Greetings, Goofy Goobers—I mean Vendorvillans!

We like to think of EDI like the Krusty Krab. Things can go well (meaning, MONEY!) or things can go poorly (see the gif above). EDI touches every part of the retail supply chain, but codifying retailer requirements and compliance protocols is not everyone’s idea of a sunny day at Jellyfish Fields.

East? I thought you said ‘Weest’

EDI or Electronic Data Interchange is the language that large organizations use to talk to each other. Without these commonly accepted standards for document exchange, suppliers and retailers end up speaking to each other in two different languages.

For that reason, these EDI terms are essential for understanding the ins and outs of EDI. Without a good EDI integration, doing business with major retailers is slow going. Making a big transition is scary, but staying where you are can mean the difference between staying competitive and getting left behind.

D is for Documents

As the amount of data being passed between large organizations grows, so do the opportunities for costly errors in the supply chain.

Some of the most common EDI transaction documents in the retail world are the 800 series. These are essential for maintaining an agile supply chain, and that’s why we wrote our EDI for Retail Supply Chains Cheat Sheet.

The only people who love money more than Mr. Krabs are suppliers (I mean, driving shareholder value 😉), and having a secure and adaptable EDI integration is a sure way to protect your business against revenue loss. Everything from item setup to invoicing is run through EDI, and a small error in one place can cascade into lots of lost dollars in the end.

EDI 810 Invoice

You can’t get a Krabby Patty without paying for it, especially if you are a 2” tall copepod with a not-so-secret hidden agenda. An invoice is used in any business transaction as billing for goods or services.

These usually include an invoice number, date of the invoice, services/items rendered, date that the items shipped out on, and payment terms, but there’s much, much more!

EDI 850 Purchase Order

A Krabby Patty? How original. The everyday world of modern commerce is run on the back of the Purchase Order. The Big One. The PO. (Not to be confused with EDI 875: Grocery Products Purchase Order). It is the document detailing all of the items or materials requested by the buyer.

These usually include, but are not limited to: the items requested, the item description, UPC item or case code, unit prices, payment terms, discounts, and requested delivery dates.

EDI 856 ASN

The ASN (Advanced Ship Notice or Ship Notice/Manifest) notifies the buyer of the contents of the shipment, and I don’t mean the Flying Dutchman.

Among other treasures, the ASN includes: carrier information, descriptions of products and their quantities, tracking numbers, and, crucially, purchase order numbers.

In Other Retailer News 🗞️

Retail Dive

Dollar Tree CEO steps down

“Rick Dreiling’s departure due to health concerns comes as the company is navigating several challenges, including a possible spin off or sale of its Family Dollar banner.”

CNN Business

Super giant TVs are flying off store shelves

“One of the biggest gifts this holiday season won’t fit under the tree, the chimney or even in some homes.”

NPR

The Dow Jones jumps over 1,300 points after Trump wins the election

“The Dow Jones Industrial Average rose more than 1,300 points soon after the open, or more than 3%, just hours after Trump won the presidential election over Vice President Kamala Harris.”

Rick's Tips💡

"Rick has many great qualities. But more than anything, he values candor and specificity. When it comes to communicating with an EDI provider, these qualities are key.

Specifying the exact amount of time and money being lost on transaction issues will help them reorganize their priorities accordingly. As with any relationship (business or otherwise), communication is key, and the relationship with an EDI provider is no exception!"

Let's Circle Back ⭕

As always, Vendorville, we want to thank you for sticking with us, for tolerating our whims, and making Vendorville what it is: the ville of vendors. If you’ve made it this far with us, we bet you’d love to learn which Spongebob character you are. So we thought we’d include it!

For what it’s worth, Rick tested as Sandy. His cheery optimism and go-gettery make him a shoo-in for the role.

cool-spongebob-see-you-soon-ng0xqp61o7ll454c

Sincerely,

💛 Your Friends in Vendorville

EDI is the secret formula for supplier success