EDI Document Type - 850 Purchase Order
What is an 850 Purchase Order?
One of the most common EDI document types is the EDI 850 Purchase Order. The 850 document type is an electronic version of a paper purchase order. Standard EDI formats include X12, ANSI, EDIFACT and its subsets. Click here to read more about supported EDI Standards.
The 850 EDI document type is used by the trading partner to communicate to a supplier the specific items, quantity, and price they want delivered. The 850 EDI document will also frequently contain shipping instructions that accompany the purchasing information.
What makes up the 850 Purchase Order document?
An 850 EDI Purchase Order is organized into the following segment and data elements. A segment can contain at least one data element. Each data element contains a data field. Data elements could include vendor number, item, quantity, price per item; address information (street, city, state etc) identical to a paper Purchase Order. There are an infinite number of possibilities available for a company to include data on an 850 Purchase Order.
How is it used?
After the 850 Purchase Order is received by the supplier, a 997 Functional Acknowledgment is sent back from the supplier indicating that the purchase order was successfully received. They may then send an 855 Purchase Order Acknowledgement to the supplier shortly after.
The Process and Standards
An EDI solution is required to process the EDI documents received into a financial system (click here to view all available financial systems eBridge integrates into) or into a readable format for manual entry. Each trading partner will have an EDI Implementation guide outlining the specific segments, data elements, values accepted, and the applicable business rules to be followed.
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