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Item Categories and their groups

Former Member
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Could anyone explain me what an Item Category exactly means and what it is used for. Also, what is an Item Category Group and its usage, and the difference between an Item Category Group and a General Item Category Group.


Accepted Solutions (1)

Accepted Solutions (1)

Former Member
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Hi Raj,

Item Category contrlos the complete behaviour of a material in sales orders, Deliverirs, Billing and also at so many other areas. Just to say a few imp fucntions of item category it controls whether an item is relevant for





etc. So that it has a profound influence across SD.

Item category group helps in deriving an item category for a material. Eg:

Or + Norm ( Iterm category group ) -

> Tan

So, Item category helps in determining whats the item category of a material.

General item category group is some what like Item category group only. But for example we have DIEN and LEIS ( Service item categroy groups without and with delivery). But we can maintain both of them as NLAG ie non stock materials by using Gen item category group as NLAG,

Gen Item Category group is at a higher level than item category group.

Hope it helps. Pl. reaward if found usefual.

Thanks & Regards

Sadhu Kishore

Answers (2)

Answers (2)

Former Member
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Hope the answers would have given some idea. Just incase, also pl go thru the links

Hope it helps. Pl. reward if you find it useful.

Thanks & Regards

Sadhu Kishore

Former Member
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Thanks ppl, that helps a lot !

Former Member
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<b>Item categories</b> contain instructions about the attributes of the line item to which they are assigned. They are defined to provide additional control functions for the sales documents and thus meet the demands resulting from different business transactions.

<u>Example</u>: Pricing does not take place for a free of charge item such as a business gift;

<b>item category group</b> determines how a material is processed in the sales order. When processing sales and distribution documents, the system uses the item category group to determine the item category and proposes it in the respective document. Item category group is defined in the material master record.

<u>Example</u>, in the standard SAP System, the item category group NORM is defined for materials kept in stock and the group DIEN for services and non-stock material.

<b>General Item category Group</b> is an extension item category group. Example: if one select item catagory group as NORM, but under item category group, NORM can further be classified as Service item, packagaing item or Normal item using "general item category group". Also, General item category group is maintained at client level, this field can be maintain from basic data view. Thus in case item category group is missing, then general item category group is used for item category determination.

Different item categories are allowed. The item categories can also be adapted using control elements to meet the special requirements. These are:

<u>General data</u>

Pricing to be carried out for the item

item regarded as completed

Are schedule lines allowed for the item?

How is general business data to be determined.

System message if the item cannot be fully delivered?

fields are relevant for the incompletion log?

<u>Shipping data</u>

Is the item relevant for delivery

<u>Billing data</u>

Is an item relevant for billing?

Should the cost of the item be determined?

Is it a statistical item? The system prices statistical items, but they are not added to the value of the order.

Should a billing block be set automatically for an item? For example, this may be important for items whose prices have to be clarified before billing.

Is it a returns item?

<b>Item Usuage</b> specifies the item category usage which controls usage of an item. This is relevant in case of Text Items.

The item category in the sales document depends on the sales document type and the material. An item category group is defined in the material master record. The rule being followed to determine item category in a sales document is as follows:

Document Type + Item Category Group + Item Usage + Item Category of Higher-level Item [Optional, used in case of say BOMs]


One can specify additional item categories with which the system default can be overwritten. There is a maximum of three possible alternative item categories.

For more details check <a href="">Item Categories</a>



Reward points if the explanation is helpful