An MTR is a certifiable document that communicates critical data for raw materials, such as steel and other metal alloys.

The document certifies the material’s compliance with contract and regulatory standards required for an application. The MTR is generally supplied by the material manufacturer and will follow the material throughout the supply chain. An MTR is an important document that ensures materials used in a specific application can handle the requirements of use.

What information is in an MTR?

An MTR will contain several easily identifiable characteristics of a material and many that are not so easily identifiable. Easily identifiable information includes the material’s general size and shape. Other details include heat number, material weight, classification, and grade. The Heat number is particularly important. It provides a way to trace the material back to initial production units and the process conditions during fabrication.

An MTR also includes detailed mechanical properties and chemical analysis. Chemical analysis refers to specific levels of each element aligned with the tolerances set for the material’s grade and use. Mechanical properties refer to the physical properties of a material and how they satisfy the standards set by regulatory bodies and international standards organizations.

You can find a sample MTR, here.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.


Below is a sample Material Test Report template, often called a mill test report or material test report. This guide on how to read important MTR documents includes an explanation of each relevant field. Manufacturers, inspectors, and customers should be able to easily identify and understand these fields. This will ensure the validity and conformity of materials and their proper application.

Sample MTR

an image of a sample MTR

Sample MTR Fields

The sample MTR contains eight (8) main fields. Read more about each field below.

#1 – Material Heat Number 

A material heat number is the main method of traceability for a given material. When comparing an MTR with raw materials, the corresponding heat number must be matched. This includes accompanying paperwork and marking on the surface of the material itself.

#2 – Material Grade (not pictured)

The material grade classifies various metals by their composition and physical properties. In the sample MTR, we can see that the material is 316/316L stainless steel.

#3 – Product Specifications Met

Product specifications refer to the ASTM and ASME standards applied to a given material. For example, metals used in pressure and vacuum applications have to meet specific product specifications. ASTM standards have a prefix including the letter “A”. Standards from the ASME have a “SA” prefix.

#4 – Material Dimensions

A material’s size and dimensions will be included on an MTR and displayed as material dimensions. This will change depending on the raw material. For example, metal plates are measured in thickness, while pipes are measured in diameter. In the sample MTR, the material is plate and labeled by thickness, width, weight, and length.

#5 – Mechanical Properties

Mechanical properties are specific tolerances a material has when used in specific applications. If a material falls within the outlined tolerances, it can be used. If the specification extends beyond those tolerances, it cannot.

#6 – Chemical Analysis

Chemical Analysis, like mechanical properties, refers to a specific chemical makeup that certifies a material can be used for a given application without risk of failure.

#7 – Heat Treatment (not pictured)

Heat treatment refers to a specific process of heating or cooling, usually to extreme temperatures, a material undergoes. The reviewer will identify all processes in the product specification and confirm details are accurate. In the sample MTR, the solution has a minimum arrival temp of 1900F and was water quenched.

#​8 – Certified Mill Signature

The certified mill signature is provided by the responsible employee at the source mill. The employee signs to certify that the information is accurate.

MTR FAQ

Want more information on MTRs? Please visit the Encompass Solutions MTR FAQ page.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of the Industry.


Why Is An Material Test Report important?

An MTR is an industry-standard document that asserts all the characteristics of steel and alloy materials. It confirms the material meets regulatory standards for its many different grades, tolerances, and purposes. So, why is an MTR important? MTRs allow recipients to properly store the material to ensure quality is maintained most appropriately. The MTR also provides traceability that manufacturers, inspectors, distributors, and customers need for reference. This traceability goes back to its raw or recycled source materials. From the forge to the final destination, an MTR is used throughout the supply chain.

A Day In The Life Of An MTR

So, let’s say I work at a mill. My colleagues and I have sweated and bled through the process of creating a beautiful steel plate or pipe for you. It’s been forged, tested, and certified to meet or exceed all regulatory standards, as well as your project or order specifications.

The day it arrives on-site at your facility is joyous and the team comes together in celebration to welcome the inventory’s newest addition. Here’s where the MTR comes in. First, you need to confirm you got what you paid for. The MTR is your certified document that this is the case.

The problem with getting a new plate or pipe to add to your inventory is that it kind of looks like all the other plates and pipes in your inventory. Sure, within a few days of receipt you might be able to point it out and recollect the BOM it belongs to, its specific heat, chemical, and impact properties. However, as weeks and months may go by, its luster may dim, and your reference as to its specific qualities and characteristics alongside it.

Let’s face it, it’s nearly impossible to visually identify the differences in grades of steel for even the most seasoned metal fabrication veterans. The MTR is your certified record of all these details and more. It helps categorize, store, and dispatch materials when you need them. Without it, determining the materials’ exact specifications is exceedingly difficult. Getting the right materials out to customers, even more so. Now, you may be asking yourself, “how does a manufacturer or distributor keep track of all their MTRs?” in short, Encompass built a solution.

The MTR Solution

For many manufacturers and distributors, inventory from mills all over the world can fill warehouses throughout the operation. There it will patiently wait until called upon for any specific order or project. In that time, your MTR library is going to grow into a substantial catalog. Encompass has customers with more than 40,000 MTRs at their facilities. So, how do you keep track of it all?

In short, most people have a very hard time managing and interacting with their MTR catalog. Document management involves a lot of legwork. Whether your shop floor or sales force needs the info, keeping your MTRs in order can be a full-time job. Tracking it down MTRs, confirming the validity, and offering records involve enough back and forth to make your head spin. Keep in mind, that after a transaction has taken place records will be referenced for many years. Fortunately, purpose-built software can manage these records and help route them where and when appropriate. All this can be done within the confines of your well-ordered and secure ERP system. The tool even helps maintain your historical records in case you need to reference them years down the line.

For more information and answers to frequently asked questions on the subject of Material Test Reports, visit our MTR FAQ.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of the Industry.


EDI 944 Warehouse Stock Transfer Receipt Advice

In Electronic Document Interchange (EDI), an EDI 944 Warehouse Stock Transfer Receipt Advice is a supply chain EDI transaction most often utilized by third-party logistics providers to inform manufacturers that a shipment transfer has taken place successfully. It follows an EDI 943 Warehouse Stock Transfer Shipment Advice. This indicates that an on-site official has received the shipment and inspected the contents for accuracy and damage against the EDI 943’s details.

EDI 944 Warehouse Stock Transfer Receipt Advice Format

ST*944*001211532
W17*F*20170830*SVR083411
N1*WH*Judge Warehousing, LLC*54*PL
N9*BM*2007858419*1042652
N9*PO*1042652
W08*T***RBTW*239
W07*4*RL**SN*N47H23172L
N9*DO*100015646
W20*1*4*RL*192.0*G*K
W20*1*4*LF*991*M
W20*1*4*BW*757*K*K
W20*1*4*NW*192.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*196*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23172M
N9*DO*100015646
W20*1*4*RL*194.0*G*K
W20*1*4*LF*991*M
W20*1*4*BW*757*K*K
W20*1*4*NW*194.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*198*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23172N
N9*DO*100015646
W20*1*4*RL*193.0*G*K
W20*1*4*LF*991*M
W20*1*4*BW*757*K*K
W20*1*4*NW*193.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*199*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23172P
N9*DO*100015646
W20*1*4*RL*193.0*G*K
W20*1*4*LF*991*M
W20*1*4*BW*757*K*K
W20*1*4*NW*193.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*199*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23172Q
N9*DO*100015646
W20*1*4*RL*193.0*G*K
W20*1*4*LF*991*M
W20*1*4*BW*757*K*K
W20*1*4*NW*193.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*198*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23173M
N9*DO*100015646
W20*1*4*RL*196.0*G*K
W20*1*4*LF*994*M
W20*1*4*BW*757*K*K
W20*1*4*NW*196.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*199*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23173N
N9*DO*100015646
W20*1*4*RL*195.0*G*K
W20*1*4*LF*994*M
W20*1*4*BW*757*K*K
W20*1*4*NW*195.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*200*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23173P
N9*DO*100015646
W20*1*4*RL*195.0*G*K
W20*1*4*LF*994*M
W20*1*4*BW*757*K*K
W20*1*4*NW*195.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*200*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23173Q
N9*DO*100015646
W20*1*4*RL*195.0*G*K
W20*1*4*LF*994*M
W20*1*4*BW*757*K*K
W20*1*4*NW*195.0*N*K
W20*1*4*W*25.4*W*CM
W20*1*4*DI*121.9*CM
W20*1*4*DT*199*K
W20*1*4*GC*FPL
W07*4*RL**SN*N47H23192M
N9*DO*100015646
W20*1*4*RL*195.0*G*K
W20*1*4*LF*990*M

EDI 944 Warehouse Stock Transfer Receipt Advice Key Data

EDI 944 Warehouse Stock Transfer Receipt Advice documents are a mix of data elements and fields. Most commonly the EDI 944 Warehouse Stock Transfer Receipt Advice will include:

  • Supplier information
  • When the shipment was received
  • Item numbers, descriptions, and quantities
  • Warehouse receiving location
  • Shipper information

Once received, a destination official will inspect the shipment for accuracy and any damage. Once verified and accepted, the recipient will respond to the supplier with a 944 Warehouse Stock Transfer Receipt Advice.

EDI 944 Warehouse Stock Transfer Receipt Advice Benefits

EDI 944 Warehouse Stock Transfer Receipt Advice serves a specific function within the supply chain. That is acknowledgment from a third-party warehouse location that a shipment has been received and is as described on the shipment’s pack slip. The EDI 944 communicates a shipment is progressing along its prescribed journey as it should and maintains accuracy after it has left the facility of origin.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.


EDI 943 Warehouse Stock Transfer Shipment Advice

In Electronic Document Interchange (EDI), an EDI 943 Warehouse Stock Transfer Shipment Advice is used by the supplier to alert the recipient that a transfer shipment has been made. The EDI 943 Warehouse Stock Transfer Shipment Advice sends details to a receiving location, which can include all manner of information concerning the product(s) being shipped to that location. A 997 Functional Acknowledgement is typically then sent from the recipient, indicating the EDI 943 Warehouse Stock Transfer Shipment Advice was received successfully.

an image of encompass solutions EDI 943 warehouse stock transfer shipment advice

Shipment Advice Format

ST*943*0001
W06*F*19691*20180214*704961**6215******1
N1*DE*Fiji Water*91*FW038070236
N3*11444 W Olympic*Suite 210
N4*Los Angeles*CA*90064
N1*CN*Schneider Logistics*ZZ*FGA
N3*c/o Schneider Logistics*246 Grange Road
N4*Port Wentworth*GA*31407
N1*SF*FW Natural Waters of Viti Ltd*ZZ*FYQ
N3*1 Naseyani Road
N4*Yaqara*FJ
G62*02*20180214
W27*VE*SCAC*Routing
W04*1260*CA*632565000630*VN*FFUS 330ML 6PK*LT*14FEB18
N9*OC*IVLU-9554210
N9*SN*47895799
W04*1416*CA*632565000111*VN*FFUS 0.5L 6PK*LT*14FEB18
N9*OC*ANSU-1910735
N9*SN*1286690
W04*1484*CA*632565000128*VN*FFUS 1.0L 6PK*LT*14FEB18
N9*OC*SUDU-3972176
N9*SN*1286633
W04*1484*CA*632565000050*VN*FFUS 1.0L*LT*14FEB18
N9*OC*SUDU-3362002
N9*SN*1286640
W04*1484*CA*632565000050*VN*FFUS 1.0L*LT*14FEB18
N9*OC*SUDU-3323304
N9*SN*1286691
W04*1484*CA*632565000050*VN*FFUS 1.0L*LT*14FEB18
N9*OC*SUDU-3660408
N9*SN*1286636
W04*1484*CA*632565000128*VN*FFUS 1.0L 6PK*LT*14FEB18
N9*OC*SUDU-2581650
N9*SN*1286729
W04*1484*CA*632565000128*VN*FFUS 1.0L 6PK*LT*14FEB18
N9*OC*SUDU-3983951
N9*SN*1286770
W04*1484*CA*632565000128*VN*FFUS 1.0L 6PK*LT*14FEB18
N9*OC*SUDU-3375890
N9*SN*1286727
W04*1484*CA*632565000128*VN*FFUS 1.0L 6PK*LT*14FEB18
N9*OC*SUDU-3610238
N9*SN*1286761
W04*1416*CA*632565000111*VN*FFUS 0.5L 6PK*LT*14FEB18
N9*OC*SUDU-3448220
N9*SN*47895798
W04*1416*CA*632565000111*VN*FFUS 0.5L 6PK*LT*14FEB18
N9*OC*SUDU-1528183
N9*SN*1286692
W04*1416*CA*632565000111*VN*FFUS 0.5L 6PK*LT*14FEB18
N9*OC*ANSU-1985539
N9*SN*1286682
W04*1416*CA*632565000111*VN*FFUS 0.5L 6PK*LT*14FEB18
N9*OC*ANSU-1980270
N9*SN*1286799
W03*20212*0*LB
SE*57*0001

Advice Key Data

The documents are a mix of data elements and fields. Most commonly the EDI 943 Warehouse Stock Transfer Shipment Advice will include:

  • Order number
  • SKUs
  • Item(s) shipped
  • Item(s) quantities
  • Item(s) weight
  • Shipment destination location
  • Supplier information
  • When the shipment was sent
  • Shipper information

Once received, a destination official will inspect the shipment for accuracy and any damage. Once verified and accepted, the recipient will respond to the supplier with a 944 Warehouse Stock Transfer Receipt Advice.

Shipment Advice Benefits

EDI 943 Warehouse Stock Transfer Shipment Advice serves a specific function within the supply chain. That is, acknowledgment of receipt of a specific transfer has taken place for shipments to a third-party warehouse location. The receiving location derives key details about the shipment from the EDI 943 Warehouse Stock Transfer Shipment Advice, which helps to streamline the shipping process and save both time and money.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.


EDI 870 Order Status Report

In Electronic Document Interchange (EDI), the EDI 870 Order Status Report is an electronic version of a paper-based Order Status Report. The Status Report is utilized by a supplier in response to an EDI 869 Order Status Inquiry that has been provided by a trading partner. The resulting report delivers critical information and updates regarding a Purchase Order.

an image of encompass solutions EDI 870 order status report

Status Report Format

BSR*2*PP*001234*20061012
DTM*079*20061013
HL*1**O
PRF*80000235***20061012
REF*VN*123456
DTM*938*20061012
HL*1**I
PO1*000010*5*EA*5*CP8BP*1000050
ISR*ED*20061013
QTY*01*5*EA
HL*1**I
PO1*000020*5*EA*15*CP*BP*1000105
ISR*ED*20061016
QTY*01*5*EA
CTT*2

Report Key Data

In a real-time manufacturing environment, the status of a purchase order can change frequently depending on an array of factors. The 870 includes information deemed relevant to both supplier and trading partner, the most basic of which includes:

  • Vendor number
  • Purchase order number
  • Purchase order status

There can be many more details included in a Report. This data is subject to what the supplier finds relevant and what trading partners want to be detailed specifically in the report. This can include:

  • Item SKU
  • Item Quantity
  • Item Price
  • Shipping details
  • Freight carrier
  • Additional details relative to the status of an order

Status Report Benefits

A Report offers many benefits to both the supplier and trading partner. The most obvious of which include delivering pertinent details about pending orders. The EDI 870 Order Status Report can be sent at will or delivered according to a set schedule between the supplier and trading partner if such arrangements have been made according to the contract.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.


EDI 862 Shipping Schedule

In Electronic Document Interchange (EDI), the EDI 862 Shipping Schedule transaction set details the defined shipping requirements and serves to replace any shipping details projected in a previous EDI 830 Planning Schedule With Release Capability. However, it does not replace the 830 transactions as part of the order and documentation process. The two EDI mappings work in tandem to support Just-in-Time (JIT) manufacturing. The forecasted data that an 830 transaction provides enables the supplier to better manage materials and other resources. An 862 transaction supplements the 830 by updating and detailing shipping requirements as the order progresses towards fulfillment. Additionally, when inventory levels pass a certain threshold, an 862 can serve to notify a supplier to replenish the item(s) without delay.

Shipping Schedule Format

ST*862*015307180
BSS*05*1*180927*SH*180927*180927**1**5400004944*A
N1*SI*Conveyor Systems de Mexico SA de CV*92*1136
N1*SU*ABC Wire Company*92*935
N1*SF*ABC Wire Company*92*935
N1*ST*Conveyor Systems de Mexico SA de CV*92*1136
LIN**BP*02-220-20003*PO*5400004944
UIT*GR
PER*EX*Abel Navarro*TE*528111561300
FST*450000*C*D*180828
SHP*02*0*011*180101
CTT*1*450000
SE*13*015307180

Key Data

In a real-time manufacturing environment, shipping instructions can change frequently depending on an array of factors. The 862 ensures that all parties involved are made aware of:

• A Decrease in an order quantity
• An Increase in an order quantity
• A Change in the ship date

An EDI 862 ensures that inventory is available when a supplier receives instructions from a customer to ship an item and provides the most up-to-date shipment details. It is important to note that the details contained in an EDI 862 shipping schedule will supersede the contents of an EDI 830 Planning Schedule.

The shipping Schedule document is organized into segment and data elements. Each segment contains at least one data element. These elements can include, but are not limited to:

• Schedules
• Times
• Order numbers

It is important to note that the Shipping Schedule does not influence or authorize the utilization of labor, materials, or other resources. After the 862 Shipping Schedule is received by the shipper, an EDI 997 Functional Acknowledgment is sent back from the shipper indicating that the 862 Shipping Schedule was successfully received.

Shipping Schedule Benefits

The Shipping Schedule is most frequently used in a daily shipping environment, as opposed to a weekly or monthly one. It also enables the customer to designate shipping requirements to multiple customer locations, whereas an 830 is more consolidated. An 862 transaction supplements the 830 by updating and detailing shipping requirements as the order progresses towards fulfillment. Additionally, when inventory levels pass a certain threshold, an 862 can serve to notify a supplier to replenish the item(s) without delay.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.


In Electronic Document Interchange (EDI), an EDI 945 Warehouse Shipping Advice serves as a shipment confirmation. It is sent from the warehouse to a shipping partner that a shipment has taken place.

an image of encompass solutions EDI 945 Warehouse Shipping Advice

An EDI 945 Shipment Advice is deployed from the warehouse following a successfully completed EDI 940 Warehouse Shipping Order. An 856 Advance Ship Notice and an 810 Invoice are also associated with the EDI 945 Warehouse Shipping Advice. The two are provided to the recipient after the supplier has reconciled the quantity shipped against the order quantity.

EDI 945 Warehouse Shipping Advice Format

ST*945*000793492
W06*N*130164184*20180223*04070086303317387*3655250*INFA SP18 MAT FEB IA 1*130164184
N1*SF*FMI INC.*91*01
N3*800 FEDERAL BLVD
N4*CARTERET*NJ*07008*US
N1*ST*MJI MMJ BOSTON*92*9999
N3*81 NEWBURY STREET
N4*BOSTON*MA*02116*US
N9*PGC*CTN25
G62*10*20180222*A*0009
W27*M*PTX*PTE EXPRESS
LX*1
MAN*GM*00008061660010738910
PAL***********12*LB
W12*SH*2*2**EA**UP*191267265735*************VN*M0013731
N9*VC*332
N9*SZ*1SZ
W03*2*12*LB***1*CT
SE*19*000793492

EDI 945 Warehouse Shipping Advice Key Data

Information provided in an EDI 945 Warehouse Shipping Advice will typically include:

  • Supplier information
  • Time of shipment departure
  • Ship-to information
  • Ship-from information
  • Carrier details and shipping method
  • Item numbers, quantities, and descriptions

EDI 945 Warehouse Shipping Advice Benefits

EDI 945 offers plenty of benefits to both the purchaser and the supplier. When implementing electronic warehouse shipping orders, benefits can include:

  • Better visibility into shipping details for buyers, sellers, and warehouses
  • Reduction in manual entry of data, resulting in ease for buyers, sellers, and warehouses
  • Automation of information dissemination streamlines processes and improves efficiency
  • Automation of reconciliation procedures reduces order and shipment inaccuracies

For more information on Encompass Solutions’ EDI offerings, read more about our Rapid EDI Implementation.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.


In Electronic Document Interchange (EDI), an EDI 940 Warehouse Shipping Order communicates to the warehouse, relaying information and instructions on what product(s) to ship, the quantity, and when the shipment will be executed.

an image of encompass solutions EDI 940 Warehouse Shipping Order

Once the EDI 940 Warehouse Shipping Order has been sent, an EDI 945 Shipment Advice is deployed from the warehouse. It includes all of the pertinent details of the shipment that are then used by a seller to produce an 856 Advance Ship Notice and an 810 Invoice.

EDI 940 Format

ISA*01*0000000000*01*0000000000*ZZ*ABCDEFGHIJKLMNO*ZZ*123456789012345*101127*1719*U*00400*000003438*0*P*>
GS*OW*7705551212*3111350000*20000128*0557*3317*T*004010UCS
ST*940*0001
W05*N*538686**001001*538686
N1*ST*GRITS BREAD COMPANY*ZZ*00046349
N3*2100 SOUTHEAST AVE
N4*SAN DIEGO*CA*91760
N1*DE*PINK BUNNY BREAD*9*0012345670001
N3*2323 BUNNY BLVD
N4*MINNEAPOLIS*MN*55402
N1*WH*ONTARIO*9*0581493780140
N4*ONTARIO*CA*91761
N9*BR*R1121
G62*10*20000204
G62*02*20000207
NTE*WHI*SHIP ON CHEP PALLETS
W66*PP*M***MTEN
LX*1
W01*12*CA*000100011110*VN*000100*UC*DEC0199******19991205
G69*11.500 STRUD BLUBRY
N9*PC*DEC0199
LX*2
W01*32*CA*000100022220*VN*000200*UC*DEC0299******19991207
G69*11.500 STRUD CINN
N9*PC*DEC0299
LX*3
W01*12*CA*000100033330*VN*000300*UC*JAN0100******20000107
G69*11.500 STRUDEL RASPBRY
N9*PC*JAN0100
W76*56*500*LB*24*CF
SE*29*0001
IEA*1*3317

EDI 940 Warehouse Shipping Order Key Data

Information provided in an EDI 940 Warehouse Shipping Order will typically include:

  • Manufacturer information
  • Required delivery date
  • Item descriptions and quantities
  • Recipient information, including name, ship-to location, contact info, etc.
  • Billing information
  • Shipment method details
  • Shipper stipulations

EDI 940 Warehouse Shipping Order Benefits

EDI 940 offers plenty of benefits to both the purchaser and the supplier. When implementing electronic warehouse shipping orders, benefits can include:

  • Better visibility into shipping details for buyers, sellers, and warehouses
  • Reduction in manual entry of data, resulting in ease for buyers, sellers, and warehouses
  • Automation of order entry streamlines processes and improves efficiency
  • Automation of order entry reduces order and shipment inaccuracies

For more information on Encompass Solutions’ EDI offerings, read more about our Rapid EDI Implementation.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.


In Electronic Document Interchange (EDI), an EDI 860 Purchase Order Change Request – Buyer Initiated is used to request changes to a shipment following the submission and acknowledgement of a purchase order.

an image of encompass solutions EDI 860 Purchase Order Change Request – Buyer Initiated

The EDI 860 informs the supplier that the buyer is interested in making changes to a previously submitted order. This request can emerge for many reasons, such as fewer or more items needed than previously estimated, color variations are required, or perhaps outright cancellation of the order. An EDI 860 helps to both supplier and buyer ensure that a final version of an order is correct. Beyond this, the EDI 860 provides transaction reconciliation and proper, accurate payment when the invoice for payment is received.

EDI 860 Purchase Order Change Request – Buyer Initiated Key Data

When it comes to an EDI Purchase Order Change Request – Buyer Initiated, depending on the agreement between trading partners, there is typically a set of standard data that is included, such as:

  • Purchase order number
  • Additional items
  • Additional quantity
  • Changed items
  • Pricing amendments
  • Cancelled orders
  • Rescheduled shipping or delivery dates

EDI 860 Purchase Order Change Request – Buyer Initiated Benefits

EDI 860 offers plenty of benefits to both the purchaser and the supplier. When implementing the use of a Purchase Order Change Request, benefits can include:

  • Better inventory management
  • A more efficient supply chain
  • More accurate financial transactions
  • More efficient communication between suppliers and partners
  •  

For more information on Encompass Solutions’ EDI offerings, read more about our Rapid EDI Implementation.

About Encompass Solutions

Encompass Solutions is a business and software consulting firm that specializes in ERP systems, EDI, and Managed Services support for Manufacturers and Distributors. Serving small and medium-sized businesses since 2001, Encompass modernizes operations and automates processes for hundreds of customers across the globe. Whether undertaking full-scale implementation, integration, and renovation of existing systems, Encompass provides a specialized approach to every client’s needs. By identifying customer requirements and addressing them with the right solutions, we ensure our clients are equipped to match the pace of Industry.