An Advanced Shipping Notice, often referred to as an ASN, is a digital notification that informs a buyer about the contents of an upcoming shipment before it arrives. Think of it as a smarter, more detailed version of a packing slip.
While a packing slip is checked after delivery, an ASN is delivered ahead of time, providing teams with the necessary information to plan receiving, schedule labor, and update inventory systems.
Research shows that global supply chains now operate with limited visibility across partners. Many logistics providers still receive only a fraction of the documents needed to plan transportation accurately. A recent study found that the ASN is becoming a key source of shipment data for improving carrier selection, route planning, and pickup timing (ResearchGate).
What Is EDI 856?
The simplest EDI 856 definition is that it is an electronic advance shipping notice. The 856 EDI document type outlines items, quantities, packaging, dates, and carrier details. It functions like a structured packing list sent ahead of the truck.
Retailers rely on the EDI 856 ASN to plan labor, dock space, and inventory updates. Many require the 856 EDI to avoid delays and reduce errors. In most supply chains, the EDI ASN 856 fits between the purchase order and the invoice. For a more detailed breakdown, most teams refer to an Advanced Shipping Notice (ASN) and EDI 856 guide.
Key Components of an ASN
When the ASN is sent as an EDI 856, each piece of information follows a consistent structure, so both sides stay aligned.
This breakdown shows the core fields buyers expect to see.
Shipment Number and Order Number
Every ASN starts with two simple identifiers. The shipment number ties the notice to a specific load leaving your facility. The order number links it back to the customer’s purchase order.
Ship From and Ship To Details
This section lists the shipping location's address and the destination. It includes company names, facility codes, and sometimes contact details. Accurate information prevents routing errors and delivery delays.
Item Details
This area covers SKUs, quantities, units of measure, and descriptions. It is one of the most detailed parts of any EDI 856 document and helps receivers verify products quickly.
Packaging Information
The ASN also explains how everything is packed. Mistakes here result in numerous inbound receiving errors and chargebacks.
Carrier and Tracking Details
Buyers look for the carrier name, SCAC code, tracking number, PRO number, or BOL. These fields make the 856 EDI easy to follow in transit.
Tracking Numbers, PRO Numbers, and BOL
Tracking numbers and PRO numbers make it easy to follow a shipment in transit. Freight shipments also link to a Bill of Lading. Receivers often compare the 856 EDI document type details with the BOL to confirm accuracy.
UCC128 and GS1-128 Labels
These labels are printed on each carton or pallet. They include scannable barcodes that match the numbers sent in the EDI ASN 856.
How EDI 856 Works (End-to-End Workflow)
The EDI 856 process starts right after an order is packed and ready to leave the warehouse. At this point, the seller creates the ASN. Most teams rely on their WMS or ERP to generate it automatically, which helps keep the details accurate.
If you’ve ever wondered what is an EDI 856 or what is an 856 EDI document, this workflow explains it in simple terms.
1. Who Creates the ASN
The seller or supplier creates the EDI 856 ASN. Their system gathers details about the shipment, such as item quantities, carton IDs, pallet numbers, and package tracking information. This prevents the need for manual data entry.
2. Pulling Data From Order and Warehouse Systems
Modern platforms pull data straight from the order file and warehouse records. This includes PO numbers, ship dates, item SKUs, and packaging details. Everything is matched so the 856 EDI document type reflects what was actually packed.
3. How the EDI 856 Is Sent
Once the file is ready, it gets transmitted using the ANSI X12 standard. For companies following international formats, the EDIFACT DESADV is the equivalent. Many suppliers learn this process through resources like an Advanced Shipping Notice and an EDI 856 guide.
4. Buyer Acknowledgment
After receiving the file, the buyer sends an EDI 997 to confirm it was delivered successfully.
5. What Happens Next
The buyer loads the ASN into their receiving system. When the truck arrives, their team compares the physical shipment to the data in the EDI 856. This helps them identify issues early and expedite the inventory receiving process.
Why is EDI 856 used?
Faster receiving processes
An EDI 856 ASN gives warehouses a clear picture of what is on the way. Teams can prep dock space, plan pallet flow, and move shipments through receiving much faster. This reduces delays and keeps trucks from sitting in line.
Improved Accuracy and Fewer Discrepancies
With details arriving ahead of the truck, buyers can match the shipment against the EDI ASN 856 before unloading. This cuts down on mistakes, chargebacks, and confusion. It also helps ensure the shipment aligns with what the retailer ordered.
Better Inventory Visibility and Labor Planning
The EDI 856 document provides inventory visibility. It updates buyers on what is in transit. Planners can schedule staff, manage putaway tasks, and prepare for stock changes. Knowing what is coming helps prevent overstocking and improves service levels.
Reduction in Manual Data Entry
Instead of typing information into multiple systems, the 856 EDI document type pulls data directly from the order and shipping records. This reduces human error and speeds up internal workflows.
Meeting Retailer Compliance Requirements
Most major retailers require a standardized ASN workflow. Using the EDI 856 helps suppliers stay compliant and follow the same structured process for every shipment.
EDI 856 Format and Structure
ANSI X12 Overview
The EDI 856 format follows the ANSI X12 standard, which sets the rules for how shipment data is organized and shared. Most retailers rely on this structure because it keeps information consistent from one trading partner to another.
How the Data Flows
Once a shipment is packed, the seller sends the file to the buyer. Their system reads the EDI 856 segments and helps with inbound inventory management. This creates a clear path from “order shipped” to “order received,” with fewer manual checks.
Understanding HL Segments
The EDI 856 ASN structure is built around HL levels. They show how the shipment is organized:
- Shipment
- Order
- Item
- Pack
This layout mirrors how real shipments move through a warehouse. In an ASN EDI 856 format, each level fills in details such as PO numbers, quantities, cartons, and tracking IDs. For full rules and field definitions, teams often review the EDI 856 specification before onboarding new partners.
EDI 856 Example
Below is a simple, easy-to-read walkthrough of what an EDI 856 example looks like in practice. Seeing both the human-friendly version and the raw X12 data helps you understand how the EDI 856 format works behind the scenes.
Human-Readable EDI 856 Example
Consider this the translated version. Most EDI tools convert raw code into something like the sample below, allowing teams to review it without having to dig through symbols or long strings.
Sample (Translated):
- Shipment Number: SHP99821
- Purchase Order: PO-443912
- Ship Date: 2025-01-17
- Expected Delivery: 2025-01-20
- Ship From: West Coast DC, Anaheim, CA
- Ship To: Retailer DC 14, Chicago, IL
- Carrier: FedEx Freight
- Tracking / PRO Number: 382912440
- Packaging Details:
- Pallet 1
- Carton 001: 12 units of SKU A-151
- Carton 002: 15 units of SKU A-152
- Pallet 2
- Carton 003: 20 units of SKU A-151
- Pallet 1
- GS1-128 Labels: Applied on all cartons
- Notes: Contains temperature-sensitive items
This is the type of summary a warehouse team uses to prep dock space or verify incoming goods. It also matches the basic ASN EDI 856 format used by most major retailers.
Raw X12 EDI 856 Example
Below is a simplified version of the X12 code. This is the structure machines actually read. The lines are called EDI 856 segments, and each one holds a different type of shipping data.
BSN0099821202501171500
HL1**S
TD1CTN3
TD5OFEDX
REFPO443912
DTM01120250117
N1SFWest Coast DC92WC001
N1STRetailer DC 1492DC014
HL21O
SN112EA12EASKU*A-151
SN115EA15EASKUA-152
HL31P
MANGM00382912440
SE240001
This is a trimmed-down sample. Real EDI files can span hundreds of lines if a shipment contains many cartons or mixed SKUs.
How to Interpret an EDI 856
Here’s a quick guide to reading the structure:
- BSN is the “header.” It tells you the shipment ID and date.
- HL creates the hierarchy: shipment, order, pack, and item.
- TD1 / TD5 show packaging and carrier details.
- REF displays reference IDs like PO numbers.
- DTM lists key dates.
- N1 holds name and address details for ship-from and ship-to.
- SN1 reveals item quantities.
- MAN carries carton or pallet tracking numbers.
A good way to think of it is: the file describes the shipment from the top level down to every item inside each carton.
If you’re new to this, comparing the translated version to the raw one side by side helps build intuition. Most teams learn to spot common patterns after reviewing a few shipments.
ASN Requirements Across Different Fulfillment Models
Dropshipping
In dropshipping, the ASN goes out as soon as the warehouse inventory management hands the order to the carrier. Retailers depend on the EDI 856 to confirm what was packed and when it will reach the customer. This cuts delays and avoids “where is my order” issues common in fast-moving online sales.
Direct to Store
For direct-to-store shipments, stores need the ASN early. It helps them plan shelf space and staff before the truck arrives. Many retailers flag late ASNs with chargebacks, so timing is tight. The advance shipping notice becomes a checklist for receiving teams.
Cross Docking
Cross-docking moves goods from one truck to another with little storage time. Here, the ASN acts like a playbook. It tells the dock crew exactly which cartons go on which outbound load. A complete ASN reduces sorting mistakes and keeps trucks moving on schedule.
Distribution Centers
Large distribution centers rely on EDI 856 data to prep inbound docks. They use ASN details to match pallets, verify counts, and automate the putaway process. It also supports inventory accuracy across multiple locations.
Omnichannel Workflows
Brands selling DTC and B2B trigger an ASN at different points. DTC shipments send it after packing. B2B sends it before the truck leaves. Both rely on the ASN to sync systems and keep inventory aligned across channels.
Common Issues With EDI 856 and How to Prevent Them
Late ASNs and Chargebacks
Retailers expect the ASN before a shipment reaches their dock. When it arrives late, the receiving team has to slow down and guess what is coming. Many retailers issue chargebacks for this. Set automated triggers in your EDI system so the 856 goes out as soon as a shipment is confirmed.
Incorrect Carton IDs
A single wrong carton ID can stall the entire check-in process. Use barcode verification at packing so every carton ID matches what appears in the EDI 856 document.
Packaging Hierarchy Errors
Buyers need to know how items sit inside cartons and how cartons sit on pallets. Mistakes in this hierarchy cause delays on the floor. Make sure your WMS exports an accurate pack structure before transmitting the ASN.
Incomplete Item-Level Details
Missing quantities or item codes affect inventory accuracy. Pull data directly from your order and pick lists to reduce manual entry and prevent gaps.
GS1 Label Mismatches
If GS1-128 labels do not match the data in the ASN, receiving teams often switch to manual sorting. This increases labor and costs. Print labels only after the shipment data is finalized.
Missing or Incorrect EDI 856 Segments
Segments like HL, BSN, and DTM must follow the proper sequence. Run a validation check before sending to ensure every required segment is present and readable.
How PackageX Simplifies EDI 856 and ASN Management?
Here’s how PackageX helps teams handle ASNs and EDI 856 documents faster and more accurately:
Intelligent ASN Capture & Automation
PackageX uses OCR and AI-powered scanning to extract data from shipping labels, packing slips, and EDI 856 documents. Key details, such as PO numbers, SKUs, carton IDs, pallet numbers, and tracking information, are digitized instantly. Our
AI-powered OCR technology ensures even handwritten or non-standard labels are captured accurately, eliminating manual entry and reducing errors across every shipment.
Real-Time Visibility & Discrepancy Detection
With PackageX, inbound ASNs and 856 EDI files are visible as soon as they’re received. If the shipment shows 100 units but only 90 arrive, the system immediately highlights the mismatch. Accurate scanning and real-time alerts prevent delays, reduce chargebacks, and ensure reliable inventory data.
Seamless Integration With ERP and WMS
PackageX syncs effortlessly with your existing ERP or WMS. Once the ASN or 856 EDI is processed, all data flows directly into backend systems, eliminating duplicate entries. This integration ensures that receiving teams, inventory systems, and purchase order workflows stay aligned, making reconciliation and fulfillment smoother than ever.
FAQs
What is the difference between ASN & 856 EDI?
An ASN, or Advanced Shipping Notice, is the document sent to notify a recipient about an upcoming shipment. The EDI 856 is the standardized electronic format used to transmit the ASN. Essentially, ASN is the shipment information, while 856 EDI is the method by which that information is electronically shared.
Can I view the EDI 856 specification online?
Yes, the EDI 856 specification is available online through various EDI standards organizations and resources. Many EDI software providers and logistics websites also provide guidelines and examples of the 856 document type for reference.
How to interpret EDI 856 segments in simple terms?
Each segment in an EDI 856 represents a piece of shipment information, such as order details, item quantities, or carrier data. By reading segments in order, you can understand what’s being shipped, when, and how it will arrive, making the document easy to follow even without technical expertise.
.webp)
