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Oracle® Retail Analytic Parameter Calculator for Regular Price Optimization User Guide for the RPAS Fusion Client
Release 16.0
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3 Maintenance Task

The Maintenance task enables you to override the default parameter values for an item or group of items at a specific price zone (location). This chapter describes the views and the relevant parameters that appear in the Maintenance task.

Accessing the Maintenance Task

To access the Maintenance task, perform the following steps:

  1. Log on to the RPAS Fusion Client. For more information, see Logging On to APC-RPO.

  2. In the taskflow, click the Create New Workbook icon next to the Maintenance task.

    Figure 3-1 Maintenance Task

    Surrounding text describes Figure 3-1 .

    Note:

    To open an existing workbook, click the Show List of All Workbooks icon next to the task/step you want. The Open Workbook window is displayed and enables you to open one of the existing workbooks.

    The Workbook Wizard is displayed.

  3. In the Maintenance Wizard, from the Available Items area, select the items you want by holding down the Ctrl or Shift keys, and click Add. You can click Add All to select all the items.

    Or, drag and drop the positions to the Selected Items area.

    Figure 3-2 Workbook Wizard - Select Item

    Surrounding text describes Figure 3-2 .
  4. Click Next.

  5. The Select Price Zone screen is displayed. From the Available Items area, select the price zones you want and click Finish.

    Figure 3-3 Workbook Wizard - Select Price Zone

    Surrounding text describes Figure 3-3 .

    The workbook opens at the Parameter Overrides Step.

Parameter Overrides Step

The Parameter Overrides step includes the following views that enable you to override the parameters for specific items and price zone combinations:

Historical Data Filtering Parameters View

This view enables you to override the default values for parameters related to historical data filtering.

Figure 3-4 Historical Data Filtering Parameters View

Surrounding text describes Figure 3-4 .

Table 3-1 describes the measures in this view:

Table 3-1 Measures in the Historical Data Filtering Parameters Worksheet

Measure Measure Description

History Start Date Override

The override of the value of the History Start Date measure from the Default Historical Data Filtering Parameters View. This override determines the first date in the history data to be included in the calculation.

History End Date Override

The override of the value of the History End Date measure from the Default Historical Data Filtering Parameters View. This override determines the last date in the history data to be included in the calculation.

Fixed Ticket Price Period Length Threshold Override

The override of the value of the Fixed Ticket Price Period Length Threshold measure from the Default Historical Data Filtering Parameters View. This is the threshold value for the minimum number of consecutive weeks of fixed ticket price. From the set time period, data with number of weeks less than this threshold value will be filtered out.

POS Price and Ticket Price Difference % Threshold Override

The override of the value of the POS Price and Ticket Price Difference % Threshold measure from the Default Historical Data Filtering Parameters View. This threshold value (in percentage) of the difference between the POS price and ticket price. If the difference between the POS price and the ticket price exceeds this threshold value, the data will be filtered out.

Note: POS price is the gross sale amount divided by the gross sales units.

Ticket Price Change % Threshold Override

The override of the value of the Ticket Price Change % Threshold measure from the Default Historical Data Filtering Parameters View. This threshold value (in percentage) for the ticket price changes to be considered as fixed price. Prices are considered fixed from week to week, when the price change is less than this threshold value.

Ticket Price Variation % Threshold Override

The override of the value of the Ticket Price Variation % Threshold measure from the Default Historical Data Filtering Parameters View. This threshold value (in percentage) for the ticket price variations. If the difference between the minimum and maximum price values exceed this threshold value, the data will be filtered out.

Minimum Average Sales Override

The override of the value of the Minimum Average Sales measure from the Default Historical Data Filtering Parameters View. This is the threshold for the filter that removes item/store combinations with average sales less than the defined threshold.

Price Variance Coefficient Override

The override of the value of the Price Variance Coefficient measure from the Default Historical Data Filtering Parameters View. This is the threshold for the filter that removes item/store combinations with price variance less than average price times said threshold.

High End Sales Curve Override

The override of the value of the High End Sales Curve measure from the Default Historical Data Filtering Parameters View. Determines what percentage of the cumulative sales should be kept at the end of the lifecycle.

Low End Sales Curve Override

The override of the value of the Low End Sales Curve measure from the Default Historical Data Filtering Parameters View. Determines what percentage of the cumulative sales should be removed from the beginning of the lifecycle.


After you have entered the historical data filtering parameters, continue to the Data Transformation and Filtering Override Parameters View.

Data Transformation and Filtering Override Parameters View

This view enables you to override the default values for parameters related to data transformations.

Figure 3-5 Data Transformation and Filtering Override Parameters View

Surrounding text describes Figure 3-5 .

Table 3-2 describes the measures in this view:

Table 3-2 Measures in the Data Transformation and Filtering Override Parameters Worksheet

Measure Measure Description

Second Difference Exponential Coefficient Override

The override of the value of the Second Difference Exponential Coefficient measure from the Default Data Transformation Parameters View. After removing seasonality, it may be beneficial to exponentially smooth the second difference of some product/locations. The coefficient determines the degree of smoothing.

Moving Window Length Override

The override of the value of the Moving Window Length measure from the Default Data Transformation Parameters View. To calculate the first difference, the price less the moving average of the price is needed. The window length determines the moving averaged prices.

First Difference Data Points Override

The override of the value of the First Difference Data Points measure from the Default Data Transformation Parameters View. The lower threshold value for the first difference data points. The number of non-zero first difference data for an item or location lower than this threshold value will be discarded.

Second Difference Data Point Threshold Override

The override of the value of the Second Difference Data Point Threshold measure from the Default Data Transformation Parameters View. The lower threshold value for the second difference data points. The number of non-zero first difference data for an product or week lower than this threshold value will be discarded.

Second Difference Upper Bound Threshold Override

The override of the value of the Second Difference Upper Bound Threshold measure from the Default Data Transformation Parameters View. The upper threshold value for the log ticket price second different data points. The data corresponding to the item or location week that have the absolute value higher than this threshold value will be discarded.


After you have entered the transformation and filtering overrides, continue to the Cannibalization Parameters View.

Cannibalization Parameters View

This view enables you to override the default values for parameters related to raw elasticity regularization and cannibalization.

Figure 3-6 Cannibalization Parameters View

Surrounding text describes Figure 3-6 .

Table 3-3 describes the measures in this view:

Table 3-3 Measures in the Cannibalization Parameters View

Measure Measure Description

Cannibalization Coefficient Override

The override value for the cannibalization co-efficient.


After you have entered the cannibalization parameters, continue to the Escalation Path Override View.

Escalation Path Override View

This view enables you to override the default order for the escalation level lookups.

Figure 3-7 Escalation Path Override View

Surrounding text describes Figure 3-7 .

Table 3-4 describes the measures in this view:

Table 3-4 Measures in the Escalation Path Override View

Measure Measure Description

Elasticity Escalation Path Override

Use this measure to override the value of the Elasticity Escalation Path measure in the Escalation Path View. This override sets the default order for the escalation level lookups. By default, the path is set to 1 through 4 starting from Level 01 to Level 04.

Location Profile Escalation Path Override

Use this measure to override the value of the Location Profile Escalation Path measure in the Escalation Path View. This override sets an order for the profile escalation level lookups


After you have entered the escalation path overrides, continue to the HALO Elasticity Parameters Override View.

HALO Elasticity Parameters Override View

This view enables you to override the default values for the parameters related to HALO type elasticities.


Note:

To edit the HALO measures, change the level of the Product dimension to display all[Merchandise].

Figure 3-8 HALO Elasticity Parameters Override View

Surrounding text describes Figure 3-8 .

Table 3-5 describes the measures in this view:

Table 3-5 Measures in the HALO Elasticity Parameters Override View

Measure Measure Description

HALO - Number of Data Point Threshold Override

The threshold value for the minimum number of data points required. HALO type cross elasticities that have data points lesser than this threshold value will be filtered out.

HALO - Transformed Price Threshold for Item 1 Override

When calculating the effect of the price change of the second item on the demand of the first item, this value is the transformed price threshold for the first item. If the absolute value of the second difference of log price of the first item exceeds this threshold value, the corresponding data will be excluded from HALO calculation.

HALO - Transformed Price Threshold for Item 2 Override

When calculating the effect of the price change of the second item on the demand of the FIRST item, this value is the transformed price threshold for the second item. If the absolute value of the second difference of log price of the second item is less than or equal to this threshold value, the corresponding data will be excluded from HALO calculation.

HALO - RAW Effect Difference Threshold Override

The threshold value for the difference between the HALO type cross elasticities across the two time periods. If this difference exceeds the amount that results from the square root of the threshold value, then the HALO type cross elasticities will be filtered out.

HALO - RAW Effect Error Ratio Threshold Override

The threshold value for the HALO cross elasticity and standard error ratio. If a halo type cross elasticity has a value greater than this threshold value multiplied by the standard error for both time periods, then the HALO type cross elasticity will be filtered out.

HALO - RAW Error Threshold Override

The standard error threshold value for the HALO type cross elasticities. HALO type cross elasticities with standard error that exceed this threshold value will be filtered out.

HALO - RAW Effect Lower Bound Override

The lower threshold value for the HALO type RAW cross elasticities. HALO type cross elasticities lower than this threshold value will be filtered out.

HALO - RAW Effect Upper Bound Override

The upper threshold value for the HALO type RAW cross elasticities. HALO type cross elasticities higher than this threshold value will be filtered out.


After you have entered the HALO elasticity overrides, continue to the Raw Self Elasticity View.

Raw Self Elasticity View

This view enables you to override the default values for parameters related to raw self elasticities.

Figure 3-9 Raw Self Elasticity View

Surrounding text describes Figure 3-9 .

Table 3-6 describes the measures in this view:

Table 3-6 Measures in the Raw Self Elasticity View

Measure Measure Description

Minimum Data Points Override

The threshold value for the minimum number of data points required. Items or locations with number of data points lesser than this threshold value are not included in the calculation.

Raw Self Elasticity Lower Bound Override

The upper threshold value for the RAW self elasticities. Items or locations with RAW self elasticities higher than this threshold value are not included in the calculation.

Raw Self Elasticity Upper Bound Override

The lower threshold value for the RAW self elasticities. Items or locations with RAW self elasticities lower than this threshold value are not included in the calculation.

Max Second Diff Log Price Override

The threshold value for the maximum second difference log ticket price. Items or locations with a second difference that exceed this threshold value are not included in the calculation.

Max allowed standard error for raw self-elasticities (override).

The threshold value for the maximum standard error allowed for RAW self-elasticities. Items or locations with a standard error that exceed this threshold value are not included in the calculation.


After you have entered the raw self elasticity parameters, continue to the Anchor and Min/Max Price View.

Anchor and Min/Max Price View

This view enables you to override the default values for the parameters related to anchor and minimum/maximum ticket prices.

The NA value of the measures needs to be set to an invalid value for that parameter. And the value NA indicates that there is no override value.

Figure 3-10 Anchor and Min/Max Price View

Surrounding text describes Figure 3-10 .

Table 3-7 describes the measures in this view:

Table 3-7 Measures in the Anchor and Min/Max Price View

Measure Measure Description

Override historical anchor price number of time periods to include in calculation.

The number of weeks to consider, relative to the history end date, when calculating the anchor price.

Override historical anchor price smoothing coefficient.

Exponential smoothing coefficient for blending the previous anchor price calculations with the new calculations.

Override historical maximum price percentile.

The percentile at which the historical maximum price will be selected.

Override historical minimum price percentile.

The percentile at which the historical minimum price will be selected.

Override number of time periods to consider when finding historical min & max prices.

The number of weeks to consider, relative to the history end date, when calculating the minimum and maximum historical prices.


After you have finished entering the anchor and minimum and maximum price parameters, commit and save the workbook. Before continuing to the Analysis and Approval Task, run the apcrpo_batch.sh script. This batch program includes a sequence of scripts that take the historical inputs and the parameters you set up as inputs to calculate the price elasticities. For more information, see the Oracle Retail Analytic Parameter Calculator for Regular Price Optimization Implementation Guide.