Advance Shipment Notices (ASNs) (Oracle Purchasing Help)


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Advance Shipment Notices (ASNs)

An Advance Shipment Notice (ASN) is transmitted via Electronic Data Interchange (EDI) from a supplier to let the receiving organization know that a shipment is coming. The ASN contains details including shipment date, time, and identification number; packing slip data; freight information; item detail including cumulative received quantities; purchase order number; and returnable container information.

Once an ASN is successfully validated, you can use it in the Receipts window to create receipts, reducing data entry time. (A validated ASN is one that contains no errors during data validation in the Receiving Open Interface.)

Suppliers can also send ASNs with billing information. These contain the same information as ASNs plus invoice and tax information. Once an ASN with billing information is validated in the receiving open interface and imported into Purchasing, an invoice for the shipment is created automatically.

A supplier creates an ASN based on the demand conveyed by the purchasing organization's Purchase Order, Planning Schedule, or Shipping Schedule. If Purchasing detects errors or discrepancies in the ASN at any time, from the time the ASN is sent to the time it is entered as received, an Application Advice, transmitted via EDI, is sent automatically to the supplier. The supplier can then send a corrected ASN.

Attention: ASNs come from external suppliers only. They cannot be used for internal sales orders sourced from your inventory and generated by internal requisitions.

You can view or cancel an accepted ASN as an intransit shipment in the Maintain Shipments window.

ASN Process

The ASN process, shown in the next figure, includes the following:

A shipment authorization is made to the supplier in the form of a Purchase Order, Planning Schedule, or Shipping Schedule.

The supplier sends the ASN to the receiving organization at the time of shipment.

The ASN is verified in the Receiving Open Interface. Intransit and purchasing supplies are updated for ASN lines that are successfully validated. For each accepted line on the ASN, intransit supply is increased and purchasing supply is reduced. If the data isn't accepted or if there is an error or discrepancy in the data, an Application Advice, containing the most likely cause of the error, is sent to the supplier. The supplier can then send a corrected (New) ASN.

The goods arrive. You can use the ASN in the Receipts window to create receipts.

Shipment-vs.-receipt quantities are compared during the receipt transaction process. (As an optional step, CUM quantities can be compared if Oracle Supplier Scheduling is installed.) If discrepancies are detected in shipment-vs.-receipt or CUM quantity comparisons, an Application Advice is sent to the supplier.

ASN Receiving Options

There are two receiving options related to ASNs:

ASN Control option in the Receiving Options window - With this option, you can choose whether or not you receive an error message--or are prevented by Purchasing--when you attempt to receive against a purchase order shipment for which an ASN already exists. See: Defining Receiving Options.

RCV: Fail All ASN Lines if One Line Fails - With this profile option, you can choose to reject an entire ASN if any ASN line fails validation or processing, or to accept an ASN if at least one ASN line is successful. See: Profile Options in Purchasing.

Application Advices

If an ASN is not accepted or is only partially accepted, errors and discrepancies are electronically conveyed to the supplier in an Application Advice. The Application Advice transmits to the supplier the status (acceptance with errors or rejection) of the ASN, and the severity and description of the errors.

An Application Advice can be sent at several points during the receiving process:

When the ASN is first sent and contains header or line errors.

When the quantity received does not match the quantity shipped indicated by the ASN.

When the receiving organization's newly updated cumulative received quantities do not match the supplier's cumulative shipped quantities.

Note: CUM quantity comparisons can be performed only if Oracle Supplier Scheduling is installed.

The supplier can respond to an Application Advice by sending a Cancellation ASN followed by a corrected (New) ASN. The receiving organization can also cancel an ASN manually in the Maintain Shipments window.

The following table indicates the appropriate supplier response to particular Application Advices.

Supplier Response to Application Advices

ASN Header ASN Lines Transaction Status Supplier Action

Fatal Error Not Validated Transaction Rejected Send New ASN before goods arrive.

Warning or Valid All lines Warning or Valid (no fatal errors) Transaction Accepted Do not send a New ASN, but correct indicated problems on future ASNs.

Warning or Valid Some Warning Some Valid Some Fatal Error Transaction Accepted with Some Lines Rejected Send Cancellation ASN, then send a New (corrected) ASN.

Warning or Valid All lines had a Fatal Error Transaction Rejected Send a New (corrected) ASN before goods arrive.

Table 1 - 31. (Page 1 of 1)

Supplier Response to Application Advices
ASN Header	ASN Lines	Transaction Status	Supplier Action
Fatal Error	Not Validated	Transaction Rejected	Send New ASN before goods arrive.
Warning or Valid	All lines Warning or Valid (no fatal errors)	Transaction Accepted	Do not send a New ASN, but correct indicated problems on future ASNs.
Warning or Valid	Some Warning Some Valid Some Fatal Error	Transaction Accepted with Some Lines Rejected	Send Cancellation ASN, then send a New (corrected) ASN.
Warning or Valid	All lines had a Fatal Error	Transaction Rejected	Send a New (corrected) ASN before goods arrive.
Table 1 - 31. (Page 1 of 1)

Types of ASNs

There are three types of ASNs:

A New ASN is the initial ASN.

An ASN can also contain substitute item information. To accurately handle substitutions, the supplier must indicate both the buyer's original item number and the buyer's substitute item number on the ASN. With both identifiers available, substitutes can be validated as allowed, and a valid substitute item is referenced against valid purchasing document information.

A Cancellation ASN, once validated, cancels the original (New) ASN if the original (New) ASN has not yet had a receipt created against it. The shipment number on the Cancellation ASN is matched to the shipment number on the validated, original (New) ASN.

A Test ASN is sent by the supplier usually to make sure the ASN transmission works between you and your supplier. A Test ASN is verified as if it were a New ASN and generates an outbound Application Advice if necessary. A Test ASN is not available for creating a receipt against it and is not visible as inbound supply.

Note: A validated ASN, as described above, is one that contains no errors during data validation in the Receiving Open Interface.

ASNs and CUM Management

You can perform CUM management under the following conditions:

Oracle Supplier Scheduling is installed and CUM Accounting is enabled for the ship-to organization.

The ASN item or items are defined in the Approved Supplier List.

The items are sourced from the supplier using a Supply Agreement Blanket Purchase Order.

The CUM is the total quantity received from a supplier site, for a particular item, within a CUM period. When an ASN is used during receiving and Supplier Scheduling is installed, the updated CUM is compared to the supplier's CUM. Any discrepancy transmits an Application Advice to the supplier. For more information about CUM management, see: CUM Management.

ASNs and Supply

For each accepted line on the accepted ASN, intransit supply quantity is automatically increased and purchasing supply quantity is automatically reduced by the shipment quantity specified in the ASN.

When an accepted ASN is cancelled or a corrected ASN is sent, corresponding changes are also made to purchasing and intransit supply. (A supplier can send a Cancellation ASN or you can cancel the ASN in the Maintain Shipments window.)

The table below shows, for each action you perform with an ASN, the movement of the quantity on the ASN between the various categories of supply.

ASNs and Supply

Accept ASN Purchasing Supply Intransit Supply Inventory

Accept the New ASN Reduced for accepted lines only Increased for accepted lines only

Accept the Cancellation ASN Increased for all accepted lines on New ASN Reduced for all accepted lines on New ASN

Receive Items Purchasing Supply Intransit Supply Inventory

Receive item when the item is indicated on an ASN line Reduced Increased

Receive item when the item is not indicated on an ASN line Reduced Increased

Change Receipt Quantities Purchasing Supply Intransit Supply Inventory

Increase receipt quantity before the ASN is closed Reduced Increased

Increase receipt quantity after the ASN is closed Reduced Increased

Decrease receipt quantity before the ASN is closed Increased Reduced

Decrease receipt quantity after the ASN is closed Increased Reduced

Return Items Purchasing Supply Intransit Supply Inventory

Return item(s) to the supplier before the ASN is closed Increased Reduced

Return item(s) to the supplier after the ASN is closed Increased Reduced

Close Corresponding Purchase Order Purchasing Supply Intransit Supply Inventory

Close the Purchase Order while an ASN for that purchase order is open Reduced Reduced

Table 1 - 32. (Page 3 of 3)

ASNs and Supply
Accept ASN	Purchasing Supply	Intransit Supply	Inventory
Accept the New ASN	Reduced for accepted lines only	Increased for accepted lines only
Accept the Cancellation ASN	Increased for all accepted lines on New ASN	Reduced for all accepted lines on New ASN
Receive Items	Purchasing Supply	Intransit Supply	Inventory
Receive item when the item is indicated on an ASN line		Reduced	Increased
Receive item when the item is not indicated on an ASN line	Reduced		Increased
Change Receipt Quantities	Purchasing Supply	Intransit Supply	Inventory
Increase receipt quantity before the ASN is closed		Reduced	Increased
Increase receipt quantity after the ASN is closed	Reduced		Increased
Decrease receipt quantity before the ASN is closed		Increased	Reduced
Decrease receipt quantity after the ASN is closed	Increased		Reduced
Return Items	Purchasing Supply	Intransit Supply	Inventory
Return item(s) to the supplier before the ASN is closed		Increased	Reduced
Return item(s) to the supplier after the ASN is closed	Increased		Reduced
Close Corresponding Purchase Order	Purchasing Supply	Intransit Supply	Inventory
Close the Purchase Order while an ASN for that purchase order is open	Reduced	Reduced
Table 1 - 32. (Page 3 of 3)