EDI for Consumer Goods (Supply Chain, Distribution & Manufacturing)
Chances are, if you are involved in the supply chain, manufacturing and/or distribution of consumer goods, you are using or have heard of EDI (Electronic Data Interchange). Consumer goods entail all products that are intended for consumption of the mass market. These products are distributed to the mass market by retailers such as Target, Amazon.com and Bloomingdale’s. EDI for supply chain, manufacturing and distribution is essentially what keeps the industry moving.
These EDI supply chain relationships typically follow a path that starts with a Purchase Order (EDI 850) that is sent from the retailer to the supplier. The supplier often will send back a Purchase Order Acknowledgment (EDI 855). Often an Advance Ship Notice (EDI 856) is required to notify the retailer that the order has shipped. Many retailers also require manufacturing and distribution companies to place a UCC-128 bar coded label on each carton that will correspond with the Advance Ship Notice (ASN). Next, the supplier or manufacturer sends an Invoice (EDI 810) to request payment. If you utilize a 3PL or an outside warehouse, in many cases, a carbon copy of the Purchase Order can be sent to them so they can play their own role in the EDI supply chain process. There are other EDI documents (940/945) that can be used to electronically communicate order and shipment information with the warehouse. In some cases other documents are required by the retailer as well, such as a Remittance Advice (EDI 820) or Purchase Order Change Request (EDI 860).
Every retailer has different requirements and in fact, may have different requirements for different suppliers. Whatever your requirements, they are specific to your unique relationship with your customer. Becoming compliant with EDI for supply chain, manufacturing or distribution offers many benefits to both the retailer and supplier. We have a complete portfolio of products and services so we can tailor a solution that meets your needs.