EDI 846 Inventory Inquiry/Advice
The EDI 846 is a proactive tool for improving supply chain efficiency by providing suppliers with advanced notice of demand. In this guide, you'll learn about EDI 846 transaction sets.
What is an EDI 846?
EDI 846 Inventory Inquiry/Advice is an electronic document that has been exchanged to share the inventory status updates between buyers and suppliers. It is usually used in a drop ship environment, where retailers manage the ecommerce platform and the supplier inventory requires real -time visibility. Instead of relying on a manufacturer's portal or API integration, the EDI 846 provides a standardized way to convey the availability of the product, stock level and inventory changes. This helps retail vendors to update their online store, avoid overseling and ensure a smooth order fulfillment process by maintaining accurate inventory data in the supply chain.
What are the Key Elements of EDI 846?
The EDI 846 Inventory Inquiry/Advice, typically includes the following essential components.
- Product Information: Item numbers, descriptions, and quantities.
- Inventory Status: On-hand quantities, available quantities, committed quantities, etc.
- Location Information: Inventory location (warehouse, store, etc.).
- Price Information: Optional, but can include pricing details.
How is EDI 846 Inventory Inquiry/Advice used?
EDI 846 is a flexible, two-way transaction that can be used by both buyers and sellers. Retail sellers can send it to suppliers to report current stock levels on store shelves, help suppliers to monitor the inventory movement and plan accordingly.
This transaction is often sent regularly, sometimes several times a day, so that the exact inventory update can be ensured. The seller, in turn, use the EDI 846 to inform retailers available to retailers available to retailers, out-of-stock products, or expected replenishment dates. This exchange of information helps both sides maintain better inventory visibility and improve supply chain efficiency.
Benefits of EDI 846
EDI 846, or Inventory provides several major benefits in contacting/advice, inventory management and supply chain operations. By facilitating electronic exchanges of real -time storage data between buyers and suppliers, it increases the visibility of stock level and availability. This better visibility helps prevent stock and overstock conditions, which leads to more accurate demand forecast and better storage control.
Automation of stock updates reduces the need for manual data introduction and reduces errors, streamlines operations and improves efficiency. In addition, EDI 846 supports better coordination between trading partners, enables timely reactions to stock changes and ensures that the supply chain processes go smoothly. Overall, it contributes to more efficient inventory management, reduces operating costs and improves service levels.
EDI 846 Format
This is a simplified example to illustrate the basic structure of an EDI 846. Actual EDI 846 documents can be much more complex, containing additional segments and data elements based on specific requirements and industry standards.
Example EDI 846 Document
ST*846*0001*000001
BGN*846*PO12345*20230405
DTM*003*20230405
REF*ZZ*INQUIRY123
LIN*1*ITEM001*100*EA*20230501
QTY*001*ONH*50
QTY*002*AVL*40
SE*1*000000001
Explanation of the Segments:
ST: Start of transaction set
BGN: Beginning of message
DTM: Date/time reference
REF: Reference identification
LIN: Item information
QTY: Quantity information
SE: End of transaction set
Key Information:
Inquiry date: 2023-04-05
Item: ITEM001
On-hand quantity: 50
Available quantity: 40
Additional Notes:
The EDI 846 can include additional segments to provide more detailed information about the inventory, such as product descriptions, unit measures, and inventory locations.
The document can also include information about committed quantities, backorders, and lead times.
This example provides a basic overview of the EDI 846 structure. Real-world EDI 846 documents can be much more complex and contain additional data elements to meet specific business requirements.
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