EDI 940- Warehouse Shipping Order

Read the guide below to learn about the EDI 940.

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What is an EDI 940 Warehouse Shipping Order?

The EDI 940 instructs remote warehouses to ship orders. It is most often used by the seller, a wholesaler or manufacturer, to authorize a warehouse to send a shipment to a buyer, like a retailer.

In short, the EDI 940 more or less informs the warehouse on what to ship, when to ship, and how much to ship.


How is an EDI 940 Warehouse Shipping Order used?

In short, the EDI 940 instructs the warehouse on what to ship, how much, and when.

The EDI 940 may also be used to confirm a shipment, modify a shipment or cancel a previous shipping order.

Components of an EDI 940

Here are the essential components of an EDI 940.
The EDI 940 contains specific information including:

1. Delivery date

2. Manufacturer information

3. Item descriptions

4.  Item quantities

5. Ship-to information (location name and address, contact, etc.)

6. Bill-to information

7. Shipment method information

EDI 940 Warehouse Shipping Order transaction document example

EDI 940 Transaction in Cleo Integration Cloud

EDI 940 transaction document example in cleo integration cloud

Example EDI 940 transaction exchange

1. First, an EDI 850 Purchase Order is sent from your trading partner (Costco in this example) and received by your business


2. Second, your Cleo EDI Platform creates and sends an EDI 855 Purchase Order Acknowledgment to your trading partner to recognize that the EDI 850 Purchase Order was received.


3. Third, Cleo's cloud-based EDI platform generates an EDI 940 Warehouse Shipping Order to provide information for an impending shipment.


4. Fourth, your trading partner sends an EDI 945 Warehouse Shipping Advice.


5. Fifth, Cleo Integration Cloud generates an automated EDI 810 invoice and sends the invoice to your trading partner as a receipt for goods purchased.


6. Sixth, your trading partner sends an EDI 820 Order/Remittance to send the terms of the impending payment for goods purchased. The EDI 820 will confirm payment details and/or advise you (the seller) of any modifications to the payment amount.

EDI 940 Specification

This X12 Transaction Set contains the format and establishes the data contents of the Warehouse Shipping Order Transaction Set (940) for use within the context of an Electronic Data Interchange (EDI) environment. This transaction set can be used to enable the depositor or other business party to advise a warehouse to make a shipment, confirm a shipment, or modify or cancel a previously transmitted shipping order.


Accredited Standards Committee X12. ASC X12 Standard [Table Data]. Data Interchange Standards Association, Inc., Falls Church, VA. https://x12.org/index.php/products/transaction-sets

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