Enterprise Ordering Consolidation
JCPenney has released new EDI updates and is consolidating the ordering processes for all of their stores and eCommerce channels. The changes are part of a larger initiative designed to provide a suite of tools and processes that support an Omni Channel business. The planned enhancements will drive and require changes in the systems and processes that JCPenney and its suppliers use to partner in support of the business. These changes do not impact Factory Ship Customer Orders. Here are the specific call outs of this EDI update:
Future Ordering Process
- Align shipping window between channels.
- Align Order/PO changes between channels.
- Auto cancellation of PO’s after cancel date.
- Align EDI transactions across both channels.
- Most EDI 850’s (Purchase Orders) will contain a Blanket Order (Purchase Order type BK) and Delivery PO’s (Purchase Order type RL or SA).
- All Blanket Orders (Purchase Order type BK) will require an EDI 855 (PO Acknowledgment).
- EDI 870 (Order Status Report) is mandatory for both channels. Order/Item Status should be communicated in the EDI 870 document.
- EDI 869 (Order Status Inquiry) will no longer be sent on eCommerce purchase orders.
- The TD5 segment on the EDI 856, at the Order or Item hierarchical levels, is no longer required.
- The EDI 850 Purchase Order type KB (Blanket Agreements) for Store Cost Commitments.
While the transition to an enterprise ordering system will drive change for both JCPenney and you, our partners, benefits exist for all – JCP, suppliers and our customers. The following are examples of benefits that our suppliers should experience:
- Use of SDQ order format for POs to gain efficiencies with Purchase Order & Accounts Payable follow-up (reducing the number of POs and invoices).
Note: Use of SDQ format for POs will require PO/Mark For combinations in both EDI 753 and 856 transactions.
- Reduce number of trips to Suppliers’ docks by aligning shipping window between channels.
- Provide an increased ability to align supplier compliance metrics across business channels.
- Complete alignment of EDI practices across channels.