What is product group in SAP LO-MD - Logistics Basic Data?

SAP Term: product group

• Component: LO-MD

• Component Name: Logistics Basic Data

• Description: A grouping of products, materials, articles, or services according to their characteristics. This term is relevant for S/4HANA Master Data Management.

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• Key Concepts: 
  Product group is a component of the Logistics Basic Data (LO-MD) module in SAP. It is used to group products together based on their characteristics, such as size, color, or material. This allows for easier management of product data and more efficient inventory control. 
  
  How to use it: 
  Product groups can be created in the SAP system by entering the relevant characteristics of the products into the product group fields. Once created, product groups can be used to assign products to specific categories and to generate reports on product performance. 
  
  Tips & Tricks: 
  When creating product groups, it is important to consider how they will be used in the future. For example, if a product group is used for inventory control, it should include all relevant characteristics that will help identify the products in that group. 
  
  Related Information: 
  Product groups are closely related to material groups, which are also used for grouping products in SAP. Material groups are used for pricing and purchasing purposes, while product groups are used for inventory control and reporting.