics based on SAP HANA is one of the key strength of ByDesign.
- Monitor lead quantity and quality in marketing
- Monitor projected sales volume with targets, opportunities and actual sales
- Monitor critical customer payment activities
- Track campaign success by generated revenue
- Monitor customer discounts by team, product or customer
- Sales target planning and tracking incl. pipeline simulation
This blog post is part of a series of blog posts introducing KPIs for process monitoring and optimization purposes Process Monitoring and Optimization with KPIs.