How to Generate an EDI 855 Purchase Order Acknowledgement
What is an EDI 855 Document?
The Purchase Order Acknowledgement or 855 is an EDI document sent by the vendor or Trading Partner to the customer to acknowledge the details of the Purchase Order or 850 that was received. If terms of the purchase order cannot be met then this document can also be used to provide the details of the changes to the order that the vendor needed to make (for example an item ordered is out of stock and cannot be shipped or the delivery date cannot be met).
The types of changes that need to be recorded on the 855 vary by EDI trading partner. The changes are denoted on each line item by a change code.
Common 855 Change Codes
- DR Item Accepted – Date Rescheduled
- IA Item Accepted
- IB Item Backordered
- ID Item Deleted (Use to indicate Item is being Discontinued)
- IP Item Accepted – Price Changed
- IQ Item Accepted – Quantity Changed
- IR Item Rejected
Due to the nature of the information that needs to be passed across on the 855 transaction it can be more challenging in regards to integration.
Common 855 Challenges
- Knowing when the order has changed
- Knowing what has changed on the order so the correct code can be used
- Knowing when the changes are complete so the 855 can be processed and sent to the trading partner
As you can see from the list above an automated solution for the 855 can be a little tricky when compared to other transactions. So how does this information get from the ERP to the trading partner? Here are a few ways to generated the 855 document:
- 855 Web Form – The original Purchase Order can be converted through an EDI web form, like the ones on ePortal. The order is then manually edited and the proper change codes are selected. This process is very manual and involves double entry of data.
- Manual Extraction from the ERP – As the order is changed the proper change codes are entered in a field in the ERP for each line item. Once changes are complete the order can be manually extracted from the ERP via your EDI software and then processed and sent to the trading partner. Again this solution still involves manual work but it does eliminate the possible errors due to double entry.
- Automated Extraction – The order is changed in the ERP but this time instead of adding the codes into a field on the ERP manually a procedure behind the scenes monitors the order changes and then automatically populates the change codes into a field for each line item. Once the changes are completed a flag can checked on the order to denote that it is ready to be extracted and processed by the EDI software
Determining which method to use from the list above or the other options available can be a daunting task. You need to consider the requirements of the partner, the number of 855 transactions that need to be sent and as always your budget. For more help with understanding the 855 and determining which method of integration suites your company best, contact eBridge Connections and we will put you in touch with one of our integration specialists who will work with you to develop a solution that fits your company business process. As an alternative you can always post any questions you have on The Core, our online community, to receive feedback from other companies similar to yours that have been done this path in the past.