Basics of EDI, EDIFACT and EANCOM

Basics of EDI, EDIFACT and EANCOM

Introduction to EDI

Electronic Data Interchange (EDI) Transfer of structured data by agreed message standards from one computer to another by electronic means with a minimum of human intervention.

Essential elements of EDI Structured data Not free format Standards Syntax, Rules, Data Dictionary Direct application to application communication Use of data communications Not diskette, tape, etc Minimum to NO human intervention

Company A Conversion/ Translation In-House Application EANCOM Message In-House Application Company B Conversion/ Translation

What is not EDI E-Mail Diskette transfer Tapes Fax

Traditional paper based business cycle Basics of EDI, EDIFACT and BUYER SUPPLIER Key in Order Print Order Fax Order Key in Faxed Order Goods Despatched Key in Mailed Invoice Mail Invoice Print Invoice Key in invoice

EDI applied to the business cycle Basics of EDI, EDIFACT and BUYER SPLIER Keyin Order Translate Order into EDI message Communicate Order Goods Despatched Translate EDI order for integration Integrate Order into order processing application Translate EDI invoice for integration Integrate Invoice into invoice processing application Communicate Invoice Translate Invoice into EDI message Generate Invoice using basic order data

EDI and Electronic Commerce EDI is application to application Electronic Commerce EDI and Human to Human (E-Mail) EDI and Human to Application (e.g.. Database services)

EDI Benefits Increased accuracy Higher speed Reductions in stock, lead times, etc Increased customer satisfaction Savings

Scope of EDI All areas of trade Trade related activities, e.g.. transport, finance. Multi-sectorial International No pre-defined boundaries

Introduction to EDI standards

Why international EDI standards? EDI common language no common language resulted in chaos Interpreting single EDI standard significantly reduces cost EDIFACT is the only recognised multi-sectorial international EDI standard

EDIFACT History Early EDI = Proprietary standards Basics of EDI, EDIFACT and Many syntax's Sectorial messages (SWIFT, Odette, etc) National messages (X12, GENCOD, Tradacoms, etc) 1986 Birth of EDIFACT United Nations Electronic Data Interchange for Administration, Commerce, and Transport Many ways to do the same thing!

EDIFACT History (Continued) 1987 EDIFACT syntax (ISO-9735) Rapporteurs for North America, Western Europe, Eastern Europe appointed by UN 1990 Rapporteurs for Australia/New Zealand and Asia Pacific appointed 1994 Rapporteur for Africa appointed

International user groups EAN International - Retail & Distribution CEFIC - Chemical industry EDIFICE - Electronics industry ODETTE - Automotive industry EMEDI - Health sector EDITEX - Textiles industry etc Basics of EDI, EDIFACT and

EAN International activity in EDIFACT EAN active in most regions Western Europe / Pan America / Asia EAN activities cross sectorial Members of European groups Trade, Transport, Finance, and Public Procurement EAN provides 60 man days per year support to the EDIFACT process

Components of EDIFACT

EDIFACT Syntax Set of rules governing the structuring of user and associated service data in the interchange of electronic messages in an open environment.

EDIFACT Syntax (Continued) Published as ISO-9735 Include the service segments Start/header service segments (UNB, UNG, UNH) Identify sender/recipient, type and version of message, date/time of message, message number. Trailer/summary segments (UNZ, UNE, UNT) Act a terminator, indicate the number segments/messages /groups in an interchange Separator segment (UNS)

EDIFACT Components Interchange (UNB-UNZ) Functional Group (UNG - UNE) Messages (UNH-UNT) Segments / Segment Groups Data Elements

EDIFACT Components (Continued) Interchange A mail sack contains multiple messages same or different types (e.g all orders, mixture of orders and invoices) addressed to the same recipient Functional Group Large envelope containing multiple same type messages

EDIFACT Components (Continued) Message Sheet of paper contains set of related data covering only one function, e.g. an invoice. Segment Groups / Segments Groups of related data, e.g. Pricing data, Measurements, etc. Data Elements Individual fields of data, e.g. price, name, etc.

Example of a message structure Commercial Dispute Heading section UNH M 1 BGM M 1 Message header Beginning of message RFF C 9 Reference DTM C 9 G01 C 99 NAD M 1 Date/time/period NAD CTA COM Name and address CTA C 1 Contact information COM C 5 Communication contact Commercial Dispute Detail section G02 C 9999 DOC DTM MOA SG3 SG4 SG5 Basics of EDI, EDIFACT and DOC M 1 DTM C 9 MOA C 2 Document/message details Date/time/period Monetary amount

Example of a common EDIFACT segment Basics of EDI, EDIFACT and LIN LINE ITEM Function: To identify a line item and configuration. 010 1082 LINE ITEM NUMBER C n..6 020 1229 ACTION REQUEST/NOTIFICATION, CODED C an..3 030 C212 ITEM NUMBER IDENTIFICATION C 7140 Item number C an..35 7143 Item number type, coded C an..3 1131 Code list qualifier C an..3 3055 Code list responsible agency, coded C an..3 040 C829 SUB LINE INFORMATION C 5495 Sub line indicator, coded C an..3 1082 Line item number C n..6 050 1222 CONFIGURATION LEVEL C n..2 060 7083 CONFIGURATION, CODED C an..3

Example of code values. 7143 an..3 Item number type, coded Identification of the type of item number. BP Buyer's part number CG Commodity grouping EN International Article Numbering Association (EAN) HI HIBCC (EAN Code) HS Harmonised system IB ISBN (International Standard Book Number) IN Buyer's item number NB Batch number SA Supplier's article number UP UPC (Universal product code)

Introduction to EANCOM

Mission of EAN International "The mission of the EAN International and its Member Organisations is to take a leading role in establishing a global multi-industry system of identification and communication for products, services, and locations based on internationally accepted and business led standards.

What is EANCOM? EANCOM is an implementation guide-line of EDIFACT subsets What does EANCOM provide? Detailed usage notes in simple language Business situation examples Clear guidance what to do and when to do it Only relevant EDIFACT codes

The EANCOM time line 1980 to 1986 Efforts to harmonise national standards 1988 First draft EANCOM manual 1994 Second EANCOM release - 27 messages 1997 General Assembly adopts EDIFACT 1990 First EANCOM release -7 messages 1997 Third EANCOM release - 42 messages

EANCOM Strategy Support development of EDIFACT EANCOM subsets of EDIFACT messages EANCOM Principles Simplicity EAN Coding for products and locations Same EDIFACT directory Serve user needs

EANCOM Objectives Standard for international communications Standard for EAN numbering organisation which have not yet defined EDI policy Encourage EANCOM trials Support VAN interconnection

What is a subset? A subset must be - EDIFACT - UNSM derived; INVOICE - same function as UNSM; eancom - include all mandatory elements invoice - no new segments, segments in the same order, full segment catered for.

Need for a subset? EDIFACT UNSMs / Directories are developed as a result of compromise Full EDIFACT messages complex More precise definitions of data and codes required for effective EDI.

UN / EDIFACT EANCOM 80 % USER'S IMPLEMENTATION 20 %

EDIFACT is the major ingredient in EANCOM EANCOM does not exist without EDIFACT

How is EANCOM produced? Communications Systems Committee (CSC) Basics of EDI, EDIFACT and Individual experts Responsible for EANCOM development Monitor and influence EDIFACT development Liase with EAN Technical Systems Committee (TSC) Promotion and awareness Ensure existing national standards requirements are catered for in EANCOM Ensure EDIFACT compatibility

Role of NO s in EANCOM Development NO s act as interface between the CSC and the users user requirements not supported in EANCOM must be submitted as change requests to the CSC quality of change requests is most important

EANCOM 1997 42 messages 16 new messages using the D.96A EDIFACT directory upwardly compatible with D.93A

EANCOM 1997 Migration of existing messages include all agreed change requests (approx. 500 change requests processed on EANCOM 94) Basics of EDI, EDIFACT and document new EDIFACT functionality's for EANCOM segments which have changed in D.96A Development of new messages Trade Transport Finance

B U Y E R Party Information Product Inquiry Price/Sales Catalogue Product Data S U P P L I E R

B U Y E R Request for Quotation Quotation Purchase Order Purchase Order Change S U P P L I E R Purchase Order Response

S U P P L I E R B U Y E R Firm Booking Booking Confirmation Transport Instruction Multiple Transport Instruction Transport Status T R A N S P O R T E R

S U P P L I E R Despatch Advice Receipt Advice B U Y E R

S U P P L I E R B U Y E R Cargo/goods Handling & Movement Instruction to Despatch L S P

Invoice B U Y E R Tax Control Remittance Advice Commercial Dispute Commercial Account Summary S U P P L I E R

Order Status Enquiry B U Y E R Order Status Report Announcement for Returns Instruction for Returns Sales Data Report Sales Forecast Report S U P P L I E R Inventory Report

Inter-bank BUYER S BANK Communication SUPPLIER S BANK Debit Payment Advice Order * Credit Advice BUYER Invoice SUPPLIER Remittance Advice *

Supplier s / Buyer s Bank Bank Status Financial Statement Financial Cancellation Supplier / Buyer

Differences trade, transport, and finance Trade = Header, Detail, Summary Detail triggered by LIN Transport = Header, Detail, Summary Detail triggered by GID Finance = Level A, Level B, Level C, Summary Level A triggered by LIN Level B triggered by SEQ

EANCOM 1997 distribution media Paper EDIFIX Word for Windows version 6 Electronic EANCOM CD ROM Hyper Text Links Facility for users to print