Frequently, a 3PL is told to count the product on hand. This can be a count of specific UPC/part numbers or an entire count. Typically, the count of a specific item must be done immediately to answer an available to ship question. When it is discovered that the count of several items does not match the inventory record, then a complete count is ordered. Read more about the three classes of documents are exchanged with 3PLs: Shipping Orders, Replenishment Orders and Inventory Reports.
The challenges after the count are two:
- Transmit promptly
- Over write at the right time
The count is taken and compiled after the day’s shipments are complete. Then it must be promptly sent so that the over write of your records also occurs at the end of the same day. If there is a delay, then shipments may have occurred that are lost when the overwrite occurs.
Documents exchanged are:
- Inventory Inquiry/Advice (T.S. 846) – communicates inventory information between manufacturers, their suppliers and resellers. An option for a manufacturer to advise a Trading Partner of overstocked inventories available at discounted prices.
- Warehouse Inventory Adjustment Advice (947) – to inform the warehouse or manufacturer of quantity or status changes in inventory records. Results provide a Functional Acknowledgment (997) sent back from the transportation provider indicating the 847 was successfully received.
Both have similar content. The documents exchanged must not be in the 3PL’s proprietary format or your company becomes captive.
The most daunting challenge is to adapt your business application to enable a separate inventory at the remote location. Your business application will need to have another warehouse configured and the ability to import data set.
This project has the hidden advantage of the shipping staff using their existing, time proven procedures to maintain their high level of efficiency.
DCS knows your ERP system/business application so integration will be done correctly, promptly, and economically. DCS’ NEXT LEVEL™ Conversion Service offers the experience you need to integrate EDI with your new ERP system based on our years of experience.
Did you implement the inventory report when you implemented the 3PL shipping documents? What challenges did you encounter and how did you solve them? What tips do you have for others considering this project?
Contact Us
Got questions? Need EDI support or development? Facing a challenge or decision and want honest advice from experts? Looking for tailored training? You are in the right place. We take the time to understand what you need and give clear, helpful guidance to get you on the right track. Complete the form and we will be in touch soon to see how we can help. Let’s make EDI work for you!