What is product group in SAP EC-CS - Consolidation?

SAP Term: product group

• Component: EC-CS

• Component Name: Consolidation

• Description: A customer-defined name used for classifying the inventory items in transferred inventory into logistic units. You use product groups to reflect the supply relationships between the subsidiaries in your consolidated group. Product groups are the basis for entering the additional financial data for the group-internal inventory transactions. The criterion used for the classification and aggregation of the individual goods is the similarity in the type of goods or in the use of such goods. These products are then clearly aggregated. However, the elimination of interunit profit or loss in transferred inventory occurs at the higher aggregation level of inventory items. Therefore, you must assign an inventory item to each product group.

Smart SAP Assistant

• Key Concepts: 
  Product groups are used in the EC-CS Consolidation component of SAP to group together similar products. This allows for easier management of the products and helps to ensure that all related products are accounted for in the consolidation process. 
  
  How to use it: 
  Product groups can be created in the EC-CS Consolidation component of SAP. To do this, go to the “Product Groups” tab and click “Create”. Enter a name for the product group and select the products that should be included in the group. Once the product group is created, it can be used in the consolidation process. 
  
  Tips & Tricks: 
  When creating product groups, it is important to consider how they will be used in the consolidation process. It is also important to ensure that all related products are included in the group, as this will help to ensure accuracy in the consolidation process. 
  
  Related Information: 
  For more information on product groups and how they are used in the EC-CS Consolidation component of SAP, please refer to the official SAP documentation.