Tip of the Day: If you encounter an error message that says "Your organization does not have a procurement category hierarchy", don't panic. This simply means that you need to set up a procurement category hierarchy in the Product information management module. A procurement category hierarchy is a way of organizing and managing your procurement processes and policies. It helps you to control spending, track performance, and optimize sourcing.
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Error: When trying to open Procurement and Sourcing > Procurement Categories you get this error: Your organization does not have a procurement category hierarchy. Set up a procurement category hierarchy in the Product information management module.
The menu item with name proccategoryhierarchymanagement could not be opened.
Solution: The error is caused by a missing setup on the Category Hierarchies. Go to Production information management > Setup > Categories and attributes > Category hierarchies > click on the Name you created for the Procurement Categories (the name may be different because you can name the Category Hierarchy whatever you want) > click on Associate Hierarchy Type
Click New and add Category hierarchy type = Procurement category hierarchy and set the Category hierarchy to the Name of your procurement Category Hierarchy.