What is customer hierarchy

hi friends
What is customer hierarchy?
regards

Hi,
With customer hierarchies you can now create flexible hierarchies to reflect the structure of customer organizations. For example, if your customer base includes multi-level buying groups, cooperatives, or chains of retail outlets, you can create hierarchies to reflect the structure of these groups. Customer hierarchies are used during sales order processing and billing for determining pricing, including rebates. Customer hierarchies may be useful for your organization if you trade with customers who have complex, external structures that you need to take into account for pricing.
Hope this will help.
Reward point if helpful
Thanks,
Raja

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Customer Hierarchy and product Hierarchy

Hi friends what is customer Hierarchy and what is product hierarchy?
please explain step by step with examples.
mail id: [email protected]
Thanx.

Hi Sirivas,
CUSTOMER HIERARCHY:
Customer hierarchies are available in Sales and Distribution, so that you can create flexible hierarchies to reflect the structure of customer organizations. If your customer base includes multi-level buying groups, cooperatives, or chains of retail outlets, for example, you can create hierarchies to reflect the structure of these groups. Use customer hierarchies during sales order processing and billing for determining pricing and running statistics.
 A customer hierarchy consists of nodes.
 To create a customer hierarchy:
1. Create master records for each node.
2. Assign the nodes to each other.
3. Assign the customer master records to the relevant nodes.
 Hierarchy nodes are only valid for a certain period of time. They may also be moved. If a node is moved, the system automatically reassigns all related nodes and customer master records.
With customer hierarchies, you can assign price or rebate agreements to a higher level node. The agreements are then valid for customers at all subordinate levels to this node. You can create pricing condition records for each node indicated as relevant for pricing. If one or more nodes in the hierarchy path of a sales order contain pricing information, the system takes them into account automatically during pricing.
'How to check'
All the customizing is in SD/Master Data/Business Partner/Customers/Customers hierarchy
All the customizing is in SD/Master Data/Business 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 information, in the order, you obtain the business partner for each partner function.
3) Assign account groups: you indicate which accounts groups are allowed for being part or your hierarchy.
4) Assign sales areas: simple you indicate which 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 documents 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.
Product Hierarchy:
The product hierarchy on the Basic Data screen is used to depict the competitive materials of competitor 1 in relation to those of competitor 2. Here, your own company and its materials are also regarded as a competitor and as competitive materials respectively. You can use this representation as a basis for market analyses.
Normally we enter competitive materials using material type WETT. When entering your own materials as competitive materials, you can, however, display the product hierarchy on the Basic Data screen for other material types too.
Requirement type determination is based on the "Origin of requirement type in requirement type determination"
In this field you can select an alternative search strategy (source):
Source 0 = Material master strategy, then item category and MRP type
Source 1 = Item type and MRP type strategy
Source 2 = Item type and MRP type strategy (as for source 1) with additional check of the allowed requirements type
e.g. If you set value "0" system will first strategy group in material master based on that it will determine requirement type and no value found then it will determine requirement type based on item category and MRP type.
Above settings can be found at SD --> Basic Functions --> Availability Check and transfer of requirement --> Transfer of Requirement --> Determination of Requirement type using Transaction
For make to order std strategy group 20 is used to which req type KE is assigned.
Check
Check in Tcode OVZH, what requirement class is assigned to your requirement type
Check in Tcode OVZG, what value is assigned to field "Consumption" in requirement class because that determines consumption posting.
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.
Example: A dishwasher can be described by product hierarchy 000010000200000002. This series of characters states that dishwashers belong to the category electrical appliances (series of characters 00001, position 1-5), and also to wet appliances (series of characters 00002, position 6-10) and, finally, to dishwashers (series of characters 00000002, position 11-18).
One can maintain the product hierarchy via transaction "OVSV" and "V/76.
Path = IMG-Logistics General-Material master-Setting for Key fields-Data relevant to SD-Define Product hierarchy.
The product hierarchy is maintained in the Basic Data view of the material master record, and is used for evaluation as well as price determination in materials management.
The standard SAP allows only 3 levels, but you can go up to 6 levels, for additional 3 levels u will have to take abapper help and add 3 more fields and corresponding data element into structure. So that in material master drop down you will see 6 levels.
The transaction which will be useful to change product hierarchies for material master will be V/76.
Yes, You can print the levels of the product hierarchy through a report.
Use the view SE16 - V_T179 (Table Name) to display Product hierarchy with level numbers.
Field Name is PRODH
Please Reward If Really Helpful,
Thanks and Regards,
Sateesh.Kandula

I need to know, what was the last user who modify the customer hierarchy???

Someone know s, what´s the name of a table or something, to find the last user who modified the customer hierarchy, and the date.??
Thanks everyone for your help!!!

Hi Itzell,
Try the following way
-->goto se16 Enter the table CDHDR and press enter
--> Enter "KUNHIER" in Change doc Obj.. and
Enter the date range in Date field.
YOu should get some items in the table.
( If there are no items, that means. no change was happened to the Customer Hierarchy structure or the changes were not being store. )
--> If you want more details refer to CDPOS too..
Regards,
Ajai.
Don't forget to reward points if helpful.

What's use for Customer Hierarchy

Dear Guru
What's use for Customer Hierarchy? give me a step to config?
regards
Mohammed Renu.I

Hi Mohammed Renu,
CUSTOMER HIERARCHY:
Customer hierarchies are available in Sales and Distribution, so that you can create flexible hierarchies to reflect the structure of customer organizations. If your customer base includes multi-level buying groups, cooperatives, or chains of retail outlets, for example, you can create hierarchies to reflect the structure of these groups. Use customer hierarchies during sales order processing and billing for determining pricing and running statistics.
 A customer hierarchy consists of nodes.
 To create a customer hierarchy:
1. Create master records for each node.
2. Assign the nodes to each other.
3. Assign the customer master records to the relevant nodes.
 Hierarchy nodes are only valid for a certain period of time. They may also be moved. If a node is moved, the system automatically reassigns all related nodes and customer master records.
With customer hierarchies, you can assign price or rebate agreements to a higher level node. The agreements are then valid for customers at all subordinate levels to this node. You can create pricing condition records for each node indicated as relevant for pricing. If one or more nodes in the hierarchy path of a sales order contain pricing information, the system takes them into account automatically during pricing.
'How to check'
All the customizing is in SD/Master Data/Business Partner/Customers/Customers hierarchy
All the customizing is in SD/Master Data/Business 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 information, in the order, you obtain the business partner for each partner function.
3) Assign account groups: you indicate which accounts groups are allowed for being part or your hierarchy.
4) Assign sales areas: simple you indicate which 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 documents 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.
Please Reward If Really Helpful,
Thanks and Regards,
Sateesh.Kandula

Customer Hierarchy Partner determination in a Sales Order using Payer ?

Dear SD Experts/Gurus
We use Customer Hierarchies extensively in Sales Orders for Pricing & Rebates and it all works fine.
The Hierarchy structure consists at the bottom level of a SoldTo linked to a Hierarchy Customer and many SoldTos can have the same Hierarchy Customer.
We set price conditions at the Hierarchy Customer and that all works fine.
We would like to change our Customer Hierarchy to link the Hierarchy Customer to the Payer rather than to all the individual SoldTos.
This is because we have many SoldTos linked to 1 Payer and this will allow us to have simpler Customer Hierarchy structures making it easier to setup and maintain.
I have changed the SAP configuration to do this and I can certainly maintain the Customer Hierarchy without any problem using transaction VDH1N.
But when I create a Sales Order, the Hierarchy Customer does not get pulled through to the Sales Order Header Partners based on the Order Payer and hence no Hierarchy Customer price conditions are pulled through.
Is what I'm trying to do possible in SAP ?
If so please advise how this can be achieved.
Thanks David
Edited by: David Steele on Apr 15, 2008 1:57 PM

Hello,
I have a similar requirement, although we are building the hierarchies directly in CRM (as we are with BP's in general), and I am using hierarchy category 01 - PRICING.
What I have found is that a sold-to BP must:
1. be assigned to a hierarchy node
2. appear TWICE (!!!) in the document part.det.procedure, once in partner function 000001 (sold to) and again in partner function 00000121 (Authorized partner: sold to).
When the sold to customer exists in both functions within the document, I am able to determine the hierarchy node properly.
Now, my question is, can anyone guess why the main partner (sold to) must appear twice??? or, is this an error in my customizing?
Thank you in advance for your help, and I do hope my observation can help others find a solution.
Regards,
Allon
PS in terms of customizing, I used the following:
partner function 00000001 - sold to
partner function 00000121 - Auth. Partner: Sold-to Party
access for Auth. Partner: 0017 - current partner: sold to *this copies the sold to partner into this partner*
partner function 00000076 - Hierarchy Node Partner
access for hier.node partner: CRM_PARTNER_G Pricing hierarchy
The last bit presupposes that the hierarchy is set up using hierarchy category '01 - pricing'.
Message was edited by:
Allon Riczker - Added configuration steps

Customer Hierarchy not showing in sales document

Hi All,
I have used the standard hierarchy type (A) to create a 2(or 3) level hierarchy (top level node, 2nd level node and sold t party) and the hierarchy assignments look fine at the customer level. I have assigned the hierarchy type to the sales order type as well. But the hierarchy does not get carried over to the sales orders (contracts) when I create the documents. I am sure it is something really silly, but any idea what I might be missing or where to start looking.
Thank you so much for your help in advance...
Shubha Tandon
[email protected]

Have you Mainted Price determination in the custome masrter record of the billing Tab.
Have you correctly maintained the partner determinatin procedures.
Have you assigned Customer hierarchy to your sales area
Have you created Customer with 0012 Account group.
Now you need to assign the customer creatd using 0012 to the customer 0001 account group.
Have you maintainted the Customer heirarchy in VDH1n transaction..
Here you need to assign 0001 account group customer to 0012 customer
If u have maintained all these settings correctly you will get the hierarchy customer in SO.

Credit Management & Customer Hierarchy

Hi,
1. i need to assign credit limits in a customer hierarchy set up. For Eg: The Global client is assigned a credit limit of USD x. The national clients shall have a % of x. How to define this set up in SAP?
2. What processes are covered (in general) under Cutover processing?
Kindly help
thanks & regds
sriram
Edited by: Narain on Dec 12, 2008 12:34 PM

Hi Narain,
Even I have the same requirement. Did you get the answer? Please let me if you could set credit limit for the customer hierarchy..
Regards,
Raghav

Customer Hierarchy setup

HI Experts,
Please guide me how to setup the customer Hierarchy in system and what is the table for customer hierarchy.
thanks in advance.
Vivek.

Hi,
The table for customer hierarchy is KNVH.
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.
regards
Vivek.
Edited by: Vievk Vardhan on Dec 7, 2009 1:02 PM

Customer Hierarchy in Pricing

Hello,
Please tell me how Customer Hierarchy is used in Pricing? Concept?
What are the config. we have to do?
How do we track it in the pricing?
Thank you.

dear emre
Customer Hierarchies
Use
With customer hierarchies you can now create flexible hierarchies to reflect the structure of customer organizations. For example, if your customer base includes multi-level buying groups, cooperatives, or chains of retail outlets, you can create hierarchies to reflect the structure of these groups. You use customer hierarchies in order and billing document processing for partner and pricing determination (including rebate determination) and for creating statistics.
You can use customer hierarchies to assign price conditions and rebate agreements to one of the customers subordinate levels, to ensure that all subordinate levels are valid for the customer. For each node that you indicate as relevant for pricing, you can create condition records for pricing. If one or more nodes in a hierarchy path for a sales order contain pricing data, this is automatically taken into account in pricing.
Integration
You can also use customer hierarchies for evaluations in profitability analysis (CO-PA) and in the Sales Information System (SIS):
To evaluate customer hierarchies with the sales information system and in the profitability analysis, you can maintain the field Hierarchy assignment on the Marketing tab page in the customer master record for a hierarchy customer. Here you can maintain 10 features for hierarchy customers (HIEZU01 to HIEZU10). You can use these to evaluate hierarchies statistically with up to 10 levels. (Field catalogue VHIE)
Note that the hierarchy assignment is statistical. If you change the customer hierarchy, you may need to change the hierarchy level manually in the customer master record in the Hierarchy assignment field.
Features
A customer hierarchy is a flexible structure consisting of customers. Each customer - with the exception of the uppermost customer - refers to another customer at a higher level in the hierarchy (known as a higher-level customer). Customers that are assigned to higher-level customers are known as dependent customers.
To be able to display organizational elements, that are not independent partners, you can assign pure hierarchy nodes (account group 0012) in the hierarchy. Specific data can be assigned to a hierarchy node (for example, address, price conditions, rebate agreements) and this then applies to all subordinate customers.
As all nodes in a hierarchy are time-dependent, you can adapt the customer hierarchy to changes in the structure of a customer at any time.
Customers can be reassigned in a hierarchy When reassigning a customer, all subordinate customers are moved with it
You can add new customers to a hierarchy When you assign a new customer to an existing hierarchy, all pricing data, that applies to the higher-level hierarchy node, is automatically copied from the customer
You can also remove customers from the hierarchy
you can refer http://help.sap.com/saphelp_47x200/helpdata/en/dd/55f4d9545a11d1a7020000e829fd11/frameset.htm
rewards if it helps
siva

Customer Hierarchy creation

Hi all,
I encounter a problem when trying to create a Customer Hierarchy in CRM, in the tcode BPH , I enter the hierarchy category as pricing , but i got the error
You cannot create hierarchy trees of this category
If the delta download for the ERP customer hierarchy is active, you cannot create a hierarchy tree of the category "Pricing" in CRM.
For this reason, you should establish that pricing based on the customer hierarchy and BP group hierarchy gives the same results in the ERP System and in CRM".
But I did not understand what does it mean, could anybody throw me a light?
cheers,
hy

Hi Ginnie ,
Have u pulled all the Pricing related Tables from ERP to CRM.
It has a dependency because pricing works on Customer Pricing Procedure and Document Pricing Procedure .
Regds,
Sunil Nair

Customer Hierarchy pricing

Hi
I am trying to create an access sequence including the hierarchy node for which I intend to maintain the pricing, eliminating the need for maintaining condition records for material prices for low level customers.
Could you tell me what field I should use in the field catalogue to achieve the above?
Will be grateful if anyone can help me with the config steps for customer hierarchy pricing.
Thanks
Kumar

Hi Shiva
Thank You for your reply.
We want to maintain list price (PR00) at Hierarchy node level. Does hierarchy level pricing only work with condition types with HI01.
My requirement to maintain one level of hierarchy with pricing maintianed at Hierarchy node level. When a sales order is created for low level customer, system should automatically determine the price from hierarchy node.
Please help.
Thanks
Kumar

APO product allocation and customer hierarchy groups

Hi,
we have customer hierarchy groups. In the future we want to use product allocation in APO.
The values of the customer hierarchy groups will be changed often.
How can we map the customer hierarchy group to a product allocation group?
Thanks,
Michael

Hi Michael,
Not sure it is the only way but you can try the following,
1. maintain the field catalogue and the product allocation group in APO
SPRO
Advanced Planning and Optimization
> Global Available-to-Promise (Global ATP)
> Product Allocation
2. Maintain the planning area accordingly
(+ the connection to the PA - still in SPRO...)
Now start the real thing:
3. pass the customer hierachy to the sales order in R/3
You can use exit: MV45AFZZ u2013 form USEREXIT_MOVE_FIELD_TO_VBAK
4. Pass the information to APO
A new exit: FV45VFZY form USEREXIT_CATALOG_VALU - Adding to the APO field Catalogue
Now you mentioned frequent hierarchy changes... that I don't know how to handle. When you change the hierarchy how do you want the consumption to happen? I guess the new sales order should consume the new hierarchy, but what about the old assignment?
If somebody know ho the system handle that, that would be great!
Thanks and Regards
Julien

Restricting Customer Hierarchy Type for VDH1N

Greetings,
I am currently attempting to restrict the t-code VDH1N as there is a request to restrict the Customer Hierarchy Type within the transaction code. I have executed VDH1N and analyzed the ST01 trace results and found no authorization objects which relate to this field within the t-code.
SAP simply checks for the following objects the way the system is currently configured: S_TCODE (standard check), S_PROJECT, and V_KNA1_VKO. I then resorted to checking SU24 to see whether any of the objects relate to Customer Hierarchy Type and here is what I found (none seem to relate to this field):
S_ADMI_FCD     System Authorizations
S_DATASET     Authorization for file access
S_DEVELOP     ABAP Workbench
S_DOKU_AUT     SE61 Documentation Maintenance Authorization
S_GUI          Authorization for GUI activities
S_PRO_AUTH     IMG: New authorizations for projects
S_PROJECT     Project Management: Project authorization
S_RFC          Authorization Check for RFC Access
S_TCODE          Transaction Code Check at Transaction Start
S_TRANSLAT     Translation environment authorization object
V_KNA1_VKO     Customer: Authorization for Sales Organizations
I performed a search on this forum and there is no mention of t-code VDH1N either. Can anyone suggest any possibilities to restrict this field using standard authorization objects?
Thanks and Kind Regards.

Hi,
I quickly checked the code and it looks like there is no check for Customer Hierarchy Type. You need to go with custom object. There is a routine check_authority where all authorization checks for sales. org.,distr. channel and division are performed. It looks like a good spot to add custom authorization check. You can easily enhance it using one of twi implicit enhancement points: start and end of routine.
Cheers

TCA Customer hierarchy

HI,
Can anyone let me know what is TCA Customer Hierarchy ?Where can we see this information in front end applications(navigation to the form) and what are the back end tables this hierarchy information is stored.Also What different hierarchies exists in erp?
regads
Venkatesh

hi goldie,
u can use
party_id (pk) from hz_parties,
party_id(fk) and cust_account_id(pk) from hz_cust_accounts,
cust_account_id(fk) from AR.HZ_CUST_ACCT_RELATE_ALL.
i hope u can get the way for your answer..
pls let me know, it worked or not.
Regards.
Pushpal

Custom hierarchy - transporting

Hi can anyone pls tell what ways are there for transporting custom hierarchy???
Your help will be appreciated thru points...
Warm Regards,
G.Monica Roja Flora.

Hi,
You cannot transport Hierarchy between BI system. you have to create them manually. There's an ABAP program to do this
here you go https://www.sdn.sap.com/irj/servlet/prt/portal/prtroot/docs/library/uuid/0403a990-0201-0010-38b3-e1fc442848cb

What is customer hierarchy

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