customer hierarchy

8/3/2019 Customer Hierarchy

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Business Process: Customer Hierarchy Creation

(Marketing)

Overview

Trigger:

A Customer Hierarchy is created when a Rebate Agreement is extended to the Retailers ofthe main Customer.

Business Process Description:This document describes the procedure required for creating a Customer Hierarchy.

What you should know:

The Customers are attached to a node. A node is a logical representation of a higher level.

The number assignment for the node is done by the System.

Procedural Steps

1.1. Access transaction by:

Via Menus LogisticsSales distributionMaster dataBusiness PartnersHierarchy

NodesCreate

Via Transaction Code V-12

In the following example that has been illustrated, please note that we are creating a CustomerHierarchy to represent the following structure:

What the diagram means to convey is that Anil Agencies is the Main Dealer and he has a retailer namedEashwar Enterprises. A node for Anil Agencies is created with the same address data as Anil Agencies.

Now we attach both the Customers i.e. Anil Agencies and Eashwar Enterprises to the node and enablethe node for Rebates. As a result, whatever material is bought by any of these Customers, the relevantdiscounts shall accrue in favour of Anil Agencies.

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Node for Anil Agencies

Customer Anil Agencies Customer Eashwar

Enterprises


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1.2. Menu Path:

After following the mentioned menu path you will arrive at the following screen.

1.3. Menu Path:

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1.4. On screen Customer Create: initial Screen Sales Area, enter information in thefields as specified in the table below:

Field Name Description R/O/C User Action and Values Comments

Customer Refers to the Node number The system generates the Code for the Node

SalesOrganisation

Organisational Entity representing aZone

R Enter the relevant Zone Code

DistributionChannel

Organisational Entity indicatingwhether the Sale is being made froma depot or from factory

C Enter 10 for Depot SaleEnter 20 for Factory Sale

Division Organisational Entity indicating thatthe material being sold is Cement orClinker

C Enter 10 for Cement SaleEnter 20 for Clinker Sale

AccountGroup

The account group determines thedata that is relevant for the Customermaster record and a number range

from which numbers are selected forthe master records.

The Account Group for the node is 0012assigned by default by System

(Note: On above table, in column R/O/C; R= Required, O= Optional, andC= Conditional)

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On screen Customer Create: Address, enter information in the fields as specified in thetable below:

The best way to enter data on this screen is to open other session by going to System --> CreateSession and going to the Customer Display screen. You can now cut and paste data from thedisplay screen onto this screen by toggling between the two screens.


Search Term Refers to a search enabling term R Enter NODE for all nodes


After entering relevant data on the screen press the enter button on the screen to go to nextscreen.

1.5.On screen Customer Create: Address, observe the information on the screenbelow:

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Please note that if you copy from an existing Customer record the System shall give a warningmessage telling you that a Customer with the same Address already exists. Press the enterbutton to come to the following screen.

1.6.On screen Customer Create: Address, observe the information on the screenbelow:

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HierAssignment

Refers to level of assignment R Enter 01 for a higher nodeEnter 02 for a lower node


We have taken the example of only one level of hierarchy and therefore assigned 01 as theHierarchy level. In case we wanted another node with a level lower than this we would haveassigned 02 to that node.

Press the enter button to come to the following screen.

1.8.On screen Customer Create: Contact Person, enter information in the fields as specified inthe table below:

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Please enter the name of the Contact person for this Customer and then press the enter button to cometo the following screen.

1.9.On screen Customer Create: Billing Sales Area, please perform the instruction statedbelow:

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On this screen please tick the Rebate Check Box. This will enable the Customers under this nodeeligible for the same rebate agreement. Press enter button to come to the following screen.

1.11. On screen Customer Create: Billing Sales Area, please observe the information on thescreen below:

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The system is asking you whether you want to save this node. Please enter button to save your work.

1.12. On screen Customer Create: Initial Screen Sales Area, please observe the informationdisplayed below:

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The system is giving a message that your node has been saved as no 16 for the sales area you made itfor.

2.1. Access transaction by:

Via Menus LogisticsSales distributionMaster dataBusiness PartnerCustomer

HierarchyChange

Via Transaction Code VDH1

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2.2. Menu Path:


2.3. Menu Path:

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2.5. On screen SD Customer Hierarchy, enter information in the fields as specified in the tablebelow:

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Customer

Hierarchy Type

Refers to the types of Hierarchy we

want to use

R Enter A Standard Hierarchy for the stated

purpose

Validity Date Refers to the date from which you wantthe validity of the Hierarchy assignmentto start

R Enter the relevant date


After entering the relevant information, press the Execute button on screen or F8 on your keyboard. Youwill enter into the following screen.

2.6. On screen Maintain Customer Hierarchy, observe the information displayed on screenbelow:

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Press the Create Assignment Button on this screen which will take you to the following screen.

2.7. On screen Create Hierarchy Assignment,enter information in the fields as specified in thetable below:

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Hierarchy Refers to the Customer Code which

you want to attach to the node

R Enter the relevant Customer Code

Hi LevelHierarchy

Refers to the Node number Enter the Node Code Number to which youwant to assign the Customer

SalesOrganisation

Organisational Entity representing aZone

R Enter the relevant Zone Code of Customer andNode in respective fields

DistributionChannel


C Enter relevant Distribution Channel of Customer and Node in respective fields


C Enter relevant Division of Customer and Nodein respective fields


Press the Copy icon on the message box after filling in the relevant data. This will lead you to the

following screen.2.8. On screen Maintain Hierarchy Nodes, observe the information displayed on screen below:

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Press enter button on the message box to continue.

2.9. On screen Maintain Hierarchy Nodes, observe the information displayed on screen below:

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Please note that the Customer, Anil Agencies in our case, has been assigned to the required node asdepicted in our Hierarchy diagram.

2.10. On screen Create Hierarchy Assignment,enter information in the fields as specified inthe table below:

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Please refer step no 2.7 and perform as per the same instruction table to attach Eashwar Enterprises tothe same node.

2.11. On screen Maintain Customer Hierarchy,observe the following information displayed onthe screen below:

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Please note that the Customer, Eashwar Enterprises in this case, has been assigned to the required nodeas depicted in our Hierarchy diagram.

Press the save icon to save your assignment.

2.12.On screen Maintain Customer Hierarchy,observe the following informationdisplayed onthe screen below:

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The system gives out the message displayed at the bottom of the screen mentioning that the recordshave been saved.

Access transaction by:

Via Menus LogisticsSales distributionMaster dataRebate Agreements Create

Via Transaction Code VB01

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3.2. Menu Path for Creating Rebate Agreement for Customer Hierarchy:


3.3. Menu Path for Creating Rebate Agreement for Customer Hierarchy:

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3.4. On screen Create Rebate Agreement, enter information in the fields as specified in thetable below:

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Agreement

type

Represents the Type of Discount you

want to pass on to the Customer

R Enter ZGRK for Hierarchy Rebate


Please press the Enter icon on the screen to go to the following screen.

3.5.On screen Create Rebate Agreement, enter information in the fields as specified in thetable below:

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Sales

Organisation

Organisational Entity representing a

Zone


DistributionChannel


R Enter 10 for Depot SaleEnter 20 for Factory Sale


R Enter 10 for Cement SaleEnter 20 for Clinker Sale

Sales Office Organisational Entity representingDepot



After entering the relevant information please press the Copy button on the screen to go to the followingscreen.


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Rebate

Recipient

Refers to the Customer for whom you

want to enter the RebateAggreement

R Enter the relevant Customer Code


In our case it is Anil Agencies whom we intend should get the Discounts even for Sales of EashwarEnterprises.

Please press the Conditions Button on the screen to come to the following screen.


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Customer

Group

Represents whether the Customer

belongs to the Trade segment or NonTrade segment

R Enter the relevant Customer Group

CustomerHierarchy

Refers to the Hierarchy node code atwhich level you want the Rebate tobe applicable

R Enter the Node Code

Material Material for which the Rebate isto be maintained

R Enter the Material Number

Rate The Rate for the relevantparameters

R Enter the Rate for the criteria alreadyselected.

Accruals

Unit Currency in which the transaction willhappen

R Enter INR for Indian Rupees

By The number of units for which theRate is relevant

R Enter 1 denoting that the rate is maintainedfor one bag.

UOM Unit of Measurement R Enter bag denoting that the rate isbeing maintained for one bag.



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Please note that after pressing the Save icon on the earlier screen the system saves the RebateAgreement and assigns it a number internally.

The transaction is now complete.

customer hierarchy

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