Product hierarchies consist of categories and are used to group products according to different criteria. The purpose of a hierarchy depends on the business criteria involved and your company's requirements.
A hierarchy can be multilevel and used for control or informative purposes.
To define product hierarchies, either using T code or SAP menu path.
T code: OVSV
SAP Menu Path:
SPRO > IMG > Logistic General > Material Master > Setting for Key Fields > Data Relevant to Sales and Distribution > Define Product Hierarchies
Click on Maintain Prod. Hier.
You can create your own product hierarchies at any level you like.
