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EIDX Order Models - Supporting Documentation
Changes to Discrete Purchase Orders
Special Notes:   

 


Allowable Changes to Discrete Purchase Orders

Header Level Changes

HEADER level changes are not recommended except for a full purchase order (PO) cancellation. Entire PO cancellations are allowed.  Important header level data fields include the purchase order number, ship-to location and buying party. Any change to these key data fields should be handled externally of the electronic process.  Since purchase order numbers may not be unique across the supplier's customers, the customer ship-to location is often included in the matching process in the seller's system. A change in a ship-to location in the purchase order system may cause some matching problems for the purchase order in the sales order system.  Generally electronic change orders are recommended only for item and schedule level changes. This has been the EIDX position historically.   Shipping method or instruction changes usually occur to expedite shipments. They can be handled by the electronic process, but check with your trading partner's systems capability to recognize the changes. The transaction may contain the change in the shipping method or instructions. However, the data in the change order must be compared to current data in the sales order to determine a change. There is no code in the transaction to indicate that this type of change is present.  It is better to handle these changes externally of the electronic process if all your trading partners cannot process them. The buyer also has the risk that shipping method changes and instructions arrive too late, i.e., the order has already shipped or the order is in the process of being shipped. The timing is very important.

Contracts

Contract numbers have the following considerations:

Item Level Changes

All ITEM level changes for established line items are allowed except part substitutions and revision changes.

Only line items which are additions, deletions, or have changes to the order should be sent in the transmission, unless the standard being used requires otherwise.

Schedule Level Changes

All SCHEDULE level changes are allowed.

See also Schedules - What to Send.

Caveat
Check with your trading partner about their system limitations, e.g., cannot process price changes via electronic. The EIDX recommendations may require system changes which are their long term goals.


Confirming Changes

If the buyer sends a confirming change order, it will impact only the customer request date. A new change order is needed in order to impact the supplier schedule dates.   The accuracy of the customer request date is helpful, if the supplier is monitoring their delivery performance to customer request date. The buyer will determine their own delivery performance rating based on the dates in the purchasing system. 

Usually, it is not necessary for the buyer to send a follow up change order to confirm acceptance of date and quantity deviations from their request. A confirming change order just contains all the seller’s schedule dates which were already sent in the acknowledgment and exist in the supplier system.    However, if the buyer sends a ‘confirming change order’,  it should be interpreted as the following. (For discussion, call the buyer requested schedule date the Customer Request Date (CRD), and call the supplier schedule date the Seller/Supplier Commit Date (SCD).)

It is unlikely that confirming change orders  will initiate acknowledgments, since the supplier is likely to change only the buyer request date, which has no impact on the sellers schedule dates.   If the acknowledgment indicates 'No Acknowledgment Needed' (NA), then the seller does not expect a confirming change order. They have no need to update the CRD conveyed in a confirming change order.

The following table illustrates and summarizes the results of transactions (for discussion, call the buyer requested schedule date the Customer Request Date (CRD), and call the supplier schedule date the Seller Commit Date (SCD).  The dates are both delivery dates or both ship dates):

 

TRANSACTION or ACTION

CRD (Buyer’s)

SCD (Seller)

COMMENTS

BUYER generated 860 to change a schedule

4/30/95
(SCH segment)

N/A

Buyer requests a schedule set to 4/30/95.

SELLER generated 865 to acknowledge a seller schedule date

4/30/95
(optional DTM or SCH segment)

5/15/95
(ACK segment)

Seller could not meet the 4/30/95 date, but can schedule 5/15/95 for shipping or delivery.  5/15/95 is established in the sales order.

BUYER generated 860 CONFIRMING CHANGE ORDER

5/15/95
(SCH segment)

 

Buyer wants to inform the seller that the 5/15/95 SCD is acceptable.  Seller can set the CRD to 5/15/95; SCD is unchanged because the 5/15/95 SCD was returned by the seller.  Seller’s system may need to accept CRD changes without impacting the SCD (which is not changing) into their change order process but bypass rescheduling and approval of SCD.

SELLER generated FOLLOW UP 865 UNLIKELY 

5/15/95
(optional DTM or SCH segment)

5/15/95
(ACK segment)

Seller’s SCD is not changed; there is no new seller schedule date to return in the ACK segment.  Seller’s system would have to recognize CRD changes with no SCD changes to generate a follow up 865 transaction.  This is unlikely.

OPPORTUNITY TO PULL-IN SCD LOST

 

 

Seller had the opportunity to pull-in the schedule date to 4/30, but the supplier may not do so because the CRD is set to 5/15/95.  The 4/30/95 CRD date may not be known to the buyer anymore since the CRD was set to 5/15/95.

 


Change Order Sequence Number

The Change Order Sequence number is an important field to many buyers. It is often part of the key along with the purchase order number when matching the sent change order to the received change order acknowledgment.    It is important to note that this field exists only at the purchase order header level in the X12 transaction. It should be incremented only once for each 860 purchase order change generated regardless of the number of line item changes included. Each line item does not have its own change order sequence number.

Since changes in subsequent change orders issued may supersede changes in the earlier change order, sellers should review the requested change order data in the order of the changes indicated by the Change Sequence number, i.e.,  Change Sequence number 02 should be applied before  Change Sequence number 03 if they are for the same line item. Queued Change Orders for the same purchase order, but different line items, have no effect on each other except possibly the Change Sequence number returned on the resulting acknowledgments. If change orders for the same purchase order arrive in a short time, it is best to review all of them carefully to see if they impact each other.

The buyer should increment the change sequence number for every Change Order issued. If suppliers monitor the change sequence number, there is a reduced risk that the change orders are applied in the wrong order. The supplier should try to maintain integrity of this data  on  acknowledgments so the buyer can match the received acknowledgments to the sent change orders.  There are potential problems in maintaining this data's integrity in the supplier's system, which the buyer should be aware of. The accuracy may be easy to maintain if multiple PO changes do not arrive before previous change order has an acknowledgment generated. There may be problems with multiple PO changes outstanding.  The supplier's system is likely to have only one field in their data base at the PO header level to hold the change sequence number. If multiple change orders are issued in a short time before previous change orders can be acknowledged, the acknowledgments may not have accurate change order sequence numbers.   The supplier's system is likely to copy the change order sequence number as each new change order arrives without regard to previous change orders which have not yet had 865 acknowledges generated.

Often change orders requests are entered quickly into a supplier's change order system, but there may be pending approvals by another person. When this happens, the multiple change orders may be queued within a short time before any PO change acknowledgment is sent. The highest number will most likely be the number returned on all the change acknowledgments which had arrived in that short time.

If change orders are arriving so frequently that the Change Sequence number becomes a problem, the trading partners should review the situation and take corrective action outside of the electronic process. 

Recommendations in Changes to Discrete Purchase Orders generally apply to change order sequence numbers  in the blanket purchase order process.  However, there are special considerations in Blanket Order environment where many of the data content standards use one transaction/message specification for multiple purposes, i.e. for Change to the BPO, Release, and Change to Release (see Business Documents Used in Order Business Processes.)
 

Change Order Sequence Numbers are optional in most standards.   EIDX recommends using them. 

Identifying Change Order Sequence

X12 BCH03 (DE324)

MEANING

COMMENT

(No code value - element is type AN)

Purchase Order Number

Use original purchase order (blanket order) number.

X12 BCH05 (DE327)

MEANING

COMMENT

(No code value - element is type AN)

Change Order Sequence Number

Use sequentially assigned numbers, regardless of change order type.

UN BGM.1004

MEANING

COMMENT

(No code value - element is type AN)

Document / Message Number

Use unique number for each change order issued; may be used for implied sequencing by assigning a value which is a concatenation of original purchase order number and change order sequence number.  This is preferred convention for EDIFACT documents.

UN C506.1153

MEANING

COMMENT

OP

Original purchase order

Use original purchase order (blanket order) number.

PP

Purchase order change number

May be used to identify explicit change order sequence number.  This is not a preferred convention for EDIFACT documents.

 


Line Item Numbers

It is very important that the line item number not be changed from the original in the  purchase order. Line item number is likely to be a key value used to match the change order line item of the purchase order in the buyer's system to the sales order in the supplier's system. If a purchasing system should renumber line items, because line items are deleted or closed, it may be difficult to match the line items in the seller's system. Also since part numbers are often repeated on line items within a given purchase order, the part number alone may not suffice for the line item matching. NEVER RE-NUMBER LINE ITEM NUMBERS. This practice should be corrected as soon as possible to avoid this serious problem.

See also recommendations for formatting Line Item Numbers.


Line Item Changes – What to Send


ONLY line items and/or associated schedules, which have changes, should have POC segments and associated SCH segments sent.  See section SCHEDULES: WHICH TO SEND for details on associated schedules.

If a line item or its schedules do not have changes, DO NOT SEND THE POC loop of segments.  THIS IS VERY IMPORTANT.  However, some standardss require all items and schedules to be sent, some applications cannot exclude unchanged items - see 'No change code'.

See also Allowable Purchase Order Changes (above) Line Item Change or Response Type (below).


Line Item Changes

Identifying the Change or Response Type

ADD ITEM

An 'ADD ITEM' code may arrive due to a new line item to be added to the order, or it may be portion of a part replacement where an 'ADD ITEM' for the new part and a 'DELETE ITEM' for the original part are both sent.  Sometimes a seller may require a new purchase order for parts instead of adding line items to existing purchase orders. This may happen when an order was closed or previously deleted.  See also recommendation for Single Occurrence of a Part in an Order.

DELETE ITEM

'Delete Item' (DI) should be taken very literally. The supplier should not have to review the other data on the line item or its schedules to determine the validity of the request to delete a line item.  If a line item is a Delete Item, schedules need not be sent at all. The supplier will review the outstanding schedules in the sales orders and act accordingly to any business agreement. If schedules are sent, it is recommended that each schedule quantity (schedule level) be set to zero to avoid any confusion. The quantity remaining to be received (item level) should always be set to zero.

PRICE/QUANTITY/SCHEDULE CODES

Many legacy buyers' systems may not be able to determine the exact type of a schedule change at the time that the line item level information is generated for the interface file, but the system may know there is some kind of change at the schedule level, and may send a generic code at the line item level. The buyer should make some effort in the long term to indicate exactly what changed.

NO CHANGE CODE

Unchanged line items should not be sent, unless the standard being used requires it.  In that case, a 'No Change' code should be used to identify line items for which there are no changes.

If there is no change at the item level but there are changes at the schedule level, then use the appropriate schedule level change code listed below.

Replace Items

There are a few feasible methods to indicate a line item replacement.  Methods 1-3 are acceptable, but method 3 is preferred:

METHOD

FIRST ACTION SECOND ACTION

1

Delete Entire PO (if appropriate)

Issue NEW PO with the replacement part

2

Delete Item (DI) in POC02 in existing order

Issue NEW PO with the replacement part

3

Delete Item (DI) in POC02 in existing order

Add Item (AI), using a new line item number

The following methods are not recommended:

METHOD

FIRST ACTION SECOND ACTION

4

Delete Item (DI) in POC02

Add Item (AI), reusing the line item number

5

Use Replacement Item (RE) or Replacement Item with Modifications (RM) in POC02 (This may cause a delete and add in the supplier's system)

(No second action required)

Note that the difference between method 3 and method 4 is which line item number is used.  Line item numbers should never be reused since they are often a key matching field between the purchasing systems and the sales order system.

EIDX recommends using method 1, method 2, or method 3 for item replacements.  Method 3 is the preferred method.
 
Methods 4 and  method 5 are not recommended.   These methods are likely to cause a lot of confusion with the existing line item.

PRICE/QUANTITY/SCHEDULE CODES

Many legacy buyers' systems may not be able to determine the exact type of a schedule change at the line item level, but the system may know there is some kind of change at the schedule level, and may send a generic code at the line item level.  The buyer should make some effort in the long term to indicate exactly what changed.


Line Item Changes

Quantity Ordered

POC03 should be the line item quantity ordered including the current line item change.  Suppliers can compare the current sales order's Quantity Ordered to the change order's Quantity Ordered to determine a difference and act accordingly.

If all open and closed schedules are sent, the sum of the quantities on the SCH segment (SCH01) should equal the QUANTITY ORDERED (POC03) at the item level.

If  only open schedules are sent, the sum of the quantities on the SCH segment (SCH01) should equal the QUANTITY LEFT TO RECEIVE (POC04) at the item level.

Quantity Left-to-Receive

This data should be the Quantity Left to Receive including the current line item change.  Suppliers will also compare this number to the current number in their system.   Some of the differences may be attributed to in-transit shipments.   Implementation of the Advanced Ship Notice (856) should help keep the systems in synchronization.

Effect of Schedules on Quantity Ordered and Quantity Left-to-Receive

If all open and closed schedules are sent in the 860 transaction, then the sum of the quantities on the SCH segment (SCH01) should equal the total QUANTITY ORDERED (POC03) at the item level.

If only all open schedules are sent in the 860 transaction, then the sum of the quantities on the SCH segment (SCH01) should equal the QUANTITY LEFT TO RECEIVE (POC04) at the item level.

If a schedule had a quantity decrease resulting in the total line item having a quantity decrease, the QUANTITY ORDERED (POC03) and the QUANTITY LEFT TO RECEIVE (POC04) on the item level should be decreased by the appropriate amount.

Unit of Measure

Unit of Measure Code should always indicate a single unit, e.g., EA for each.

Many suppliers cannot handle changes to this field on an 860 transaction.  The buyer should check with the supplier before sending a change in this field.

Unit Price and Basis of Unit Price

Unit Price is an allowable change.  Use the appropriate basis of the unit price code.  If there is a contract associated with the purchase order, the price is guided by the contract.

Product/Service IDs and Qualifiers (pairs of DE235 and DE234) – What to Resend

It is necessary to resend the vendor part and/or buyer part and associated Engineering Changes (revisions) for the buyer part as they were sent in the original purchase order.  This data is critical to match the part on the seller's current sales order and the buyer's new change order.

There is no need to resend other part information, such as drawing number, in the change order, which was on the original order, unless it is required by a trading partner or it is the actual change.  Miscellaneous part data is usually defined in the supplier's system given the vendor part or buyer part (plus associated engineering change)

Secondary packaging data should be sent only if it is being changed or it is critical for the trading partner.  Sometimes a change in  secondary packaging means a change in the part number.  When this is the case, the new part number is recognized as any other part number change.


Schedules – What to Send

Since the 860 transaction does not have the structure to convey both the current schedule and the changed schedule (the before and after schedule change snapshot), it is necessary to send a set of schedules, even if only one schedule changes.  If just the changed schedules were sent, the supplier would not know which schedules to match and change in the sales order system.  It is recommended that ALL OPEN AND CLOSED SCHEDULES OR JUST ALL OPEN SCHEDULES in the purchase order be transmitted in the 860 transaction.

If a supplier does not need schedule records for schedule dates which were shipped,  they can just skip those records in their processing.  It is difficult to customize purchasing systems to send all schedules to some trading partners and only open schedules to other trading partners.  It is simpler for the supplier to skip or ignore schedule segments with dates which were already shipped.

There is no method to code specific schedule level denials in the X12 865 transaction.   The supplier will assign their best possible delivery or ship date to the customer request date.  A code will not be returned to indicate that the customer date was 'rejected'; however,  the schedule could be returned with a zero quantity to convey no shipment to be scheduled if the product truly is not available.

If the seller makes any kind of sales order alteration due to the 860 change order transaction, an 865 transaction should be generated with the exception of confirming change orders. (See separate section on Confirming Change Orders.)  The change may not be exactly the change requested in that change order, but the dates are the 'best dates' the seller can do at that time.  If the buyer is not content with the returned dates, then subsequent 860 transactions or phone calls may be necessary.

The 860 schedules should be in chronological customer request date order.  Intermixed dates may cause confusion during the matching process when the 860 is received.  (This recommendation may not apply to the dates in ACK segments on the returned purchase order change (865) acknowledgment.)


Schedule Dates and Times

EIDX recommends the following codes as the date qualifier in the schedule segments:

X12 DE374

Meaning

002

Delivery Requested (Dock Date)

010

Requested Ship Date

050

Received

112

Buyer’s Dock Date

The ship versus delivery codes must be accurate.  Otherwise, the shipment may not arrive on the expected date.  If the supplier relies on the wrong code from the buyer, the buyer may expect delivery on a day which the supplier is scheduling to ship the items.  The results will be acceptable only if the transit time indicates same day delivery.

ZERO QUANTITIES

It is not necessary to send an existing schedule with a zero quantity in order to delete the given schedule if the quantity is moved to another schedule.  The buyer's system may lose visibility to a schedule once it is deleted; hence, they may not be able to send it in an 860 transaction. 

It is necessary to send an existing schedule with a zero quantity in order to delete the given schedule if the quantity is not moved to another schedule. The following table illustrates that sending the previous dates with zero quantities would have the same effect if the zero quantity schedules were sent; however, the zero quantity schedules are not necessary.

PREVIOUS
SCHEDULES

CURRENT SCHEDULES,
ZERO FORECASTS NOT SENT

CURRENT SCHEDULES,
ZERO FORECAST SENT

01/01/95

100

03/01/95

100

01/01/95

0

01/15/95

100

03/15/95

100

01/15/95

0

02/01/95

100

04/01/95

100

02/01/95

0

 

 

 

 

03/01/95

100

 

 

 

 

03/15/95

100

 

 

 

 

04/01/95

100

Total Qty

300

Total Qty

300

Total Qty

300

Schedule Changes – Examples

HEADER LEVEL:
This change order 860 transaction was issued on Feb. 25.

ITEM LEVEL:

Whether all open and closed schedules are sent or just open schedules are sent, the POC is the same:

 POC*001*MU*4500*3500*EA*100.50*CT*BP*PAL5436-44

Meaning:

o Line item 001 is being changed.

o The request is for multiple changes (MU).

o The CURRENT total order quantity is 4500 units.

o (The original total order quantity was 5500 units*, but 1000 units are deleted now.)

o The quantity left to receive is 3500 units.

o The contract cost (CT) is $100.50 (local currency US dollars assumed)

o The product has buyer part (BP) number PAL5436-44.

* The original 850 transaction or subsequent 860 transactions resulted in the sales order showing 5500 units currently on the sales order.

SCHEDULE LEVEL:
If all open and closed schedules are sent, then schedules (A) through (E) are sent.  If only open schedules are sent, then schedules (C) through (E) are sent.

(*) The buyer does not send schedules for 03/31/95, 04/10/95, nor 05/31/95 in the 860 transaction.
(#) Of the original 3000 units from 03/31/95 through 05/31/95, 2000 units appear with the date of 04/15/95.
Since the original order quantity was 5500 units and the new Order quantity (POC03) is 4500 units, the remaining quantity of 1000 units is implied to be a deleted quantity.  The 500 shipped is not part of the 1000 difference.  The 4500 units are the TOTAL ORDER QUANTITY; The 4000 is  the TOTAL QUANTITY REMAINING TO RECEIVE in this case. The 500 difference was already received by the buyer.

ORIGINAL SCHEDULES (850)

ORIGINAL  ACK. (855)

SHIPMENT RECEIVED

CHANGE ORDER  'SCH' DATA (860)

 

NOTE

DATE

QTY

DATE     

QTY

DATE    

QTY

DATE  

QTY

 

 

01/31/95  

500

01/31/95   

250

01/31/95  

250

01/31/95  

250

(A)

Already received

 

 

02/15/95   

250

02/15/95  

250

02/15/95

250

(B)

Already received

02/31/

1000

02/31/

1000

 

 

02/31/

1000

(C)

Unchanged

03/31/

1000

03/31/95   

500

 

 

 

 

 

03/31/95  NOT sent in 860; quantity canceled or shifted

 

 

04/10/95   

500

 

 

 

 

 

04/10/95 NOT sent in 860; quantity canceled or shifted

 

 

 

 

 

 

04/15/95

2000

(D)

NEW DATE 04/15/95sent; quantities from 03/3195 and 04/31/95 shifted here

04/31/

04/31/

 

 

 

 

04/31/95 NOT sent; quantity shifted to 04/15/95

05/31/

05/31/

 

 

 

 

05/31/95 NOT sent in 860;   quantity shifted to 04/15/95

06/31/94 

06/31/

 

 

06/31/

(E)

Unchanged

Order Qty

5500

 

5500

 

 

 

4500

 

Left-to Receive

5500

 

5500

 

 

 

4000

 

 

 


Last updated 01 February 2003