ANSI X12 EDI 940

ANSI X12 940 EDI Message
What It Is, Who Uses It & Why It's Important
🟢 What is the ANSI X12 940 EDI Message?
The ANSI X12 940 is an EDI (Electronic Data Interchange) transaction set used in warehouse and supply chain management. It functions as a Warehouse Shipping Order, providing detailed shipping instructions to third-party logistics providers (3PLs) or warehouses.
This transaction is typically sent from a supplier, retailer, or distributor to a warehouse, authorizing the shipment of goods to a buyer or another location.
👥 Who Uses the ANSI X12 940?
The EDI 940 is widely used by businesses that outsource warehousing and rely on third-party logistics (3PLs) to handle shipping. The key users include:
✅ Retailers & E-commerce Businesses → Direct warehouses to ship customer orders.
✅ Manufacturers & Suppliers → Send inventory to distribution centers or retail stores.
✅ Wholesalers & Distributors → Manage large-scale shipments efficiently.
✅ 3PL Companies & Fulfillment Centers → Receive instructions to process shipments.
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🚀 Why Use the ANSI X12 940? (Key Benefits)
Implementing EDI 940 in your supply chain brings several advantages:
✔️ Faster Warehouse Processing → Reduces manual order handling.
✔️ Minimized Shipping Errors → Ensures precise fulfillment of shipments.
✔️ Improved Supply Chain Efficiency → Automates warehouse communication.
✔️ Cost Savings → Eliminates paperwork and manual data entry.
✔️ Better Inventory Control → Tracks stock movements with accuracy.

📜 Understanding Key ANSI X12 940 Segments
Each EDI 940 message consists of structured segments, each serving a specific purpose. Here are some essential segments:
1️⃣ ST (Transaction Set Header)
Identifies the transaction type (940) and assigns a unique control number.
2️⃣ W05 (Shipping Order Identification)
Provides reference numbers and shipment details.
3️⃣ N1 (Name & Address Information)
Specifies sender, warehouse, and recipient information.
4️⃣ LX (Transaction Set Line Number)
Defines individual shipping instructions for each product.
5️⃣ W01 (Item Detail – Quantity & Description)
Lists item SKU, quantity, and packaging details.
6️⃣ SE (Transaction Set Trailer)
Indicates the end of the transaction and includes a segment count.
📌 Example ANSI X12 940 Format:
ST*940*0001~
W05*N*123456789*20240209~
N1*WH*Warehouse ABC~
N1*ST*Customer XYZ~
G62*17*20240210~
LX*1~
W01*10*EA*123456*VP*Item123~
SE*10*0001~

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🔗 Related EDI Transactions
To fully integrate your warehouse operations, the EDI 940 works alongside:
- EDI 850 – Purchase Order (from buyer to seller)
- EDI 856 – Advance Ship Notice (ASN)
- EDI 810 – Invoice (billing details)
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