Best Practices for Creating Advanced Pricing in JD Edwards

Dave Balser

JDE Advanced Pricing.pngJD Edwards offers a number of sophisticated tools for its ERP users, among which is Advanced Pricing. Advanced Pricing allows your organization to set multiple, complex algorithms in the JDE system in order to adjust pricing through things like discounts and family or group pricing. While this is a tool that is inherently provided with JD Edwards, it does take some expertise to properly set it up for your organization. Here are a few best practices to follow to ensure that Advanced Pricing works for you.

Pricing Strategy

First things first, you need to start at the top and make sure that you have a well-defined pricing strategy that can then be implemented through the application rules. If you arbitrarily price your items, the tool won’t work for you. Disciplined pricing rules and a defined strategy are necessary for the success of Advanced Pricing.

Change Management

If you don’t currently have a pricing strategy, or if your sales team isn’t used to having pricing rules built around the Advanced Pricing tool, there can be a lot of pushback. While some members of your team may like that Advanced Pricing provides a more disciplined pricing process, inevitably some team members will not.

Remind your team that using Advanced Pricing provides more opportunities for pricing promotions and marketing tactics such as cross- and upselling. Your entire team needs to be on board in order for Advanced Pricing to work effectively.

Adjustment Schedules and Hierarchies

When it comes to adjustment schedules, you need to strike the right balance between the complexity and number of schedules to make sure that everyone gets the correct price. There can only be one adjustment per sales order, but it shouldn’t be too long or it will take too much time to calculate. Additionally, you don’t want to have too many schedules because they will then be too difficult to attach to products being purchased. Finding the right balance between these two things while still ensuring that customers receive the right price is crucial.

Another thing to keep in mind with price adjustment is the adjustment hierarchy. When JDE finds a hit in the price adjustment hierarchy, that qualification drops out of the price adjustment. In order to make sure that each item gets the right price, your hierarchies need to be set up correctly.

You can program the price adjustment to search based on an item group, customer group, specific item, or specific customer, as well as bill- and ship-to addresses on the customer side. By telling JDE which combinations to look to in which order, Advanced Pricing will reach the appropriate price.


As you can tell from just the above suggestions, configuring Advanced Pricing is complicated. Unfortunately, most companies that we have worked with only have one or two people on staff who know how to handle this process. Be sure to cross-train multiple people on your team on Advanced Pricing set up to make sure that enough people have the appropriate knowledge to fix problems or make adjustments as needed.

By following these best practices, you will be able to set up and execute JD Edwards Advanced Pricing effectively for your organization. If you still have questions, or need some support with the process, be sure to contact our JD Edwards team.

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