Categories Hierarchies are the traditional classification of Products however its very important to note that we have 2 types of Categories: 1. Under Product and 2. Under Procurement, these both are very closely related and always user gets confused where to do what. Example: Product attributes is under Procurement Category however the creation of nodes are done in Product categories.
AX provides default Category hierarchy types:
- Procurement Category Hierarchy
- Sales Category Hierarchy
- Retail Product Hierarchy
- Commodity Code Hierarchy
- Derived Financial Hierarchy
- Supplemental retail Hierarchy
- Retail channel navigation Hierarchy
Explanation: The Product steel door is having 3 categories as Steel under Procurement Category, Doors under Sales category and House Deco sales under Retail Product Hierarchy. There is always discrepancies among sales, procurement and other Departments in terms of classifications of Product so the solution is to have multiple types of categories. So everyone can have their own view of reports.
If categories are assigned for Sales Category then during creation of Sales Order the item will load default sales category.
More read here.