Electronic Commerce
The most widely accepted form of electronic commerce is Electronic Data Interchange (EDI), which is the computer-to-computer exchange of documents between companies, following an industry standard format. EDI transmission also generally follows a consistent process:
- The sender uses their computer system to create and assemble the data needed for the transaction.
- The file is then input to software that generates the transaction into the standard EDI format.
- Upon receipt by the intended receiver, the file is entered into a software module and translated from an EDI format into a file format that can be entered into the receiver’s application systems.
- All transmissions travel in a single direction, from buyer to supplier, then from supplier back to buyer.
Benefits of Implementing EDI (As identified by GS1)
The benefits available for using EDI are being realized by a large number of companies, many of which transmit a substantial percentage of their transaction volume via EDI. The use of EDI provides the opportunity for major productivity improvements in the areas of administration/clerical, inventory, warehouse efficiency, sales and buyer productivity, and data accuracy. Some benefits include:
- Reduced Lead Time
- Inventory Cost Reduction
- Fewer Out-of Stock Conditions
- Warehouse Efficiencies Transaction Handling/Processing Accuracy
- More Efficient Deployment of Personnel
- Better Buying Decisions
- Improved Selling Times
- Manual Document Preparation
- Document Filing and Retrieval
- Key Entry for Computer Input
Kraft’s current e-Commerce transactions and programs include:
| Basic Electronic Transactions |
Advanced Electronic Transactions |
| Electronic Purchase Orders (875/850) |
PO Confirmation (EDI 855) |
| Invoices (880/810) |
Advanced Ship Notice (ASN – EDI 856) |
| Payment (820) |
Text Message (EDI 864) |
Kraft ezOrder & Harbor Payments
- Web-based applications |
Data Synchronization utilizing the GDSN |
| Deal and Deal Depiction Flexibility |
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Future e-Commerce transactions and programs include:
Kraft is currently working on additional transactions and improvements to existing documents to support your future needs. Included are:
- GTIN usage on PO’s, Invoices, and EFT
- Shipment Status (EDI 214)
- Trade Settlement Program (812 Credit / Debit Adjustment from Trading Partners and Reverse EFT 820)
- Organizational Relationship (EDI 816)
- NEX Store Invoicing (EDI 894)
- Planning Schedule with Release Capability (EDI 830)
- Product Activity Data (EDI 852).
For more information or a list of current and future Kraft capabilities, please contact your Kraft e-Commerce manager (ECM). If you are unsure who your ECM is, call Bill Whalen at (847) 646-6414.
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