Benefits of Trading the Invoice (810) via EDI

  • 0
  • 1
  • Article
  • Updated 3 years ago
  • (Edited)
Purpose
The primary purpose of the Invoice (EDI810/EDI880/EDI894) is used for the supplier to charge the buyer for goods and/or services provided. The 810 is more widely used in General Merchandise/services while the 880 is Grocery focused.  The 894 is utilized for Vendor Managed Inventory (VMI).

The key data elements included in the Invoice are:
  • Invoice number
  • Purchase Order number
  • Invoice date
  • Product/service identifiers such as UPC/EAN/GTIN with their respective quantities
  • Item price
Additional data that may also be included in the Invoice are:
  • Carrier and service levels
  • Invoice Terms
  • Ship To and Remit To locations
  • Vendor Number
  • Charges and/or allowances
  • Taxes
  • Additional item identifiers such as Buyer Item Number and Vendor Part Number
  • Shipping information
Benefits
There are benefits to both the purchaser and the supplier for implementing electronic trading of the invoice.  Many of these are dependent on how automated and integrated the transaction is for both parties.  Some of the benefits that can be realized include:
  • Reduction in volume of paper flow and gain operating efficiencies through reduced time requirements to complete transactions by both parties
  • Reduction in administrative time spent manually submitting invoices (supplier) and manually  entering invoices (purchaser) allowing for resources to focus on value added work
  • Elimination of data entry errors associated with manual entry
  • Reconciliation against orders/shipments to verify correct invoice amounts
  • A quicker reconciliation may result in a more timely payment

Benefits Overview
Photo of FAQ

FAQ, SPS FAQ

  • 9,340 Points 5k badge 2x thumb

Posted 3 years ago

  • 0
  • 1

Be the first to post a reply!