What is Oracle Incentive Compensation (OIC):

Overview:

Sales jobs have a significant, measurable impact on the revenue of your business. Keeping your employees motivated and happy is very important for the long-term health of your enterprise. Oracle Incentive Compensation plays a part in determining cash and other tangible rewards. You can use Oracle Incentive Compensation to pay employees, partners, customers, and any non-employee role.

Key terms Used in building compensation plan within OIC Module:

• Products are user-defined categories of sales for which your organization awards compensation. Each product represents a different kind of sale for which your organization pays compensation. Classification rules are used to determine the event eligible for compensation and the basis of calculation.

• Formulas determine how the compensation will be calculated.

• Rate Tables are the part of a formula that determines the rate at which achievements is compensated. Rate dimensions are the structural part of a rate table to which values are added.

• Expressions are interchangeable, reusable parts that are used as input and output expressions of formulas, in expression-based rate dimensions, and in performance measures.

When the compensation plan is assigned to a resource then the data is stored in

CN_SRP_QUOTA_ASSIGNS. In this table we have target, payment amount and performance goal.

When setting these values for a specific period, the data goes into

CN_PERIOD_QUOTAS.

When setting these values for a specific period for an individual resource (Sales rep), the data goes into CN_SRP_PERIOD_QUOTAS.

There are numerous columns which derive their values from the above columns, they can be identified by the inclusion of an ITD or PTD flag in the column name.

ITD= Interval To date. (Interval is nothing but the time frame.)

PTD=Period TO Date. (Year is taken as period.)

Plan Administrator is responsible for creating and maintaining the compensation plan.

Once you assign effective start date and end date to a compensation plan we can assign it to multiple sales roles.

• When we want to compensate a resource more than once for a transaction then we have to use "Product Overlap" check box. 
  For example, you may have two plan
  elements, with one used to calculate a monthly commission and the other used to
  calculate a quarterly bonus.

• When you enter a sequence number for multiple plan elements, this tells the
  application the order in which to process the plan elements. Sequencing of plan
  elements is important when one plan element relies on the calculation results of
  another.

Components used to build a compensation plan should be within the start and end date for that plan.

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