ISO 25500-240:2026

• Abstract:

  This document describes the fundamental concepts and principles of strategic sourcing which are universally applicable to the following: organizations seeking to improve their onboarding process through a common understanding of the fundamental concepts, principles and vocabulary used in strategic sourcing; organizations seeking to improve the quality of the data they receive from their trading partners in order to establish confidence in their supply chain. The following are within the scope of this document: stages of the strategic sourcing process; data required to support the strategic sourcing process; metadata and reference data required to support the strategic sourcing process. The following are outside the scope of this document: data exchange technology; supplier evaluation methods and techniques.

• Status: Published
• Publication Date: 03-Nov-2026
• ICS: 35.240.63 - IT applications in trade
• Technical Committee: ISO/TC 184/SC 5 - Interoperability, integration, and architectures for enterprise systems and automation applications
• Current Stage: 6060 - International Standard published
• Start Date: 04-Nov-2026
• Completion Date: 04-Nov-2026

ISO 25500-240 is an ISO standard in the Supply chain interoperability and integration series. It defines the fundamental concepts, principles and data requirements for strategic sourcing, so organizations and their trading partners can use a common vocabulary, improve onboarding, and exchange better data about suppliers, products or services, and locations.

What does ISO 25500-240 specify?

ISO 25500-240 specifies the strategic sourcing concepts and data needed to support sourcing from new or existing suppliers. It is aimed at organizations that want a common understanding of strategic sourcing and at organizations that want to improve the quality of the data they receive from trading partners.

The scope covers:

• terminology for the workflow and data used in strategic sourcing
• the stages of the strategic sourcing process
• data required to support that process
• metadata and reference data needed for that process

It excludes data exchange technology and supplier evaluation methods and techniques. The document is organized into scope, normative references, terms and definitions, fundamental principles and assumptions, the stages of strategic sourcing, requirements for buyer and supplier, conformance, and an informative annex.

Annex	What it covers
A	Document identification using an object identifier for open information systems

What are the key requirements of ISO 25500-240?

ISO 25500-240 turns strategic sourcing into a data-driven process. The practical point is that buyers and suppliers must exchange clearly identified data, in defined formats, before sourcing, contracting and procurement can be reliable.

Strategic sourcing is more than finding the lowest price

Clause 4 treats strategic sourcing as a longer-term process focused on responsible, sustainable procurement. It starts with research, then qualification, then evaluation of goods or services, and then creation of master data records for the supplier and the offering. In practice, teams need to gather, validate and approve data early so it can support later contracting and procurement.

Discovery must identify potential suppliers clearly

Clause 5.1 says discovery is the search for suppliers that can meet requirements for specific goods or services at a specific location. The document notes that publishing product or service specifications in ISO 8000-114 interoperable data format (.idf) helps automate that search. That matters when onboarding is shared across systems or when many suppliers need to be screened quickly.

Supplier identity relies on three linked data elements

Clause 5.2.1 says supplier identity is established with an ISO 8000-116 formatted authoritative legal entity identifier (ALEI), the legal name, and the date of formation. Together these form the international business identifier (IBID). This gives buyers a consistent way to record and verify who the supplier legally is.

Materials, services and locations also need structured identifiers

Clauses 5.2.3 and 5.2.5 require structured identification of the item and the delivery location. Materials or services use an ISO 8000-115 formatted reference plus an item description, while locations use the natural location identifier (NLI), derived from geopositioning coordinates and able to include elevation or floor. In practice, this helps avoid ambiguity between similar products, sites, or delivery points.

Evaluation requests must be specific and relevant

Clauses 5.2.2, 5.2.4 and 5.2.6 say the data request for evaluating a supplier, material, service or location must be unambiguous and relevant. The buyer must explain the data requirement and state confidentiality and data retention policy statements. The supplier must provide a commercial specification in ISO 8000-114 format. That makes evaluation easier to automate and easier to audit.

Buyer and supplier obligations are explicit

Clause 6 requires the buyer to identify itself with its IBID, send data requests in the specified formats, identify locations with NLI, and include the ISO 25500-1 supply chain data formatting contract clause. Clause 6 also requires the supplier to identify itself, identify offerings with ISO 8000-115 references, provide commercial specifications in ISO 8000-114, respond in the accepted formats, identify locations with NLI, and include the same contract clause. Clause 7 ties conformance to meeting those buyer or supplier requirements.

What terms does ISO 25500-240 define?

ISO 25500-240 uses the terms and definitions from ISO 25500-2. In the body, several abbreviations are central to the process:

• Strategic sourcing - the longer-term sourcing approach used here for responsible procurement, supplier qualification and data preparation.
• Supply chain interoperability and integration (SCII) - the series context for sharing supply chain data across organizations and systems.
• Authoritative legal entity identifier (ALEI) - the globally unique identifier used to establish a supplier’s legal identity.
• International business identifier (IBID) - the combination of ALEI, legal name and date of formation used to identify a supplier.
• Natural location identifier (NLI) - the globally unique location identifier used for physical delivery and receiving points.
• Commercial specification - the supplier’s description of the product or service offered, provided in ISO 8000-114 format.

Who uses ISO 25500-240?

ISO 25500-240 is used by buyers, suppliers, procurement teams, supply chain managers, and master data teams that need a shared way to describe and validate sourcing data. It is especially relevant for organizations improving onboarding of products or services from new or existing suppliers, and for organizations that want better data quality from trading partners.

The document is also relevant to commercial and government buyers, because it describes both proactive supplier search and public requests for supply. Any sector that sources materials or services can use it when legal identity, item identity, location identity, and contract wording need to be aligned.

Which standards are used with ISO 25500-240?

Standard	What it contributes
ISO 8000-114	Portable master data and the interoperable format used for specifications and data requests
ISO 8000-115	Quality identifiers for local references to materials or services
ISO 8000-116	Format used for the authoritative legal entity identifier (ALEI)
ISO 8000-118	Natural location identifiers from geopositioning coordinates
ISO 25500-1	Supply chain data formatting contract clause
ISO 25500-2	Vocabulary used by this part
ISO 25500-3	Verification of trading entity identity
ISO 25500-100	Verification of supply chain data
ISO 25500-110	Verification of certificates in the supply chain
ISO 25500-120	Verification of data in support of local purchasing
ISO/IEC 8824-1	ASN.1 notation used for the Annex A object identifier
ISO 10303-1	Meaning of the document identifier in Annex A

What does the ISO 25500-240 document contain?

ISO 25500-240 contains the scope, normative references, terms and definitions, and the principles that frame strategic sourcing as a structured data process. It then describes discovery and evaluation, including how to identify suppliers, materials or services, and locations.

The document also sets out buyer and supplier requirements, then states conformance for each role in Clause 7. Annex A provides an informative document identifier for open information systems, and the bibliography points to the supporting standards used for identifiers and related supply chain work.

International
Standard
ISO 25500-240
First edition
Supply chain interoperability and
2026-11
integration —
Part 240:
Strategic sourcing concepts,
principles and data requirements
Interopérabilité et intégration dans la chaîne
d'approvisionnement —
Partie 240: Concepts de sourçage stratégique, principes et
exigences concernant les données
Reference number
© ISO 2026
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ii
Contents Page
Foreword .iv
Introduction .v
1 Scope . 1
2 Normative references . 1
3 Terms and definitions . 2
4 Fundamental principles and assumptions . 2
5 Stages of the strategic sourcing process . 2
5.1 Discovery .2
5.2 Evaluation .2
5.2.1 Data required to identify a supplier .2
5.2.2 Data required to evaluate a supplier .3
5.2.3 Data required to identify a material or service .3
5.2.4 Data required to evaluate a material or service .3
5.2.5 Data required to identify a location .3
5.2.6 Data required to evaluate a location .3
6 Requirements . 3
6.1 Buyer .3
6.2 Supplier .4
7 Conformance . 4
7.1 Buyer .4
7.2 Supplier .4
Annex A (informative) Document identification . 5
Bibliography . 6

iii
Foreword
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This document was prepared by Technical Committee ISO/TC 184, Automation systems and integration,
Subcommittee SC 5, Interoperability, integration, and architectures for enterprise systems and automation
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iv
Introduction
This document provides the fundamental concepts and principles for supply chain interoperability and
integration (SCII) as applied to the activity of strategic sourcing of products or services from new or existing
suppliers. This document is intended to help the user in understanding the fundamental concepts, principles,
and vocabulary of the strategic sourcing process in order to be able to effectively and efficiently onboard
products or services from new or existing suppliers.
Annex A contains an identifier that conforms to ISO/IEC 8824-1. The identifier unambiguously identifies this
document in an open information system.

v
International Standard ISO 25500-240:2026(en)
Supply chain interoperability and integration —
Part 240:
Strategic sourcing concepts, principles and data requirements
1 Scope
This document describes the fundamental concepts and principles of strategic sourcing which are
universally applicable to the following:
— organizations seeking to improve their onboarding process through a common understanding of the
fundamental concepts, principles and vocabulary used in strategic sourcing;
— organizations seeking to improve the quality of the data they receive from their trading partners in
order to establish confidence in their supply chain.
The following are within the scope of this document:
— stages of the strategic sourcing process;
— data required to support the strategic sourcing process;
— metadata and r
...