SAP IS Retail - Article Hierarchy

1. SAP IS Retail
Article Hierarchy

3. Article Hierarchy Overview:
 This document walks through the process to create article
hierarchy in the system.
 There can only be one activate hierarchy for the company.
 The AH allows you to group articles using a customer
oriented structure.
 Below is the AH structure to set up in the system

4. Retail Pricing:

5. How SAP use for Retail Pricing:
 Due to the large article volumes and typically various
pricing levels used in a retail company, system support for
creating sales prices and for keeping them up-to-date is
essential.
 With the help of markup conditions and pricing-related
system settings, SAP Retail is able to suggest the right
retail price for each article. With the change pointer
functionality, it is possible to have the system
automatically monitor, if sales prices have to be adjusted.
 Retail Pricing, sales prices can be created on the following
levels - from the most general
to the most specific level:
● Distribution chain
● Distribution chain with price-list
● Site

6. Retail Pricing functions:
 Retail pricing (sales price calculation) allows you to
efficiently maintain the sales prices for articles in a store,
or for a range of stores on distribution chain, or price list
level.
 You can also maintain DC transfer prices in two-step
pricing, as well as sales prices for customer-related
SD processes (wholesale prices for sales orders).

7. Basic Function in Pricing:

8. Sales Price Calculation:
 The sales price calculation, you determine the layout of
the pricing screen by choosing the following:
● List group
● List variant
 list group to define if the article is displayed in the sales
price calculation at header level, with the organizational
levels at item level (list group A), or vice versa (list group
B).
 List variants to define the layout of the pricing table: It
controls the selection and sequence of the table columns,
that is, the sequence of the list fields.
 In customizing, several list variants can be defined.
 There, you also determine how the list fields are
populated, and how the final price is stored on the
database after saving a calculation.

9. Sales Price Calculation:

10. One-step Price Calculation :
 When sites are supplied directly from vendors, the sales
price calculation is called "one-step price calculation".
 The calculation of the sales prices for the stores is based
on the purchase price from the external vendor.

11. One-step Price Calculation :

12. Two-step Price Calculation :
 When stores being supplied directly by an external vendor,
it is also possible that the vendor first sends the articles to
the retailer’s distribution center, which then distributes
them further on to stores and franchisees.
 When you want to execute and display a 2-step sales price
calculation, you have to enter both the DC and the store
distribution chains.

13. Two-step Price Calculation :

14. Display of two-step Retail Price:

15. Price Planning Workbench :
 The Price Planning Workbench (PPW) is a work
environment in SAP Retail to process manual price
changes, and to plan and create promotions.
 The regular sales price calculation functions are integrated
in the PPW.
 An advantage of using the PPW for manual price changes
is that this function displays the existing stock

16. Price Planning Workbench:

17. Thank you!!!