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How to configure and maintain the SD Customer Hierarchy? All the customizing is in SD/Master Data/Bussiness Partner/Customers/Customers hierarchy 1) Define hierarchy type: just put and ID and a name to the new hierarchy. 2) Set partner determination: if you want to user the hierarchy in price determination, then, in the orders, at the header level, you have to have a Partner Procedure with a partner function for each level. In the partner procedure, in each partner function you must indicate the source partner function. With this informacition, in the order, you obtain the bussiness partner for each partner function. 3) Assign acount groups: you indicate which accounts groups are allowed for being part or your hierarchy. 4) Assign sales areas: symple you indicate wich sales areas are allowed in your hierarchy. (Here you can customize common sales areas, just for not having to build de hierarchy in all the different sales areas). 5) Assigning hierarchy type for pricing: you indicate which classes of documentos uses hierarchy in pricing determination. It is possible to maintain so called customer hierarchies. This might be useful when for example you create a condition discount for a customer that is part of such a hierarchy structure. All subnodes in the hierarchy below that customer, will thus receive the same discount. Customer hierarchy setup, firstly decide the hierarchy type to be used. The standard is type A. You can also assign a partner function to the customer so that the higher level customer in the hierarchy is copied into a sales order as a partner function - but you don't need that right? Next assign your customer account group to the hierarchy type. And enter the combinations that will be allowed for creating the hierarchy. You want to assign a ship-to to a payer. So enter the ship to account group and enter the payer account group as the higher level.
You must also make an entry for permitted sales area assignments. So if you want to a hierarchy for customers in the same sales area then enter the sales area and enter the same one as the higher level sales area. All these settings can be found in the IMG. Under SD - master data - business partners - customers - customer hierarchy You use for example customer hierarchy when you have an company like Unilever and you agree both on a discount. Unilever does have different locations / businesses and you have to maintain the discount for all customers. If you use a customer hierarchy you can maintain the discount for the partner in the top of the hierarchy and in this way it will be valid for all customers in the hierarchy. SAP SD Tips by : Sam
When a sales cycle happen then after billing document a PA (profitability analysis) document is created in which product hierarchy is populated and used in CO-PA reporting. Explain the use of product hierarchy and the step by step procedure to define and use it? Product Hierarchy is used for Profitability analysis. You can have maximum of three level in SAP for a product. You have to give the product hierarchy in Material master Sales- Sales Org -2 view. You can define the product hierarchy in IMG settings from the following path Customizing is to be made in: IMG -- Logistics General --> Material Master --> Settings for Key Fields --> Data Relevant to Sales and Distribution --> Define Product Hierarchies --> Maintain Product Hierarchy Product hierarchies can be created using code OVSV. A product hierarchy is assigned to the material master record. The hierarchy is broken down into specific levels, each level containing its own characteristics. A product hierarchy is recorded by the sequence of digits within a hierarchy number. The hierarchy number can have a maximum of 18 digits with a maximum number of nine levels. Thus by assigning the hierarchy number to the material, one can determine a classification of the material. This hierarchy can be used in pricing with each level being used as field in the condition technique. Its like if you are having category CAR. In that many cars come into picture. CAR>>MARUTI>>SX4, Swift, zen, alto. B>> 01 >>01 Then from above example B0101 is the hierarchy for SX4. So in that hierarchy many cars come, like variants and all the things. In this way you can take e.g. of wood products also.
It shows the next level of the product. How many levels that product are having.
Please note that you should use these standard data elements. 3. Change the structure PRODHS by creating or deleting fields with reference to the data elements. Choose ZZPRODHN as field name, where n is the position of the field in the structure PRODHS. You want to change the structure of the product hierarchy from 5/5/8 digits to 5/5/5/3. Proceed as follows: Create the following domains: ZPRODH3 with length 5, category CHAR, ZPRODH4 with length 3, category CHAR, Change structure PRODHS: Structure PRODHS in the standard system: Structure Fields Data element Category Length PRODHS -> PRODH1 PRODH1 CHAR 5 PRODH2 PRODH2 CHAR 5 PRODH3 PRODH3 CHAR 8 Changes according to example: Structure Fields Data element Category Length PRODHS -> PRODH1 PRODH1 CHAR 5 PRODH2 PRODH2 CHAR 5 PRODH3 PRODH3 CHAR 5
ZZPRODH4 PRODH4 CHAR 3 Please take help of ABAPER in extending the levels of Product hierarchy. Configure for Product hierarchy at : SPRO-> IMG-> Logistics - General-> Material Master-> Settings for Key Fields-> Data Relevant to Sales and Distribution-> Define Product Hierarchies