Assigning Variables

Objective

After completing this lesson, you will be able to assign rule elements to variables in a compensation plan in SAP Incentive Management.

Variable Assignment

Once you have created the compensation plan and rules, the last step is to assign any variables you used in the rules to their respective positions. Assigning the variables to their respective territories and fixed values provides the rule with the information it needs to assign actual values for each position assignment.

If the plan assigned to the title includes rules with one or more variables, those variables are displayed in the Variable Assignment area of the plan.

You can assign default values to variables at four different levels:

  • The Variable level, by assigning a default to the variable
  • The plan level
  • The title level
  • The position level

It’s possible to assign a variable on multiple levels. For example, a fixed value variable may be assigned to one fixed value for all Sales Representatives (title level), but a second fixed value for the Sales Representative – Central (position level). If this is the case, the priority goes first to the position, then the title, followed by the plan, and finally the default.

Exercise: Assign Variables

Business Example

In this exercise, you will assign the variables that you created in the compensation plan rules.

ExerciseStart Exercise

Steps

  1. Assign the T_Americas territory to Position SR-C1 (Sales Rep Central)

    1. Select Assignments.

    2. Select the View Variable assigned by button to open a dropdown list.

      The Plan Details, with the Assignments tab selected. The View Variable assigned by field is set to Position.

    3. Select Position.

    4. Select SR-C1.

    5. Select Edit.

      The Plan Details, with the Assignments tab selected. The SR-C1 position is highlighted and the variables in use are displayed in the right pane.

      Note

      The image shows that the Rate Table Variable and the Territory Variable are in use. The Rate Table Variable does not have to be assigned, because the correct rate table is already set as the default.

    6. Enter T_ in the Territory box and press Enter .

    7. Select T_Services_Americas.

    8. Select Save.

    The Plan Details, with the Assignments tab selected. On the Territory Variable row, the Variable Assignment is set to T_Americas.

  2. Assign the T_EMEA territory to Position SR-EMEA1 (Sales Rep Europe)

    1. Select the View Variable assigned by button to open a dropdown list.

    2. Select Position.

    3. Select SR-EMEA1.

    4. Select Edit.

    5. Select Territory.

    6. Enter T_ in the Territory box and press Enter.

    7. Select T_Services_EMEA.

    8. Select Save.

    Best Practices for Compensation Plans and Rules

    • Only direct credits should be rollable. Generally indirect credits should not be rollable.
    • Make adjustments on the transaction instead of the credit when possible.
    • When creating rules, avoid using the same name for the rule and for the rule output. Use a naming convention to identify the output. For example, the prefix for a direct credit rule might be DCR_ and the prefix for the direct credit output might be DCO_.
    • Use the Description field to summarize the use of every rule.
    • Use variables when possible; avoid inserting a compensation element directly in a rule.
    • Try to avoid processing errors like "divide by 0" by using formulas in conditions.

Summary

  • After creating the compensation rules, assign any variables used in the rules to their respective compensation elements.
  • Variables can be assigned on the level of the position, title or plan. Each variable can have a default value that will prevent an error if the variable is not assigned.

Learning

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