To restrict master data replication to downstream systems based on specific criteria in SAP MDG, you use the Data Replication Framework (DRF). This requires two main configuration steps. First, you must define the filtering logic itself within an outbound implementation, which is a BAdI that controls data selection. This is done by creating or enhancing an outbound implementation and assigning filter objects to it. Second, you must define a replication model. This model acts as the central configuration object, linking the business object (what to replicate), the outbound implementation (how to replicate), and the target systems (where to replicate), including their communication channels.

C. Define Web service and filter by target system.

Filtering logic is configured within the Data Replication Framework (DRF), not directly within the web service (e.g., SOAMANAGER) definition.

D. Define replication model and filter by target system.

While you apply filter criteria within the replication model, this option is less precise. The fundamental steps are defining the filter capability (A) and the replication context (B).

1. SAP Help Portal - SAP Master Data Governance 1909, Data Replication Framework (DRF): The documentation outlines the configuration of data replication. It specifies the need to "Define Replication Models" where you assign outbound implementations and target systems. It also details how to "Enhance Outbound Implementations with Filters" by assigning filter objects. This confirms that both defining the replication model for a target (B) and defining the outbound implementation with filters (A) are required steps.

Source: SAP Help Portal, SAP S/4HANA 1909, Application Help > Cross-Component > Master Data Governance > Configuration of Master Data Governance > Configuration of Data Replication > Configuring the Data Replication Framework (DRF). Specifically, see sections on "Define Replication Models" and "Define Outbound Implementations".

2. SAP Help Portal - SAP Master Data Governance 1909, Filtering Data: This section explicitly states, "You can use filters to restrict the replication of data to the target systems... To use filters, you need to carry out the following main steps: 1. Define filter objects in Customizing for the outbound implementation... 2. Define a filter in the replication model...". This directly supports that defining the outbound implementation with filter objects (A) and defining the replication model (B) are the core steps.

Source: SAP Help Portal, SAP S/4HANA 1909, Application Help > Cross-Component > Master Data Governance > Data Replication > Filtering Data.