Susbstitute Items

[sarvesh_gudapati2]

I am looking for information on substitute items. How are they configured and what is the impacted master data. What is the detailed business scenario. Points will be rewarded.

[Former Member · Accepted solution]

Hi Sarvesh Gudapati,

Material Determination/swapping could well be a good reason for you

to FALL IN LOVE

WITH SAP.

Material Swapping is also called material determination and broadly

refers to the process

where

in two situations as described below would take place at the client

level.

Think this...

You have one slow moving product and you are piled up with huge

inventories and Sales is

under pressure to liquidate these stocks since the customers are not

asking/ordering for

this product. A close substitute exists for this product and customers

generally orders

this product. So what do you do? You want the slow moving item to

appear in the sales

order whenver the

customer orders for the substitute product. So when you enter the order

from the cusomer

for the product, that material is substituted with the slow moving

goods.

This happens through a condition technique in the background and you

have a proceedure

A00001 as it and uses the condition type A01.

Please note that substitute materials does not have master records and

you can also see

the material entered in the sales order.

This substitiuion is also possible by entering a string or a key and

not necessarily the

material

number that is getting substituted.

There are two ways by which the system performs the taks.

1. Manual Substitution

2. Automatic Substituuion

In the manual substituion, the system pops up that the material is

getting substituted

and shows the quantity of the material available.

In the automatic substituion, once you enter the material ordered (fast

moving) it gets

automatically replaced by the substitute (slow moving). Suppose there

are 50 units of

slow moving and cusotmer orders for 100 units of fast moving, the order

can be split into

50 goods of slow moving and 50 units of fast moving the substitute. And

if the total

availability of slow item is only 40 and the order is 100 the 40 gets

cleared off and the

balance would be 60.

This technique can also be used effectively during Promtoion

campaigns...

Trust I made the concept clear, if it is configuration part :

Work on IMG:

Maintaining the records for Material Determination: -

SPRO

Logistics

Sales and Distribution

Master data

Products

Material Determination

VB11 – Create.

Enter the determination type [A001] (Material Entered).

Material Entered: - Here enter the original material which has to be substituted.

Material: - Enter the material with which we want to substitute the main material.

Reason for Substitution: - specifies the reason why the system automatically carried out material substitution.

To enter multiple materials as substitution select the icon alternative materials.

This concept is based on condition technique.

SPRO

Sales and Distribution

Basic Functions

Material Determination

Maintain prerequisites for material determination.

Create condition tables [OV16]

Maintain access sequences

Define condition types

Maintain procedure

SPRO

Sales and Distribution

Basic Functions

Material Determination

Assign procedures to sales document types [OV14]

Defining the reason for substitution: -

SPRO

Sales and Distribution

Basic Functions

Material Determination

Define substitution reasons [OVRQ]

Go to new entries and define

Substitution reason: - Specify the substitution reason [0001]

Description: - Advertising campaign

Entry: - If we check this field the system prints the name or number of the original material on the corresponding output.

Warning: - If we check this field the system displays a warning message before substituting the material.

Strategy: - Controls whether the product selection should occur automatically in the background or whether the alternative materials should be offered for a selection in dialog box.

Out come: - Controls whether the out come of product selection should replace the original entry or whether it should be recorded as a sub item of the original entry.

hope if it helps u reward me

Thanks&Regards

Venkat.Dhanemkula

[Former Member]

Hi sarvesh,

Evaluating the Substitution Procedure

Before setting up product selection, you must determine how substitution is to be carried out, as well as evaluate the process flow from beginning to end. Here are several questions to help you prepare:

• How are substitute products determined?

By the product entered in the order, or by material group?

• How many substitutes are offered for each product?

How are they prioritized?

• Are there any product attributes that would cause a customer to refuse or accept a substitute?

For example, coupons, packaging, or special offers.

• Are products substituted consistently, or does the substitution process change according to dates or seasons?

What is the date range validity for the substitution rules?

For example, material A is substituted with material B in November and December. The rest of the year, it is substituted with material C.

• What number is printed on documents?

The product number entered in the order, the substitute product number, or both?

Is this consistent for all documents, for example, order confirmations, deliveries, and invoices?

• How is pricing performed when a product is substituted?

Are prices based on the product entered or the substitute product?

• Are standard item and schedule line categories suitable for your company’s product selection?

The standard item categories are TAX (main item) and TAPS (sub-item).

Their schedule line categories are CX and PP respectively.

• Should the system carry out a new product selection when you copy data from document to document?

For example, you may want a new product selection when copying from sales order to delivery, but not from sales order to return.

<b>**Reward if this helps**</b>

Regards

AK

[sarvesh_gudapati2]

Thanks AK, Can you please explain the associated master data maintenance and configuration required with how it works at delivery level.