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EIDX Order Models - Supporting Documentation

Discrete Purchase Orders and Acknowledgments

Special Notes:   

 


Types of Discrete Purchase Orders

This section is new material.

Although orders are fundamentally either discrete orders or blanket orders, there are really several more specific "types" of purchase orders that are associated with more specific business process scenarios:  

Types of Standard Purchase Orders

Increasingly, the term “Standard PO” is being used when referring to discrete purchase orders for “Direct Procurement”, which is the the procurement of direct material.  The descriptions of "standard" purchase orders are based on these assumptions:

Catalog order

Confirming order

Contract order

Direct Procurement PO

Drop Ship Order

Standard Configuration Order

Spot-Buy PO

Other Types of Purchase Orders ("not Standard")

Blanket PO

See also Identifying Order Type and Subtype.


Grouping Items on Discrete Purchase Orders

Relationship between Purchase Order Number, Ship-To Location and Buying Party

EIDX recommends transactions with the PURCHASE ORDER NUMBER, SHIP-TO LOCATION and BUYING PARTY at the header level only. That is, only one purchase order number, one ship-to location, and one buying party per transaction/message.

Typically, the purchase order  number and ship-to location may be the only two components of a key for finding the data in both the purchase order system and the sales orders systems. Purchase order number alone may not be an adequate key because purchase order numbers may not be unique across all customers in the sales order system, especially if the location number scheme is a simple sequential number like 09 or 10. The processing is generally easier if all key components (purchase order number and ship-to location) are found only in the header of the transaction.

The buying party (corporation) and the bill-to location may be cross-referenced in the seller's system given the ship-to location  in the transaction. That is, once the buyer’s ship-to location code is cross-referenced to the seller’s ship-to location code, the corporation and the bill-to addresses may automatically be linked to the buyer and the given purchase order. When this happens, it is not necessary to send the buying party or bill-to location in the transaction/message. Check with your trading partners; if some of this data is required by some trading partners, you are likely to send it to all your trading partners.

It should suffice to cross-reference locations by using the codes for addresses. It should not be necessary to send full addresses.

If there is only one ship-to location associated with the purchase order, it should be sent in the header level.

Though EIDX recommends that a given purchase order have only one ship-to location, trading partners can decide if they can implement the transactions if these data elements are at the detail level, that is, multiple purchase order numbers, ship-to locations or buyer parties within a single EDI purchasing transaction.  These types of orders occur in cases where a central purchasing department or purchasing agent is buying on behalf of multiple company divisions or entities.  Key data at the detail level is likely to be more complex for a sales order system; hence, it is not the preferred transaction format.


Single Occurrence of Part in an Order

It is recommended that the purchase order have a given part number only on one line item in the order.

If the part number must be repeated in a purchase order, the entire set of schedules for the given part are split between the line items.  This may complicate the seller's processing of the orders and reviewing the schedules in their entirety. 

Likewise, when the seller splits line items in the sales order and they do not maintain the integrity of the original line item number, the buyer's system may have problems matching the acknowledgments to their data.

If there is a business reason for repeating the same part on multiple line items within a given purchase order, then considerations should be given to splitting them into separate purchase orders.


Last updated 01 February 2003