Vendors: Building Vendor Hierarchies
You build a vendor hierarchy to reflect the structure of a vendor organization.
Usually, you create a hierarchy starting with the uppermost node, then create subsequent levels. Vendors are usually assigned to nodes at the lowest level of the hierarchy. However, it is also possible to assign vendors to nodes at higher levels in the hierarchy. For example, a particularly large store in a chain of retail outlets may be assigned to a regional office rather than to a local sales office.
The following graphic shows the example fromVendors: Vendor Hierarchies in greater detail. Smith Central is the higher-level node for Smith South and Smith North. Smith North is the higher-level node for Smith Northwest and Smith Northeast, and so on. As a rule, each node in the hierarchy has the same organizational data. This data can also vary.