Create Characteristics 1 which is COLOR in transaction code CT04

Assign Values to Characteristics Create characteristics 2 which is SIZE

Assign Characteristics to Merchandise Category in transaction code WG22

Select sizes

Select colour

Select the combination of sizes and color for which variants will be created

On saving generic article code will be created

Also the variants will be created automatically. Tocheck the variants created automatically, go to the change mode of the generic article as shown below.

Click on Variants button

272001, 272001 e.t.c are the variant article codes which are single SKU codes.