EDI & Order Operations Glossary

An Advance Ship Notice (ASN) is an electronic notification a supplier sends before a shipment arrives, detailing its contents, packing structure, and carrier. In EDI it is the 856 transaction. It tells the buyer exactly what is coming, how it is packed, and when, so receiving can be scanned and verified at the dock.

EDI (Electronic Data Interchange) is the computer-to-computer exchange of business documents like purchase orders and invoices in a standard electronic format. It replaces paper, fax, and email so two trading partners' systems can transact directly, without anyone re-keying the data.

Being EDI capable means a company can send and receive business documents electronically in a standard EDI format that its trading partners accept. A retailer asking if you are EDI capable wants to know whether you can exchange orders, invoices, and ship notices as compliant X12 transactions without manual handling.