EDI 856 - Advance Ship Notice/Manifest

EDIFACT DESADV

The primary purpose of the advance ship notice (ASN) is to provide detailed information about a pending delivery of goods. The ASN describes the contents that have been shipped as well the carrier moving the order, the size of the shipment, ship date and in some cases estimated delivery date.
The advance ship notice is typically sent from a product supplier to a retailer or distributor. The ASN can also be sent from a third-party logistics provider to a retailer or distributor. The ASN is also known as EDI 856, x12 856 and DESADV.

EDI Documents

Benefits of using the EDI 856 Advance Ship Notice

All trading partners providers benefit from implementing the Advance Ship Notice. To optimize benefits, the document should be sent at the time of the physical shipment.

Retailer and distributor benefits:

R

Cut costs of receiving goods

R

Reduce the need for safety stock

R

Improve speed and accuracy of receiving goods

R

Facilitate better labor and equipment scheduling

R

Gain visibility into inbound shipments and make adjustments to plans to accommodate incomplete or late shipments

Supplier benefits:

R

Reduce order to payment cycles

R

Get products on store shelves faster

R

More easily track shipments en route

R

Track any missing cartons and make claims accordingly

R

Improve retailer relationships by reducing stock outs, errors and missed deliveries

Key data elements included in an EDI Advance Ship Notice (ASN) are:

R

Ship-to location

R

Ship notice number

R

Ship and/or delivery date

R

Ship from/supplier

R

Purchase order number

R

Product/service identifiers such as UPC/EAN/GTIN with their respective quantities

Additional data that may also be included in the ASN:

R

Freight terms

R

Vendor number

R

Item description

R

Carrier reference/tracking numbers and service levels

R

Additional item identifiers such as buyer item number and vendor part number

The ASN for distribution center/cross-dock shipments

In the cross-dock fulfillment model, the 856 contains the end/mark for locations for the orders being shipped to a distribution center. The cross-dock model commonly utilizes barcode labels to assist with receiving reconciliation and allows for product to flow through, removing the need for put-away and picking operations.

Key data elements for cross-dock ASN:

R

Mark for locations

R

Packaging structure (i.e. SOTPI/SOTI/SOPI)

R

GS1-128 numbers to correspond to physical barcode labels

Additional benefits for using the ASN for cross dock:

R

Provides visibility for planning warehouse resources (labor, equipment and space) when shipping to the retailer location

R

Facilitates the movement of product through the warehouse through the use of the ASN data and GS1-128 labels

The ASN for direct to store/warehouse delivery

The direct to store/warehouse ASN allows retailers to better manage and automate their store/warehouse receiving processes. The use of the ASN data along with barcode labels assists with product reconciliation and facilitates automated receiving.

Key data elements for direct store/warehouse:

R

Packaging structure (i.e. SOTPI/SOTI/SOPI)

R

GS1-128 serialized shipping container codes to correspond to physical barcode labels

Additional benefits for using the ASN for direct store/warehouse:

R

Validation of how the cartons were packed

R

Improve product flow-through to the store floor

R

Prepare for future automated receiving at the stores and DC

R

Allows for faster recognition of item(s) not shipped to allow for quicker reorder

R

Enables automatic capture of the GTIN and batch/lot numbers of each case for track and trace (also used to support FDA Food Safety Modernization Act, Drug Supply Chain Security Act)

The ASN for drop shipping

The ASN is used in the drop-ship model to confirm items shipped to the end consumer. Without the ASN, the retailer has no visibility to the shipping status and tracking information of the customer order. Labels are commonly excluded as the end consumer does not need a GS1 label. However the packing slip is a standard requirement to provide consumers a list of products shipped, and the carrier carton label is also sometimes utilized. Both the packing slip and carrier carton label can be branded.

Key data elements for drop ship:

R

Customer order number

R

Small package carrier tracking number

Additional benefits for using the ASN for drop ship:

R

Creates the “Goods Received” indication in ERP system

R

Facilitates the communication to the end customer that the product has been shipped

R

Receipt of the ship notice data can trigger collection of payment from the retailer’s customer

Common issues regarding EDI 856

Barcode labels:
Issues with barcode labels, such as discrepancies between the barcode and the ASN, can occur. This often results in requiring the receiver to manually sort packages, leading to increased labor costs and potential chargebacks or penalties for suppliers.

Completeness and accuracy:
If ASN data isn’t accurate or complete, there will be delays, lost productivity and customer service shortfalls. Validating the completeness and accuracy of the ASN data is important to avoid confusion and subsequent penalties and fines.

Timeliness:
Trading partners typically require an ASN to arrive prior to the shipment. Understanding each trading partner’s requirements for ASN delivery will help prevent chargebacks.

Automate 856 Advance Ship Notice with Full-Service EDI from SPS Commerce

Managing ongoing EDI tasks can be complex and time-consuming. Full-service EDI providers like SPS Commerce deliver EDI technology and associated staffing resources responsible for customizing, optimizing and operating your EDI solution.

SPS communicates directly with your trading partners to manage connectivity, setup, requirements, updates and support efforts. SPS also takes ownership of understanding your trading partner requirements and making map changes.

SPS Fulfillment proactively monitors and optimizes your solution to prevent errors and minimize data entry. Interested in learning more about our EDI solution?

Eliminate the expense of manual processes.

Remove the time and effort of taking it on yourself. Start here.

(You'll hear back in 1 business day)

Additional EDI Resources

Enter a virtual library of information about EDI for suppliers, vendors and distributors to provide you with the product knowledge you need to power your business.

Ultimate List of EDI Transactions

Here are some of the most common documents and transactions that are supported through EDI automation.

See the Ultimate List

Five Top EDI Documents to Automate

When you automate your most-used EDI documents, it can significantly cut down keystrokes and speed up processes.

Give Me Five

EDI Glossary

Terminology including retail definitions, order management models, supply chain roles, software and distribution channels.

What’s the Word

EDI for Suppliers & Vendors

Discover how leading vendor and supplier businesses are serving their customers better with EDI solutions from SPS Commerce.

EDI for Suppliers & Vendors