How To Fix W7081 - No hierarchy material exists for level &2 in material group &1

SAP Error Message - Details

• Message type: E = Error

• Message class: W7 - Message Class for Value-Only Based Inventory Management

• Message number: 081

• Message text: No hierarchy material exists for level &2 in material group &1

What causes this issue?

The system cannot find a hierarchy material on the level you entered
for the material group.

How to fix this error?

Enter a hierarchy material for the required level in material group
processing for the material group and activate the hierarchy level.

Error message extract from SAP system. Copyright SAP SE.