Defining dynamic thresholds (threshold groups for terms)
The Thresholds for terms TSI can be used to configure groups of dynamically applicable thresholds (the Advanced thresholds method), which will determine which surcharge percentage applies to any linked Terms for materials or Terms for subcontractors, or which hourly rates must apply to Terms for labor hours.
Make sure the Thresholds for terms TSI is available on you navigation panel.
Procedure
1. Go to the Thresholds for terms TSI.
2. On the Threshold groups step, click Add.
3. Enter a Code, Description and Threshold type for the new threshold group.
You can select the following threshold types:
◦ Percentage based threshold (applicable to Terms for materials or Terms for subcontractors)
◦ Hourly rate based threshold (applicable to Terms for labor hours).
4. Click Save.
5. Go to the Thresholds for terms level and step.
6. On the action panel, either select Add percentage-based threshold if you want to link Terms for materials or Terms for subcontractors (threshold type = Percentage based).
7. Or, select Add hourly rate-based threshold, if you want to link Terms for labor hours (threshold type = Hourly rate based).
8. Add as many thresholds as you require:
For Terms for materials or Terms for subcontractors, after entering a Code and Description, fill in the following fields:
◦ Threshold amount: determines as of which amount (spent on materials or subcontractors) a surcharge should be applied to the order, in accordance with the applicable Terms for materials or Terms for subcontractors.
◦ Threshold percentage: The actual surcharge percentage that applies if the corresponding threshold amount is reached.
For Terms for labor hours, after entering a Code and Description, complete the following fields:
◦ Hourly rate: enter the rate that applies to the number of hours in the defined threshold (difference between minimum and maximum). If the total number of hours for an order's completion fall within this threshold, this rate will be applied for revenue calculations.
◦ Minimum no. of hours - fill in a starting value for the threshold. This the number of hours as of which the hourly rate should apply.
◦ Maximum no. of hours - this field is automatically filled with a value that is based on the minimum number of hours of the next threshold. This value is set to one hundredth below the next minimum value.
9. Click Save.
You can now link the defined threshold group to corresponding:
◦ Terms for materials and Terms for subcontractors. You can only link a threshold group to these terms if their selected Threshold method is Advanced thresholds.
◦ Terms for labor hours.