Low-Level Control Implementation: Defining Item-Supplier Relationships Overview
The least amount of control and setup effort occurs in the item-Supplier setup scenario. In this case, you only define supplier priorities and Supplier UOM pricing for the pricing locations of each established supplier. If neither item ship to location nor ship to location is defined, the system uses the priority 1 supplier default location to derive its pricing location. Any other supplier locations and pricing locations, if defined, are not considered. It then goes back to the item-supplier relationship to reference the pricing for the derived pricing location. This hierarchy applies to purchase orders created online.
This diagram illustrates the default hierarchy for defining item-Supplier relationships:
