Vistex Design Rationale - Commission - Flooring

Project Design Rationale_Rebates
Design Rationale
Project/Customer: Mohawk Flooring

Process: Vistex Commissions Process
VERSION: 1.0
LAST UPDATED: 7/24/2018
Page 1 of 40
1 GENERAL 4
1.1 Vistex Team Members 4
1.2 Change Log 4
1.3 Requirements 4
1.4 Customer, Process and Design Narrative 4
1.5 PMO Overview 4

2 AGREEMENTS 4
2.1 Agreement Types 4
2.2 Agreement Rules 5
2.3 Condition Search 5
2.4 Use of 601/602 5
2.5 Rebate Frequency 5
2.6 Calendars 5
2.7 Participant Type 5
2.8 Output 6
3 MEMBERSHIP 6
3.1 Use of Membership, Product List, Flexible Groups 6

4 IP DOCUMENTS 6
4.1 Transaction or Composite 6
4.2 IP Types 6
4.3 Misc: Fixed Payment, IP Document Split, Source Document 6
4.4 Pricing Procedure 7
4.5 Settlement 7
5 CLAIMS / TRANSACTION REGISTER 7
Page 2 of 40
6 LIS 7
6.1 Structures: Including Characteristics and Key Figures 7
6.2 Update Method 7

7 COMPOSITE 7
7.1 Deployment Codes: Frequency, CPD vs. PTD and Participant: 7
7.2 Manual Adjustment: 7
7.3 Composite Formula Mapping: 8
7.4 Subcomponent Structures: 8

8 ACCRUAL 8
8.1 Accrual and Intercompany Considerations: 8

9 CALCULATION RUN 8
9.1 General: 8
10 SETTLEMENT 8
10.1 Interim Settlement / Final Settlement / Settlement Adjustment: 8

11 RECONCILIATION: 9
11.1 Reconciliation Process: 9

12 OUTPUT: 9
12.1 Output: 9
13 REPORTING: 9
13.1 Reporting: 9
14 EXTERNAL DATA: 9
14.1 External Data: 9

15 CUTOVER & CONVERSION: 9
15.1 Cutover and Conversion: 9

16 RICEF: 10
17 MISC.: 10
Page 3 of 40
17.1 Misc and Other Considerations: 10

18 GO LIVE READINESS: 10
18.1 Cutover and Conversion: 10

19 VOLUMES: 10
19.1 Data Volumes: 10

20 OPEN ITEMS: 11
20.1 Open Items: 11
1 General
1.1 Vistex Team Members
Team Members
Role Vistex Team Member(s)
Project Team Venkata Devarapalli
Reviewer Chintan Bhatt
Exe Reviewer Priyesh Kunhikkannan
PMO Brice Henderson
1.2 Change Log
Change History
Date Modified By Brief Description of Change
Modified
06/13/2018 Venkata Initial Draft
Devarapalli CAMS Split Approach Finalized
AOO Split Approach Finalized
Territory Management Approach Finalized
07/20/2018 Venkata Price Grids Design Approach is finalized to with
Devarapalli Levels approach.
Lean objects need to be configured
07/24/2018 Venkata Open Items:

Devarapalli 1. Price Grids with Levels approach no of records
Page 4 of 40
crossing more than 30 million for one table, still

this item is under Executive Review.
2. Territory Re-Alignment approach
08/01/2018 Venkata Closed Items:
Devarapalli 1. Price Grids will be configured with Flat
Records approach...
Open Items:
2. Price Grids Integration Approach with XI/PI
3. Territory Re-Alignment approach
4. Hierarchy Changes
1.3 Requirements
Mohawk Flooring has sales employees and agents working with their customers to promote sales. Based
on their sales/performance, sales reps receive a monthly commission. Sales employees are assigned to
the customers based on the type of products they buy there by one customer can have more than one
sales reps assigned on their sales, there is no one to one relation between sales reps and customers
The following are the requirements for commissions at Mohawk Flooring division
1.4 Customer, Process and Design Narrative
A sales commission is additional compensation the employee receives when the employee achieves

predetermined targets. Employers pay employees a sales commission to incentivize the employees to
produce more sales and to reward and recognize people who perform most productively. A commission
may be paid in addition to a salary or instead of a salary.
Companies need tools to drive top-line revenue through more effective sales and distribution, improve
gross margin and cash flows with faster collections and fewer returns, and control administrative costs
associated with the unwieldy task of incentive management to improve bottom-line profitability.
The basic principle of an incentive program is simple - to get a desired behavior, offer a desired reward
and use it to improve your bottom line. Companies have embraced incentives as a business strategy to
boost sales, improve production and increase customer satisfaction.
The Sales compensation complexity is growing quickly this resulting complexity is a natural outgrowth
of a more sophisticated sales model and competitive environment. Sales incentive compensation plans
are some of the most powerful tools sales management can use to direct sales people and impact
Page 5 of 40
productivity. When properly designed, sales compensation plans create a highly motivated sales force
focused on delivering results.
Mohawk Flooring has sales employees and agents working with their customers to promote sales. Based
on their sales/performance, sales reps receive a monthly commission. Sales employees are assigned to
the customers based on the type of products they buy there by one customer can have more than one
sales reps assigned on their sales, there is no one to one relation between sales reps and customers
Mohawk uses SAP Success Factors, also known as Employee Central, for HR and payroll operations.
The HR team negotiates the offer with the sales employee and sets up that employee in the Employee
central. The employee set up information will also include if employee is a commissionable or not. The
Employee base pay and the Compensation package fields have the details whether the sales employee is
on a Draw or income stabilizer plan. If the employee is participating in one of these programs then the
base pay becomes the Draw or Income stabilizer amount. Draw is minimum monthly payable and if
there is a deficit (in case the sales targets are not met) then the deficit is carry forward from month to
month until it is cleared or adjusted manually, through performance this Draw amount is paid through
payroll.
There are some employees who receive a certain Guarantee amount irrespective of their performance in
other words it is similar to Draw except that this program does not have any deficit carried forward. The
Guarantee amount is paid to the sales employees over and above their base pay and therefore this
amount is not maintained in the Employee central. The Commissions team maintains the Guarantee
amount separately in the ClearPay system from the offer letter which is sent to them by the HR.
The Employee information relevant for the commissions is sent to the ClearPay system regularly via a
feed. This information in the ClearPay system is then utilized to maintain the sales force hierarchy
which is also known as territory management.
1.4.1.1 Territory Management
The Mohawk sales force has its own hierarchical structure. This hierarchical structure and its
assignment is as shown below:
Sales VP Regional VP General Sales Manager* District ManagerTerritory Manager
*GSM’s are used in some cases only, otherwise the District Manager directly reports to the Regional
VP.
All the SVP, RVP’s, GSM, District Managers and Territory Manager numbers are created in Clear pay
and each will have its own Territory manager number. Each of these territory manager number is
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manually assigned a sales function code to represent their position in the hierarchy. Clear pay sends all
this information over to the CAMS.
A Territory can be move between districts and sometimes even the Districts can be moved between the
GSM’s/RVP’s. These movements are done by end dating the District or TM in their respective Districts
or GSM’s.
Whenever there is a new hire, the HR team sends a notification to the Territory Management team. This
employee is then assigned an existing Territory manager number if that employee is replacing someone
or a new territory number is created and assigned if that employee is hired for a new territory. Each
sales employee is assigned to a territory manager number so that the territory sales are captured
correctly and there is no dependency on the Sales employee. So each Sales employee represents a
territory. This assignment is also maintain in the ClearPay system and sent over to CAMs. These
assignments can be backdated a week or so
A sales employee doesn’t represent a territory. A sales employee can represent from 0 to many
territories. Sales employee to TM assignment is not a 1 to 1 relationship.
Territory Management:
1. Sales Hierarchy structure needs to be predefined

2. There has be an ability to create and maintain an individual territory within a territory structure
(hierarchy)
3. Ability to create unique territory number for a unique combination of hierarchy
4. Ability to assign a Sales function to each Territory manager or assign a Territory manager to a
Territory level
5. Ability to assign a Sales employee to a territory with validity dates
6. Ability to move the Districts and territory managers with validity dates
7. Ability to set up the Agreement for TM numbers
8. TM number should be determined on the Credited sales
9. TM numbers created should be sent to CAMS
10. TM Sales employee data must be interfaced to CAMS
11. TM needs to be integrated with Finance.
Current Design Considerations:

1. Sales Employee Territory Alignment – Output file we have sent to CAMS
2. Sales Territory Hierarchy – Output file to CAMS
3. Customer Territory Alignment – Inbound file from CAMS to Vistex.
File Formats:
1. Sales Employee Territory Alignment – Output file we have sent to CAMS
Page 7 of 40
terr-emp
alignment.xlsx
2. Sales Territory Hierarchy – Output file to CAMS
FINAL Salesman
Master Out to CAMS 20180716.xlsx
3. Customer Territory Alignment – Inbound file from CAMS to Vistex
FINAL Customer TM
Alignment 20180702.xlsx
Configured Territory Management:

Territory Type:
ZT01 Mohawk USA Flooring
Assignment Type:
ZT01 Mohawk USA Flooring
Territory Levels:
10 MHK USA Flooring
20 SVP
30 Region
40 GSM
50 District
60 Territory
70 Sales Group
We are creating the Territories the way they have currently:

Example:
05-425 ZT01 KAYLA ELI
05-691 ZT01 JIM MORSE
05-778 ZT01 DEVIN WRIGHT
05-821 ZT01 RALPH WINGATE III
05-975 ZT01 OPEN-WAS NEAL
We have added additional fields to Territory:

Financial Code 7BA
Sales Function Code 20TM
Sales Function Code Description TERRITORY MANAGER
Page 8 of 40
Created following Tables to capture Territory Employee Informaiton and Territory Managers info.
Conditio
n Type Table Description Level
YT01 568 VX SI Territory 60
YT06 569 VX SI Territory 60
Territory Alignment Process.
Page 9 of 40
1. Mohawk move districts from one region to other regions with end date concept. In Vistex we are
unable to move the territories from one Regions to other regions.
2. Create product Ticket for this.
CAMS Split:
At Mohawk all the customer sales invoices split data resides in CAMS system currently, we need to bring the
relevant Split data into Vistex. This data is used further in Vistex to calculate sales rebates and commissions for
Mohawk distributor/Dealers/Employees.
CAMS Daily Sales Extended Loads data:
Extended Loads data resides in CAMS system by Invoice currently, we need to bring the relevant Split data into
Vistex. This data is used further in Vistex to calculate sales rebates and commissions for Mohawk
distributor/Dealers/Employees.
DS_DE5_VX_I_0003_
CAMS Split Info interface.docx
AOO Split:
Initial Development:
1. We have to write a custom program with custom t.code to read the tab delimited file from AL11 directory ,
2. AL11 directory path:
3. After reading the file we must update the information to transaction register document.
Selection Criteria:
Transaction Type : with multiple options
Transaction Document number: : with multiple options
Sales Org : with multiple options
Dist Channel: with multiple options
Division: with multiple options
Created on ; with multiple options
Changed on: with multiple options
Transaction Date: with multiple options
Posting Status of Transaction Reg:
Page 10 of 40
We should be able to execute the the program via background job.

Job Log:
1. If there are no documents for given selection criteria - provide the message as no document lines selected to
create AOO Commission Split document.
2. If there are documents: provide the AOO Commission Split documents created with document numbers in the
log.
4. Extend the TR Header Structure with following fields, Transaction register Header structure:
ZSVX_GRCA_HDR_ADDTNL needs to be extended to capture the additional data information.
FIELD NAME Field Vistex Fields Header

(KEYS IN YELLOW) DATA TYPE Length Names Structure
Order Number ZZAOOORDNO 10 NUMC Header TR
Order Date ZZAOOORDDATE 10 DATE Header TR
Customer
Number_C ZZAOOCUST 10 ALPHANUMC Header TR
Customer Suffix_C ZZAOOCUSTSUFFIX 4 ALPHANUMC Header TR
Specified/Landed ZZAOOSECIFIED 5 ALPHANUMC Header TR
ZZAOOINTERIMSPLI
Interteam Split Pct T 6 NUMC Header TR
Sales Region Code ZZAOOSREGION 5 ALPHANUMC Header TR
Sales District Code ZZAOOSDISTRICT 5 ALPHANUMC Header TR
Not Mine Datetime ZZAOONOTMINEDT 30 ALPHANUMC Header TR
Canceled Datetime ZZAOOCANCELDT 30 ALPHANUMC Header TR
Approved Datetime ZZAOOAPPROVEDDT 30 ALPHANUMC Header TR
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Override Datetime ZZAOOOVERRIDEDT 30 ALPHANUMC Header TR

AE0 ZZAOOTM0 5 ALPHANUMC Header TR
Split Pct Char 0 ZZAOOTM0% 6 NUMC Header TR
AOO Split Status ZZAOOSPLTCHECK1 1 Header TR
Criteria to update the TR document:

1. Based on the source information file , for each line we have look into TR Header table – Join the /IRM/GRCAHDR
& /IRM/GRCAITM
Transaction Type : ZTR2
By Customer # & By Customer Suffix read the DMR Customer number and pass into Transaction Party -KUNRE
By Order number- /IRM/GRCAITM-VGBEL ,
Order date-/IRM/GRCAITM-FBUDA
Expected Result # TR Number
2. Update the TR# at header level all the information After update check box for “AOO Split info updated-
ZZAOOSPLTCHECK1” Y , By Default this field will have empty. we should be able to control the batch job by using
this field.
3. Update the Header % field Split % information we got from the split file in the Header. ( ZZAOOTM0% to
ZZAOOTM9%)
4. Move the .( ZZAOOTM0% to ZZAOOTM9%) values into Item Condition as mentioned below.
Page 12 of 40
S.N Condition
O Header % Type Description Logic
Split Pct Char YA00 AOO TM0 Move the ZZAOOTM0% into YA00 Condition
1 0 % Type
Split Pct Char AOO TM1 Move the ZZAOOTM1% into YA01 Condition
2 1 YA01 % Type
3 2 % Type
4 3 YA03 % Type
5 4 % Type
6 5 YA05 % Type
7 6 % Type
8 7 YA07 % Type
9 8 % Type
10 9 % Type
5. Update the Partner function in partner tab
S.N Territory Partner

O Manger Fuction Description Logic
Read the TM0 Territory from Territory Management and

AOO TM0 read the sales rep and move the sales rep number into 3A
1 TM0 3A COM partner function.

AOO TM1 read the sales rep and move the sales rep number into 3B
2 TM1 3B COM partner function.

AOO TM2 read the sales rep and move the sales rep number into 3C
3 TM2 3C COM partner function.

AOO TM3 read the sales rep and move the sales rep number into 3D
4 TM3 3D COM partner function.

AOO TM4 read the sales rep and move the sales rep number into 3E
5 TM4 3E COM partner function.
Page 13 of 40

AOO TM5 read the sales rep and move the sales rep number into 3F
6 TM5 3F COM partner function.

AOO TM6 read the sales rep and move the sales rep number into 3G
7 TM6 3G COM partner function.

AOO TM7 read the sales rep and move the sales rep number into 3H
8 TM7 3H COM partner function.

AOO TM8 read the sales rep and move the sales rep number into 3I
9 TM8 3I COM partner function.

AOO TM9 read the sales rep and move the sales rep number into 3J
10 TM9 3J COM partner function.
 Error Handling:
If file has any error job should write into the log with reason for failing to update.
If file has successfully updated to TR# log should provide which TR# has been updated.
File should be moved to archive folder or error folder based on the processing status.
If TR is posted don’t update and provide the log as TR # posted AOO Split info not updated.
Flooring Commission Management is managed through following six different commission plans
 Residential Hard Plan

 Residential Soft Plan
o BMF Plan
o Helios Plan
o MSC Plan
 Commercial Plan
o Aviation Plan
 International Plan
 Hospitality Plan
 Mohawk Home Plan
Residential Hard & Soft Plans
Page 14 of 40
Both Residential Hard and Residential Soft plans function the same way the only difference is that these
plans belong to different business area or business unit. Residential Hard plan is for sales reps dealing
with products categorized as hard surfaces and Residential Soft plan is for sales reps related to products
categorized as soft surfaces. As these plans belong to different Business units the plan set up is also
different i.e. the attributes used to determine commission rates. Residential soft Commission plans are
set up based on the Brand code, fiber type and weight & on the segments for Pad & Cushion whereas
Residential Hard commission plans are set up based on the Product type.
These plans are designed at corporate level and sent to the Commissions team for setting it up in the
system. The Commissions team uses 2 tiered commission rate determination process. As a part of this
process the Plan type is determined from the commission rate master table. The Commission rate master
table is set up based on Sales region, sales district, sales group, TM, customer and product attributes.
There can be rates defined in the commission rate master table as well but in case of the rates are not
defined in the Commission grids are checked. There can be overlaps in the combination of these
attributes which is why there is a priority number assigned to each entry in this table
As an example to the above scenario, if the Plan type “B” has commission rates maintained against it in
the Commission rate master table then that rate is picked else based on Commission Plan Type which is
determined through the above table then the commission rate band is determined based on commission
rate grid and the price grid which is fed to ClearPay system from MORE system. An interpolation logic
is used to determine the commission rates based on pricing band levels.
There can be cases when the sale is claimed by more than one sales reps in such cases the commission
will be split between the sales reps based on the split ratio available in the sales feed that is received
from CAMS system. The split information can be changed at any point of time which should considered
for calculating the commissions.
If there are Open line rebates, Aligned dealer rebates or Spec fees associated with a sale then the
Commissionable sales is calculated by reducing these rebates from the Net price on the line, in other
words the commission base is sales price net of rebates. In case when the rebate tier changes the rebate
rates are re-determined and rebate amount on the sale is also changed thereby recalculating the
Commission base amounts and commission amounts
The commissions calculated are accrued to specific G/L accounts based on the Company, location and
Product type. The Sales reps are paid through payroll in case the sales rep is an employee and paid
through A/P in case if sales rep is an agent. Employee type has to be considered in the accrual process.
There are separate accounts for agent commissions and employee commissions.
Page 15 of 40
Residential Hard and Soft Plan:
Invoice Line Items.

Technically, there can be up to 9999-line items for a single invoice. (field is max of 4 chars)
Here is Max over the last 3 years by Company.
Company 1 – Mohawk Home. 9919.
Company R – Residential. 1858.
Company I – International. 301.
Company C – Commercial. 455.
Company H – Hospitality. 364.
Volume.
Max on one day over the last 3 years: 89,050
Average per day over the past 3 years: 51,814 (Unique Invoice and Line Item records)
Invoice # Per Day-9000
1. Determine the Planning Type based on the product and customer attributes.
Agreement Planning Type Table:
2. Determine the Price range from pricing grid.

-If buying group has value determine the Buying grp price grid, if not, determine the
price range from Open-line prices grid. (there is no Interpolation logic)
-If there is no buying group only regional price grid, (there is no Interpolation logic)
-Default % is required.
Agreement Price Grid Table:
Roll/Cut may have to be separated.
 Company Code/Sales Group/Sales Region/ Customer Group Number_C/ Style Code/ Bg Roll
Price/ Bg Cut Price
 Company Code/Sales Group/Sales Region/ Sales District Code/ Style Code/Brand/
Size/Baking Code/ Std Roll/ Weight/ Tm1 Cut Price/Tm2 Cut Price/Tm3 Cut Price/Dm Cut
Price/Rvp Cut Price/Tm1 Roll Price/Tm2 Roll Price/Tm3 Roll Price/Dm Roll Price/Rvp Roll
Price
3. Determine the % Range from Commission Grid by Brand and Product Type , if not by Just
Brand.
Agreement % Tables:
Page 16 of 40
 Brand/Product Type/ TM1 Commission Rate/TM2 Commission Rate /TM3 Commission

Rate /DM Commission Rate /RVP Commission Rate/Less Than RVP Commission
Rate/Greater Than RVP Commission Rate
 Brand/ TM1 Commission Rate/TM2 Commission Rate /TM3 Commission Rate /DM
Commission Rate /RVP Commission Rate/Less Than RVP Commission Rate/Greater Than
RVP Commission Rate
4. Interpolation logic to determine
5. Upper rounding is required
6. Monthly Payment for USA and Canadian Sales Reps
7. California, we should pay bi-weekly.
Invoice – 10.50
Price Point:
Price Grid – TM1Cut-10 , TM2-11
Lower Price – 10
Upper Price-11
% Determination:
Comm Plan – TM1Cut-1% , TM2-1.5%
Lower Price – 1%
Upper Price-1.5%
Interpolation % : 1.25%
Page 17 of 40
Current Design Considerations:

1. Plan Type
FL.02.SOR Comm
Rate Master.xlsx
2. Price Grids
FINAL Price Grid

Tables from MORE v3 20180702.xlsx
3. Rate Grids
Commission Rate
Grids v1.5.xlsx
4. Commission Plans
Page 18 of 40
Commission Plan
Types Overview v1.4.xlsx
Agreement Design:
One Agreement type is being considered to handle all the price grids in SS and HS product lines.
1. Planning types are covered as a part of Eligibility
2. Price Grids we kept outside of the agreements.
3. Rate Grids are covered as a part of agreement benefits.
4. Commission Plan calculations – Suggested to use business script / condition formula routines
will be implemented.
Eligibility
ZSI1- MHK
Res Cond Step
Soft/Hard Plan Type Type No Table Agr Eligibility
D, E, F, G, J, Company Code/Sales Group / Product
YSIE H ,E,S YSIE 75 636 Type/BuyingGroup
Company Code/Sales Group / Product
Type/Brand/Selling Style/Fiber
YSIE YSIE 60 574 Brand/Territory/Customer
Company Code/Sales Group / Product Type/Sales
YSIE YSIE 65 573 Region/Brand/Selling Style/Fiber Brand/Territory
YSIE YSIE 70 572 Region/Brand/Selling Style/Fiber Brand
YSIE YSIE 80 571 Region/Brand/Selling Style
YSIE YSIE 85 570 Region/Brand
YSIE YSIE 90 629 Company Code/Sales Group / Product Type
YSIE YSIE 576 Company Code/Sales Group /Territory
YSIE YSIE 95 581 Company Code/Sales Group
Benefit Rate Grid Agr Benefit Conditions
Page 19 of 40
Price Point Value Style Code/Size Code/Backing Code/Price

YSI1 Master Scale 65 585 Point/Commission Rate
Commission
YSI1 Style Master % 70 584 Style Code/Commission Rate
Brand Code/Fiber Brand Code/Start Weight/End
Weight/TM1 Commission Rate/TM2 Commission
Residential Rate/TM3 Commission Rate/DM Commission
Soft Surface Weight Rate/RVP Commission Rate/Less than RVP
YSI1 Rates Scale 75 587 Comm. Rate
Style Code/TM1 Commission Rate/TM2
Residential Commission Rate/TM3 Commission Rate/DM
Soft Override Commission Rate/RVP Commission Rate/Less
YSI1 Rates % 80 588 than RVP Comm. Rate
Brand Code/Product Type Code/TM1
Commission Rate/TM2 Commission Rate/TM3
Commission Rate/DM Commission Rate/RVP
Product Type Commission Rate/Less than RVP Comm.
YSI1 by Brand Grid % 90 582 Rate/Greater than TM1 Rate can be removed
Brand Code/TM1 Commission Rate/TM2
Commission Rate/TM3 Commission Rate/DM
Commission Rate/RVP Commission Rate/Less
than RVP Comm. Rate/Greater than TM1 Rate
YSI1 Comm Grid % 95 579 can be removed
Product Group Code/Product TypeCode/TM1
Commission Rate/TM2 Commission Rate/TM3
Commission Rate/DM Commission Rate/RVP
YSI1 Res. HS Rates % 98 586 Commission Rate/Less than RVP Comm. Rate
Pad Type Cushion/Pad type Code/Volume Break/Minimum
Need to Quantity/Maximum Quantity/TM Commission
Qty be Rate/DM Commission Rate/RVP Commission
YSI3 Pad Rates Scale Created Rate/Less Than RVP needs to included
Weight Face
Fiber Rates Scale weight
Commission
Formula: Plans
Commission
Grid D, E, F, G, J
Product Type
by Brand Grid G
Pad Rates J
Residential
Hard Surface
Rates H
Residential E
Page 20 of 40
Soft Surface
Rates
Residential
Soft Override
Rates E
Commission
Style Master S
Buying Group
Override D, E, F, G, J
Price Grid Design Challenges:

1. Client Has Different Price Grids based on the product/regional/Customer attributes, Each price
grid has more than 11 key fields with flat structure, Price Grids are being maintained in Vendavo
system, feed comes to SAP condition tables on daily basis via IDOC posting.
2. Price Grids prioritization happening based on the transactional data product/regional/Customer
attributes.
3. Initially we have positioned one condition type with all price grids approach.
4. With following approach performance is the concern.
Each TR will have 8 to 10 K line items
Pricing must run through all the pricing tables.
Table 566 will have 15 million entries. If we client goes price changes this 15 million records
will become 30 million records.
10 K Lines claim has to go through 30 million iterations in order to determine only levels. Then
there are subsequent rate determination and calculations apart from above steps.
Client Concern:
How the performance is going to be, can we handle this volume during pricing? is there any
better design recommendations? Sizing recommendation will help to address this?
Ste
p Con/Acc Latest
YPGZ ZONE TABLE
10 590 REGION/DISTRICT/ZONE
YPGV BG REGION PRICE GRID
15 593 COMPANYCODE/ROLLORCUT/REGION/SELLINGSTYLECODE/CUSTOMERGROUP
Page 21 of 40
20 592 COMPANYCODE/ROLLORCUT/REGION/CUSTOMERGROUP
25 591 COMPANYCODE/ROLLORCUT/CUSTOMERGROUP
SS REGION PRICE GRID
COMPANYCODE/ROLLORCUT/REGION/ZONE/SELLINGSTYLECODE/SELLINGSIZECODE
30 566 /SELLINGBACKINGCODE/BRANDCODE/FIBERBRANDCODE/ROLE
35 565 /SELLINGBACKINGCODE/BRANDCODE/ROLE
40 599 /SELLINGBACKINGCODE/ROLE
55 598 COMPANYCODE/ROLLORCUT/REGION/ZONE/SELLINGSTYLECODE/SELLINGSIZECODE/ROLE
65 597 COMPANYCODE/ROLLORCUT/REGION/ZONE/SELLINGSTYLECODE/ROLE
80 596 COMPANYCODE/ROLLORCUT/REGION/ZONE/ROLE
83 595 COMPANYCODE/ROLLORCUT/REGION/ROLE
95 594 COMPANYCODE/ROLLORCUT/ROLE
PAD REGION PRICE GRID
COMPANYCODE/REGION/ZONE/SELLINGSTYLECODE/SELLINGSIZECODE/SELLINGBACKINGC
ODE
45 567 /BRANDCODE/
60 621 ODE
70 624 COMPANYCODE/REGION/ZONE/SELLINGSTYLECODE/SELLINGSIZECODE
82 625 COMPANYCODE/REGION/ZONE/SELLINGSTYLECODE
90 626 COMPANYCODE/REGION/ZONE
93 627 COMPANYCODE/REGION
HS REGION PRICE GRID
OD
50 628 E/SELLINGCOLOR
Table
Repeate COMPANYCODE/REGION/ZONE/SELLINGSTYLECODE/SELLINGSIZECODE/SELLINGBACKINGC
d ODE
Table
Repeate
d COMPANYCODE/REGION/ZONE/SELLINGSTYLECODE/SELLINGSIZECODE
Table
Repeate
d COMPANYCODE/REGION/ZONE/SELLINGSTYLECODE
Table
Repeate
d COMPANYCODE/REGION/ZONE
Table
Repeate
d COMPANYCODE/REGION
Page 22 of 40
Based on historical data (analyzing if any fields are ever ‘empty’), here is analysis of fields for each Price Grid table
currently.
 Regional BG Price Grid.

ALL Fields are populated on ALL records:
o [WORKBOOKID]
o [COMPANYCODE]
o [FLOORINGCATEGORY]
o [CUSTOMERGROUP]
o [VALIDFROMDATE]
o [REGION]
o [SELLINGSTYLECODE]
o [CURRENCY]
o [BGROLLPRICE]
o [BGCUTPRICE]
 Regional SS Grid.
FIBERBRANDCODE has the value of ‘N/A’ on some records and FIBERCATEGORYCODE has the value of ‘NONE’ on
those same records (but aren’t empty).
ZONE can be empty. If ZONE is empty, DISTRICT is also empty. (We can check with Mike Payne about this. Was
understanding ZONE was being populated on SS grids now.)
ALL of the following fields are populated on ALL records.
o [WORKBOOKID]
o ,[COMPANYCODE]
o ,[FLOORINGCATEGORY]
o ,[VALIDFROMDATE]
o ,[REGION]
o ,[SELLINGSTYLECODE]
o ,[BRANDCODE]
o ,[SELLINGSIZECODE]
o ,[SELLINGBACKINGCODE]
o ,[STANDARDROLLLENGTH]
o ,[WEIGHT]
o ,[CURRENCY]
o ,[TM1ROLLPRICE]
o ,[TM2ROLLPRICE]
o ,[TM3ROLLPRICE]
o ,[DMROLLPRICE]
o ,[RVPROLLPRICE]
o ,[TM1CUTPRICE]
o ,[TM2CUTPRICE]
o ,[TM3CUTPRICE]
o ,[DMCUTPRICE]
o ,[RVPCUTPRICE]
 Regional HS Grid.
UOM was empty on some historical records but on all records since 1/1/2018, UOM is populated.
o [WorkbookID]
o ,[Company]
Page 23 of 40
o ,[Zone]
o ,[Region]
o ,[SellingStyle]
o ,[SellingSize]
o ,[SellingBack]
o ,[SellingColor]
o ,[Currency]
o ,[TM1Price]
o ,[TM2Price]
o ,[TM3Price]
o ,[DMPrice]
o ,[RVPPrice]
o ,[PalletPrice]
o ,[ContainerPrice]
o ,[ValidFrom]
 Regional PAD Grid.

STD ROLL was empty on all records.
o [WORKBOOKID]
o ,[COMPANYCODE]
o ,[VALIDFROMDATE]
o ,[REGION]
o ,[ZONE]
o ,[DISTRICT]
o ,[SELLINGSTYLECODE]
o ,[SELLINGSIZECODE]
o ,[SELLINGBACKINGCODE]
o ,[CATEGORYCODE]
o ,[QTYBREAK]
o ,[MINIMUM]
o ,[MAXIMUM]
o ,[RVPPRICE]
o ,[DMPRICE]
o ,[TMPRICE]
o ,[FLOORINGCATEGORY]
o ,[BRANDCODE]
o ,[ROLLLENGTH]
,[CURRENCY
1. Currently we positioned 20 Pricing Tables related to all Vendavo Price Grids(BG , SS , HS and PAD Price Grids) in
One condition type and one access sequence.
By doing this currently we have following challenges.
SS price Grid has more key fields and More Data:
 Current Active Records : 1.2 Million Records
 Current Expired Records less than year: 2 Million Records
SS price Grid Vistex Design Data: (Based on our Roll/Cut and Level Design no of records getting increased by
Millions for one table)- Major Performance concern for Table 566:
 Current Active Records 1.2 Million records will become 10.2 Million Records
Page 24 of 40
 Current Expired Records around 1 year back dated Legacy system records : 2 Million expired Records will
become 20 million records.
 One table handling 30 million records is huge question- Based on our research 1million records itself is
higher side for single table.
Other Option we analyzed and tested:

1. Go for Single Flat table 602
Current Active Records : 1.2 Million Records- stays as 1.2 million records.
Current Expired Records less than year: 2 Million Records stays as 2 million records.
Page 25 of 40
We can further reduce the no of records by creating more tables with same key fields as 602 table. Let us say if we create 4
tables and organize the data 2 tables will be used to store the deleted records, most used vs rarely used records in tables.
Example: Following tables we can create with same fields as 602, with this approach we can reduce the no of records for
each table.
601- Table we can keep for daily feed in access sequence as 10
602-Most Used Records- 200 K Records access sequence as 20
603- Rarely Used Records-300 K Records access sequence as 30
One more concern:

Since we are using the same condition type and access sequence for all Price Grids, If it is HS or PAD grid records will start
after Buying Group and SS grids , system has to pass all millions of records search in order to get into HS and PAD grids , we
can do alternative approach to address this.
We can separate Condition types based on the search for criteria required for business.
1. BG Price Grid- First we got search in BG Grid for all the processes- Highest Priority (YPGB Condition and Access Seq
with Only BG Pricing Tables tables) – IN pricing procedure we will keep this before condition.
2. SS Surface Grid – First got to search in BG grid and then we got to go to SS grid (YPGV SS Pricing tables).
3. HS Surface Grid- First got to search in BG grid and then we got to go to HS grid (YPGH HS Pricing tables).
4. PAD Grid- First got to search in BG grid and then we got to go to PAD grid (YPGP PAD Pricing tables).
Page 26 of 40
We need to have separate pricing procedures for these three major process while creating IP document in order to avoid
performance issues , otherwise system will keep going through all the records , we can create 3 different IP types based on
the PAD , HS and SS. By doing this we can address all the scenarios.
Commercial plan
The Commercial plan relevant commissions are calculated and paid based on products sold by the
Commercial sales groups (Sales group ‘40’ and other sales groups that are yet to be defined). The
Residential hard and Residential soft products can also be sold under the commercial sales order. The
commission rates on Commercial plans are set up based on Product type & selling style. These plans are
set up in ClearPay system today.
Commission rates on Commercial plans are also set up based on region, misc charge code, GSA code,
district, brand and product group code.
The Commercial sales orders are placed in the CAMS system. The CAMS order will also have a Sales
rep assigned to it. These orders are invoiced in CAMS and sent to ClearPay system for calculating the
commissions. The sales information sent to ClearPay includes the details such as products sold,
quantity, price etc. Based on the commercial TM number determined on the sales info its relevant team
number is looked up. This team number starts with Z and this team number will replace the Commercial
TM number on the sales info in ClearPay.
The order information from CAMS is sent to AOO system for identifying the correct team and getting
the split info. There could be different Sales reps per the Product type in a commercial team, so multiple
sales reps are assigned to one Customer. As there is no one to one relationship between the Customer
and the Salesman the sales commissions have to be split between the sales reps, these splits are defined
on the entire order. In AOO, the Team responsible for the order has an ability to pick or drop the order
based on the relevance of the order. Once the order number is picked, it is assigned the split % manually
in AOO by the team and sent to ClearPay system. At a maximum there can be a split between 10 team
members. The order details sent to clearpay includes details such as order date, sales rep and the
commission and sales volume split information. The ClearPay system will then allocate these splits to
the respective sales data and carries out new calculation. These splits can be changed at any given time
even if the commissions are paid based on previously allocated splits, if the commissions calculated
based on the splits are overpaid then they will be clawed back from the rep in the month when the splits
are adjusted.
There can be instances when the order has splits between 2 different teams i.e. Hospitality and
Commercial. In such cases, the split within the commercial team is based on the % split allocated to the
commercial team on that order. In case if the split is between International and Commercial teams, then
the split is always 100 – 100.
Two different teams would be splits in the Core business. There can be splits between Commercial and
Hospitality, but you will only get AOO data for the Core portion. This process may be changing for
Commercial/Hospitality, Commercial/Residential, Commercial / International Splits.
Page 27 of 40
The commissions for these commercial sales are calculated based on the Commission rate master table
to determine the Commercial sales plan type. This plan type will help in deriving the Selling style code
grid. Based on the Selling Style code on the sales info, the grid number is determined and it is based on
this Grid number and % of the Base price the commission rate is determined. This Base Price comes on
the Sales info as the target price. The unit price is compared against it to arrive at the % of the Base
Price. There is a table maintained for select style codes of hard surface product based on which the sales
unit price is manipulated to arrive at the price net of freight and compare with base price. If the style is
in this table then the freight amount needs to be subtracted from the unit price and then compare this
new unit price with the base price to arrive at the commission rate
Grid number is determined based on selling style, region, product type, district, brand and product
group code
Override or exceptions of the commission rate can also exists for certain combination of attributes.
These overrides are maintained in a table. It is a simple view of a table which says that if the unit price
is less than Base/Target price then take the exception 1 if it is more than Base/Target price the take the
exception 2 rate.
Page 28 of 40
International Plan
Multinational firms usually have sales operations running in their strongest current and prospective
markets around the globe. They often require the skills of international sales representatives to represent
their companies, develop relationships with potential customers, and sell products and services.
International commission plans are set up at the individual sales rep level, each agent / sales rep has his
own commission plans. There are only 8 – 10 International sales rep for Mohawk today. The
Commission rates for international commission plan are usually flat % of sales or flat % of margin.
These commission rates can also have tiers.
It is possible for the international sales reps to split the commission with other teams. In case if the split
has occurred within the International sales team then the commissions are divided by the % decided,
otherwise the split is 100-100. International sales reps also split the sales volume which will be counted
towards their annual bonus component.
Sales details for international sales reps come from CAMS in most of the cases and is also uploaded
manually in the system by the finance team, these sales reps are usually created as employees or as
vendors, if the agents are employees then the payment is through Payroll
If the agents are not employees then the payment is through A/P. For sales agent based in Shanghai
commission payments details are sent to PWC along with the backup data to support the calculations
and PWC pays to those agents.
Page 29 of 40
Hospitality Plan
There are three types of employees who can take part in the Hospitality commission plan, one are the
Sales reps who are employees, sales reps who are agents and specialized employees. These specialized
employees are employees with Mohawk who used to be agents for Mohawk in the past. There are 70
Sales reps in total including employees and agents under the Hospitality program. These reps can be
part of commercial program as well with a different TM number, so these reps will get both the
commissions.
These programs are set up by the commission code. Each Sales order will have a commission code
assigned and it is this commission code which is used to determine the commission rates. These
Commission codes are entered at the time of placing the orders on CAMS system.
The splits too are entered during the order entry (for hospitality only orders). These Commission splits
are entered at the line item level. Both Volume and Commission split can exist for Hospitality sales. It
may also happen that the 100% of Volume goes to one sales rep and 100 % of commission goes to
another sales rep. The Volume split applies to quantity and margin as well (International agents get
commission based on Margin determined based on the margin split). The Split are divided 100 - 100 if
the teams that are involved consists of an International rep.
Page 30 of 40
Mohawk Home Plan
The Mohawk Home plan calculates and pays commissions on the Home furnishing line of products.
These products are typically sold to Home and Furnishing retailers/dealers like Home Depot, Kohls,
Bed bath & beyond etc. A Salesman is typically assigned to these National retail accounts for selling
products. These salesmen receive a flat commission rate determined by the HR at the time of enrolling.
Some of them get customer specific rates on top of the Fixed % as an exceptional %. These sales reps
are paid based on a SKU or product discounting model i.e. the commission rate varies as per the
discounts given on the Order. These discounts can be within fixed % levels i.e. 10% or 7% or 4%.
Lesser the discount is given to the Dealer more the commission rep will get.
The Mohawk Home sales are handled in a separate CAMS system known as CAMS-Rugs. The Sales
info for the Mohawk home products are sent to ClearPay through a separate interface. The Sales info
coming from the CAMS rugs system will have its own territory number assigned. These territory
numbers are cross referenced with the Employee (Territory Manager) cross reference table to determine
the correct TM number.
Page 31 of 40
1.5 PMO Overview

What is the overall timeline, milestone dates, roll out strategy etc?
2 Agreements
2.1 Agreement Types
Page 32 of 40
2.2 Agreement Rules
2.3 Condition Search
2.4 Use of 601/602
2.5 Rebate Frequency
2.6 Calendars
2.7 Participant Type
Page 33 of 40
2.8 Output
3 Membership
3.1 Use of Membership, Product List, Flexible Groups
4 IP Documents
4.1 Transaction or Composite
4.2 IP Types
Page 34 of 40
4.3 Misc: Fixed Payment, IP Document Split, Source Document
4.4 Pricing Procedure
4.5 Settlement
5 Claims / Transaction Register
6 LIS
6.1 Structures: Including Characteristics and Key Figures
Page 35 of 40
6.2 Update Method
7 Composite
7.1 Deployment Codes: Frequency, CPD vs. PTD and Participant:
7.2 Manual Adjustment:
7.3 Composite Formula Mapping:
7.4 Subcomponent Structures:
8 Accrual
8.1 Accrual and Intercompany Considerations:
Page 36 of 40
9 Calculation Run
9.1 General:
10 Settlement
10.1 Interim Settlement / Final Settlement / Settlement Adjustment:
11 Reconciliation:
11.1 Reconciliation Process:
Page 37 of 40
12 Output:
12.1 Output:
13 Reporting:
13.1 Reporting:
14 External Data:
14.1 External Data:
15 Cutover & Conversion:
15.1 Cutover and Conversion:
16 RICEF:
Page 38 of 40
17 Misc.:
17.1 Misc and Other Considerations:
18 Go Live Readiness:
Batch job, variants,
18.1 Cutover and Conversion:
19 Volumes:
19.1 Data Volumes:
Metric
# of Billing Items
# of PO Items
# of Participants
# of Claims
# of items per Claim
Average # of items per claim
# of customers / materials / vendors
# of pricing records (within 1
condition type)
Page 39 of 40
20 Open Items:
20.1 Open Items:
Open Items
Date Added By Brief Description of Item
Page 40 of 40

Vistex Design Rationale - Commission - Flooring

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Project Design Rationale_Rebates

Project/Customer: Mohawk Flooring

1.1 Vistex Team Members 4

1.2 Change Log 4

1.4 Customer, Process and Design Narrative 4

1.5 PMO Overview 4

2.1 Agreement Types 4

2.2 Agreement Rules 5

2.3 Condition Search 5

2.4 Use of 601/602 5

2.5 Rebate Frequency 5

2.7 Participant Type 5

3.1 Use of Membership, Product List, Flexible Groups 6

4.1 Transaction or Composite 6

4.3 Misc: Fixed Payment, IP Document Split, Source Document 6

4.4 Pricing Procedure 7

6.1 Structures: Including Characteristics and Key Figures 7

6.2 Update Method 7

7.1 Deployment Codes: Frequency, CPD vs. PTD and Participant: 7

7.2 Manual Adjustment: 7

7.3 Composite Formula Mapping: 8

7.4 Subcomponent Structures: 8

8.1 Accrual and Intercompany Considerations: 8

10.1 Interim Settlement / Final Settlement / Settlement Adjustment: 8

11.1 Reconciliation Process: 9

14.1 External Data: 9

15.1 Cutover and Conversion: 9

17.1 Misc and Other Considerations: 10

18.1 Cutover and Conversion: 10

19.1 Data Volumes: 10

20.1 Open Items: 11

1.1 Vistex Team Members

1.2 Change Log

07/24/2018 Venkata Open Items:

crossing more than 30 million for one table, still

1.4 Customer, Process and Design Narrative

A sales commission is additional compensation the employee receives when the employee achieves

1.4.1.1 Territory Management

Sales VP Regional VP General Sales Manager* District ManagerTerritory Manager

1. Sales Hierarchy structure needs to be predefined

Current Design Considerations:

2. Sales Territory Hierarchy – Output file to CAMS

3. Customer Territory Alignment – Inbound file from CAMS to Vistex

Configured Territory Management:

We are creating the Territories the way they have currently:

We have added additional fields to Territory:

Territory Alignment Process.

We should be able to execute the the program via background job.

FIELD NAME Field Vistex Fields Header

Override Datetime ZZAOOOVERRIDEDT 30 ALPHANUMC Header TR

AOO Split Status ZZAOOSPLTCHECK1 1 Header TR

Criteria to update the TR document:

Expected Result # TR Number

5. Update the Partner function in partner tab

S.N Territory Partner

Read the TM0 Territory from Territory Management and

Read the TM1 Territory from Territory Management and

Read the TM2 Territory from Territory Management and

Read the TM3 Territory from Territory Management and