Configuring settings for the Payment Terms Optimizer app
Use the Payment Terms Optimizer app’s Getting Started view to configure the app’s variables. The values you set for the variables are used for the Knowledge Model variables in the Payment Terms Optimizer app’s Knowledge Model.
Important
After you publish an app for the first time, changing variable values in the Setup and Validation view or Settings view in Studio doesn’t change their values in Apps. The Payment Terms Optimizer app needs to be published right away to make tasks, augmented attributes, and profile views work. So you’ll need to work with the views in the Apps area in order for the values of the settings to be applied for end users. It’s best to keep the two sets of variable values in sync so that your results in Studio match those in Apps.
You can configure these settings in the Getting Started view:
Reporting Currency: Select the currency that is used as central currency throughout the app. Please keep in mind that this change will affect every user using this view. Please make sure that the source system maintains all conversion rates from the original local currency to the target currency.
Fallback baseline date: In the "Payment Term Checker" module, the reference date for net payment term calculation is defined based on the ZDART field in the T052 master payment term table. It can be document date, entry date or posting date. If the ZDART field is empty, then the reference date falls back to this Fallback Baseline Date variable.
Payment term frequency threshold: In the "Payment Term Hamonizer" module, Celonis only flags a better company code/sales organization/invoice payment term if it's used frequently enough (above a certain x% share of the total invoice value per customer account). For example, if a certain company code has a payment term 10 days shorter than other company codes, but it only covers 9% of the invoice value for this particular customer account, it won't be flagged as a better payment term if the setting variable Frequency Threshold = 10%.
Large customer threshold: In the "Payment Term Hamonizer" module, Celonis splits your customer base into "large" and "SMB" customer segments. Large customers are those whose total invoice value places them in the top x % of all customers by aggregated invoice value. Adjust the threshold to segment your customer base. Use the chart on the right side to see how your changes affect the segmentation, the aggregated invoice value and the median payment terms of each customer segment.
Benchmark payment term: In the "Payment Term Hamonizer" module, you can define the Benchmark payment term yourself. Celonis will highlight a harmonization opportunity if a customer has above payment terms above this benchmark. We recommend setting benchmark payment term equal to either 1) your strategic DSO target, or 2) the median payment term of your large customer segment (see the chart above). The assumption is that small and medium customers have less bargaining power, so they should definitely be offered payment terms shorter or equal to the large customer median terms.
Here’s how to work with the Getting Started view in Apps:
In the Celonis navigation menu, select Apps.
Find the Payment Terms Optimizer app in the space where you installed it, and click its tile.
Select the Getting Started view, and update the values of any variables that you need to. If you haven’t selected a value, the app is using the default value.
When you’ve finished configuring the settings, make the same changes to the settings in the Studio package for the app, to keep them in sync.
Tip
When you’ve finished setup and the app is in use by business users, to avoid accidental changes, consider limiting the availability of the Getting Started view. You could restrict it to a specific group of business users who are responsible for making adjustments to the variable values.