Information on NEXCOM EDI Program

Electronic Data Interchange (EDI) is the automated, application-to-application exchange of business data such as purchase orders, invoices and point of sales information. EDI automates the slow, labor-intensive processes of exchanging transactional documents in hard-copy form. The results are improved cycle times, greater in-stock positions, reduced error rates, and significant cost savings for companies using EDI. NEXCOM is committed to strengthening Vendor partnerships through electronic technology. Sales and stock turns will increase and better service will be provided to our customers by electronically exchanging key business documents and information. All NEXCOM EDI business documents are within the accepted VICS (Voluntary Inter-Industry Communication Standards) guidelines. All transmissions are traded at the UPC (Universal Product Code) level, therefore, you must be 100% UPC marked. Following industry standards for EDI and UPC technology is the backbone to a successful EDI program. Please contact the Uniform Code Council (UCC) at 937-435-3870 if you require help implementing UPC's.

NEXCOM's EDI Implementation focus
Current EDI documents available for electronic transmission at NEXCOM are:

• 810 Electronic Invoicing
• 820 Electronic Fund Transfer
• 832 Price/Sales Catalog (inbound only)
• 850 Purchase Order
• 852 Product Activity Data
• 997 Inbound/Outbound Functional Acknowledgment.

Our implementation focus will be to establish these EDI transactions to support the following replenishment scenarios defined below:

Warehouse Replenishment (850): NEXCOM merchandising replenishment module monitors product activity and creates a purchase order to automatically replenish warehoused/basic stock merchandise. An 850 EDI purchase order transaction electronically sends the order to the Vendor (via third party VAN) for shipment to a regional NEX warehouse or direct to a Navy Exchange (store).

Vendor Managed Replenishment (852): Non-warehoused items with a recurring demand are replenished to the stores through Vendor managed replenishment. The Buyer and the Vendor determine each store's replenishable assortment and model stock levels. Sales information for all Vendor styles in all stores are sent via 852 EDI transactions. Some arrangements may require that Vendors maintain model stocks and perpetual inventory levels for each UPC by store; Intransit quantities, sales trends, and outstanding orders are monitored to adequately determine store requirements. Merchandise is shipped directly to each store against a pre-established Open Purchase Order.

SUMMARY
Regardless of the method of merchandise replenishment selected by the Buyer, it is imperative that the Vendor:

1. Utilize a UPC number to identify each item to the lowest level of detail. i.e. Size/Color.
2. Set and monitor EDI and merchandise performance objectives with the Buyer and EDI Business Team.
3. Ship Basic Stock Orders complete in 3-5 business days. Late orders, substitutions, incomplete orders are not acceptable; all replenishment orders are "ship and cancel," unless otherwise specified.
4. Ship Special or Promotional Orders complete within the requested shipping dates.

The VICS EDI mapping guides for version 4010 is found on our web page. To obtain additional information please contact NEXCOM EDI Business Team at 757 631-3479 / 3673 / 3524 / 4520 and 757 631-3407 (fax) or e-mail us at

Please contact the appropriate NEXCOM buyer to explore new ways of doing business that will benefit both of our organizations.

Our mailing address:
EDI Business Team
NEXCOM
3280 Virginia Beach Blvd.
Virginia Beach, VA 23452

INFORMATION NOTICE
Section 31001(x) of the Debt Collection Improvement Act of 1996 requires The Navy Exchange Service Command (NEXCOM) to pay our suppliers by Electronic Funds Transfer (EFT) as of January 2, 1999. The Department of Treasury has issued regulations governing EFT which can be located at 31 Code of Federal Regulations Part 208. Payments by EFT will be a significant step in NEXCOM's initiative to improve efficiency in its business transactions with our suppliers.

NEXCOM is in the process of replacing our Legacy system with a new system which will allow us to pay you via EFT. This is being done in conjunction with our new merchandising system being rolled out by region. Since this is a major undertaking, not all vendors will be paid initially by EFT.

NEXCOM's centralized disbursement system will send payment and detail information electronically to your company's financial institution, similar to what you receive today with a check. You should coordinate with your bank to determine that the addendum information they provide meets your needs and confirm that your bank can forward this information to you. The addendum information will be sent to your bank in the National Automated Clearing House Association (NACHA) format. The payment will be transmitted to your financial institution via the Automated Clearing House (ACH) network using the CTX format. This form allows electronic transmission of one payment to cover multiple invoices and associated remittance information.

Please contact your bank in order to properly complete the our EFT authorization form which is available on this web site. Please allow at least 30 days for us to process your form.

You can get the 820 mapping by visiting the Web site.