Understanding the Setup for Buying Structures

You define the customer's buying structure in the A/B Org Structure Browse (Address Book Organizational Structure Browse) program (P0150). When you define the structure, you specify the parent/child relationships that the customer address-book numbers in the structure have to each other.

The system establishes the tier level of each record when you set up the structure. Tier level descriptions enable you to control the structure of parent/child relationships in an organizational structure. When you set up tier descriptions, you specify:

• Parent address-book number for any child address-book number.

• Beginning and ending effective dates for the relationship between a parent address-book number and a child address-book number.

• Names for the different tiers of the structure.

For the system to process price adjustments in a buying structure, you must specify the adjustment retrieval method in the pricing constants. Because the system processes direct price adjustments in buying structures, the adjustment retrieval method must be either 1 or 2.

In the pricing constants, you must also specify a structure type for sales pricing. You may also want to specify whether to use the ship-to address when processing adjustments in buying structures.

After you define the organizational outline of a buying structure, you must define the direct price adjustments for each level and each address book record in the structure.

See also:

• Creating Direct Price Adjustments.

• Working with Rebate Adjustments.