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X12 transaction guide · Government and regulatory

EDI 196 Contractor Cost Data Reporting

The X12 document used to support contractor cost reporting of actual costs and estimates at completion on major R&D and production programs.

Sent by
Contractor
Received by
Government agency
Standard
ANSI ASC X12

What is an EDI 196?

The EDI 196 Contractor Cost Data Reporting is the ANSI X12 transaction set that supports contractor cost reporting requirements for actual costs and estimates at completion associated with major research and development and production programs.

Defense agencies collect cost data from contractors to understand what programs cost and to estimate future ones. Reports break costs down by elements such as labor, material and overhead, and by work breakdown structure. Agencies define their current reporting formats, so implementers should confirm them.

How the EDI 196 worksDiagram of the EDI 196 Contractor Cost Data Reporting. Contractor sends it to government agency. It usually starts the exchange. It is usually followed by 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BCM (Beginning Segment for Contractor Cost Data Reporting) and the required N1 loop with N1 (Party Identification) and detail: the required HL loop with HL (Hierarchical Level). 2 optional loops are listed by their first segment.How the EDI 196 worksContractor Cost Data Reporting: who sends it, where it fits and what the standard marks required1 WHERE IT FITSUSUALLY FOLLOWSStarts the exchangeEDI 196SENDERContractorRECEIVERGovernment agency997 or 999 acknowledgment back, if the partners agreeUSUALLY FOLLOWED BY997FunctionalAcknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDsISA … IEAFunctional group, ID code PKGS … GETransaction set 196ST … SEHEADINGBCMBeginning Segment for Contractor Cost DataReportingRequired loop N1 · repeats many timesN1Party Identification+ 1 optional loop, starting with:G61DETAILRequired loop HL · repeats many timesHLHierarchical Level+ 1 optional loop, starting with:PDBlue box: required loop. Optional loops are listed by the segment that starts them; when a loop is used, that first segment is required. Optional segmentsoutside loops are not drawn.Structure: required segments and loops in the X12 008010 listing for the 196. Your trading partner's implementation guide adds its own requirements.
How the EDI 196 worksDiagram of the EDI 196 Contractor Cost Data Reporting. Contractor sends it to government agency. It usually starts the exchange. It is usually followed by 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BCM (Beginning Segment for Contractor Cost Data Reporting) and the required N1 loop with N1 (Party Identification) and detail: the required HL loop with HL (Hierarchical Level). 2 optional loops are listed by their first segment.How the EDI 196 worksContractor Cost Data Reporting: who sends it,where it fits and what the standard marksrequired1 WHERE IT FITSUSUALLY FOLLOWSStarts the exchangeEDI 196SENDERContractorRECEIVERGovernmentagency997 or 999 acknowledgment back, if the partnersagreeUSUALLY FOLLOWED BY997Functional Acknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDs (ISA… IEA)Functional group, ID code PK (GS … GE)Transaction set 196 (ST … SE)HEADINGBCMBeginning Segment forContractor Cost DataReportingRequired loop N1 · repeats manytimesN1Party Identification+ 1 optional loop, starting with:G61DETAILRequired loop HL · repeats manytimesHLHierarchical Level+ 1 optional loop, starting with:PDBlue box: required loop. Optional loops are listedby the segment that starts them; when a loop isused, that first segment is required. Optionalsegments outside loops are not drawn.Structure: required segments and loops in the X12008010 listing for the 196. Your trading partner'simplementation guide adds its own requirements.

How to read this diagram: the top row shows who sends the 196, to whom, and which documents usually come before and after it. The lower part shows what X12 release 008010 itself requires: the envelopes around the 196 and the segments and loops the standard marks as required, area by area. Optional loops are listed by the segment that starts them rather than drawn in full. This is the standard's minimum, not a trading partner's requirement: each partner's implementation guide usually makes some optional loops mandatory, restricts the codes and may use a different release.

Expand diagram Download SVG

When it is used

  • Reporting actual costs on major programs
  • Reporting estimates at completion
  • Supporting cost estimating databases

Where it fits in the document flow

This document 196 Contractor Cost Data Reporting
Usually followed by 997 Functional Acknowledgment

Structure

Mandatory segments in the 196 (X12 release 008010)

The segments X12 release 008010 marks as mandatory at their level, in order. Segments inside optional loops are needed only when the loop is used. This is the standard's requirement, not your trading partner's: each partner's implementation guide names the release it uses, adds the optional segments it requires and restricts the values. The requirement status comes from one published X12 reference listing and has not been checked against a second source.

  • ST
  • BCM
  • N1
  • G61
  • HL
  • PD
  • SE

Practical example

The 196 in practice

A contractor producing aircraft components submits its annual cost data report. It reports actual costs to date and the estimate at completion by work breakdown element and cost category. The agency adds the data to its cost database to estimate future programs.

Implementation

Implementation considerations for the 196

  • Confirm the agency's current reporting format.
  • Use the agreed work breakdown structure.
  • Reconcile reported costs with accounting records.
  • Meet the program's reporting schedule for each report.

How ECOM helps

Automate the 196 with ECOM

Industry

Industrial Manufacturing

Distributor, OEM customer and supplier integration for industrial manufacturers.

Solution

Financial Document Automation

Automate invoices, remittances, payment files and bank statements from capture to posting.

Solution

Enterprise Integration

Any-to-any integration across partners, systems, protocols, security requirements, formats and ERPs, in batch or real time.

More general questions about EDI are answered in the EDI FAQ.

Related transactions

Related government and regulatory documents

All 29 government and regulatory documents

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