Understanding How KPIs are Distributed Based on Lump Sum Conditions
A lump sum condition defines a fixed tactic cost to be distributed for a defined time range.
Required Editions
Available in: Lightning Experience Available in: Enterprise and Unlimited Editions where Consumer Goods Cloud is enabled |
The condition is valid for a specific time frame, customer, and product. For lump sum conditions, value of the lump sum KPI is considered as the total value, but:
- The total value is equally distributed over all the days for which the lump sum condition is valid.
- The distributed values that overlap into the selected time frame are aggregated into weeks and months.
Lump sum conditions are configured as Read KPIs with the value type defined as either volume or money.
| Product | Distribution Time Frame | Promotion Time Frame | Condition | Investment | |
|---|---|---|---|---|---|
| A | February 16, 2018 to March 04, 2018 | February 26, 2018 to March 07, 2018 | Price = $1 (February 13, 2018 to March 01, 2018) | Lump Sum | $5,100 |
Here’s the configuration for a KPI definition that represents the lump sum condition.
- Distribution Type (Planning Hierarchy): Equal
- Distribution Type (Time): Equal
- Value Type: Money
- Consider Product Hierarchy: No
- First Day of the Week for the Sales Org: Monday
The lump sum condition is valid for a total of 17 days (13 days in February and 4 days in March). Depending on the number of days and conditions, the promotion time frame is split into sub periods. The value of each sub period is distributed based on the formula: (Value of the lump sum condition / Duration of the condition in days) × (Length of the sub period in days).
Here are the details of the sub periods.
| Sub period | Duration | Length of the Sub period (in days) | Condition | Values |
|---|---|---|---|---|
| 1 | February 26 - February 28 | 3 | $1 | (5,100/17) × 3 = $900 |
| 2 | March 01 | 1 | $1 | (5,100/17) × 1 = $300 |
| 3 | March 02 - March 04 | 3 | - | (5,100/17) × 3 = $900 |
| 4 | March 05 - March 07 | 0 | - | (5,100/17) × 0 = $0 |
Here are the details on the weekly values of the lump sum condition as shown in the account plan.
| Product | Week 1 (Feb 26) | Week 2 (March 05) |
|---|---|---|
| A | Sum of values for sub periods 1,2, and 3 = $900 + $300 + $900 = $2,100 | Value of sub period 4 = $0 |
Here are the details on the monthly values of the lump sum condition as shown in the account plan.
| Product | February | March |
|---|---|---|
| A | Value of sub period 1 = $900 | Sum of values for sub periods 2,3, and 4 = $300 + $900 + $0 = $1,200 |
