ANSI ASC X12
Finance Subcommittee
New Member Handbook
Rev. 4/1/99
ANSI ASC X12 New Member Handbook
Finance Subcommittee Table of Contents
I. Subcommittee Organization & Mission
II. Subcommittee History
III. Subcommittee Mentor Program
IV. Subcommittee Membership & Officers
V. Subcommittee Task Groups & Work Groups
VI. Subcommittee Transaction Sets
VII. Subcommittee Voting Privileges
VIII. Subcommittee Constitution
IX. X12 Trimester Meetings
X. X12 Documents & Terms
XI. X12 Transaction Set Approval Process
XII. X12 Data Maintenance Approval Process
XIII. Data Maintenance Package
XIV. Information Sources
ANSI ASC X12 New Member Handbook
Finance Subcommittee Page 51
I. Subcommittee Organization & Mission
The Finance Subcommittee, referred to as X12F, is a subcommittee of the ANSI Accredited Standards Committee (ASC) X12. The Finance Subcommittee is made up of the main subcommittee, Task Groups with specific responsibilities and Work Groups with specific project activities.
ANSI ASC X12
X12F - Finance Subcommittee
Task Groups
Work Groups
The Finance Subcommittee maintains existing and develops new transaction sets which deliver information about or provide instructions for the movement of funds. The work of the Finance Subcommittee is used throughout the world of EDI. Very few things happen that do not ultimately result in the movement of funds. Some are clear banking or corporate treasury functions, some are related to the work of other subcommittees.
The official mission of the Finance Subcommittee is:
“Define, develop and support new transaction sets and review proposed changes to existing transaction sets that relate to the request, initiation, processing, control, reporting and security of financial transactions.”
Other sections of this handbook will describe Task Groups, Work Groups, Transaction Sets, and what happens during a trimester meeting. It is important to stress:
· The work of the Finance Subcommittee, occurs because of the collective voluntary commitment of all who attend.
· New members represent an important source of new ideas, new perspectives and new approaches. We value your help and believe that the world of EDI will benefit from it.
· The Task Groups and/or Work Groups are where the real work of Finance is accomplished. Everyone is welcome to participate. In fact, you are asked to participate, regardless of your tenure with Finance. YOU are an important participant to us. Let us know if there is anything we can do to encourage that participation.
II. Subcommittee History
ANSI ASC X12 was formed in 1979. The Finance Subcommittee began as a formal Subcommittee in 1989. Prior to that it was the Finance Project Team (FTP). The FTP was then part of ANSI ASC X9. Their new member handbook began with a welcome letter:
The members of the Finance Project Team (FTP) extend a warm welcome to those individuals who are attending their first meeting...
The scope of the FTP is to “develop new transaction sets and review proposed changes to existing transaction sets that relate remittance or banking functions, beginning with the invoice...
The FTP is unique in the ANSI structure in that it is co-chaired by representatives from X9 as well as X12. It also has a very close liaison relationship with several other non-ANSI sponsored associations...
All new members are expected to join one or more of the [task] groups and contribute to the work of the group or groups to the extent of their capabilities. You may join one, two or all six of the groups. In making this selection, you should be governed solely by your own work interests and your capabilities to contribute...
Individual participation at all meetings is strongly encouraged. Although meeting time is a precious commodity, and cannot be spent in conducting training sessions for each individual who joins our group, you are urged to voice your questions and participate in discussions. Only you know what portion of our work that you understand - and what you don't. Only you can ask the questions that will lead you to a greater understanding of a specific problem that is being addressed by the group...
Finally, as with all endeavors, you will gain in knowledge to the extent that you attend meetings, participate in the design of a new transaction set, during the first meeting or two, there is always some way you can contribute to the common good. The entire ANSI effort is based on volunteerism - and you are encouraged and expected to do your share...
Finance Project Team May 17, 1988
From a base of very few transaction sets and a very specific focus on transactions which directly involved the banking community, the subcommittee now manages over 40 transaction sets and several of their UN/EDIFACT counterparts. This growth reflects the work of all who have been and are involved with the Finance Subcommittee and the needs of their organizations.
In the years that followed 1989, the focus of various Task Groups and Work Groups has shifted. Some Task Groups have continued throughout the life of the subcommittee, some have changed their focus, some have completed their work and closed their activities, and some have even gone off to form new subcommittees to focus on a broader scope.
The fundamental principals expressed in the 1988 letter, however, still hold true. It has always been, and always will be, the spirit of X12F to encourage participation from it members. It has always been of utmost importance that the important work of the group is accomplished through your volunteerism!
The history of the Finance Subcommittee is one of change, the change that aligns our resources against the issues our organizations wish to address. The Finance Subcommittee will create new Task Groups, Work Groups or Ad Hoc Groups as the need arises to address new issues.
III. Subcommittee Mentor Program
For several years, the Finance Subcommittee has maintained a mentor program, designed to assist new members. The goals of the mentor program are simple:
· To provide all new members with assistance in determining where to go in X12 Finance Subcommittee meetings, and
· To provide all new members with an understanding of the “experience” of a first meeting from those who have been through it recently enough to remember it.
At the start of each X12 Trimester meeting a New Member Orientation session for Finance Subcommittee attendees is held. This is an informal session designed to answer questions about the Finance Subcommittee and help new members meet colleagues with similar interests.
There are also several other “new member” activities that we would encourage you to explore. These new member activities are delineated in the X12 Meeting Guide in the Final Agenda Section under “X12 – Member Support Services: Orientation and Training”. Some of these are summarized below:
· New member orientations in other Subcommittees (see their listings in the X12 Trimester Meeting Schedule)
· How To Get Around An X12 Meeting (typically on Monday 8:00 - 8:30)
· Introduction To The X12 Standards Development Process (typically on Monday 9:30 - 10:15)
Other relevant sessions are mentioned in the segment of this handbook that describes the types of meetings that happen during an X12 session.
IV. Subcommittee Membership & Officers
The organizations which have been represented within the Finance Subcommittee include: corporations, industry associations, banks, consultants, suppliers of software and Value Added Networks. The people who attend X12 Finance Subcommittee meetings represent a variety of functions from accounts payable, to application development, to treasury, to bank product managers and industry association standards managers. The diversity of this group has continued to grow as more organizations utilize Financial EDI.
The Finance Subcommittee has two types of leaders:
· Officers that are responsible for the administration and on going management of the Finance Subcommittee, and
· Task Group Chairs and Work Group Facilitators who are responsible for the working and administration of their respective groups.
X12 Finance Subcommittee Officers and Task Group Chairs are elected for a two year term. Elections are held yearly in at the October X12 Trimester meeting, where one-half of the officers and chairs are elected each year. This staggering of elections allows for continuity of the subcommittee by not turning over the entire officer group at one time. These positions are held by the individual, rather than the organization they currently represent. Any member of Finance may run for office after attending two meetings. We encourage new members to get involved and run for an office. A listing of current Officers by position may be found in the appendix.
Finance Subcommittee Administrative Offices
Position / Key Roles /Chair / Liaison with other X12 groups, the Steering Committee, organize Finance meetings, address key strategic issues with Finance’s advice.
Vice Chair / Assist the Chair and the subcommittee, coordinate the mentor & education programs, handle ad hoc issues.
Logistics Secretary / Organize the subcommittee’s meetings, agendas, handle ad hoc issues.
Recording Secretary / Keep and on going record of the subcommittee’s activities, coordinate these with other X12 groups, handle ad hoc issues.
Database Secretary / Maintain an active database of membership, coordinate the Finance Subcommittee telephone directory, track membership and participation, handle ad hoc issues.
Technical Assessment (TAS) Representative / Represent Finance in the X12J (Technical Assessment Subcommittee) responsible for ensuring technical standards within X12, and Co Chairs the TATG (TG10) within Finance.
Technical Assessment (TAS) Alternate / Represent Finance in the X12J (Technical Assessment Subcommittee) responsible for ensuring technical standards within X12, and Co Chairs the TATG (TG10) within Finance.
Technical Assessment (TAS) Alternate Ex-officio / Represent Finance in the X12J (Technical Assessment Subcommittee) responsible for ensuring technical standards within X12, and Co Chairs the TATG (TG10) within Finance.
PRB Representative / Represent Finance in PRB (Procedures Review Board) which is the X12 group responsible for ensuring each subcommittee’s compliance with procedures, approving new project proposals, and approving standards for publication.
PRB Alternate / Represent Finance in PRB (Procedures Review Board) which is the X12 group responsible for ensuring each subcommittee’s compliance with procedures, approving new project proposals, and approving standards for publication.
US Designated Expert for EDIFACT Working Group EWG / Represent Finance as an industry at EDIFACT EWG meeting and administrative activities. Represent Finance at the DLTG
US Designated Expert for EDIFACT Working Group EWG / Represent Finance as an industry at EDIFACT EWG meeting and administrative activities. Represent Finance at the DLTG.
X12C Liaison / Liaison between Finance and the X12C Communications & Controls Subcommittee.
X12G Liaison / Liaison between Finance and the X12G Government Subcommittee.
X12N Liaison / Liaison between Finance the X12N Insurance Subcommittee.
WWW Rep. / Finance Webmaster responsible for organization and content of Finance Web page and liaison between Finance the DISA Webmaster.
Finance Subcommittee Task Group Chairs and Work Group Facilitators are listed in the following section with a description of each group’s function.
V. Subcommittee Task Groups & Work Groups
The Finance Subcommittee maintains several Task Groups and within these - Work Groups. These groups are the core of the Finance Subcommittee‘s work and the activities at an X12 Trimester meeting. To accomplish their work, these groups will meet during the X12 Trimester meeting and may also have meetings or teleconferences in between X12 Trimester meetings.
Following is a brief summary of the focus of each Task Group and Work Group. A listing of the Finance Subcommittee officers that coordinate each group is listed in the appendix. The transaction sets assigned to each Task Group are listed below (at the Task Group level) and detailed in a later section of this handbook.
TG2 - Task Group 2: Payments & Invoices
Function/Purpose:
Review and approve EDI standards data maintenance for payments, invoices and related transaction sets.
Transaction Set(s):
TS Name
155 Business Credit Report
156 Entitlement Payment Recipient Account Inquiry/Response
248 Account Assignment and Service Status
810 Invoice
811 Consolidated Invoice/Statement
812 Credit/Debit Adjustment
814 General Request, Response, or Confirmation
819 Operating Expense Statement
820 Payment Order/Remittance Advice
823 Lockbox
824 Application Advice
827 Financial Return Order or Return Notice
828 Debit Authorization
829 Payment Cancellation Request
831 Application Control Totals
844 Product Transfer Account Adjustment
849 Response To Product Transfer Account Adjustment
880 Grocery Products Invoice
Work Groups:
TG2/WG3 Work Group 3: Purchase Card Maintenance
Function/Purpose:
Determine and create data maintenance to transaction sets required to support use of EDI with purchase cards.
TG2/WG7 Work Group 7: 824 (Application Advice) Tutorial & Maintenance
Function/Purpose:
Develop Tutorial and possible data maintenance for the 824 Application Advice Transaction Set.
TG2/WG11 Work Group 11: 820 Implementation Guide - Version 4010
Function/Purpose:
Develop an updated 820 Payment Order/Remittance Advice Tutorial based on version 4010, which will incorporate all newly added remittance options, including payroll and royalty remittance.
TG2/WG12 Work Group 12: EDIFACT Alignment
Function/Purpose:
The Work Group’s purpose is to deal with issues that arise out of the EDIFACT alignment with X12 standards.
TG3 - Task Group 3: Financial Information Reporting
Function/Purpose:
Develop, approve and maintain EDI standards and guideline for Financial Account Information.
Responsible for the 821 Financial Information Reporting transaction set and the 822 Customer Account Analysis transaction set. The 821 has been designed generically to facilitate a variety of financial information reporting needs, including but not limited to; demand deposit account statement, account reconcilement-paid listing, overdraft interest statement, lock box summary and investment statement information. The 822 provides a standard format for transmitting bank to corporate account analysis information.
Transaction Set(s):
TS Name
821 Financial Information Report
822 Account Analysis
Work Groups:
There are no Work Groups under Task Group 3.