EDI 865: Purchase Order Change Acknowledgment/Request - Seller Initiated
EDI 865 Definition
The EDI 865 Purchase Order Change Acknowledgment/Request is a transaction set within the electronic data interchange (EDI) framework that allows sellers to confirm or request changes to a purchase order (PO) previously submitted by a buyer. This document serves as a response to an EDI 860 (Purchase Order Change Request – Buyer Initiated), acknowledging the buyer’s requested changes and/or proposing further modifications from the seller’s side. It ensures clear communication between trading partners regarding adjustments to orders, facilitating accurate order fulfillment.
What is EDI 865 Used for?
Sellers use the EDI 865 to communicate with buyers about the status of their requested purchase order changes. This can include confirming the ability to meet the requested changes, rejecting certain changes, or proposing additional modifications. The buyer reviews the EDI 865 to understand the seller’s response and to make any necessary adjustments or preparations based on the seller’s feedback.
Key Elements of EDI 865
An EDI 865 document typically includes key elements to effectively convey the acknowledgment or request for changes to a purchase order:
- Transaction Set Header and Trailer: Marks the beginning and end of the EDI 865 document, encapsulating the change acknowledgment/request details.
- Acknowledgment Details: Information about the acknowledgment status, including acceptance, rejection, or acceptance with changes to the original PO changes requested by the buyer.
- Requested Changes: Detailed information on any additional changes being requested by the seller, such as adjustments to quantities, prices, delivery dates, or specific line item modifications.
- Order Information: Details from the original PO, including order date, PO number, and requested delivery dates.
- Item Acknowledgment:Detailed information on each item being acknowledged or for which changes are requested, including item numbers, descriptions, quantities acknowledged, and any changes from the original PO.
Benefits of EDI 865
Utilizing the EDI 865 document offers several advantages:
- Improved Communication: Enhances clarity and efficiency in the order modification process by providing a standardized way to acknowledge or request changes to POs.
- Reduced Errors: Minimizes the risk of miscommunication by clearly documenting any agreed-upon modifications to orders.
- Faster Processing: Speeds up the order-to-fulfillment cycle by quickly informing buyers of the status of their change requests, allowing for faster adjustments if needed.
- Enhanced Customer Satisfaction: Improves relationships with buyers by providing timely and transparent communication regarding their orders.
EDI 865 Document Example
Here’s a simplified example of what an EDI 865 might look like in raw data format:
ST*865*0001
BCK*AC*PO123456*20241130
N1*SE*Supplier Company*92*67890
N1*BY*Buyer Company*92*12345
POC*1*LI*100*EA*10.00**AC*90*EA*9.00
ACK*IA*90*EA*20241215*AC
CTT*1
SE*7*0001
Guide to EDI 865 Terms and Elements:
- ST (Transaction Set Header): Initiates the EDI 865 document, identified by a unique control number.
- BCK (Beginning Segment for Purchase Order Change Acknowledgment): Indicates the start of the acknowledgment, including the PO number and acknowledgment type.
- N1 (Name): Identifies the parties involved, such as the seller (SE) and the buyer (BY), including identification numbers.
- POC (Purchase Order Change): Details the changes being acknowledged, including the line item number, original quantities and prices, and the requested adjustments.
- ACK (Line Item Acknowledgment): Specifies the acknowledgment status for each item, including quantities that can be fulfilled and the expected ship date.
- CTT (Transaction Totals): Summarizes the total number of line items acknowledged in the document.
- SE (Transaction Set Trailer): Concludes the EDI 865 document, ensuring completeness and accuracy.
This example is designed to give a basic understanding of how an EDI 865 document might look, including the types of information it conveys. Remember, the actual implementation might vary based on specific business needs and partnerships.
Advance Your Purchase Order Change Acknowledgment with Comparatio
Ready to enhance your responsiveness to order modifications with EDI 865? Contact Comparatio today to discover how our EDI solutions can streamline your acknowledgment of purchase order changes, improve communication with trading partners, and ensure accurate and timely order management.
