Item Category and Product Group Code in Microsoft Dynamics NAV

I saw a question the other day on a Dynamics NAV Forum asking, “What is the Product Group Code on the Item Card used for?”

If we look at an Item Card in Dynamics NAV, we see the field for Product Group Code and, above it, a field for Item Category Code.

Figure 1 – Item Card, showing the Item Category Code and Product Group Code

Before we can explain how the Product Group Code is used, we need to explain how the Item Category Code is used.

The Item Category Code on the item is used to classify the item for filtering and reporting. It is also used to set defaults for Costing Method, General Product Posting Group, and Inventory Posting Group.

When a user enters a new item, and enters an Item Category Code, the system will insert the defaults.

Figure 2 – View of Item Category Code options

The Product Group Code is a subset of the Item Category Code and is also used for classifying items for filtering and reporting.

Figure 3 – View of Product Group Code options

Now if someone asks you where you set up the Warehouse Class Code for an item, it is set up in the Product Group Code.

For more information on this or any other Dynamics NAV costing topic, please contact ArcherPoint.

Read more blogs by Bob Bergman for practical advice on using Microsoft Dynamics NAV.