EDI 860 Purchase Order Change Request
The EDi 860 document is required to maintain accurate order information and ensure smooth operation between buyers and vendors. In this guide, you will learn about the EDI 860 transaction sets.
What is an EDI 860?
An EDI 860 Purchase Order Change is an electronic version of a transaction used to request the change of a purchase order that has already been sent. This type of transaction is offetn sent to the supplier from their trading partner(s) when a revision to the original purchase order is needed. An 860 Purchase Order Change is an important EDI transaction because it ensures that the final order is correct.
What are the Key Elements of EDI 860?
An EDI 860 typically includes:
- Purchase Order Number
- Information of buyer and seller
- Buyer and seller information
- Quantity and/or product type changes
- Previous Purchase Order details
How is EDI 860 Purchase Order Change Request used?
The EDI 860 Purchase Order Change Request allows buyers to modify existing purchase orders sent via EDI 850 (Purchase Order). When a buyer needs to adjust an order such as changing quantities, delivery dates, prices, or item details they send an EDI 860 to the supplier.
This transaction set consists of specific segments that describe the changes. For example, it can accommodate the amount of the product ordered, update the price due to new interactions or transform the delivery site into a separate warehouse. The buyer's system produces EDI 860 and transmits it electronically to the supplier's system.
When he received the EDI 860, the supplier processes the changes and updates his records to reflect the new order information. They can send a recognition, often through EDI 865 (Purchase Order Change Acknowledgment) (change order), to confirm that they have accepted or rejected changes. This process helps to ensure that both sides match and reduce the risk of supply errors.
Benefits of EDI 860
EDI 860 Purchase Order Transformation Request simply simplifies the process of modifying the existing orders without the need to cancel and revive a new EDI 850 procurement order. This helps maintain a clear record of all changes, making it easier for both buyers and vendors to track adjustments and solve any discrepancies. Automating this process reduces manual data entry, saves time and reduces the risk of errors. Additionally, sending changes through EDi 860 provides more protection than email or PDF.
EDI 860 Format
Here’s an example structure of an EDI 860 Purchase Order Change Request, which shows the key segments used to convey changes to an existing purchase order:
EDI 860 Example:
ISA*00* *00* *12*123456789012*34*987654321098*230814*1700*U*00401*000000001*0*P*>~
GS*PC*1234567890*9876543210*20230814*1700*1*X*004010~
ST*860*0001~
BCH*01*SA*4500012345**20230810*230814*123456~
REF*ZZ*PO123456~
N1*ST*BUYER COMPANY*92*0012345678~
N1*SU*SUPPLIER COMPANY*92*87654321~
POC*1*DI*100*EA*14.50*D*BP*12345*VP*67890~
*PD*Updated description of item~
POC*2*CA*0*EA*D*BP*54321*VP*09876~
*PD*Cancelled item description~
CTT*2~
SE*12*0001~
GE*1*1~
IEA*1*000000001~
Breakdown of the Example:
ST: Start of Transaction set, indicating the transaction set identifier (860) and transaction set control number.
BEG: Beginning of Message, containing the purchase order number and date.
PO1: Purchase Order Line Item, containing information about the item, quantity, unit of measure, change code (C for change), and new quantity.
CTT: Transaction Count, indicating the total number of line items in the transaction set.
SE: End of Transaction set, indicating the number of line items and the transaction set control number.
Key Points:
Each line represents a segment with specific data elements separated by tilde (~) characters.
The actual EDI 860 format is much more complex, with numerous additional segments for detailed information.
Specific data elements and their order are defined by X12 standards.
EDI software is used to create, process, and translate EDI documents.
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