In article master data, you can assign various units of measure to an article. For example, one unit of measure (pallet) might be used for store allocation purposes, while another (each) may be used only for sales to consumers.

If a given article has multiple units of measure, you can create logistical variants. This enables the system to track these variants as if they were separate articles for inventory purposes.

You define logistical variants by creating a generic article with the characteristic unit of measure using relevancy indicator 3. (Relevancy indicator 2 is for variants based on size and color; relevancy 3 is for variants based on logistical unit of measure.) For the characteristic values, you specify the units of measure in which the inventory is to be managed at a store or distribution center.

Suppose you sell notebooks individually, but purchase them in pallet loads and cases. Each pallet load contains some number of case.

In your distribution center, you could have separate storage locations for pallet storage of notebooks and cases of notebooks.

When planning quantities for promotions and when doing subsequent processing, there is a field for allocation article. This is meant only for articles that have logistical variants. If this field is checked, then during subsequent processing when allocation from DC to stores is being calculated, the system will use the allocation logistical variant rather than the sales logistical variant. So, using the above example, allocation can be calculated either pallets or cases rather than individual units.

For more detailed information on logistical variants and characteristics, see: