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Base to Net Pricing Playbook

Chapter 9: Non-Standard, RNSD, and GPN

Pricing Transformation Enablement


Jennifer Hagwood | Vicki Blankenship
November 2015
How to Use the Playbook
Each Chapter contains the same introductory slides for your reference. From the List of
Chapters and the Chapter Contents pages, you can follow hyperlinks to other chapters or
sections within the current chapter respectively:

Slide 3: List of Playbook Chapters that can be used to link to any other chapter of the
playbook.
Slide 4: Pricing Process Landscape and where the chapter topic fits within the landscape
(a “you are here” map within the process)
Slide 5: Top 20 terms provides quick reference to the top 20 pricing terms used
throughout the playbook without having to leave the chapter and open the full glossary
Slide 6: Chapter Contents with links to quickly jump to the contents of the chapter. For
example you can click on “how-to” and jump to that section

Please note that this document is for internal purposes only and will be
updated regularly to reflect the current pricing process & landscape.
Base to Net Pricing Playbook
The purpose of the playbook is to provide a simplified ‘user guide’ for pricing that describes the key
concepts, process, policies and resources to conduct base to net pricing activities for products and
service. This playbook reflects the current pricing process & landscape.
Scope: Pricing Process Landscape

Scope of Effort: Base to Net Price


1. Base Price 2. Base Multipliers 3. List Price 4. Discounts 5. Post Sales Adjustments

5.1 Create &


approve Channel
Rebates, Contra

5.2 Process & Pay


DART Rebates

5.3 Backend Credits


& Rebates

5.4 Finance
analytics
Pricing Terminology
Top 20 Most Common Pricing Terms Used in this Playbook
• Overview & Key Concepts
• Process Description & Flows
• How to Guide

Chapter •

Key Systems
Business Rules

Contents •

Policies
Governance Process
• RACI & Contacts
• FAQs
• Resources
Overview & Key Concepts
Overview of Standard Deal
Non-Standard, RNSD and GPN

• A standard deal is an agreement which is based on Cisco’s standard business practices, Cisco’s
standard Terms and Conditions and standard discounts such as certification and/or contractual
discounts. Any hardware, software, training, or services offers must be orderable in a current Cisco
Global Price List and the functionality and warranty should be defined per standard published
specifications.
• For a deal to be considered a “Standard Deal” it must conform to:
• Cisco’s standard business practices (must apply)
• Cisco’s standard terms and conditions (must apply)
• Standard (i.e. contractual or certification) discounts must apply (including standard Programs and/or Promotions
and/or incentives offered through Discount Central that are designated as standard)
• Products manufactured/software licensed by Cisco
• All Hardware, Software, Training or Services must be on at least one standard Cisco Global Price List
• Manufacturing must be per standard published specifications
• Warranty must be per standard published specifications
Overview of Non-Standard Deal
Non-Standard, RNSD and GPN

• A Deal is Non-Standard when that deal falls outside of the Standard Deal business definition such
as:
• Pricing and Discounting do not meet qualifications of Standard Deal
• Joint Deal between Cisco and an Acquisition
• Flagged as Reusable Non-Standard Discount (RNSD) deal
• Deal has revenue recognition issues and/or requires revenue transfers
• Net Services on the deal are >$3M USD
• Contains retroactive terms or discounts for products and/or service. (Service Duration Rules as
outlined in the Global Bookings Policy)
• Contains Most Favored Nation (MFN) / Most Favored Customer (MFC) Pricing or Pricing
Benchmark clauses
Overview of Non-Standard Deal cont.
Non-Standard, RNSD and GPN

• A Deal is Non-Standard when that deal falls outside of the Standard Deal business definition such as:

• Multi Year (MY)/Agreement Duration - multi year deal/agreement period exceeding 36 months in duration is
considered non-standard with the exception of the following:
• Products and/or services already orderable in Cisco’s current price list which include a term/duration > 36 months (e.g.
UCSS, IronPort, WebEx, etc.)
• Technical Support Services-TSS (including software within the TSS business) which is standard up to 60 months. This
refers only to services exclusive to TSS so this excludes Combined Services. (Refer to the Services Portfolio content for
clarity on services.)
• When the coverage term for Cisco non-transactional service has a duration <12 months and does not meet the exception
criteria as documented in the Global Bookings Policy.

• Sweeps Provisions which may also include Net Fixed Price (NFP) Arrangements

• Deal includes Program or Promotion concessions or adjustments beyond what the standard Program or Promotion
allows. Example of this is: Incremental or ‘up-lifted’ Cisco Technology Migration Program (TMP) monetary
allowances/credits

• Note: It is important to understand the elements in the deal to ensure the proper reviews are done by Finance and
Revenue prior to the deal being approved.
Overview of Reusable Non Standard Deal (RNSD)
Non-Standard, RNSD and GPN

• An Reusable Non Standard Deal is a Non-Standard Deal with discounts that can be used multiple
times over a specified period.
• Customer specific discount that is applied to configured BOMs, specific SKUs, Product Families or
Service list pricing typically for re-use on transactional quotes for a specified period of time.
• Cisco initiated deal formally called Blanket DSA, Frame Agreement, Pricing Letter or Run Rate Deal
• Behaves like a short-term standard price but is always considered Non-Standard and must be
documented and approved in My Deal Manager (MDM) as an RNSD deal.
• Provides an option of allowing pricing (in Sales Force.com -SFDC) “At or Below”, the approved
discount level on the quotes/ orders (i.e. Back-pocket discounts)
• One key difference (not the only difference) between an RNSD and a Transactional Discount is that
an RNSD is not restricted by quantities that may or may not be indicated in the approved deal.
RNSD Quote vs. Transactional Quote
Non-Standard, RNSD and GPN

RNSD Opportunity / Transactional Opportunity /


Capability
Quote Quote

Request blanket discount 

Requires approval by Commercial Finance  

At or Below discount option (enable dial down or not) 

Detailed configured BOM (Bill of Material)  

Dial down if RNSD is not communicated to partner 

 RNSD transactional quote would not normally require approval (if there are NO additional NS Terms or other
concessions)
Global Partner Network Definition
Non-Standard, RNSD and GPN

Enable Partners to serve the global needs of


their customers beyond the Partner’s geographic presence…
…by leveraging capabilities of other Cisco Partners

Global Global Engagement + Local Delivery = GPN


(of a customer) (coordinated for the customer)
Partner
Network
A global commerce model that leverages a partner-
driven deal execution framework.
Overview of Global Partner Network
Non-Standard, RNSD and GPN

Global deal
A framework “container” used to manage a number of related local deal
components.

Local deals
Are components of the global deal and provide the local orderable deal
ID for a particular landing country customer site.
Overview of Global Partner Network (GPN)
Non-Standard, RNSD and GPN

• GPN enables Partners to serve the global needs of their customers beyond the Partner’s
geographic presence by leveraging capabilities of other Cisco Partners
• GPN deals are deals initiated by a Partner (referred to as the ‘Host’ Partner) using GPN
functionality in CCW (Cisco Commerce Workspace). The Host Partner will first create a GPN
Global Deal that will be considered standard or Non-Standard (NS) based upon the following:
• NS: If NS discounts or NS terms are requested, the deal will be routed to an xAM for completion and then
submitted to MDM for NS deal approval.
• Standard: If the partner does not request NS discounts or NS terms, the GPN Global Deal is considered
‘standard’ and it will not require NS deal approval in MDM.

• Once the GPN Global Quote/ Deal is approved, the host partner will create GPN Local Deals,
leveraging the approved GPN Global Deal. Regardless of whether the GPN Global Deal is NS or
standard, the Local Deals will all be considered standard as long as there are no additional
concessions or NS terms added. A standard Local Deal will not be submitted to MDM for additional
NS deal approval.
Overview of Global Partner Network
Non-Standard, RNSD and GPN

• Key Points about GPN:


• Local Deals do not need to go through the Non-Standard Deal Approval process thus reducing the need for
additional approvals beyond the Global Deal approval process
• GPN discounts are stored in EDMS as Pull Discounts (a Deal ID is required at Order Process to “pull” discounts
stored in EDMS for order entry)
• GPN Discount Approval is similar to Global Deal Approval Process and GPN discounts are automatically applied
to Local Deals
• Discount Normalization can be done prior to approval
• There are no Service Discounts for GPN Deals
Process Description
& Flows – Non-Standard
Non Standard Deal Process Flow
Quote Approval Order
Customer
Place Order
Start
Partner Initiate Quote Request
Identify Partner Deal Non-Standard
or Quick
Customer Share Quote with
Quote
AM

Account Start Notify Dial Down &


Initiate Request Non-

Validatio
Manager Notify

Order
Identify Quote Standard Qualify &

n
Customer Configure & Qualify & Submit submit for
Price for Approval
approval
Sales & Review &
Service Approve
Information
Reporting

information,
Transaction
bookings
Management Non-Standard

Actual
Commercial
Finance

Reporting &
Transaction Tools
Commercial Finance Role: After Deal Submitted
Non-Standard, RNSD and GPN

Commercial Finance Role for Non Standard Deals, after the deal is submitted:
• Ensure margins are sound and deal is profitable for Cisco
• Validate requested discounts against other deals for this customer and other deals
offering same product / offering
• Summarize deal elements and financials in Deal Summary tab
• Identify any potential revenue recognition issues and flag in deal
• If revised deal, summarize financials and changes from prior approved deal
• Engage Assurance as required (e.g. Legal, Corporate Revenue, BU)
• Provide creative/alternate solutions to non-standard deals; Strategize and position
deals with internal stakeholders and customer
Commercial Finance: Deal Review Process
Non-Standard, RNSD and GPN

Questions Commercial Finance may ask about Non-Standard Deals:


• Deal strategy and reason for non-standard discount
• Does the deal volume support the discount
• How Account Team developed the pricing strategy
• e.g. Varying discounts, straight line, past deals, FOCOM, BU
• Can Account Team offer one time incentive credit, Trade-in credit, CTMP, etc. versus additional
discount?
• How does deal align with other deals for similar customers and volume?
• Is it one time deal? Can we keep it contained?
• What are the standard and gross margins?
• Competition – how are we positioned against competitors?
• Are there Fair Market Value (FMV) transfers, if required
• When are bookings expected – if commit or upside to forecast
Process Description
& Flows – Reusable Non-
Standard Discount
Reusable Non Standard Deal Process Flow
Scenarios - When would xAM flag deal as RNSD?
Non-Standard, RNSD and GPN

Long Term deal ordered over long period of time


and / or
Multiple Partners involved
and / or
Variable Discounts
and / or
Different Solutions for Different partners
and / or
Do not have exact solution (BOM) upfront
RNSD – Discount Setup in EDMS
Non-Standard, RNSD and GPN

* Would be PUSH discount

* Would be PULL discount


Customer Specific Discounts – Push vs. Pull
Non-Standard, RNSD and GPN

PUSH PULL
Almost all other discounts in EDMS are ‘PUSH’ ‘PULL’ Discounts - Customer specific discounts
Discounts i.e. a deal id is not required on the that will only be considered for use on a
transaction in order for the discounts to be transaction if there is a non-standard deal id on the
considered quote/order

Examples: Example:
• Contract / Pricing Agreement Discounts • Reusable Non-Standard Discounts (RNSD)
• Criteria Based Discounts • Global Partner Network Discounts (GPN)
RNSD Transaction Process Flow
RNSD Transaction Quote

Phase
AM/Partner

Create a RNSD View Enter /Discounts Submit Quote for


Transaction Deal and (Display warning incase Review Approval/Enable
Specify items of validation errors) Quote for Ordering

Apply or Validate Discounts


for RNSD’s No Order is Booked

Validate the End Customer Quote is marked as


Approved
System

Validate the Reseller in APJC


Raise tasks and
Validations apply Discount
Validate the Pricelist Yes
Required? Hold on the
Order

Validate the Intended Use


Partner

Read all the Validaton


Submit the Order
Create Order from Errros from Quote
after filling in the
Approved Quote including the existing
required details
attributes

Follow the validations


CPE

Release the Discount Hold


required on Order as per the
after validation is complete
tasks
Process Description
& Flows – Global Partner
Network (GPN)
Global Partner Network Process Flow
Non-Standard, RNSD and GPN
GPN: What it Does and Doesn’t Do
Non-Standard, RNSD and GPN

GPN Does GPN Does not


• Help you address global customers • Allow you to directly sell Cisco products
needing centralized design and purchase outside your contracted territory
decisions
• Enable you to compete for business not
• Enable you to extend your geographic controlled by customer headquarters
reach through collaboration with other
partners • Provide efficiency for single ad-hoc deals

• Provide an efficient global deal • Solve all issues related to transacting


management process global business

• Work best for accounts that have


strategic road-maps in place
How-to Guide – Non Standard
How to Create a Non Standard Deal – High Level
Non-Standard, RNSD and GPN

• Request Non Standard discount


• xAM (an account manager) creates an opportunity in Sales Force.com (SFDC), if the deal
belongs to direct customer/ partner, a quote and deal id is created
OR
• Partner can create deal in CCW and request non-standard by engaging local CAM/ xAM on the
deal. The xAM will then pull the CCW deal/ quote into Sales Force.com
• Incremental non-standard discount can be added at line level or at the quote level
• xAM completes the deal qualification process
• Non-standard deal is submitted for approval in My Deal Manager (MDM)
• Commercial Finance reviews and re-packages the deal (as needed) and submits it for
assurance/approval
• Assurors review and Approvers can approve or deny the deal
• Customer/ Partner places an order with approved non-standard discount found in MD
SFDC – Create Transactional Quote
Non-Standard, RNSD and GPN
CCW – Create Transactional Quote
Non-Standard, RNSD and GPN
My Deal Manager – Approving Non-Standard
Non-Standard, RNSD and GPN
How-to Guide – RNSD
How to Create an RNSD – High Level
Non-Standard, RNSD and GPN

• Setup Reusable Non Standard Deal


• xAM (an account manager) creates an opportunity in Sales Force.com (SFDC), if the deal
belongs to direct customer/ partner, then an RNSD can be created by selecting “Quote Type” as
“Reusable Non-Standard Quote”
• Deal Qualification form is then completed
• Finally, xAM submits the RNSD for approval in My Deal Manager (MDM)
• Commercial Finance reviews the deal and submits it for assurance/approval
• Assurors review the deal and Approvers can opt to approve or not
• Approved RNSD discounts are setup in the EDMS tool automatically (note: RNSD flag must be
selected for the update into EDMS to be triggered)
• Customer/ Partner creates transactional quote referencing the RNSD deal id and it is auto
approved
• Customer/ Partner can then convert transactional quote/ deal to an order
SFDC – Create RNSD Quote
Non-Standard, RNSD and GPN
SFDC – Create RNSD Discounts
Non-Standard, RNSD and GPN

Note: In an RNSD transactional quote, the discount for configurable product is applied to their spares even if the RNSD
specifies the discount for the configurable product and vice versa
SFDC - Submit RNSD Deal
Non-Standard, RNSD and GPN

Decisions on “At or Below”


determines whether
discount is ‘Push’ or ‘Pull’
in EDMS
CCW - RNSD Identification Flags
Non-Standard, RNSD and GPN
EDMS Discount Search by Partner/Customer
Non-Standard, RNSD and GPN

Reusable Non-standard Discount (RNSD) deal is setup in Enterprise Discount Management Solution (EDMS)

Click on the account


link to view account
details page
EDMS – Specific Discount Details Search
Non-Standard, RNSD and GPN

Related
Discounts
Types
Click
Discount ID
to view
details
EDMS – Partner Entitlement to Customer RNSD
Non-Standard, RNSD and GPN
How-to Guide – GPN
How to Create a Global Partner Deal – High Level
Non-Standard, RNSD and GPN

• Setup Global Partner Network Deal


• xAM (account manager) creates an opportunity in Sales Force.com (SFDC), if the deal belongs to direct
customer/ partner, a quote and deal id is created
• Line items and discounts are added to the quote/ deal
• xAM completes the deal qualification process by selecting the non-standard term “Global Deals / Multi - Theater
Deals” in the qualification form
• The “Global Deal in Originating Theater” option is selected and a list of local sites/ countries is added in the
comment section
• Non-standard quote/ deal is submitted for approval in My Deal Manager (MDM)
• Commercial Finance reviews deal and submit it for assurance/approval
• Assurors review the deal and create notes for approvers/ Approvers can opt to approve or not
• Approved global deal is communicated to the xAM for local quote creation
Note: Global deal ids cannot be converted into an order (i.e. non-transactable)
How to Create and Use a Local Deal – High Level
Non-Standard, RNSD and GPN

• Setup Local Deal based on approved GPN


Once Global Deal has been approved:
• xAM (account manager) creates quote/deal in Sales Force.com (SFDC)
• Line items and discounts are added to the quote/ deal
• xAM needs to complete the deal qualification process and select the non-standard term “Global Deals / Multi
- Theater Deals” in the qualification form
• The ‘Local deal in participating theater’ flag should be checked in the follow-up section the Global Deal id
should be noted in the comments section
• The deal is marked as non-standard and when submitted will be routed to commercial finance for approval in
the My Deal Manager tool
Note : The Global Local deals cannot contain any product/service components or any non-standard terms that are not included in
the Global Deal
• Once the local deal is approved, orders can be placed using the local deal id
GPN: 5 Step Deal Management Process
Non-Standard, RNSD and GPN
GPN: Step 1 - Deal Planning
Non-Standard, RNSD and GPN
GPN: Step 2-Global Deal Registration in CCW
Non-Standard, RNSD and GPN
GPN: Step 2-Creating Global Deal in CCW
Non-Standard, RNSD and GPN

Next steps include adding Line Items and Special Pricing Requests to Deal – standard processes
SFDC – Global Deal Flag and Comments
Non-Standard, RNSD and GPN

Deal Qualification Form – showing Global Deal non-standard term


GPN: Step 3- Deal Approval Process
Non-Standard, RNSD and GPN

Deal Process outlined in Cisco Commerce Workspace Deal Creation Training


GPN: Step 4- Local Deal Creation Process
Non-Standard, RNSD and GPN

Note: If the Buy Method is Cisco, discounts will be displayed on the Discounts & Credits tab. SKUs present on the Global Deal ID will
receive the Global discount and SKUs that are not present on the Global Deal ID will receive the standard discount
GPN: Step 4- Local Deal Creation in CCW
Non-Standard, RNSD and GPN
GPN: Step 4- Local Deal Creation in CCW
Non-Standard, RNSD and GPN

SKUs present on the Global Deal ID will receive the Global discount and SKUs that are not present on the
Global Deal ID will receive the standard discount
SFDC – Global Flag and Local Deal Comment
Non-Standard, RNSD and GPN

• Deal Qualification Form showing Local Deal non-standard term


GPN: Step 5- Local Deal Execution
Non-Standard, RNSD and GPN

Note:
• Using Local Deals for Transactions
• Local deals are used for ordering in the theater / legal entity they cover.
• Local deals cannot be used if the global deal is canceled, expired, or terminated
Key Systems
Key Systems
Non-Standard, RNSD and GPN

• SalesForce.Com (SFDC) – Access Required


• Cisco Commerce Workspace – Access Required
• Enterprise Discount Management Solution – Access Required
• My Deal Manager – Access Required
• Deal Check Point – Access Required
Business Rules
Business Rules for All Types of Non Standard
Non-Standard, RNSD and GPN

This section provides non-standard business rules that are applicable for Non-Standard,
RNSD and GPN
• The level of approval within each respective role (e.g. RM or OD for Product Sales; Client Service
Manager or Area Service Director for Service Sales; Commercial Finance Solutions Executive
(CFSE) or CF Geo Director for Field Finance) is determined by the local Geography (‘Geo’) Sales
and Finance organizations with respect to discounts/pricing, and in accordance with the NS Term
Approval Matrix for all other NS terms and conditions.
• Almost all NS Deal approvals will remain within the local Geo for approval. However, a small
number of specific deals will require approval outside the Geo, from a Functional Zone Approver.
• If a Partner or Customer (Direct only) requests written/electronic confirmation of approved non-
standard pricing/discount and/or non-standard terms and conditions, the Approved Deal External
Communication Process must be followed as per the guidelines on the Cisco Corporate Finance
webpage
Non Standard Deals – Business Rules
Non-Standard, RNSD and GPN

• NS Deals must be approved using the MDM tool/system unless otherwise indicated.
• NS Deal approvals must follow the Empowered Deal Engagement Model (EDEM)
unless otherwise approved as an exception. Under the EDEM, three functions serve
as approvers on NS Deals:
• Services Sales; Product Sales; and Finance.
• Services Sales is an approver on NS Deals that include services and
• Product Sales is an approver on NS Deals that include product.
• Field Finance is an Approver on NS Deals, subject to pre-established pricing/discount levels.
• In addition, there is a single approver for each of the approving functions (formerly known as One Approver
Per Function or OAPF) which is identified on a per deal basis and based upon the requirements

• Routing rules are maintained by theater


• NS deals cannot contain a single discount at the ‘All Products’ level and instead must
utilize discounts at Base Discount Category level (see Chapter 3 - Base Discounts )
Non Standard Deals - Business Rules
Non-Standard, RNSD and GPN

• Non-Standard Discount (NSD) Max Threshold Discount: Discounts cannot exceed


100% on any line
• “ALL Product” and “ALL Service” discounts are no longer allowed. These are replaced
by discounts for Base Discount Categories (All Compute, All Core, All Market, All Net)
• All SKU’s associated with an RNSD MUST be available on a Cisco Price List (i.e. No
Miscellaneous or Futures)
• Multi-year contract period exceeding 36 months and/or ‘other’ terms are allowed on
RNSD Global Deals when used for operational purposes, co-term, currency or
governing law
RNSD Business Rules
Non-Standard, RNSD and GPN

Approval Guidance - RNSD:


• Use RNSDs only if orders will be processed through automated systems of Full Buy-Sell (Type
5) legal entities
• RNSD deals for legal entities where ordering and other related processes are handled manually
will be rejected (i.e. Bridge entities)

• Discounts for Product Base Discount Categories (All Compute, All Core, All Market, All
Net) can be included only if there is a corresponding legal signed contract specifying a
single discount for that category, without any exclusions.
• All SKU’s associated with a RNSD MUST be available on a Cisco Price List (i.e. No
Miscellaneous Lines or Futures)
RNSD - Usage Guidelines
Non-Standard, RNSD and GPN

• RNSD can be used for: • RNSD cannot be used for:


o Products Only o Joint Deals
o Technical Services (TS) Only
o Products with associated Technical Services
o Global/ Multi Theater deals • RNSD may NOT include:
• RNSD may include: o Non Standard Terms and Conditions
o All Products, All Services
o Product SKUs
o Special Line Items (i.e. Miscellaneous Line Items)
o Product Subscriptions
o Advanced Services, Subscription Services
o TS SKUs exclude Focused Technical Support
Services o Additional Credits
o Product Family SKUs (may request to add SKU level o Products/ Services Futures
details where deal profitability and risk assessment o Try & Buy
is not possible at product family level )
o Trade-Ins
o TS Service Level, Combined Services, Learning
Credits, Blind Discounts and Conditional Rebates o Cost Relief
Global Partner Network Business Rules
Non-Standard, RNSD and GPN

• GPN may contain Multi-year contract period exceeding 36 months and ‘Other NS
Terms’ only when used for operational purposes, co-term, currency, or governing law.
Note: Restrictions may apply if the review of the reason for ‘other’ non-standard term
identifies revenue impacts
• Approval Guidance - GPN:
• Use GPN Global deals only if orders will be processed through automated systems of Full Buy-
Sell (Type 5) legal entities
• Reject GPN Global deals for legal entities where ordering and other related processes are
handled manually (i.e. Bridge entities)
• Deal will be treated like a new deal and approvals will be based on the current policy
• GPN (Global Partner Network) deals are partner initiated global deals that will be fulfilled through
Local Deal for Cisco Full Buy-Sell (Type 5) legal entities.
Note: Per policy, GPN parent deals cannot be Multi Element Arrangements and they cannot contain NS terms with
revenue recognition implications. Therefore, Global GPN parent deals do not require the revenue recognition flag to
be checked and they do not need to be routed to Corporate Revenue
GPN Usage Guidelines
Non-Standard, RNSD and GPN

• Allowed on GPN Global Deals: • GPN cannot be used for:


o Products SKUs – SKUs must be on price list o Joint Deals
o Technical Service (TS) Only
• GPN may NOT include:
o Products with associated TS
o Non Standard T’s and C’s**
• Global Deals may include: o All Products
o Product SKUs o All Services
o Product Subscriptions o X as a Service (XaaS)
o TS SKUs excludes Focused Technical Support
Services
o Subscription as a Service (SaaS)
o Product Family SKUs o Advanced Services Subscription
o TSS Service Level o Advanced Services Transaction
o Combined Services o Standalone FTS/ TS Advantage
o ‘Multi-Year (MY) contract periods exceeding 36 o Futures
months’
o ‘Other NS Term’ only when using for operational
o Any NS terms other than those used for
purposes or for ‘Co-term’, ‘Currency’, and/or operational purposes or for ‘Co-term’, ‘Currency’
‘Governing Law’ and/or ‘Governing Law’
Policies
Policies
Non-Standard, RNSD and GPN

• Non-Standard Discount Policy


• Global Bookings Policy
• Policy Central
Governance Process
Non Standard Deal Governance Process
Non-Standard, RNSD and GPN

• At high level, Non-Standard Deal Governance process includes:


• Review and re-package of non-standard, RNSD, Global & Local deals, if
required and only by Commercial Finance once deal submitted
• Appropriate set of approvers are added to the deal upon submission based
on the deal thresholds defined in the routing rules
• Requirement that appropriate assurors are added to the deal if assurance is
required, for example:
• Corporate Revenue team is added as assurors for all deals that have
revenue implications
• Legal team to be involved as assurors on the deal when legal
implications are identified
RACI & Contacts
RACI & Contacts
Non-Standard, RNSD and GPN

Product/
Step Systems R - Group A - Group C - Group I - Group
Service

Varies by:
- Deal Type
- Theater/Geography
- Other Approval Rules

Commercial Finance Contact: Diane Whitty (dwhitty@cisco.com)


FAQs
FAQs
Non-Standard, RNSD and GPN

1. What are different NS deal types that require approval in MDM?


2. How can Non-Standard discounts/pricing be requested?
3. How will a partner know if the deal has been approved for an incremental discount?
4. Will modifications made to a quote-converted-order (prior to order submission)
require the quote to be reapproved?
5. How are RNSD quotes created?
6. Is it necessary to create transactional quotes against RNSDs?
7. Who approves RNSDs and why do they require approval?
8. Can partner-initiated deals be converted to RNSDs?
FAQs
Non-Standard, RNSD and GPN

9. Can partners transact against an expired deal in CCW?


10. Do transactional quotes referencing an RNSD require additional approval?
11. How are RNSDs used for Distributor transactions?
12. When transacting business with RNSDs in CCW, does the price list selected on an
RNSD quote have to match the price list associated with the corresponding order?
13. Why is Commercial Finance involved in RNSDs?
14. Are global deals allowed on an RNSD?
15. What is the difference between choosing “At or Below – Yes” versus “At or Below –
No”?
16. Can I apply non-standard discounts to line items in an RNSD quote that do not have
the RNSD discount applied to them?
FAQs
Non-Standard, RNSD and GPN

17. What is the Global Partner Network?


18. Are there any product restrictions with GPN?
19. What process should a host partner follow when managing a GPN global deal?
20. What implications does GPN have for Cisco incentive programs?
21. How does GPN work for nonstandard pricing deviations?
22. What is a global deal?
23. Can discounts on local deal be higher or lower than global deal?
24. What is a local deal?
FAQs
Non-Standard, RNSD and GPN

1. What are different NS deal types that require approval in MDM? There are multiple types of Non
Standard deals that require approval in MDM: Transactional Deals, Reusable Non-Standard
Discount (RNSD) Deals, Global Partner Network (GPN) deals, Global Deals.

2. How can Non-Standard discounts/pricing be requested? If the requestor is a “Partner”, they will
have to share a configuration or quote with their assigned xAM/CAM. They must request a Non-
Standard discount which the xAM processes through SFDC and assigns to the partner.

3. How will a partner know if the deal has been approved for an incremental discount? If the quote
status is approved, the incremental discounts will be visible in the Quote Review/Submit tab.

4. Will modifications made to a quote (prior to order submission) require the quote to be reapproved?
As long as there is no material change in the net total price, a partner/xAM can change the
configuration. For material changes that impact pricing, the quote will need to be sent for re-
approval.
FAQs
Non-Standard, RNSD and GPN

5. How are RNSD quotes created? The quote type is selected at the beginning of the quote creation
process. ‘Reusable Non-Standard Quote’ should be selected as quote type to create an RNSD.

6. Is it necessary to create transactional quotes against RNSDs? A transactional quote is only


required if a partner wishes to order through distribution using the RNSD discounts, or if the
partner specifically requests a transactional quote from the Cisco xAM. The partner can chose to
simply create an “Order” in CCW.

7. Who approves RNSDs and why do they require approval? RNSDs need approval since they are
created through the non-standard process, for a specific period of time and are used as a
standard discount (multiple orders). Commercial Finance will review RNSDs based on standard
discount thresholds.

8. Can partner-initiated deals be converted to RNSDs? No. Only Cisco AMs can create RNSDs in
Salesforce.com. Partners can, however, submit requests for Global Partner Network (GPN) deals.
GPN deals are partner initiated global deals that will be fulfilled through local Cisco business
entities. GPN deals are subject to similar approval guidelines as RNSDs
FAQs
Non-Standard, RNSD and GPN

9. Can partners transact against an expired deal in CCW? No. The RNSD duration is set by the AM
on the nonstandard qualification form. Partners cannot transact against an expired deal in CCW.

10. Do transactional quotes referencing an RNSD deal require additional approval? No.
Transactional quotes referencing an RNSD deal will not require additional approval unless
additional non-standard terms or credits are added to the transactional quote.

11. How are RNSDs used for Distributor transactions? Cisco xAM (account manager) can supply the
RNSD ID to a distributor. SKUs from the RNSD are entered on the order in CCW and the RNSD
discounts can be applied depending on RNSD setup within the system.

12. When transacting business with RNSDs in CCW, does the price list selected on an RNSD quote
have to match the price list associated with the corresponding order? Yes. Per Cisco RNSD
policy, the price list selected on an RNSD quote has to match the price list associated with the
corresponding order.
FAQs
Non-Standard, RNSD and GPN

13. Why is Commercial Finance involved in RNSDs? Commercial Finance has a fiduciary
responsibility to Cisco shareholders and employees to ensure appropriate financial control and
governance and to increase shareholder value. As a result, implementing the appropriate RNSD
governance is critical because after the RNSD is approved, most orders and quotes referencing
the RNSD will not require additional approvals.

14. Are global deals allowed on an RNSD? Yes. Global deals are allowed on an RNSD.

15. What is the difference between choosing “At or Below – Yes” versus “At or Below –No”? If an AM
creates an RNSD with “At or Below – Yes,” it means the partner will be able to manually enter
discounts for relevant items when the RNSD is applied to orders or quick quotes. This option
provides the AM with flexibility to communicate a discount below or up to the maximum approved
discount without having to reopen the deal. It is also referred to as a “backpocket deal” and is
setup in the discount system (EDMS) as a “Pull” discount (pulled by Deal ID).
FAQs
Non-Standard, RNSD and GPN

16. Can I apply non-standard discounts to line items in an RNSD quote that do not have the RNSD
discount applied to them? Yes. Non-standard discounts can be added to products and services
with standard discounts on an RNSD quick quote. The non-standard discounts on RNSD quick
quotes can be applied by re-opening the existing quote.

17. What is the Global Partner Network? The Cisco® Global Partner Network (GPN) is a worldwide
partner program designed to make it easier for customers to have their complete global
requirements served by their preferred Cisco channel partner. GPN enables a Cisco channel
partner to act as the host partner in the headquarters location of the customer and provide a
globally coordinated solution to this customer. To cover the customer locations outside the host
partner’s territory, the host partner establishes a collaborative agency relationship with other
qualified Cisco partners who are enrolled in GPN.

18. Are there any product restrictions with GPN? Yes. Please see GPN section in chapter for details

19. What process should a host partner follow when managing a GPN global deal? The host partner
should follow the GPN 5-Step Deal Management process.
FAQs
Non-Standard, RNSD and GPN

20. What implications does GPN have for Cisco incentive programs? GPN does not change existing
certification or programmatic discounts achieved by partners. Current certification discounts remain
consistent within the program that currently grants the discount. Rebate programs continue to operate
under local rules and policies. Channel partners can claim rebates only on products and services that are
bought from an authorized distributor or directly from Cisco.

21. How does GPN work for nonstandard pricing deviations? GPN tools have currently automated the
transfer of programmatic and certification deal discounts from the host (global) to agent (local)
partners. The host partner is required to register the deal as a “global deal” in CCW for approval
as a GPN quote.
 For nonstandard pricing, the local deal ID (created in CCW by a host partner) will need to be submitted by
the local account manager to SFDC and submitted to My Deal Manager (MDM), where the nonstandard
discount can be approved.

22. ‘What is a global deal? A Global Deal is a deal where negotiations cover products, services,
software and/or other offerings that will be ordered in two or more theaters, for two or more legal
entities, or on two or more price lists
FAQs
Non-Standard, RNSD and GPN

23. Can discounts on a local deal be higher or lower than global deal? Discounts for a Local Deal
cannot be higher than the discounts in the corresponding global deal segment UNLESS they are
a result of a ‘push’ promotion that is systematically applied.

24. What is a local deal? A Local Deal, also known as a Child Deal, is required for each theater /
legal entity / price list combination where it will be used for ordering.
 A Local Deal cannot be used across multiple theaters

 Cannot be used across multiple legal entities

 Cannot be used with multiple price lists

 Local Deals can be Transactional or RNSDs but Global Deal MUST be an RNSD deal as well

 Local Deals cannot be created for ‘try and buy’

 Local RNSD deals cannot use “At or below” functionality

 Re-opened Local Deals must always route to Commercial Finance for approval
Resources
Resources
Non-Standard, RNSD, GPN

• Non-Standard Discount Policy


• Global Bookings Policy
• Policy Central
• CCW Central – Access Required
• My Deal Manager – Access Required
• RNSD FAQs
• GPN FAQs