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Product Hierarchy

Former Member
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Where can I get more information on the PH? A co-worker suggested we start using it, but we don't manufacture, and only have a few pricing conditions, would there any benefit in using the product hierarchy??

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Answers (4)

Answers (4)

Former Member
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hi,

The product hierarchy is used to group materials by combining different features. It is used for analyses and pricing. A product hierarchy can consist of up to eighteen characters. Its features can be combined in various ways.

Regards,

Sadhu Kishore

Former Member
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Hi,

Product hierarchy can be used for pricing as mentioned by others; but it is not the only benefit or purpose of using it. The primary objective is to classify the product portfolio based on various levels so that accurate information can be obtained through sales reports, profitability analysis, etc. For example, in Pharma industry typical formulation products can have the following hierarchy.

Therapy

Sub Therapy

Molecule

Brand

Dosage

Pack size

With this it will be possible, for example, to analyse and compare the performance of different brands or molecules that come under the same therapy. Even to know which brand is more profitable, etc.

If used correctly and maintained properly, this can bring more transparency and control to the way the product portfolio is managed.

<b><REMOVED BY MODERATOR></b>

Cheers,

KC

SAP SD

Manoj_Mahajan78
Active Contributor
0 Kudos

Hi..

Go thru below-

Product hierarchy is used for pricing. A product hierarchy is an alphanumeric character string which consists of 18 characters at the most. Product hierarchy thus define the product and its composition. To take an example, a product hierarchy could be 00010002000300040005. The first four characters 0001 could indicate that the product is a car. The next four characters could indicate 0002 the plant in which the car has been manaufactured. The third set of characters could indicate the color of the car. The next set may determine its engine capacity and so on. Thus, the product hierarchy helps in defining the product composition.

Pricing Procedure in Product Hierarchy

But if you want an example here goes. Say, you want to base your pricing procedure on first three digits of product hierarchy, defined in the material master, via condition technique.

Pricing structure for line item is KOMP. A quick look thru KOMP structure (tx SE11) shows that you have only PRODH field for all 18 digits of product hierarchy, whereas you need only the first three. So you do the following:

1. Create the new data element ZZPRODH1. Also create a domain with the length "3" and the data type "CHAR" for the new data element. Remember that new data fields must start with the letters "ZZ" or "YY", since SAP reserved these letters to protect them from being overwritten during a release upgrade.

2. Check whether the product hierarchy (PRODH) is found at header or at item level. In table VBAP, document field PRODH is defined as an item field.

3. Integrate the field name ZZPRODH in the communication structure KOMP using the INCLUDE KOMPAZ and allocate the data element PRODH to it.

4. Activate the structure.

5. Check in which table the field PRODH exists.

The field is in table VBAP (sales document: item data).

6. Assign a value to the new field in the FORM routines for sales order processing and billing using the appropriate user exits: In sales order processing the user exit is found in member MV45AFZZ. The complete statement is:

FORM USEREXIT_PRICING_PREPARE_TKOMP.

MOVE VBAP-PRODH(3) TO TKOMP-ZZPRODH. ENDFORM.

The routines for assigning a value to the new fields in billing are found in member RV60AFZZ. The statement is as follows:

FORM USEREXIT_PRICING_PREPARE_TKOMK MOVE

XVBRP-PRODH(3) TO TKOMP-ZZPRODH. ENDFORM.

7. Allocate the specifications A, V and 001 to the field ZZPRODH in table T681F. Use "E" has been added for fields in rebate processing.

This is a standard example from SAP Library. In this case you must tell the ABAP three things:

- that your source field is VBAP-PRODH,

- that you need to get the first three digits from that field into your pricing structure KOMP

- and that you need to specify the transfer by user exit thru MV45AFZZ

Please note that this is a very simple example. Quite often you have to dig a lot deeper.

Modifications of Copy Control routines, making output forms (thru SapScript) and such requires you to know all the necessary tables, structures and fields.

The only advice I can give you is to use tx SE11, which will show you the organization of a table/structure, and can also help you check the contents of a specific table in a specific sales doc.

<b><REMOVED BY MODERATOR></b>

Regds

MM

Former Member
0 Kudos

Hi

In SAP, a product hierarchy is used for pricing. A product hierarchy is an alphanumeric character string which consists of 18 characters at the most. Product hierarchy thus define the product and its composition. To take an example, a product hierarchy could be 00010002000300040005. The first four characters 0001 could indicate that the product is a car. The next four characters could indicate 0002 the plant in which the car has been manufactured. The third set of characters could indicate the color of the car. The next set may determine its engine capacity and so on. Thus, the product hierarchy helps in defining the product composition.

<b>

Pricing Procedure in Product Hierarchy </b>

But if you want an example here goes. Say, you want to base your pricing procedure on first three digits of product hierarchy, defined in the material master, via condition technique.

Pricing structure for line item is KOMP. A quick look thru KOMP structure (tx SE11) shows that you have only PRODH field for all 18 digits of product hierarchy, whereas you need only the first three. So you do the following:

1. Create the new data element ZZPRODH1. Also create a domain with the length "3" and the data type "CHAR" for the new data element. Remember that new data fields must start with the letters "ZZ" or "YY", since SAP reserved these letters to protect them from being overwritten during a release upgrade.

2. Check whether the product hierarchy (PRODH) is found at header or at item level. In table VBAP, document field PRODH is defined as an item field.

3. Integrate the field name ZZPRODH in the communication structure KOMP using the INCLUDE KOMPAZ and allocate the data element PRODH to it.

4. Activate the structure.

5. Check in which table the field PRODH exists.

The field is in table VBAP (sales document: item data).

6. Assign a value to the new field in the FORM routines for sales order processing and billing using the appropriate user exits: In sales order processing the user exit is found in member MV45AFZZ. The complete statement is:

FORM USEREXIT_PRICING_PREPARE_TKOMP.

MOVE VBAP-PRODH(3) TO TKOMP-ZZPRODH. ENDFORM.

The routines for assigning a value to the new fields in billing are found in member RV60AFZZ. The statement is as follows:

FORM USEREXIT_PRICING_PREPARE_TKOMK MOVE

XVBRP-PRODH(3) TO TKOMP-ZZPRODH. ENDFORM.

7. Allocate the specifications A, V and 001 to the field ZZPRODH in table T681F. Use "E" has been added for fields in rebate processing.

This is a standard example from SAP Library. In this case you must tell the ABAP three things:

- that your source field is VBAP-PRODH,

- that you need to get the first three digits from that field into your pricing structure KOMP

- and that you need to specify the transfer by user exit thru MV45AFZZ

Please note that this is a very simple example. Quite often you have to dig a lot deeper.

Modifications of Copy Control routines, making output forms (thru SapScript) and such requires you to know all the necessary tables, structures and fields.

The only advice I can give you is to use tx SE11, which will show you the organization of a table/structure, and can also help you check the contents of a specific table in a specific sales doc.