Creating Revenue Contracts and Performance Obligations

To create a revenue contract:

  1. Click the Revenue Contracts tab.
  2. Click New.
  3. [Optional] Choose the Salesforce account that the revenue contract is being raised for, enter a reference and description for the contract.
  4. [Optional] Enter start and end dates for the revenue contract. If you are using forecasting, the start and end dates on the revenue contract must be set and must cover the period included by the performance obligations.
  5. [Optional] Enter a Revenue Override value if you do not want the contract's revenue value to be the sum of the performance obligation revenue values. 
  6. Complete any custom fields that may have been added to the revenue contract.
  7. Click Save.  

There are now two ways to add performance obligations and performance obligation line items to your revenue contract:

  • Using the Manage Obligations button to display one page where you can add performance obligations and link them to source records to create the resulting performance obligation line items. See Managing Performance Obligations for more information.
  • Using Lightning record pages to add performance obligations and performance obligation line items one-by-one (explained below).

Adding Performance Obligations and Performance Obligation Line Items

To add performance obligations and performance obligation line items to the current revenue contract using Lightning record pages:

  1. On the revenue contract record page, navigate to the Performance Obligations related list and click New.
  2. [Optional] For reference purposes, enter display information (such as account name) for the performance obligation. If not specified it is derived from the controlling POLIClosed A performance obligation line item which is used to populate certain fields (such as Account and Description) on the parent performance obligation. A performance obligation might have separate controlling POLIs for revenue and cost values..
  3. [Optional] Enter an SSP Override value if you want to override the standalone selling price from the source records, and an Allocated Revenue Override value if you want to override the amount of revenue allocated to this performance obligation.
  4. Click Save to save the performance obligation.  
  5. Navigate to the performance obligation that has been created, and in its Performance Obligation Line Items related list click New
  6. [Optional] Enter a description for the performance obligation line item. The description is populated from the source record if the field mapping definition used includes a mapping to the Description field.
  7. Specify the source record for this performance obligation line item. A custom lookup field should be available for you to select the source record. You cannot link a source record to more than one performance obligation line item. Note that the source record's currency must match the currency used throughout the revenue contract.
  8. Specify the Source Record Settings.
  9. Click Save. The Field Mapping Definition is populated automatically from the source record settings. You can change the field mapping definition if you do not want to accept the default.
  10. Click Update from Source. Fields on the performance obligation line item are populated according to the field mapping definition. See Supported Field Type Mappings for more information about how fields are mapped from source records.
  11. Continue adding further performance obligation line items as required.     
  12. When you have finished adding performance obligation line items, go to the performance obligation record page and click the Update Performance Obligation button. This sets the Controlling POLI fields on the performance obligation to the first performance obligation line items with revenue or cost values, and populates fields on the performance obligation with values from those line items. See Revenue Contract and Performance Obligation Fields for details of which fields on the performance obligation are populated by the controlling POLIs. If you want to set different line items to be the controlling POLIs, select them in the Controlling POLI (Revenue) or Controlling POLI (Cost) fields then click the Update Performance Obligation button.
  13. Repeat steps 1-12 to add more performance obligations to the revenue contract as required.
Note:

When working on the performance obligation record page, you cannot delete a performance obligation line item if it is the controlling POLI for revenue or cost. You must set a different controlling POLI first, or clear the Controlling POLI (Revenue) or Controlling POLI (Cost) field altogether if you want to delete all the performance obligation line items.