Cost Based Pricing

Process based pricing defines the price of product based on process cost which will be used while production. While creating the production route user can set the price to each of the process of production.

Prerequisites

• Add components or products
• Create Production Route for Component or product
• While adding the production route steps set the amount.

Follow the below mentioned steps to calculate process-based pricing

• Navigate to -> Menu Category.
• Select Sales menu category.
• Navigate to Sales -> Orders.
• Displays list page of Opportunity click on -> "Order" record
• Click on Order line record from “Items” tab.
• Select route in “Line Production Route” lookup and save the record.
• Click on “Process Based Unit Cost” from “Function” button, system calculates and displays the cost in “Process Based Unit Cost” field.
• Process Based Unit Cost = sum of cost of each production route step
• On order line if “Pricing Model” selected “Cost Based”, then sum of weight-based unit cost and process-based unit cost will get set to “Per Unit cost” field.

• This process helps to quote or offer the price for product.