1.3.4.3. Encoding Derived Contracts

The last type of contract managed by Scrigno are Derived Contracts. This term refers to all those tariff plans in which the associated prices, differently from other rates, are automatically calculated by the system, according to a variation % value, or a fixed value.
In this type of contract, the modification of the price is possible only by modifying the original contract it derives from.
Any other substantial modification made to a derived price list (e.g. the % difference) does not affect the stay calculation of the reservation inserted up to that point, but is active only for the following incoming reservations.
Videos showing the general procedure of creation of derived contracts, summarising all the necessary steps, are available at section How To & FAQ.
The encoding of a derived contract requires the filling in of the following fields, available in the CONTRACTS basic table:

1. To proceed with the insertion of a New Contract
   Click the insert button.

2. Specify the Tariff Group in which to include the new contract
   Each contract must be included in one of the existing macro categories of rates.

3. Encoding a Contract Code
   Each contract must include an identification code. It cannot consist of more than 5 characters, alphanumeric.

4. Describe the Contract
   All contracts include a brief description.

5. Specify the Display Order for the selected Contract
   Each contract is associated with a display order number, which is kept in the relating F9 list of values.

6. Specify the Hotel facility for which the contract must be valid (F9)
   All contracts can be applied only to one single hotel facility.

7. Link the Range or the Calendar Dates to the contract (F9)
   We remind from the beginning that only two contracts including the same periodicity (time range) can have a derivative relationship. Thus, select from the F9 list the same seasonality used by the contract from which you wish to derive the price.

8. Specify the Market segment the contract refers to (F9)
   Each contract presupposes a basic market of destination.
   Tick the check box Binding only if the item selected for the Market field is the only one to be correct and pertaining to the contract in question.

9. Specify the pertaining Channel (F9)

10. Contract Information Notes
    For each contract, it is possible to write brief information notes that can be viewed by users also in the reservation by clicking the specified button shown next to the contract. (See the picture at note 13 at section Encoding traditional contracts).

11. Specify the Invoicing Type
    Scrigno contracts can include two different methods for charging the stay:

• ‘Daily’ method: The system charges every night the amount relating to the current stay date.
  Every night, the total amount charged on the customer bill corresponds to the production value of the room.
  If you wish this type of invoicing, leave the field ‘blank’, as shown in the following picture.
  
• ‘All at the check-in’ method: the system charges the total amount estimated for the whole stay already during the check-in.
  For reservation files including contracts with ‘single charge at the check-in’, the total amount of the stay charged on the bill on a specific date never coincides with the room real production value registered by the system on that day.
  Frequently, in the presence of contracts including ‘Single charge at the check In’, discrepancies between the total amounts appearing on the printouts relating to the ‘amount charged’ and those proposed by the printouts of ‘production’ are justified, as they calculate in different moments the total value of the same reservation: the amount charged quantifies the total revenue already during the first day; the room production, instead, is considered by relating date, and reaches the total amount charged only with the closure of the last night of stay.
  If you wish this type of invoicing, proceed as shown in the following picture.
  

12. Specify the Contract Code from which the price is to be derived (F9)
    Each derived contract must depend on another contract including the same seasonality or time range.
    If the derivative relationship has to exist only for a specific accommodation, specify it in the appropriate field.

13. Specify the Price Variation to be calculated according to the Basic Contract
    The price variation that a derived contract can have with respect to another contract might be represented by a % or a fixed value.
    Insert the variation value with a negative sign (e.g. -15 %, – 10, 00 euros) where the derived contract price must be discounted with respect to the original rate.
    Insert the variation value with a positive sign (e.g. +15 %, + 10, 00 euros) where the derived contract price must be raised with respect to the original rate.
    The system will calculate the la surcharge/discount by room or by person, according to the type of quotation applied to the original contract.

14. If necessary, diversify price variations by Treatment type
    Treatment fields might be useful for diversifying in the derived contract the calculation of the surcharge/reduction, according to the treatment type in question.
    From the example shown here, it is possible to infer that the derived contract always depends on the BAR / BB price list, with this specificity:

• In the case of BB accommodation, it calculates -10% compared to the RACK / BB price list.
• In the case of RO accommodation, it calculates -20% compared to the RACK / BB price list.

15. For derived contracts including a daily time range, provide also the specifications 1 included in the WEB tab:
    All contracts derived from daily contracts must be marked as shown in the picture.
    

16. For derived contracts including a daily time range, provide also the specifications 2 included in the WEB tab:
    In Scrigno, reservations with derived daily rates can or cannot be modified, according to the contract. According to the option selected here, we will obtain the following results in the reservation:
    

• The reservation cannot be modified:
  Reservations with this type of contract cannot be modified, neither stay dates nor occupation details (price and conditions are frozen).
• It is possible to make any type of modification, except for the contract:
  Reservations with this type of contract can be entirely modified, except for the rate code used.
• It is possible to make any type of modification:
  Reservations with this type of contract can be entirely modified.

17. For derived contracts including a daily time range, provide also the specifications 3 included in the WEB tab:*
    In a reservation including a daily contract, the estimate of the stay can be viewed in two ways: by viewing the details relating to each day or by a single total solution. The user must specify which option must be activated for the newly encoded contract:

• Contracts with daily detail of the applied rate. For this option, tick the check box next to the item ‘Daily Rate’, as suggested in the following picture:
  
  
  For reservations using this type of daily contract, the user can correct the rate for a single night, by modifying the Stay Variations form, and applying the discounts needed for each night of the stay.
  
• Contracts without the daily detail of the applied rate: For this option, do NOT tick the check box next to the item ‘Daily Rate’, as suggested in the following picture:
  
  
  For the reservations made with this type of daily contract, the user can make corrections / apply discounts on the total amount of the stay.