What is substitution profile in SAP IS-R - SAP for Retail?

SAP Term: substitution profile

• Component: IS-R

• Component Name: SAP for Retail

• Description: Retail Controls the assignment of substitution material to original material. It contains the substitution type and control type.

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• Key Concepts: 
  Substitution profiles in SAP for Retail are used to define the substitution rules for a particular item. This allows the system to automatically substitute an item with another item when certain conditions are met. For example, if a customer orders an item that is out of stock, the system can automatically substitute it with a similar item. 
  
  How to use it: 
  Substitution profiles are created in the Substitution Profile Maintenance (SPM) transaction. The profile is assigned to an item in the Item Master Data (IMD) transaction. The substitution rules are then defined in the Substitution Rules (SR) transaction. The rules can be based on various criteria such as price, quantity, and availability. 
  
  Tips & Tricks: 
  When creating substitution profiles, it is important to consider the customer’s preferences and needs. For example, if a customer orders an item that is out of stock, they may prefer to have it substituted with a similar item rather than having their order cancelled. 
  
  Related Information: 
  Substitution profiles are part of the SAP for Retail solution and are used to ensure that customers receive the items they ordered in a timely manner. They can also be used to reduce inventory costs by substituting items with lower-cost alternatives when necessary.