Grainger Fulfillment Guide: Best Practices For EDI
In this article, learn about:
Grainger Industrial Supply’s EDI requirements
Details on purchase orders, shipping, and invoicing
Tips for staying compliant when filling orders with Grainger
Manufacturing suppliers looking for a new distributor might consider a partnership with Grainger Industrial Supply. This Fortune 500 distributor focuses on supplying maintenance, repair, and operating products throughout North America.
Grainger has a variety of resources suppliers may be interested in, as well as a comprehensive store network comprised of 300+ branches and over 30 distribution centers. If you’re an industrial supplier looking to work with Grainger, keep reading to learn more about their fulfillment policies and EDI requirements for conducting business.
Grainger EDI Overview + Requirements
Grainger utilizes EDI to exchange all business documents. This digital data exchange allows suppliers to receive purchase orders, invoicing information, and more from Grainger.
The following business documents (and their corresponding EDI numbers) are utilized for interactions with Grainger. We’ll dive into details and specifications of each one.
Purchase Order (PO): 850
Purchase Order Acknowledgement (POA): 855
Advance Ship Notice (ASN): 856
Invoice: 810
Purchase Orders with Grainger – EDI 850
This business document is the initial request for products from Grainger, which kickstarts the fulfillment cycle. Requests can originate from Grainger (PO numbers beginning with 46) or Grainger Sourcing (PO numbers beginning with 48). It should be noted that all business is conducted in the same manner with both Grainger and Grainger Sourcing – the different names refer to different types of products supply and will be specified during initial discussions with Grainger.
Related Reading: Finding the Right Purchase Order: EDI 850 vs. EDI 875
EDI 850 Specifications with Grainger
There are three options Grainger Industrial could specify on their POs. Suppliers might be supplying their products to a Grainger Distribution Center, a Grainger store, or, in the case of third-party or drop shippers, directly to the customer as a direct ship order. In the case of direct ship orders, Grainger’s EDI 850 will specify the customer’s order details like address and contact information.
Grainger requires all ship dates be provided at the line item level, and expects all orders to be shipped complete. Grainger also notes clearly that backordered items should not be cancelled.
Purchase Order Acknowledgment with Grainger Suppliers – EDI 855
Once a request for products comes from Grainger via a Purchase Order, the supplier will be required to send Purchase Order Acknowledgement – EDI 855. This document lets the appropriate team at Grainger know if you can fulfill the order as received. Additionally, this is your opportunity to note any errors on the PO such as product information or pricing.
Important tip: Grainger specifies a Purchase Order must be acknowledged within 4 business hours of receipt. This quick turnaround time is important to keep in mind, as failing to follow it may result in compliance issues with orders being on time and in full.
Reporting Changes on your EDI 855 with Grainger Industrial
If all information on the PO is accurate, suppliers should accept with a Purchase Order Acknowledgement reflecting no edits. If changes need to be made, you need to specify additional information on the Purchase Order Acknowledgement. Depending on your particular situation, you may need to update Grainger on available quantities, change the ship date, or even change the location if desired. Grainger requires this information be entered at the item level.
Related Reading: EDI 800 Transaction Codes
Advanced Ship Notice with Grainger – EDI 856
The Advanced Ship Notice provides Grainger with information about your shipment’s contents and to confirm delivery dates. This EDI document should be sent when the shipment is leaving your facility.
Strict Requirements for ASN – 856
Grainger outlines several requirements for their Advanced Ship Notice documentation. Suppliers should be aware that failure to adhere to these policies may result in chargebacks or fees.
If you can’t fulfill an item in your shipment, it should be completely removed from the Advance Ship Notice. Some suppliers may be tempted to enter a line item of “0”, but Grainger classifies this as a noncompliant data field.
Direct Ship (drop ship orders) must include Grainger’s branded packing slip, which is generated from the Advanced Ship Notice.
Do not send multiple Advance Ship Notices. Grainger specifies that ASNs should be attached to one shipment (including the shippable carton count for LTL if applicable), with one final destination, with one supplier number. If your shipment has more than one trailer, you should generate one ASN per trailer.
Grainger is strict on their ASN compliance, and state that any shipments received at a location without an ASN (or with an incomplete ASN), can be refused. A refused shipment can be very costly to the supplier, so it’s important to comply with Grainger’s requirements.
Mandatory Information for Grainger ASN – 856
Grainger asks the following information be included on the Advanced Ship Notice:.
Gross Weight (lbs)
Grainger SAP Carrier Code
Carrier Name
Equipment Number (trailer number for full trailers, shippable carton count for LTL)
Bill of Lading Number/Tracking Number or Pro Number (Tracking Number required for UPS)
Shipped Date
Ship From Information
As a reminder, the ASN should be sent to Grainger just as your shipment is leaving your facility. This ensures it accurately reflects the contents and provides correct delivery information to Grainger, preventing potential refusal of goods.
Invoicing with Grainger – EDI 810
The final step of fulfilling an order with Grainger Industrial Supply is your invoice, sent via EDI to request payment for the products sent. Suppliers should only send one invoice per Purchase Order.
Interestingly, though Grainger requires business to be conducted via EDI digital documentation, they request that three types of invoices sent in paper format: credit invoices, allowances, and freight-only invoices (example here). The address for these paper invoices can vary depending on the specifici department or region, so we recommend proactive communication with your Grainger representative as early as possible.
Key Invoice Information
Invoices to Grainger Industrial Supply should include the following:
Invoice Number: A unique number assigned by the supplier.
Line Items: Suppliers select the items from the original order that were shipped.
Quantity Invoiced and Unit Price: These must be accurate for each item. Suppliers can change incorrect information in this section by directly updating data in the Grainger supplier portal.
Invoice Total: This sum is the sum of the product quantity multiplied by price for all line items. Suppliers must verify this total.
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