The intent of this article is to guide you through the function and components of the Grace Period Discount rules in carrier agreements. This information is intended for any user with a PDF agreement that needs to be loaded into the Agreement Management System.
Rules are ordered by class type as follows:
Data Transformer
DIM Divisors
Earner Discounts
Fuel Surcharge Discounts
Service Period Discount by Region
Grace Period Discounts
Minimum Net Charge
Multipiece Minimum Weight Qualifier
Service Discount
Service Discount by Region
Service Net Rates
Surcharge Net Rates
Surcharges Discounts
It’s important to note that rules are executed from top to bottom according to the position of the rule among all other agreement rules. In other words, rules at the bottom are executed after the rules above and can overwrite the rules where overlap exists.overwrite the rules where overlap exists.
The Grace Period Discount rule calculates the amount of grace period discount applied for each shipment.
Relevant for expiration terms on earned discount incentives.
Default: Null
Format: mm/dd/yyyy
Common mistake: Effective Start Date is entered on a date that is after the analysis period date range within CAO View. Ensure that the Effective Start Date does not affect the service discount being applied to the date range of analysis.
Pro tip: These dates relate to the start and stop dates of Earned Discount Rules that are also in the agreement.
Relevant for expiration terms on earned discount incentives.
Default: Null
Format: mm/dd/yyyy
Common mistake: Effective Start Date is entered on a date that is after the analysis period date range within CAO View. Ensure that the Effective Start Date does not affect the service discount being applied to the date range of analysis.
Pro tip: These dates relate to the start and stop dates of Earned Discount Rules that are also in the agreement.
Create a row for each service type where the earned discount applies.
This option overwrites voids all Earned Discounts billed where a Grace Period Discount is observed.
Note: It’s common to enable this feature.
Carrier-specific packaging (e.g. UPS Express Letter/Envelope) has a list rate and incentive specific to that package type. Discounts and incentives for such packaging types are managed as separate service type rules.
Default: All Packages
Options: Carrier-specific. Check the agreement page for a given carrier for a full list.
Common mistake: Given the organization of rules within an agreement, the ideal order of rules is to put all packages first, then build secondary rules for each carrier-specific packaging type section. In other words, the general rule that targets All Packages is above the carrier-specific package type rule. This way, the discounts related to a given carrier-specific packaging type overwrites the general rule targeting All Packages.
Overview: Domestic service types are managed as a single rule on Service Discounts. Service Discounts on international shipments, in contrast, are managed as separate rules by direction. Export and Import.
Default: All enabled by default
Options:
Common issue: Carriers commonly invoice customers for domestic service types for international ship from or ship to locations. This problem can be overcome by the selection of All enabled by default for domestic service types.