In Electronic Document Interchange (EDI), an EDI 855 Purchase Order Acknowledgment is essentially an electronic version of a phone call or fax that informs the submitter of a purchase order the supplier will be filling the order as requested.
The EDI 855 informs the buyer that you will be filling the order and shipping the goods as requested by the date requested. If this is not the case, and the order can not be fulfilled as requested, then the EDI 855 is used to communicate to the buyer that the supplier will be unable to complete the order as-is. the order can be outright rejected, or accepted with changes in this case. An order can be rejected for any reason in this case, such as insufficient stock for the items specified or a disagreement with the terms of the Purchase Order.
EDI 855 Format
EDI 855 Purchase Order Acknowledgment Key Data
When it comes to an EDI 855 Purchase Order Acknowledgement, depending on the agreement between trading partners, there is typically a set of standard data that is included, such as:
- Purchase order number
- Estimated shipping and delivery dates
- Unique product and service identifiers such as UPC/EAN/GTIN, as well as their respective quantities
- Item status, such as accepted, rejected, accepted with changes, or back ordered
An EDI 855 Purchase Order Acknowledgment accepted with changes will likely include one of the following amendments to the original Purchase Order:
- Header level changes. This can include line items accepted, changes in freight, or amendments to cash terms
- Changes or rejection of one or more line items, without header-level changes
- Header-level changes may be included along with one or more line items changed or rejected
Additional data may be included or required according to trading partner specifications. These data can include:
- Vendor number
- Item price
- Additional item identifiers such as Buyer Item Number or Vendor Part Number
- Item description
EDI 855 Purchase Order Acknowledgment Benefits
EDI 855 offers plenty of benefits to both the purchaser and the supplier. When implementing the use of a Purchase Order Acknowledgement, benefits can include:
- Visibility into a supplier’s commitment to fulfilling an order
- Quicker routing of acknowledgments and changes with automation
- Improved organization of order information between suppliers and partners
- Reduction of issues post-invoicing
- Easy confirmation of supplier-fulfilled orders direct to end consumers
For more information on Encompass Solutions’ EDI offerings, read more about our Rapid EDI Implementation.
About Encompass Solutions
Encompass Solutions, Inc. is an ERP consulting firm, NetSuite Solution Provider and Epicor Platinum Partner that offers professional services in business consulting, project management, and software implementation. Whether undertaking full-scale implementation, integration, and renovation of existing systems or addressing the emerging challenges in corporate and operational growth, Encompass provides a specialized approach to every client’s needs. As experts in identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.