Overview
The RECADV (Receiving Advice) message is sent by the party receiving goods — typically a buyer's warehouse or distribution centre — to the supplier (or despatching party) to confirm what was actually received. It reports the quantities accepted, any quantities rejected or held for inspection, and the reasons for any discrepancies between what was despatched and what was received.
The RECADV plays a critical role in the procure-to-pay process. Together with the purchase order (ORDERS) and the invoice (INVOIC), it forms the three-way matching triangle that enables automated invoice verification. When the received quantities in the RECADV match both the ordered quantities and the invoiced quantities, the invoice can be approved for payment without manual intervention — a process known as straight-through processing or evaluated receipts settlement.
For suppliers, receiving a RECADV provides immediate visibility into delivery performance. Discrepancies flagged in the RECADV — such as short shipments, damaged goods, or incorrect items — can be investigated promptly, improving customer service and reducing the time needed to resolve disputes. This transparency is particularly valuable in vendor-managed inventory (VMI) programs where the supplier is responsible for maintaining stock levels at the buyer's location.
Message Structure
The RECADV header contains the receiving advice number, receipt date, and references to the original order and despatch advice. The detail section lists each received item with accepted and rejected quantities, along with discrepancy codes explaining any variances. The message may also reference the SSCC codes from the DESADV to identify specific packages.
Key Segments
| Segment | Name | Purpose |
|---|---|---|
BGM | Beginning of Message | Receiving advice number and document function |
DTM | Date/Time/Period | Receipt date, delivery date, acceptance date |
RFF | Reference | Order number, despatch advice number, delivery note number |
NAD | Name and Address | Receiving party, supplier, ship-from location |
LIN | Line Item | Product identification (GTIN) for each received item |
QTY | Quantity | Received quantity, accepted quantity, rejected quantity, quantity in dispute |
QVR | Quantity Variances | Variance between despatched and received quantity with reason code |
PCI | Package Identification | SSCC codes of received packages, linking back to the DESADV |
CDI | Physical/Chemical Characteristics | Quality inspection results for received goods |
Discrepancy Handling
When the received quantity does not match the despatched quantity, the RECADV uses quantity variance (QVR) segments with reason codes to explain the discrepancy. Common reasons include:
- Short shipment: Fewer items received than stated on the despatch advice — possibly due to picking errors or items lost in transit.
- Over-delivery: More items received than ordered or despatched — requiring decision on acceptance or return.
- Damaged goods: Items received in damaged condition that cannot be accepted into saleable inventory.
- Wrong item: A different product was delivered than what was ordered, identified by GTIN mismatch.
- Quality rejection: Items fail incoming quality inspection (temperature non-compliance for chilled goods, expired shelf life, etc.).
- Held for inspection: Goods are quarantined pending further quality checks, with the final acceptance status communicated in a subsequent RECADV.
Common Use Cases
- Retail goods receipt: Distribution centres send RECADV to suppliers after each delivery is checked in, enabling automated three-way matching for invoice payment.
- Evaluated receipts settlement (ERS): In self-billing arrangements, the buyer uses RECADV data to generate the invoice on behalf of the supplier — the RECADV effectively replaces the invoice trigger.
- Vendor scorecarding: RECADV data feeds supplier performance metrics (fill rates, on-time delivery, damage rates), driving continuous improvement programs.
- Returns processing: When goods are rejected at receipt, the RECADV initiates the returns process and provides documentation for credit note requests.
Example Snippet
UNH+1+RECADV:D:96A:UN:EAN008'
BGM+532+REC-2024-01234+9'
DTM+50:20240320:102'
RFF+ON:PO-2024-00456'
RFF+AAK:DESP-2024-00789'
NAD+MR+5412345000099::9'
NAD+SU+4012345000010::9'
LIN+1++4012345000027:SRV'
QTY+48:490:PCE'
QTY+194:490:PCE'
QTY+195:10:PCE'
QVR+-10:48:AE'
UNT+12+1'Implementation Considerations
The RECADV should reference both the original purchase order (ORDERS) and the despatch advice (DESADV) to enable complete traceability. Use the RFF segment with qualifier ON for order references and AAK for despatch advice references. When a single delivery covers multiple orders, the RECADV must correctly attribute received quantities to each order.
Timeliness is important — the RECADV should be transmitted promptly after goods receipt to enable fast invoice processing and give suppliers early visibility into any discrepancies. Many trading partner agreements specify a maximum time window (e.g., 24-48 hours) for sending the RECADV after physical receipt.
For SSCC-based receiving, integrate the RECADV generation with your warehouse management system's barcode scanning process. When a pallet SSCC is scanned during receiving, the WMS should automatically match it against the expected DESADV and populate the RECADV with the corresponding item and quantity data.