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SIMG_MAP_0004 - Define DRC (differential reference code)

SIMG_MAP_0004 - Define DRC (differential reference code)

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The Differential Reference Code (DRC) represents a physical geographic specification used for calculating location specific prices, discounts and surcharges.

The DRC allows prices paid by customers to reflect suppliers' costs and permits areas with the same taxes or prices to be grouped together.

The DRC is defaulted from the Customer Master of the ship-to party to the order header and the item. It can be overwritten.

The DRC is used for pricing based on the destination of a delivery, i.e. on the location of the ship-to party in the SD module.

The DRC has six different components which all can be used individually for pricing:

  • DRC country/region code
  • DRC region/state
  • Metropolitan Indicator (MI)
  • Wide Area Pricing zone (WAP)
  • State License Fee zone (SLF)
  • Pricing DRC

The pricing DRC allows a number of DRCs to point to the same DRC for generic pricing purposes. Grouping DRCs with the same pricing rules reduces the effort required to maintain condition records for all the DRCs defined in the system.

DRC Country/Region Region MI WAP SLF Pr.DRC
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|11111 |US |TX |HOUS |HSW |111 |11111 |
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|22222 |US |TX |HOUS |HNW |222 |11111 |
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DRC 11111 is created for a ship-to party located in South West Houston. DRC 22222 is created for a second ship-to party located in North West Houston .

Freight surcharge conditions are set at a DRC specific level because each ship-to party has specific freight surcharges. However, discounts for certain types of customers are set for groups of DRCs.

The ship-to party in South West Houston is the same type of customer as the ship-to party in North-West Houston, so the pricing DRC for both ship-to parties is 11111.

Price conditions can now be constructed based on each of the elements of these DRCs. For example:

  • A discount for all ship-to parties in metropolitan area HOUS (Houston)
  • A gross price determined by the pricing DRC.

The country/region and region fields have the same possible values as the standard SAP country/region and region. The Metropolitan Indicator, State License Fee zone and Wide Area Pricing zone are DRC specific fields and must be defined in configuration before they can be defined as components of a DRC.

Define a DRC to represent the geographic areas in which your ship-to parties are located. This could be to a fine level of detail (e.g., as specific as the location of a block of buildings) or at a high level of detail (e.g., a part of a city). These DRCs should then be entered on the customer masters of the relevant ship-to party.

Set up price conditions which use the components of the DRC. This allows you to make prices which are dependent on the location of the ship-to party. This is a standard configuration in the pricing control area of SD.






TXBHW - Original Tax Base Amount in Local Currency   BAL Application Log Documentation  
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