What is account hierarchy in SAP CRM-MKT-MPL-CBP - Customer Business Planning?

SAP Term: account hierarchy

• Component: CRM-MKT-MPL-CBP

• Component Name: Customer Business Planning

• Description: A hierarchical structure for business partners. It allows you to map complex organizational structures of the business partner. Account hierarchies are master data that are maintained in the ECC system. These are transferred to the CRM system via middleware. Responsibility areas are assigned to exactly one node of the account hierarchy. Assortments are also assigned to an account hierarchy node.

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• Key Concepts: 
  Account hierarchy is a feature of the Customer Business Planning (CBP) component of SAP. It allows users to create a hierarchical structure of accounts, which can be used to organize customer data and facilitate reporting. The hierarchy can be used to group customers into different categories, such as by region, industry, or size. 
  
  How to use it: 
  To use the account hierarchy feature, users must first create an account hierarchy in the CBP component. This can be done by selecting the “Create Account Hierarchy” option from the menu. Once the hierarchy is created, users can assign accounts to it and organize them into different levels. 
  
  Tips & Tricks: 
  When creating an account hierarchy, it is important to consider how it will be used. For example, if the hierarchy is being used for reporting purposes, it may be beneficial to create multiple levels with different categories. This will make it easier to generate reports that are tailored to specific needs. 
  
  Related Information: 
  The account hierarchy feature is closely related to other features of the CBP component, such as customer segmentation and customer segmentation analysis. These features allow users to further analyze customer data and gain insights into their customers’ behavior.