In this part of the Project Management Review (PMR) you need to provide data for the various products that are created as part of this project. You start by clicking on the “+” (with description Add New Product to Project) in the lower right corner to create a new product. Clicking that button, brings up the dialog that you see on the right.
In the Product Name, you need to name this Product. This name should be relative short and clear, so that looking at the name gives you a good idea what this Product is. The description can be longer, and should contains some more details about this Product.
New Product Hierarchy
Once you have added the new products, you need to indicate which product groups it belongs to. You do that in the table New Product Hierarchy by checking the Product Group in the column of that product.
You need to enter the total demand in the next step of the workflow, page Demand, but here you have to determine how that is split over various customers, locations and products. For instance, in the picture on the left, you see that the expectation is that 60% of the demand will be sold via the Online channel and the remaining 40% via the Main Dealer channel.
IBP does not make it mandatory that the split percentages add up to 100%, but it is recommended that you do that. The reason for that is that it becomes easier to understand the numbers, because you expect them to add up to 100%. In case, they don’t add up to 100%, IBP will make that conversion internally, so that the results still make sense.
Product Unit Selling Price and Margin
Once the split percentages have been filled in, the table Product Unit Selling Price and Margin is filled with all the customer, location and product combinations. Eventually, there is demand for each of these combinations. The model needs to know the Unit Selling Price and Unit Margin, so that it can calculate total revenue and total margin correctly.
By default, the same value is used for all periods. However, if you don’t want that, you can use the widget action “Change data for every period individually.” Now, you can enter a different number for each period.