Central Contract Hierarchies 
When you create or change a central contract in Central Contract Management, you can assign it to a central contract hierarchy. This enables you to:
Group together similar contracts, making them easier to find and process
Make consistent changes to all central contracts in a central contract hierarchy or part of a central contract hierarchy
For more information, see Mass Changes in Central Contracts.
Stipulate terms and conditions that apply to a central contract hierarchy, and negotiate, for example, more favorable discounts for your entire organization
Integration
You can use central contract hierarchies in SAP NetWeaver Business Intelligence (BI) reports, for example, to display the aggregated release value across a central contract hierarchy. For more information, see SAP Help Portal at 
http://help.sap.com
SAP NetWeaver BI Content SAP Supplier Relationship Management Central Contract Management 
.
Prerequisites
You have activated central contract hierarchies in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Activate Hierarchies
for Product Categories, Suppliers, and Contracts .
Features
A central contract hierarchy is subject to the following rules:
The top node of the hierarchy cannot have a superordinate contract
Each central contract except the top node has exactly one superordinate contract
Each central contract can have one or more subordinate contracts, or no subordinate contracts
A central contract can belong to only one hierarchy or no hierarchy
Activities
Assigning a Central Contract to a Central Contract Hierarchy
When creating or changing a contract in Central Contract Management, assign the contract to a superordinate contract on the Hierarchy tab page.
Only central contracts that are not already released can be assigned to a central contract hierarchy.
Releasing Central Contracts in a Central Contract Hierarchy
Note
Once a central contract has been released, it can no longer be reassigned within a central contract hierarchy.
Always release central contracts in a central contract hierarchy from the top down, that is, start with the superordinate contract and subsequently release each subordinate contract.
Determining the Aggregated Release Value and Discounts Based On the Aggregated Release Value
The aggregated release value is the sum of all values that have been ordered against a particular central contract. The system determines the release value for each hierarchy level automatically and updates the aggregated release value for the entire central contract hierarchy.
The system can determine discounts that are based on the aggregated release value for the entire central contract hierarchy. To use this special condition type in the calculation schema, you must make the appropriate settings in Customizing for SAP Supplier Relationship Management under SRM Server Cross-Application Basic Settings Pricing Process Condition Types .
Archiving
You can archive central contract hierarchies or parts of central contract hierarchies. This requires you to assign the status Can be Archived to all central contracts in the hierarchy. You must assign this status from the bottom up, that is, you start with the lowest contract in the hierarchy and end with the highest contract in the hierarchy. This status can be assigned only if:
The central contract has the status Completed.
In Central Contract Management, the status Completed must be assigned from the bottom up, that is, you start with the lowest central contract in the hierarchy and end with the highest central contract in the hierarchy.
The central contract has the status Deleted.
All corresponding purchase orders (including all purchase order items) can be archived.
More Information
About |
See |
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Central Contracts in SAP SRM |
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Archiving Central Contracts in SAP SRM |
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Loading documents in SAP SRM |
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Hierarchies in SAP SRM |
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Upload and management of central contracts in SAP ERP |
SAP Help Portal under http://help.sap.com |