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EDI 832 Price/Sales Catalog: Understanding its Importance in Supply Chain Management

This article will cover one of the critical EDI documents in Supply Chain Management, the EDI 832 Price/Sales Catalog.

What is EDI 832 Price/Sales Catalog?

The EDI 832 formally known as EDI X12 832 Price/Sales Catalog Transaction Set is a critical document that is used to provide product information and pricing data; it is sent from suppliers to buyers. It contains detailed information about the products, including product description, pricing, and other relevant details.

The EDI 832 document is used in various industries, including retail, wholesale, and manufacturing. The document is particularly useful for suppliers who sell a large number of products and need to provide customers with up-to-date information about their products and pricing.

EDI 832 Price/Sales Catalog Business Flow

The EDI 832 Price/Sales Catalog document flow typically involves the following steps:

  • Creation. The supplier creates the EDI 832 Price/Sales Catalog document, which contains information about their products, pricing, and other relevant details.
  • Transmission. The EDI 832 Price/Sales Catalog document is transmitted electronically from the supplier to the buyer.
  • Processing. The buyer receives the EDI 832 and processes the information to update their internal business systems, such as their ERP, or inventory management system.
  • Update. The supplier updates the EDI 832 every pre-defined period with any changes to product information or pricing, and transmits the updated document to the customer.
  • Usage. The buyer uses the information in the EDI 832 Price/Sales Catalog document to make purchasing decisions and manage their supply chain operations.

This document flow ensures that both the supplier and customer have access to the most up-to-date information, which helps to improve the accuracy and efficiency of supply chain operations.

EDI 832: Related EDI Transactions Process Workflow

The EDI 832 Price/Sales Catalog process workflow typically involves several related EDI transactions, including the following:

Price/Sales Catalog (EDI 832): The document includes product description, pricing information, and other relevant details.

Purchase Order (EDI 850). The EDI 850 transaction is used to place an order with a supplier. Typical purchase orders include information about the products, quantities, and delivery dates.

Advance Ship Notice (EDI 856). The EDI 856 transaction is used to provide advance notice of a shipment, including information about the items being shipped, the shipping method, and the expected delivery date.

Invoice (EDI 810). The invoice typically includes information about the products being invoiced, the quantities being invoiced, and the total amount due.

These transactions work together to support the complete order-to-payment process, allowing companies to exchange business transactions electronically and streamline their operations.

Key Data Elements in EDI 832

The key data elements in EDI 832 Price/Sales Catalog document include:

Product Identification: This includes information such as the product code, product name, and product description.

Pricing Information: This includes information such as the unit price, discount information, and any applicable taxes or fees.

Availability Information: This includes information about the availability of the product, including the expected delivery date, lead time, and minimum order quantity.

Product Characteristics: This includes information such as the product dimensions, weight, and any relevant specifications.

Product Classification: This includes information about the product’s classification, such as its category, subcategory, and any relevant product codes.

These key data elements provide the customer with the information they need to make informed purchasing decisions and manage their supply chain operations effectively.

Moreover, since the information is transmitted in a standardized format, it can be easily processed and understood by both suppliers and customers, reducing the likelihood of misunderstandings or errors.

USEFUL READING: Business Automation: How to Choose the Right EDI Solution

EDI 832 Price/Sales Catalog –Standards

The EDI 832 price/sales catalog uses the EDI ANSI X12 standard. The ANSI X12 standard is widely used for EDI transactions in the US and North America.

The analog of the X12 EDI 832 Price/Sales Catalog transaction set in the EDIFACT PRICAT (Price Catalog) message. EDIFACT Standard is an international standard that is used for Electronic Data Interchange (EDI) transactions worldwide but is particularly popular in Europe.

Both the EDIFACT PRICAT message and the X12 EDI 832 document are used to exchange product and pricing information between suppliers and customers. Both standards ensure that the information is transmitted in a standardized format.

EDI 832 Price/Sales Catalog – Structure

The structure of the EDI 832 Price/Sales Catalog document typically includes the following elements:

Header: The header contains information about the sender and receiver of the document, as well as the date and time it was transmitted.

Product Information: This section contains detailed information about the products, including product descriptions, pricing, and other relevant details.

Footer: The footer contains a summary of the information in the EDI 832 Price/Sales Catalog document, as well as any relevant checksums or error codes.

As stated above, the EDI 832 Price/Sales Catalog document adheres to EDI standards, which ensures that the information is transmitted in a standardized format that can be easily processed and understood by both suppliers and buyers. This helps to reduce the likelihood of misunderstandings or errors and ensures that the information is transmitted accurately and efficiently.

IMPORTANT NOTE: The EDI X12 standard does not have the capability to transmit images. The EDI X12 832 Price/Sales Catalog is used to exchange product catalog data, including product descriptions, pricing information, and item specifications. It is a text-based format that is used to transmit data in a standardized format, but it does not have the capability to transmit images or other binary data.

EDI 832 Example

ISA*00*          *00*          *12*4506813009     *ZZ*RECEIVER       *220417*1132*U*00401*700005483*0*P*>~

GS*SC*9372915040*RECEIVER*20220417*113200*700005483*X*004010~

ST*832*1013327~

BCT*RC*126462263313********02~

REF*IA*009824~

DTM*007*20210423~

CUR*SE*CAD~

LIN**VA*D70GBTD06 MAG0D030*EN*8051730951638*CM*410*VN*D70GBTD06 MAG0D030*SM*1~

REF*PG~

REF*DP~

PID*F*08***JACKET****EN~

PID*F*PG***F21~

PID*F*SC****ME~

PID*F*SIZ***S~

CTP**RES*1495*1*EA~

CTP**WHL*598~

LIN**VA*D70GBTD06 MAG0D030*EN*8051730951645*CM*410*VN*D70GBTD06 MAG0D030*SM*1~

REF*PG~

REF*DP~

PID*F*08***JACKET****EN~

PID*F*PG***F21~

PID*F*SC****ME~

PID*F*SIZ***M~

CTP**RES*1495*1*EA~

CTP**WHL*598~

LIN**VA*D70GBTD06 MAG0D030*EN*8051730951652*CM*410*VN*D70GBTD06 MAG0D030*SM*1~

REF*PG~

REF*DP~

PID*F*08***JACKET****EN~

PID*F*PG***F21~

PID*F*SC****ME~

PID*F*SIZ***L~

CTP**RES*1495*1*EA~

CTP**WHL*598~

LIN**VA*D70GBTD06 MAG0D030*EN*8051730951669*CM*410*VN*D70GBTD06 MAG0D030*SM*1~

REF*PG~

REF*DP~

PID*F*08***JACKET****EN~

PID*F*PG***F21~

PID*F*SC****ME~

PID*F*SIZ***XL~

CTP**RES*1495*1*EA~

CTP**WHL*598~

LIN**VA*D70GBTD06 MAG0D030*EN*8051730951676*CM*410*VN*D70GBTD06 MAG0D030*SM*1~

REF*PG~

REF*DP~

PID*F*08***JACKET****EN~

PID*F*PG***F21~

PID*F*SC****ME~

PID*F*SIZ***XXL~

CTP**RES*1495*1*EA~

CTP**WHL*598~

CTT*5~

SE*52*1013327~

GE*1*700005483~

IEA*1*700005483~

How Supply Chain Management Benefits From EDI 832 Price/Sales Catalogs

The EDI 832 document helps buyers to manage their supply chain operations more effectively by providing them with accurate and up-to-date information about the products they purchase. This information can be used to update internal ERP system, such as NetSuite, SAP, Dynamics 365, Salesforce, or other which helps to improve the efficiency of supply chain operations.

EDI 832 Price/Sales Catalogs

Furthermore, both trading partners benefit from the following:

Reduce time, effort, and errors

By using the EDI 832 Price/Sales Catalog, companies save time and effort when processing orders and making changes to product information. Using the EDI 832 eliminates the need for manual data entry, which can be time-consuming and error-prone.

Additionally, since the information is in a standardized format, (ex. X12 or EDIFACT) it can be easily integrated into internal business systems such as ERP, reducing the chance of misunderstandings or errors.

Accuracy and efficiency of supply chain

Another important benefit of EDI 832 Price/Sales Catalog is that it helps to improve the accuracy and efficiency of supply chain operations. By providing real-time information about product availability, pricing, and other relevant details, it helps to ensure that orders are processed quickly and accurately, reducing the risk of delays or mistakes. Moreover, since the information is updated regularly, it ensures that suppliers and customers always have access to the most up-to-date information, which helps to improve the overall efficiency of supply chain operations.

What is the Best Way to Exchange EDI 832?

If you’re looking to start exchanging EDI 832 Price/Sales Catalogs with your trading partners, consider working with a fully managed EDI services provider. With a managed EDI solution, you can streamline your EDI operations and minimize the time and resources required to manage your EDI transactions.

A fully managed EDI solution can handle all aspects of EDI processing, including data mapping, EDI translation, error resolution, and communication with your trading partners. You can focus on your core business while the EDI service provider takes care of the technical details of EDI.

By working with an EDI provider such as EDI2XML, you can enjoy the benefits of EDI 832 without having to invest in software or IT infrastructure. Plus, with experienced EDI professionals handling your EDI operations, you can be confident that your EDI transactions are accurate, timely, and secure.

In conclusion, starting to exchange EDI 832 with a fully managed EDI services provider is a smart way to streamline your EDI operations and ensure that your EDI transactions are handled efficiently and effectively.

Contact us today for your free EDI consultation!

 

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How Do Companies Send EDI Files?

Introduction: What is EDI?

The Electronic Data Interchange (EDI) standard was developed by the American National Standards Institute (ANSI). It allows companies to exchange information about products, services, orders, and payments electronically in a standardized format.

Therefore, EDI is a technology that replaces the exchange of paper/file information between business partners with an automated exchange between their computer systems.

EDI is used by many different types of organizations, including banks, insurance companies, healthcare providers, manufacturers, and retailers.

EDI automation

Benefits of EDI for B2B Communication

EDI (Electronic Data Interchange) implementation is a great way for automating business-to-business (B2B) processes. EDI allows companies to exchange business documents such as purchase orders, invoices, etc. in a standardized electronic format, eliminating the need for manual data entry and reducing the risk of errors.

By automating these processes, EDI can help companies to improve efficiency, reduce costs, and increase accuracy in their B2B operations. Furthermore, implementing EDI can help companies to streamline their supply chain, and improve communication with business partners.

Here are some key advantages:

Efficiency and Speed:

Faster Transactions: EDI enables the exchange of business documents in a standardized electronic format, reducing the time required for processing orders, invoices, and other documents.

Real-Time Processing: EDI facilitates real-time data exchange, minimizing delays associated with traditional paper-based methods.

Accuracy and Error Reduction:

Automated Data Entry: With EDI, data is entered automatically into the recipient’s system, reducing the likelihood of manual errors associated with manual data entry.

Data Validation: The EDI 997 (or EDI Functional Acknowledgement), ensures that data is accurate and ensuring the integrity and reliability of EDI transactions.

Cost Savings:

Reduced Paper and Printing Costs: By eliminating the need for paper documents, printing, and manual handling, EDI helps businesses save on material and operational costs.

Lower Administrative Costs: Automation of document processing reduces the need for manual intervention, leading to cost savings in terms of labor and resources.

Enhanced Visibility and Tracking:

Transaction Visibility: Businesses can track the status of transactions in real-time, providing better visibility into the supply chain and allowing for proactive management of processes.

Audit Trails: EDI systems often maintain detailed audit trails, which can be valuable for compliance purposes and resolving disputes.

Improved Customer Relationships:

Faster Response Times: Quicker order processing and communication lead to faster response times, enhancing overall customer satisfaction.

Reduced Errors: Fewer errors in order fulfillment and invoicing contribute to positive customer experiences.

Compliance with Industry Standards:

Regulatory Compliance: EDI often adheres to industry-specific standards and regulations, ensuring that businesses comply with relevant requirements in their sector.

Environmental Impact:

Reduced Environmental Footprint: The move from paper-based to electronic transactions contributes to environmental sustainability by reducing paper usage and waste.

In summary, EDI in B2B communication offers a range of benefits, including increased efficiency, accuracy, cost savings, security, and improved relationships with trading partners. It has become an integral part of modern supply chain management and business operations.

B2B Automation Via EDI Implementation

If your company decides to implement EDI in order to exchange EDI files with your business partners, there are several important parameters to help in this decision:

1. What EDI Standard Will You Use?

The EDI standard prescribes mandatory and optional information that must be contained in each document, as well as established rules for the structure of the document.

In most cases, an EDI standard is selected based on the location of the company or its industry. It is more common in North America to use the X12 standard. European Union companies mostly use EDIFACT. HL7 is a standard used for processing medical data. RosettaNet is used in the electronics and semiconductor industry.

These articles can help you learn more about standards:

2. What Kind of EDI Documents Will You Exchange with Your Business Partner?

Typically, large companies dictate which EDI documents they require. Thus, if your business partner requires the exchange of documents in electronic format, most likely he already has a specific list of documents. An EDI document typically contains the same information as a paper document.

The following are some of the main documents that are exchanged electronically:

However, EDI is not limited to business data related to trade but covers all areas such as medicine (for example, laboratory test results), transportation (container information), insurance, etc.

Take a look at the full list of EDI documents that you can exchange with your business partners. List of EDI documents in X12 standard and EDIFACT.

3.Which Communication Protocol Will You Use?

Unlike an EDI standard or a list of EDI documents that your trading partner may require you to comply with, you will most likely be able to choose which EDI communication protocol you will use.

One of the most critical aspects of exchanging EDI documents is the way information is transferred. Thus, you need to decide how you will send and receive EDI files.

There are several different methods for sending EDI files. Here we will take a closer look at the most frequently used EDI protocols: FTP and SFTP, AS2 and VAN.

What is EDI Communication Protocol?

EDI communication protocols are the methods and technologies used to send and receive electronic data interchange messages. They are used to transfer data between businesses.

EDI Direct Connection (Point-to-Point Connection)

Direct connection allows you to transfer your EDI data directly from your computer to the computer of your business partner. A direct EDI connection can be made via VPN (Virtual Private Network), FTP (File Transfer Protocol), SFTP (Secure File Transfer Protocol), and AS2, which encrypts data before it is sent over the Internet.

EDI-communication

FTP and SFTP to Exchange EDI files

FTP/SFTP – File Transfer Protocol/Secure File Transfer Protocol. In order to exchange EDI documents, businesses use these file transfer protocols to connect with their partners over the Internet.

There are a lot of benefits to using SFTP for transferring encrypted files since it is an easy-to-use protocol. Encryption calculations and public/private keys protect data transferred between the SFTP server and the client. The combination of these two elements provides robust protection known as public-key authentication. It is also possible for users to authenticate transmissions using an SSH key or a password.

AS2 (Applicability Statement 2) for EDI Communication

By encrypting EDI data and using digital certificates, AS2 provides a secure method of exchanging documents over the Internet.

The AS2 protocol has become widely adopted and implemented because of the internet’s popularity and HTTP’s leveraging.

AS2 uses a secure HTTPS connection and encrypts messages. The AS2 protocol allows enterprises to exchange EDI data in real-time and directly between their systems.

Walmart was one of the first companies to adopt AS2 for EDI communications. All of its suppliers were required to use the same protocol.

VAN (Value Added Network)

VANs (value-added networks) are private, hosted services that are designed to provide companies with a secure way to exchange EDI information with their business partners.

VAN can be compared to a “post office” where business partners can collect and sort incoming EDI documents.

It is estimated that only a small number of businesses currently use VANs. It is because of the low cost of the Internet and the level of security that can be achieved using Internet communication protocols. Point-to-point communications have become the norm for most of the “big players” in retail.

Conclusion: How Do Companies Send EDI Files?

Does your partner require an EDI document exchange?

If you do not know where to start, don’t hesitate to get in touch with us. Our EDI experts will be happy to help you make the right decision and answer all your questions.

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Business Automation: How to Choose the Right EDI Solution

Business Automation through EDI Solution

Most entrepreneurs who have never experienced EDI before, feel overwhelmed when it comes to selecting an EDI provider or solution, to start exchanging business documents with their trading partner.

There are multiple EDI solutions from different big and small EDI Providers. At first blush, each EDI solution looks better than the other, but how do you choose the best EDI solution for your business?

The Electronic Data Interchange (EDI) is the exchange of business documents electronically between business partners.

In this article, I will review the main EDI solutions on the market, using the solutions from EDI2XML as an example, additionally, I will give you useful tips on how to choose an EDI provider without losing sight of key points that will affect the long-term success of EDI.

Why You Should Be Careful When Choosing an EDI Solution?

For many organizations, EDI is a mission-critical application whose failure can lead to a complete stoppage of activity, therefore, the choice of an EDI solution, as well as EDI provider, must be approached carefully.

EDI is responsible for supporting a wide variety of business processes – inventory management, orders, purchasing, logistics, tenders, etc.

Perhaps there is no such field of activity where you can run, without the exchange of documents at all, which means that EDI solutions can be needed everywhere.

Choosing the Right EDI Solution to Automate Your Business

EDI is used for B2B communication in all industries by both large corporations and the smallest companies. That is why there are different EDI solutions designed for different markets and companies.

EDI allows businesses to exchange documents quickly since it eliminates the need to prepare and process mail or to make phone calls, faxes, or paperwork when ordering or selling.

By choosing the right EDI solution, you will make it easier to communicate with your business partners and bring value to your business.
EDI automation

For example, if you are a small company that has only one trading partner that requires EDI exchange, you need a simple EDI solution that does not require a large initial investment, which will allow you to quickly start exchanging EDI documents with your business partner.

Continuing on the topic of EDI solutions, let’s take a look at the different options of EDI solutions on the market, using the example of EDI2XML as EDI service provider.

It should be remembered that the details of EDI solutions from different EDI providers always differ. However, the description below will give you a general idea of the existing EDI solutions.

Fully Managed EDI Services

EDI fully managed service refers to a service where the EDI provider takes full responsibility for managing EDI operations and integrating them on behalf of the client.

With Fully Managed EDI Service, there is no need for the customers to install any software or hardware on their computers. The EDI provider will take care of the implementation and configuration of the process flows. He will be in charge of handling the data routing and will be responsible for the data format conversion and integration.

Through the fully managed EDI service, an EDI provider will take on a wide range of responsibilities that are usually handled by an internal IT department. With a fully managed EDI solution, EDI2XML delivers a turnkey project to connect your business partners.

Which Companies Can Benefit From a Fully Managed EDI Service?

Companies that need to use EDI but don’t want to spend the time and effort on the EDI implementation themselves, or who don’t have the necessary EDI skills and specialists who can do it, need an EDI service provider to handle all the configuration and integration of EDI. In this case, a fully managed EDI service is the ideal solution.

Find out more about Fully Managed EDI Services its process flow, features, technical details and pricing.

EDI Web Service

The EDI Web Service is an HTTP service from EDI2XML that works over the internet on the private platform. This HTTP EDI Web Service (REST API) can receive HTTP requests to convert EDI messages to XML and XML messages to EDI (based on EDI2XML’s proprietary format).

There are many reasons why EDI2XML Web Service is the right choice:

1. Solution based on self-service

2. An affordable price

3. Our free trial period lasts for 15 days without any obligation, so you have nothing to lose.

4. Getting started will take you less than an hour

5. There is no contract with us, and no commitment.

6. We charge on a month-to-month basis; you can cancel at any time with 30 days’ notice.

7. There is a very simple and dynamic pricing scheme that is easy to understand and use

8. The availability and reliability of the service

9. Using proven technologies that are backed by a wealth of experience 

10. Support from a highly skilled technical team is outstanding

It is very simple and quick to get started with the EDI2XML Web Service. Within less than an hour, you can make the first Call to the Web Service and see the response. 

We offer a well-documented HTTP EDI Web service, and each subscription includes instructions.  
Cloud Services EDI

Who is the EDI Web Service For?

The EDI web service is intended for developers and enterprises who want to create their own EDI (Electronic Data Interchange) integrations.

Typically, these users can interact with external APIs and web services to convert EDI to XML and XML to EDI. Additionally, they have the expertise and resources to work with web services and HTTP requests.

EDI2XML Web Service is a reliable service for IT professionals who need to perform such integration projects.

We suggest EDI Web Service to companies that have their own technical resources to work with REST APIs (calls and consumptions of HTTP Rest Web services).

Request EDI2XML Web Service Price List

On-Premises EDI Solution

On-premises EDI refers to the implementation of EDI software that is installed and operated through the customer’s own server and computing infrastructure.

On-premises EDI deployment from EDI2XML involves two components that will be deployed on-premises:

1. EDI2XML translation and transformation engine to convert X12/EDIFACT messages to XML and vice versa.

2. A license of Magic xpi a third-party integration and automation platform.

Read more about Magic xpi integration platform as the best fit for enterprise data integration

Features of the EDI2XML service “on premises”

1. The application is deployed on the customer’s server

2. Service that is based on a subscription

3. There is a standard XML format for incoming EDI messages

4. Standard XML format for Outgoing X12

5. XML schemas (.xsd) are also provided

6. SMTP/FTP/sFTP protocols are included in the package
EDI-On-Premises solution

When On-Premises EDI is is Right for You?

On-premises EDI is suitable for companies that have strict IT management rules and procedures that they can only deploy software solutions on their own premises.

You should also consider how much EDI data you want to exchange with your business partner. If you expect a very large volume of data, you might consider an on-premises EDI solution. A company’s IT architecture and its team play a vital role in implementing EDI on-premises. Make sure the company has the proper hardware infrastructure, and that the IT department is ready to tackle this project.

Request EDI On-Premises Pricing Plans

Choosing an EDI Provider: What to Look For

Now that we’ve discussed the main types of EDI solutions, let’s talk about what to look for in an EDI provider. There are several different kinds of EDI service providers available.

In developed markets, as a rule, a large service provider gets almost everything – the vast majority of customers start using its product because they do not bother with in-depth analysis of technologies and services, but use the same thing that other companies or business partners utilize.

It is for this reason that demonstrations of a large number of customers are one of the most popular marketing techniques. Of course, a large customer base may indicate the reliability of the EDI provider (which does not always correlate with the quality of the EDI solution, price flexibility, service, and technical support) that you can get from smaller EDI providers.

The following are some basic recommendations about what you should look for when choosing an EDI provider for your company.

– Exclude sales and market share statistics from your list of EDI provider criteria.

– Rely on relatively new projects that are comparable in scope to your organization as references.

– It is critical to pay attention to how quickly the company responds to your requests when you contact them.

– A provider of EDI services should be able to connect you with technical experts for a personalized consultation.

– If you need a customized quote, how quickly will they be able to provide it to you?

– How does an EDI provider support its customers? When it comes to technical issues, how quickly can they resolve them?

– Check if the prices of the company can be adjusted based on your needs.

Remember that a big EDI provider doesn’t always mean the best.

Conclusion: How to Choose the Right EDI Solution

The use of EDI has become a necessity for most companies today. Meanwhile, the choice of an EDI solution has become very difficult for companies. This is because the market for EDI solutions is currently quite large, in addition, EDI solutions in terms of technical characteristics and functionality have become quite similar to each other.

Therefore, factors such as the reliability, experience, and flexibility of the EDI provider often become the last argument when choosing an EDI solution.

If you are not completely satisfied with your EDI provider, then read this helpful article How to Change Your EDI Service Provider

Are you looking for ways to improve your business processes? Then look no further! Our EDI services are here to help! Our EDI experts are available to give you a free consultation if you are still unsure which EDI solution is right for you.
Get A Free EDI Consultation
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All You Need to Know About EDI 812 Credit/Debit Adjustment

Modern businesses are constantly striving to improve and automate their business processes, especially when it comes to supply chains. However, even the best-run supply chains can face situations where adjustments need to be made. If a problem arises with a purchase order, the trading partner uses EDI 812.

What is an EDI 812?

EDI 812, formally known as an EDI X12 812 Credit/Debit Adjustment Transaction Set, is an EDI document used by trading partners (buyer and seller) in B2B communication to indicate that adjustments have been made to a specific payment or to demand an adjustment or bill-back.

Using EDI 812 transaction, trading partners can reconcile payments with invoices and eliminate the need for paper credit or debit memos.

Who Uses The EDI 812 Debit/Credit Adjustment?

EDI 812 is used to automate B2B communications in all industries. This EDI document can be used by various companies such as:
  • Retailers/ grocers
  • suppliers of goods and services
  • manufacturers of goods
  • wholesalers
  • warehouses
  • 3 PL Logistics
  • transport companies (providing road, rail, sea (river) and air transportation) and many others.

When is The EDI 812 Document Used?

Trading partners use EDI 812 Credit/Debit Adjustment in various cases, the most common examples are:
  • The products that were ordered were not delivered.
  • There was a mistake in sending the products.
  • A defective, damaged, or spoiled item was received.
  • The manufacturer’s discount or retailer’s markup needs to be adjusted.
  • In the original purchase order or invoice, there was an error in the pricing.
  • There is an inconsistency in the quantity of goods delivered. For instance, when more or less goods are delivered than ordered.
  • Consumers are returning the goods to the retailer

What Information is Included in EDI 812 Debit/Credit Adjustment?

Generally, an EDI 812 document refers to a specific Purchase Order or Invoice and contains detailed information such as:
  • The number of the original PO or Invoice.
  • The total amount of the adjustment.
  • The items that are being adjusted.
  • Identification of the items.
  • Quantity of the items.
  • Credit, debit, or adjustment justification.
  • Debit/Credit Memo

EDI X12 812 Transaction Set Specification

EDI X12 812 Credit/Debit Adjustment Transaction Set is an electronic document used in the context of EDI where:

EDI – Electronic Data Interchange is a technology used to exchange commercial data between companies in a structured digital form based on regulated message formats and standards.

X12 – is a cross-industry standard for electronic exchange of business documents between business partners. In the United States, it is the most commonly used EDI standard.

812 – is a unique three-digit number to identify an EDI transaction. A three-digit code is assigned to each type of EDI document that is used in the X12 standard.

Transaction Set – is an electronic document that is the equivalent of a paper document.

The following is an example of the specification for the EDI 812 Transaction Set. The 812 contains mandatory and optional data, as with any other EDI document. Depending on the field of activity and the requirements of the trading partner, additional data may be required.

A typical structure for this document would be as follows:

EDI 812 Transaction Set Heading:
Segment IDNamePurpose:
ST Transaction Set HeaderIndicating the start of a transaction set and assigning a control number
BCD Beginning Credit/Debit AdjustmentProvide the receiver with the identifying date and number for the transaction set and the monetary value of the transaction
N9 Extended Reference InformationTransmit identifying information as specified by the Reference Identification Qualifier
PER Administrative Communications ContactIdentification of the individual or office to whom administrative communications should be addressed
SHD Shipment DetailTo specify shipment details, such as weight, quantity, and routing instructions regarding crediting or debiting returned products
N1 Party IdentificationIdentification of a party based on type of organization, name, and code

EDI 812 Transaction Set Detail:

Segment IDNamePurpose:
CDD Credit/Debit Adjustment DetailProvide information concerning a line item adjustment 
LIN Item IdentificationIdentifying basic information about an item 
PO4 Item Physical DetailsTo describe the physical characteristics, packaging, weights, and dimensions of an item 
N9 Extended Reference InformationTtransmit identifying information as specified by the Reference Identification Qualifier 
SE Transaction Set TrailerTo specify the end of a transaction set and report the number of segments transferred (including beginning (ST) and ending (SE) segments). SE represents the final segment of a transaction set. 

What Communication Protocol is Used to Send and Receive EDI 812?

At present, most companies that use EDI to communicate with their business partners do so over the Internet using FTP, sFTP, or AS2 communication protocols. For a variety of reasons, some companies may opt to use VAN, which is a more expensive solution.

Learn more about EDI communication protocols in the free EDI guide: Introduction to EDI Communication

EDI B2B Automation Through 812 Translation

The information transmitted by EDI 812 needs to be translated into a functional format for further processing or for integration into the company’s business system. Many companies use the Fully Managed EDI Services from EDI2XML. Through this service, EDI 812 information can be synchronized with an internal system, such as an ERP/CRM or accounting system, eliminating the need for manual data entry. In this way, the data received from trading partners via EDI is immediately pushed into the business system and can be processed quickly.

Learn more about the Fully Managed EDI Service

As an alternative to fully managed EDI, to transmit and translate an EDI 812 or any other EDI document, company can use low-cost and flexible EDI solution from EDI2XML – the HTTP EDI Web Service (REST API).

EDI2XML Web service is a web-based HTTP service that runs over the Internet and converts EDI messages into XML and XML messages into EDI (based on EDI2XML’s proprietary XML schema).

Learn more about this EDI service in the article: How to Become EDI Compliant in Under 60 Minutes (Yes, Really)

Benefits of Using the EDI 812 Credit /Debit Adjustment

Both the seller and the buyer benefit from EDI 812 credit/debit adjustment by automating the transaction process. Below are some of the advantages that can be realized by both trading partners:
  • Sending and receiving credits/debits can be done more quickly and with less effort
  • Gain operational efficiencies by reducing paperwork
  • Automated data entry reduces errors
  • Maintains documentation for deductions and credits

Conclusion: All You Need to Know About EDI 812 Credit/Debit Adjustment

For more information on how to implement EDI 812 in your company, contact us for a free consultation with one of our EDI experts.

You can also gain a lot of useful knowledge about business and e-commerce automation and integration of EDI, ERP, and CRM by exploring our Blog
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EDI for Specific Industries

EDI – Electronic Data Interchange is a well-established protocol of business data exchange, which has become more and more widespread in recent years among businesses of all sizes and various industries.

Through EDI, companies can exchange business documents that were traditionally communicated on paper or by e-mail.

By replacing the exchange of paper or e-mail documents with EDI, companies save time and eliminate manual data processing, which often leads to errors and costly delays in all business processes.

Companies today use EDI to send all kinds of documents, from orders, and invoices to motor carrier load tender, customs manifest, and more.

The exchange of EDI takes place between business partners who exchange goods or services.

All EDI transactions comply with standards developed and maintained by several organizations including UN/CEFACT, X12, ODETTE, GS1, Peppol, and others.

However, despite uniform standards, each industry can use a certain set of specific EDI transactions. Below we provide some examples of EDI documents for specific industries.

USEFUL: A complete list of documents that can be exchanged via EDI

EDI for Transportation and Logistics Industries

The Transportation industry actively uses EDI and, in addition to standard transactions, this industry use sets of specific EDI documents.

The transport industry includes a huge variety of different types of transportation. It includes marine, air, rail, and motor freight. Accordingly, the EDI transactions used for example in rail transportation will differ from those used by motor freight.

The Most Used EDI Transactions for Transportation and Logistics

USEFUL: You can find a complete list of EDI transportation codes in our article “EDI Integration for Transportation and Logistics”

EDI for the Supply Chain Industry

The supply chain industry includes many processes such as distribution, inventory, purchasing, production planning, sales, supply chain planning, interaction with trading partners and warehouses.

The use of EDI in the supply chain allows the company to quickly exchange documents electronically with all suppliers, exchange prices and catalogs, track information on shipments and acceptance of goods. EDI allows to make the supply chain as transparent and efficient as possible, receiving up-to-date data on the movement of goods and funds in real-time.

EDI Transactions for Supply Chain

Here are some of the most common EDI documents in the supply chain:

  • EDI 810 – Invoice
  • EDI 846 – Inventory Status
  • EDI 850 – Purchase Order
  • EDI 856 – Ship Notice/Manifest
  • EDI 855 – Purchase Order Acknowledgment
  • EDI 820 – Payment Order/Remittance Advice
  • EDI 753 – Request For Routing Instructions
  • EDI 754 – Routing Instructions
  • EDI 816 – Organizational Relationships
  • EDI 830 – Planning Schedule With Release Capability

To learn more about the use of EDI in the supply chain, read our article: Electronic Data Interchange (EDI) in the Supply Chain

It covers the following questions:

– What is EDI?

– Why use EDI in the supply chain?

– How does EDI work?

– Typical EDI workflow process

– Additional and specific types of EDI messages

– Benefits of EDI for Supply Chain Management

– Effective EDI Solution for Supply Chain

USEFUL: EDI for Third-Party Logistics providers (3PL)

EDI for HealthCare and Insurance Industries

EDI is of great value to healthcare organizations because it provides a secure way to electronically exchange sensitive information.

The healthcare industry includes health insurance activities, which are carried out by both commercial and public health organizations.

Most common EDI Transaction Sets in HealthCare

  • HIPAA / X12 270 – Eligibility, Coverage, or Benefit Inquiry
  • HIPAA / X12 271 – Eligibility, Coverage, or Benefit Response
  • HIPAA / X12 276 – Healthcare Claim Status Request
  • HIPAA / X12 277 – Health Care Claim Status Response
  • HIPAA / X12 837 – Health Care Claim (Professional, Institutional, and Dental)
  • HIPAA / X12 999 – Implementation Acknowledgment
  • EDI 273 – Insurance/Annuity Application Status
  • EDI 274 – Healthcare Provider Information
  • EDI 275 – Patient Information
  • EDI 834 – Benefit Enrollment And Maintenance
  • EDI 835 – Health Care Claim Payment/Advice
  • EDI 852 – Product Activity Data (to exchange information between Manufacturers and Pharmacies)
  • EDI 999 – Implementation Acknowledgment (for Health Care Insurance)

To learn more about EDI in healthcare, please read this article: All you need to know about HIPAA EDI compliance in Healthcare

EDI for the Retail Industry

The Retail Industry is a pioneer in the implementation of EDI. Large retailers are actively automating business processes and introducing new information technology solutions to reduce costs and increase sales.

Thus, the use of EDI in retail is a must. Since large retail companies have a huge number of suppliers, they have to exchange thousands of documents every month. It is simply impossible to go through so much documentation manually.

The Most Used EDI Documents in the Retail

  • EDI 810 – Invoice
  • EDI 820 – Payment Order/Remittance Advice
  • EDI 832 – Price/Sales Catalog
  • EDI 846 – Inventory Inquiry/ Advice
  • EDI 850 – Purchase Order
  • EDI 852 – Product Activity Data
  • EDI 855 – Purchase Order Acknowledgment
  • EDI 856 – Ship Notice/Manifest
  • EDI 861 – Receiving Advice/Acceptance Certificate

The use of EDI in retail offers many benefits, ranging from savings in paperwork and avoiding manual data entry errors, to reducing transport and logistics costs and increasing company profits.

If you want to learn more about the use of EDI in retail, please read this article: The Top 6 EDI Documents for Retail Suppliers

Conclusion: EDI for Specific Industries

In this article, we explored the use of electronic data interchange in some industries, however, if you have any questions regarding EDI, you can always contact us for a free initial consultation.

Our more than 21 years of experience in the implementation of EDI for various industries allows us to offer our customers the most profitable and effective EDI solutions.

Free EDI Consultation
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EDI for Manufacturing Companies

Manufacturing and EDI: Introduction

Electronic Data Interchange (EDI) is an essential part of the modern manufacturing business process. EDI can speed up production, reduce labor and storage costs, and improve all manufacturing business processes.

In this article, we will analyze how and why EDI is used in manufacturing companies and how to get started with electronic data interchange.

Electronic data interchange (EDI) is the process of exchanging documents (such as purchase orders, invoices, shipping notices, etc.) electronically with a business partner.

Why Use EDI in the Manufacturing Industry?

Every day manufacturing companies in all sectors face many challenges. Managing the procurement of raw materials and components for production, maintaining stocks at an optimal level, accelerating the turnover of finished products, quickly receiving payments, all these and many other challenges are being faced daily at most manufacturing enterprises.

That is why automation through the use of EDI helps to successfully manage many processes in production.

Manufacturing B2B Communication

One of the particularities of a manufacturing company is that it can act both as a buyer when buying raw materials, components, and consumables, and as a seller when selling finished products.

A manufacturing company can have different EDI partners; it can exchange EDI documents with the following business partners:

  • supplier of raw materials and component parts;
  • wholesale buyer;
  • distribution centers;
  • retail companies;
  • eCommerce marketplaces;
  • dropship partners;
  • warehouses / public warehouse;
  • third-party logistics service providers (3 PL providers);
  • freight carriers, transportation companies, and many others.

Manufacturing EDI Transactions

A manufacturing company may need to exchange bi-directional EDI transactions with different business partners. The type and number of EDI documents vary according to the business processes within the manufacturing company.

Below is a list of EDI documents for manufacturing; Some of them are used only for manufacturing enterprises, while others are being widely used in any business.

  • EDI 196 – Contractor Cost Data Reporting
  • EDI 830 – Planning Schedule / Material Release
  • EDI 832 – Price/Sales Catalog
  • EDI 844 – Product Transfer Account Adjustment
  • EDI 846 – Inventory Inquiry/Advice
  • EDI 849 Response to Product Transfer Account Adjustment
  • EDI 850 – Purchase Order
  • EDI 852 – Product Activity Data
  • EDI 855 – Purchase Order Acknowledgment
  • EDI 856 – Advance Shipment Notice
  • EDI 860 – Purchase Order Change
  • EDI 861 – Receiving Advice/Acceptance Certificate
  • EDI 862 – Shipping Schedule
  • EDI 866 – Production Sequence
  • EDI 867 – Product Transfer and Resale Report
  • EDI 869 – Order Status Inquiry
  • EDI 870 – Order Status Report
  • EDI 894 – Delivery/Return Base Record
  • EDI 895 – Delivery/Return Acknowledgment or Adjustment
  • EDI 940 – Warehouse Shipping Schedule
  • EDI 943 – Warehouse Stock Transfer Shipment Advice
  • EDI 944 – Warehouse Receipt Advice
  • EDI 945 – Warehouse Ship Advice
  • EDI 997 – Functional Acknowledgment

As stated above, you will probably only need to integrate some of the EDI documents I listed above to automate your business processes and establish an electronic document exchange with your trading partner.

6 Essential EDI Documents for Manufacturing

What are the most common EDI documents used in manufacturing? As mentioned above, different manufacturing companies may use various sets of EDI transactions based on their own business processes and manufacturing characteristics. However, there are some basic EDI transactions that most manufacturing companies use.

Below you will find the 6 EDI transactions used in manufacturing in the ANSI X12 standard (which is widely used in North America), and their equivalent in the EDIFACT standard for Europe.

1. EDI X12 830 – Planning Schedule with Release /EDIFACT (SLSFCT) – Sales forecast message

EDI 830 / EDIFACT( SLSFCT) transmits forecast data related to products, such as location, period, product identification, price, quantity, market sector information, etc.

This enables the recipient to process the data automatically and utilize it for production, planning, marketing, analytics, etc…

2. EDI X12 850 – Purchase Order / EDIFACT (ORDERS) Purchase Order Message

EDI 850 / EDIFACT (ORDERS) is the most commonly used EDI document, not just in the manufacturing industry, but across all industries since it is used when ordering goods. In the case of manufacturing companies, EDI 850 can be used either as an incoming or outgoing EDI document.

– Incoming EDI 850 is sent from the buyer to the manufacturing company when ordering finished products.

– Outgoing EDI 850 is sent by the manufacturing company to its supplier of raw materials or components.

The purchase order contains all the information about the ordering product such as item description, price, and quantities, payment terms, shipping details, requested delivery date, etc.

3. EDI X12 855 – Purchase Order Acknowledgement / EDIFACT (ORDRSP) Purchase Order Response)

EDI 855/ EDIFACT (ORDRSP) is an EDI transaction set that sellers send to a buyer as a response to a purchase Order X12 850/ EDIFACT (ORDERS), to confirm or reject the delivery of products.

PO Acknowledgement (855) is based on EDI 850 and contains similar information about the products, buyer, and seller information, order confirmation number.

4. EDI X12 856 – Advance Shipment Notice (ASN) / EDIFACT DESADV Despatch advice message

EDI 856 message should be sent immediately after the shipment leaves the supplier’s premises.

The ASN 856 includes information about the contents of the delivery, the order, the packaging method, and the product description.

EDI 856 simplifies and speeds up the process of receiving goods, providing details about cargo, transferring information about shipments, and tracking the delivery.

5. EDI X12 810 – Invoice / EDIFACT (INVOIC) – Invoice

EDI 810 / EDIFACT (INVOIC) sent by the seller to the buyer to receive payment for goods provided.

In the case of a manufacturing company, EDI 810 can be used as an outgoing document from the manufacturing company to the buyer of the finished product, or as an incoming document from the raw material supplier to the manufacturing company.

6. EDI X12 EDI 846 – Inventory Inquiry/Advice / EDIFACT INVRPT – Inventory Inquiry/Advice

EDI 846 is sent by a manufacturer to inform its business partners (dealers, distributors, retailers, etc.) of current and future stock levels.

EDI 846 transmits full information about the product such as item description, quantity available in stock, price, as well as quantity forecasted, quantity sold already.

EDI Integration with Manufacturing Software, ERP, or CRM

Electronic Data Interchange (EDI) is a powerful tool that can greatly streamline business processes, particularly when it comes to manufacturing. By integrating EDI with manufacturing software, Enterprise Resource Planning (ERP), and Customer Relationship Management (CRM) systems, manufacturers can improve efficiency and accuracy in areas such as order management, inventory control, and invoicing. EDI allows for the automated exchange of data between systems, reducing the need for manual data entry and minimizing errors. This integration can also help manufacturers better manage their supply chain, by providing real-time visibility into inventory levels and order status.

Get even more EDI benefits and improve your production efficiency by integrating EDI with your manufacturing software or your ERP, CRM, or accounting system. We can rapidly Integrate EDI with:

  • Salesforce Cloud
  • JD Edwards EnterpriseOne
  • Oracle ERP Cloud
  • SAP / SAP S4HANA
  • Dynamics 365
  • Oracle NetSuite
  • DBA manufacturing software and many other

Overall, integrating EDI with manufacturing software, ERP, and CRM systems can help manufacturers improve productivity, reduce costs, and enhance customer satisfaction.

We can connect EDI to any of your business systems in the cloud, on-premises, or in hybrid deployments using a no-code, low-maintenance approach that allows the manufacturing company to maximize the ROI from EDI.

Manufacturing Document Processing Automation with EDI Service Provider

An EDI integration and service provider, such as EDI2XML, can take over the entire task of exchanging EDI documents with your business partners.

EDI2XML can take care of all the EDI integration steps: from planning the EDI project to designing the file format that the customer requests (XML, TXT, CSV), to connectivity and full-cycle testing with the trading partner.

With our cloud-based fully managed EDI service we receive EDI files on behalf of our customers from its trading partners, convert incoming documents to the necessary format (XML, CSV, TXT, JSON, etc.) then push converted files directly to the business system of our customer.

Benefits of using EDI in Manufacturing

EDI has numerous business benefits for manufacturing companies, which includes:

– Accuracy. Reduce human interaction and errors associated with manual data entry. Thus, by automating the exchange of EDI documents, you can eliminate manual data entry and significantly reduce costs.

– Back-office productivity. Eliminating the need to store and manage physical documentation, and reducing transaction times.

– Production productivity. Through the use of EDI, manufacturing companies are achieving significant reductions in response/cycle times.

– Improve supply chain. EDI helps streamline processes throughout the supply chain and improve all operational processes in manufacturing.

– Improving business relationships with your retailers, wholesalers, and customers.

EDI integration helps to significantly improve logistics and production processes: from the purchase of raw materials to sales support and financing.

USEFUL: With our cloud-based Fully Managed EDI Service, we guarantee cost-effective initial and ongoing EDI service costs. Request our Fully Managed EDI Service Pricing Plans here

EDI Integration for Manufacturing with Any Trading Partner

As an EDI service provider with over 20 years of experience, we help our clients exchange EDI documents with their trading partners in the most efficient and cost-effective way. We can set up the exchange of EDI documents with any company, anywhere in the world, and no matter what industry it operates in.

Contact us for your first free consultation with one of our EDI integration experts.

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Fully Managed EDI Service for Outsourcing B2B Communication

In today’s highly competitive business market the efficiency gained through EDI implementation and integration is enormous. EDI (for electronic data interchange) allows companies to interact effectively with their business partners and opens new doors for small businesses to collaborate with large companies.

There are various types of EDI solutions, it can be either locally installed on-premises or cloud-based. Our company as a leading EDI provider offers all types of EDI services:

Each of the above EDI service models has its specific benefits. In today’s article, let’s look at the fully managed EDI service, and why companies can benefit from this EDI service or solution.

What is EDI?

Electronic Data Interchange (EDI) is the electronic exchange of business documents using a standardized format. EDI allows business partners to exchange business documents electronically rather than paper or e-mail.

Despite the widespread use of EDI in business, some companies still do not use EDI. They can be limited by the complexity of setting up their EDI flows and processes, or the lack of the necessary IT skills to do such an implementation. All these problems can be solved by hiring an outside EDI service provider that can take care of fully managing their EDI processes and its integration to their internal ERP/CRM system.

What is Fully Managed EDI Service?

The fully managed EDI service offering provided by EDI2XML means that we will fully manage the EDI operations and integration on the behalf of the customer.

Customers using our Fully Managed EDI Service do not need to install any software or hardware, we will setup and configure the process flows, take care of the data routing, and be responsible for data format transformation and integration.

With our fully managed EDI service, we will take on a wide range of responsibilities that are usually performed by an internal IT department and deliver a turnkey project when onboarding a client’s partners.

During the execution of any EDI project, our team will perform the following activities:

  • Initial analysis of the entire EDI Integration Project.
  • Work with the client to define the points of connectivity between both platforms.
  • Perform the communication testing, between the EDI2XML integration platform and the Trading Partner.
  • Configure the EDI2XML platform, according to the Trading Partners’ specific requirements.
  • Perform connectivity and full-cycle testing with the trading partner.
Fully managed EDI Service

EDI Managed Services for B2B Integration

A fully managed EDI service is ideal for companies that need to use EDI, but don’t want to spend time and effort to do the implementation themselves, or don’t have necessary EDI skills and specialists who can do it. They, therefore, need a partner (EDI service provider) who will take care of all the configuration and integration of EDI into any on-premises or cloud-based ERP or CRM system.

Advantages of The EDI Fully Managed Services

With an EDI managed service provider such as EDI2XML, you no longer have to worry about your EDI transactions because the EDI provider will professionally handle electronic data exchange on your behalf, so you can focus on growing your business.

Managed EDI

– No overpayments. For businesses, this is much more profitable than integrating EDI on-premises.

– Reliable level of security. The EDI3XML platform is hosted on our private cloud, in a state-of-the-art secured data center in Canada.

– No client-side installation. End-users do not need to download and install anything on their computers.

– Minimum requirements for user devices.

– EDI Fully Managed Services delivered by highly qualified EDI experts. Your company can benefit from the technical expertise of the EDI provider staff. You don’t have to deal with the cost of additional training for your own IT department or hiring additional EDI specialists.

– Possibility to seamlessly integrate EDI transactions into your business management system. We have implemented many projects to integrate EDI with Salesforce, SAP, Oracle’s JD Edwards, Shopify, and other business systems. This integration between EDI and ERP/CRM eliminates the need to manually enter data for each EDI transaction.

Useful reading: How to Change Your EDI Service Provider

EDI Fully Managed Service Price

Each month, our clients pay what we call the “ceiling” value, that is fixed in $ value, and includes a specific volume of data. At the end of the month, the monthly fee is re-evaluated based on the logs. So, depending on the volume, the price will be pre-calculated based on pre-packaged pricing packages per month, that increase (or decrease) dynamically based on the volume of data processed during a specific month.

In other words, when the monthly amount of data processed exceeds a certain threshold, the customer will be billed based on the respective pricing plan. It works both ways: when the volume is increased and when the volume is decreased.

Request our EDI Pricing Package here for more information.

EDI Outsourcing

Our company is a successful EDI service provider operating in North America and connecting trading partners worldwide for over 20 years. Our clients are large companies as well as small businesses from various industries.

Due to our level of experience and expertise, we helped each of our clients to choose the most optimal EDI solution for their business and qualified enough to handle all kinds of EDI scenarios.

Contact us for your first free consultation with one of our EDI integration experts.

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What is an EDI 824 Application Advice?

EDI 824 Definition

EDI 824 Application Advice is an EDI document that is sent in response to a previously received EDI transaction. EDI 824 reports the receipt of an EDI document and indicates its status. Application Advice can report various statuses:

– acceptance

– rejection

– acceptance with change

Normally, trading partners discussed and agree in advance to each one of the above statuses.

How is EDI 824 Application Advice used?

To generate an EDI 824 transaction, some verifications must be performed on the received EDI document. For example, the list of items in EDI 856 (ASN) should be the same as in the previously submitted EDI 855 (PO Acknowledgement). If a deviation is found in the EDI document, an EDI 824 message with the appropriate status will be generated.

A company can implement Application Advice EDI 824 in response to any EDI document except if a specific response document already exists in EDI business practice, for example:

– EDI 855 Purchase Order Acknowledgment in response to EDI 850 Purchase Order

– EDI 990 Response to a Load Tender in response to EDI 204 Motor Carrier Load Tender

– EDI 754 Routing Instructions in response to EDI 753 Request For Routing Instructions

Why Trading Partners Need EDI 824 Application Advice?

EDI 824 is designed to promptly inform business partners about the accuracy of the information in the previously submitted EDI documents.

This allows the company to promptly correct mistakes and send the adjusted document to their trading partner. EDI X12 824 is based on a general business practice and can be used in any type of business or industry, by any trading partner to advise, reject or indicate any errors on a previously received EDI document.

What are the Benefits of EDI 824?

Cloud Services Provider By using EDI 824, trading partners can quickly report issues related to incoming EDI documents they received, which helps to improve and speed up the order processing and avoid errors.

Cloud Services Provider Application Advice indicates exactly which elements of the received EDI document contain errors, so the sender can quickly correct the EDI document and resend it. This eliminates the need to spend time identifying inaccuracies and errors in the EDI document. This type of electronic exchange of errors and statuses, improves the process of communication between business partners.

Cloud Services Provider EDI 824 is generated automatically, eliminating manual processing of each rejected document.

What are the Differences between EDI 824 and EDI 997?

Even though both EDI 824 and EDI 997 are acknowledgment messages that are sent as a response to the received EDI message, they are very different EDI messages with different functions.

EDI 997 Functional Acknowledgement simply confirms the delivery of the EDI message and that the syntax of the EDI Transaction Set was correct. Accordingly, the EDI FA 997 informs the sender that the envelope has been received by the recipient, and its structure was validated, and it was accepted (or rejected) by the recipient, obviously without validating the content of the received EDI document.

Unlike EDI 997, the EDI 824 works differently; it is the result of the validation of the content of the received initial EDI document. Application notification parses the content of the message and returns a message with a specific status and indicates errors in the content of the message.

824 EDI Document Type

The formal name of this EDI document is X12 824 Application Advice Transaction Set.

EDI 824 Application Advice is supported by the X12F Finance Subcommittee under the X12 Accredited Standards Committee.

In the EDIFACT standard, which is used mainly in Europe, the APERAK – Application Error and Acknowledgement message perform the same function.

EDI Transaction Types – Complete List of EDI Transactions Sets & Codes for ANSI ASC X12 Standard

EDI 824 – Application Advice Structure

ANSI ASC X12 824 Application Advice, can have the following structure:

ISA Interchange Control Header

GS Functional Group Header

ST Transaction Set Header

BGN Beginning Segment

N1 Name

PER Administrative Communications Contact

OTI Original Transaction Identification

REF Reference Identification

DTM Date/Time Reference

AMT Monetary Amount

TED Technical Error Description

SE Transaction Set Trailer

GE Functional Group Trailer

IEA Interchange Control Trailer

How to Integrate and Exchange EDI 824

To exchange EDI 824 or any other EDI documents, each company can choose the most optimal solution that will be most beneficial for it and meet the business requirements of their trading partners.

As an EDI service provider with over 20 years of experience, we understand that requirements can be different from a company to another. One company may have a huge number of EDI transactions that need to be integrated directly into their ERP or CRM system (for example, Salesforce, Oracle JDE, SAP, etc.)

Another company may only have a few transactions per week, and it is not profitable for them to implement a fully managed EDI solution on their own premises.

Some companies may be leaning towards the “on-premises” EDI solution when they have “internal policies” or they are a large enterprise with their own team of IT experts.

That is why we have developed different types of EDI solutions and support different EDI standards (X12, EDIFACT, RosettaNet, etc.) and can use different communication protocols (like AS2, VAN, FTP / SFTP, HTTP / HTTPS) to meet the need of any company.

EDI Web Service

EDI2XML web service is a REST API to convert X12 to XML and vice versa. This API web service for EDI exchange is very low cost and meant for companies who got their own technical resources to work with REST API. Thus, this is a self-service solution with no contract, and no commitment, moreover you can be up and running in less than an hour.

Fully Managed EDI Solution

EDI2XML Managed Services is our popular EDI service that includes translation and communications services. All EDI file conversions are done on our side, so customers don’t need to install software or hardware on-site. This is a complete turnkey EDI solution.

Moreover, with these fully managed services, all EDI documents can be synchronized with the company’s internal system such as ERP, CRM, eliminating the need for manual data entry and fully automating the EDI process.

EDI On-Premises Solution

We offer EDI services with “on Premises” deployment at the customer servers.

In this case, companies need to have some resources such as proper in-house EDI expertise, expertise to work with XML, necessary IT infrastructure.

We help companies choose the best personalized EDI integration solution for their business. To find out more, contact us for a free consultation with one of our EDI experts.

You may also be interested in reading about:

EDI integration for B2B exchange to optimize and grow your business

The Top 6 EDI Documents for Retail Suppliers

Electronic Data Interchange (EDI) in the Supply Chain

All You Need to Know About EDI 210 – Motor Carrier Freight Details and Invoice

What is an EDI 210 Transaction Set?

EDI Transaction Set X12 210 Motor Carrier Freight Details and Invoice is an EDI document used in logistics by motor carrier companies. EDI 210 is usually sent by the carrier to the shipper (it could be a 3PL warehouse, distributor center, manufacturer, etc.) in order to provide detailed information about the fees for transportation services.

210 EDI Document Type

The formal name of this X12 transaction set is X12 210 Motor Carrier Freight Details and Invoice. 

EDI 210 transaction set, is maintained by a subcommittee “X12I – Transportation” operating within X12’s Accredited Standards Committee.

How is EDI 210 – Motor Carrier Freight Details and Invoice Used?

EDI for transportation

EDI 210 can be used by motor carriers in one of the following two scenarios:

1. as an invoice to request payment, or

2. to provide information about the cost of motor freight transportation.

Typically, the carrier sends the EDI 210 transaction, after the shipment has been delivered to the destination. The EDI 210 document, will indicate the full amount required for a shipment, as well as the terms of payment. The shipper can use the EDI 997 (functional acknowledgment) transaction, to confirm receipt of an EDI 210 transaction.

Benefits of Using EDI 210

Exchange of business documents via EDI is much more efficient and secure than using paper documents or emails. Electronic data interchange helps business partners to improve communication and optimize processes. By exchanging EDI business documents, companies have the following benefits:

– Eliminate the costs associated with the use of paper documents.

– Minimize the labor cost performing daily redundant data entry operations.

– Save time and increase of employee’s productivity.

– Reduce errors due to manual data entry.

– For motor carrier companies, using EDI 210 can speed up the billing process, allowing them to get paid much faster by their business partners.

– For shippers, EDI 210 provides a clear and accurate view of costs, helping to effectively plan a company’s finances.

What Information Does EDI 210 Contains?

The EDI Motor Carrier Freight Details and Invoice Transaction Set contains motor carrier expense details, billing information, and other information that a standard invoice should contain:

– Number and date of the invoice.

– The name and address of the consignee.

– Name and address of the shipper.

– Detailed information about the cargo:

  • name,
  • quantity,
  •  type of cargo,
  •  weight and size

– Delivery methods and route information.

– The total amounts to be paid.

EDI 210 – Motor Carrier Freight Details and Invoice Structure

ANSI ASC X12 Version 4010 of a 210 Motor Carrier Freight Details and Invoice, can have the following structure:

  • ISA – Interchange Control Header
  • GS – Functional Group Header
  • ST – Transaction Set Header
  • B3 – Beginning Segment for Carriers Invoice
  • C3 – Currency
  • M7 – Seal Numbers
  • S5 – Stop Off Details
  • N9 – Reference Number
  • G62 – Date / Time
  • R3 – Route Information
  • H3 – Special Handling Instructions
  • N1 – Name
  • N3 – Address Information
  • N4 – Geographic Location
  • N7 – Equipment Details
  • LX – Assigned Number
  • POD – Proof of Delivery
  • L5 – Description, Marks, and Numbers
  • L0 – Line Item – Quantity and Weight
  • L1 – Rate and Charges
  • L7 – Tariff Reference
  • K1 – Remarks
  • L3 – Total Weight and Charges
  • SE – Transaction Set Trailer
  • GE – Functional Group Trailer
  • IEA Interchange Control Trailer

EDI 210 and EDI 214

What is the difference between EDI 210 and EDI 214? Both of these documents are actively used by logistics and transportation companies, but they have completely two different purposes.

As stated previously in this post, the EDI 210 document, in most cases acts as an invoice for trucking companies. So often, trucking companies call EDI X12 210 Motor Carrier Freight Details and Invoice simply as EDI 210 Invoice.

EDI 214 is a Transportation Carrier Shipment Status Message used by the carrier to notify the shipper and consignee about the status of their cargo.

For complete information on the EDI 214 transaction set read this article: EDI for transportation – EDI 214 Transportation Carrier Shipment Status Message

Automate Logistics and Business Process with EDI2XML Integration Platform

To fully automate data exchange with their business partners, many companies integrate EDI 210 and other important EDI transactions into their internal business systems. Our EDI2XML integration platform provides secure and efficient EDI integration with most ERP, CRM, business, and accounting applications from leading vendors such as SAP, Oracle JD Edwards, Salesforce, Microsoft Dynamics, etc.

Fully managed EDI Service

Our robust and powerful EDI integration platform support different EDI standard (X12, EDIFACT, RosettaNet, etc.) and various communication protocols (e.g. AS2, VAN, FTP/SFTP, HTTP/HTTPS), thus we can connect business partners anywhere they are in the world, regardless of their industries.

Connecting business partners through EDI for over 21 years, our company has accumulated vast experience to carry out your EDI integration project quickly and efficiently.

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EDI in transportation and 3PL

You may also be interested in reading about:
– Electronic Data Interchange (EDI) in the Supply Chain
– How EDI can speed the receiving of goods in a warehouse
– EDI for Third-Party Logistics providers (3PL)
– DELFOR, DELJIT, DESADV – key EDI messages in supply chain management for manufacturing

EDI 945 Warehouse Shipping Advice in Transportation Management, 3 PL Warehouse, and Third-party Logistics.

Many different processes take place in the warehouse every day, whether it’s a regular or 3PL warehouse. All of them must be carried out quickly and accurately. In this article, we will look at the importance of using EDI (Electronic Data Interchange) especially, an electronic document – EDI 945 Warehouse Shipping Advice associated with shipment of goods. Let’s figure out who and when to use EDI 945, what information a Warehouse Shipping Advice contains, 945 EDI specifications, benefits of using this EDI document, and much more.

What is EDI 945 transaction?

The Warehouse Shipping Advice Transaction Set (EDI 945) is an electronic data interchange (EDI) document. EDI 945 is usually used by 3PL warehouse/ remote warehouse or third-party logistics company, to notify its client (depositor) that a shipment has been made. It is used to match order quantities with shipment quantities.

945 EDI document type

EDI X12 945 Warehouse Shipping Advice Transaction Set is a document base on the X12 standard. X12 is a non-profit, ANSI-accredited standards development organization for cross-business transactions that support electronic data interchange in North America.

Each set of EDI transactions is supported by a subcommittee working within the X12 Accredited Standards Committee. EDI 945 falls under X12M – Supply Chain Subcommittee.

How is EDI 945 – Warehouse Shipping Advice used?

When a supplier/depositor (for example, a manufacturer or a wholesaler) needs to ship goods from the warehouse, he sends his 3PL warehouse an EDI document 940 Warehouse Shipping Order. EDI 940 contains all the necessary information regarding the goods required for shipment (description and quantity of goods, delivery date, recipient information, etc.) as well as shipping instructions.

Useful Reading: What is EDI 940 Warehouse Shipping Order?

The warehouse, having received the EDI 940, makes the shipment of the order and returns the EDI 945 immediately after the parcel has left the warehouse.

EDI 945 transfers detailed information about the merchandise shipped and the detail of the delivery.

Based on transaction EDI 945, the supplier can generate EDI 856 Advance Ship Notice as needed to notify its customer of an upcoming delivery.

What is the shipping process in a warehouse?

Shipment is the process of preparing and sending goods to the designated location. The shipping procedure at the warehouse is carried out according to predetermined rules. Each company develops shipping regulations independently, taking into account the characteristics and specifics of the goods and warehouse space.

The procedure for shipping goods from the warehouse/ 3PL warehouse can include many stages:

  • processing of the depositor’s order (for example, entering data into the warehouse system);
  • checking the availability of goods in the warehouse;
  • receiving a picking list;
  • selection of the necessary goods from the storage place;
  • moving to the picking area;
  • packaging and labeling in containers/pallets;
  • loading of transport;
  • Preparation and entry into the warehouse system of the relevant information.
EDI- Price

The main task of the warehouse manager is to organize efficient work, which will ensure fast processing of orders since all shipments must be carried out on time.

Automation of warehouse processes, for example, the use of EDI can significantly improve the quality and speed of shipment of goods.

Workflow to Exchange Warehouse Shipping Advice (EDI 945)

Let’s take a closer look at the process of shipment of goods from a third-party warehouse and analyze what other EDI documents are involved in the logistics process. Of course, keep in mind that the process below may reflect only one of the possible options. Each company can establish its own business process with a third-party warehouse, which depends on the type of the company’s activity, type of product, etc.

In the figure below you can see that usually the process in which EDI 945 is involved consists of at least three participants:

– Customer (it could be a retail outlet)

– Supplier (who is a client of the 3PL warehouse, or a depositor)

– 3PL Warehouse / or 3 PL logistics company.

1. The business flow begins with a Purchase Order – EDI 850 which is sent by the customer to the supplier.

2. The supplier responds to the customer with the EDI 855 PO Acknowledgement

3. The supplier sends the Warehouse Shipping Order (EDI 940) to the 3 PL warehouse

4. 3PL Warehouse process a Shipping Order and sends the goods to the supplier’s customer by the address specified in EDI 940.

5. Immediately after dispatch, the warehouse transfers the EDI 945 to the supplier.

6. Based on EDI 945, the supplier generates an Advance Ship Notice (EDI 856) and transfers it to his client.

7. The supplier sends the customer an EDI invoice 810

So, as you saw from the EDI workflow, 945 Warehouse Shipping Advice – is the main document, which confirms the fact of shipment of goods. It is used by many companies operating in wholesale and retail, including online stores.

Useful Reading: EDI Integration for Transportation and Logistics

What information does EDI 945 contain?

EDI document Warehouse Shipping Advice contains accurate and detailed information about the item shipped from the warehouse. Thus, EDI 945 includes the following information:

  • Information about the depositor, warehouse, and place of delivery (addresses, contacts).
  • Details of the carrier and the method of delivery of the goods.
  • Information about the product – cost, product name, SKUs, etc.
  • The number of goods shipped.
  • Complete order detail of the original order (EDI 940)
  • Date and time of shipment from the warehouse.
  • Transportation method

EDI 945 Warehouse Shipping Advice Structure

Like any other EDI document, EDI 945 transaction set has a precise structure and sequence of elements.

  • ISA – Interchange Control Header
  • GS – Functional Group Header
  • ST – Transaction Set Header
  • W06 – Warehouse Shipment Identification (numbers, dates, and other basic data)
  • 0100 – Loop Name (to identify a party by type of organization, name, and code)
  • N1 – Name
  • N9 – Reference Identification
  • G62 – Date/Time
  • W27 – Carrier Detail
  • W10 – Warehouse Additional Carrier Information
  • 0300 – Loop Assigned Number
  • LX – Assigned Number
  • MAN – Marks and Numbers
  • PAL – Pallet Information
  • 0310 – Loop Warehouse Item Detail
  • W12 – Warehouse Item Detail
  • N9 – Reference Identification
  • W03 – Total Shipment Information
  • SE – Transaction Set Trailer 
  • GE – Functional Group Trailer
  • IEA – Interchange Control Trailer

Benefits of using EDI 945 in Warehouses/ 3PL warehouses and Logistics

The use of EDI 945 in a 3 PL warehouses or 3 PL logistics company, allows you to get significant competitive advantages due to:

  • increasing the speed and accuracy of logistics operations;
  • reducing the cost of manual processing of documents;
  • reducing the risks of losses and information inaccuracies;
  • Increasing the speed of order processing due to receiving timely, fast, and accurate information.

Thus, automation of warehouse processes through the use of EDI document such as EDI 945, significantly improves the quality of 3PL warehouse processes.

Automate Warehouse Shipping Advice with EDI2XML Web Service

We have a ready-made EDI solution for the exchange of electronic documents in the X12 and EDIFACT standards. It is a unique HTTP service running over the internet that is capable of receiving HTTP requests to translate EDI messages to XML, and XML to EDI.

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Contact us for a free consultation and find out how within an hour you can start exchanging electronic documents such as EDI 945 and many others with your trading partner.

EDI in transportation and 3PL

You may also be interested in reading about:
– Electronic Data Interchange (EDI) in the Supply Chain
– How EDI can speed the receiving of goods in a warehouse
– EDI for Third-Party Logistics providers (3PL)
– DELFOR, DELJIT, DESADV – key EDI messages in supply chain management for manufacturing