What is trading unit in SAP IS-MP - SAP for Mill Products?

SAP Term: trading unit

• Component: IS-MP

• Component Name: SAP for Mill Products

• Description: Mill Products Industry Solution The external features of the goods as conditioned by customer or transport requirements. In the cable industry, the trading unit refers particularly to the length of the cable including the factor, reel, lagging and additional packing.

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• Key Concepts: 
  A trading unit is a unit of measure used in the IS-MP SAP for Mill Products component. It is used to define the quantity of a product that is being traded. The trading unit is typically based on the physical characteristics of the product, such as weight, volume, or length. 
  
  How to use it: 
  The trading unit is used to define the quantity of a product that is being traded. This can be done by entering the quantity in the trading unit field when creating a sales order or purchase order. The trading unit can also be used to calculate the total cost of a transaction by multiplying the quantity by the price per unit. 
  
  Tips & Tricks: 
  When entering a quantity in the trading unit field, it is important to make sure that the correct unit of measure is selected. This will ensure that the total cost of the transaction is calculated correctly. Additionally, it is important to ensure that all parties involved in the transaction are aware of and agree on the trading unit being used. 
  
  Related Information: 
  The trading unit is closely related to other concepts such as pricing units and inventory units. Pricing units are used to define how much a product costs per unit, while inventory units are used to track how much of a product is available in stock. Additionally, different types of products may require different trading units depending on their physical characteristics.