Electronic+Data+Interchange+(EDI)
Electronic+Data+Interchange+(EDI)
◼ Advantages:
Cost saving
Time saving
▪ Business thrives on information-the more efficiently
Information is communicated and accessed, the healthier is
the organization.
▪ Before EDI, the exchange of information is generally limited to
mail, fax etc
▪ EDI is a set of standardized formats for different types of
Business documents that allow otherwise incompatible
business data processing systems to exchange documents
with out manual intervention.
▪ Advantages of EDI:
Less Human Intervention.
High Throughput.
Few Errors.
Ability to do just in time(JIT).
More Security.
▪ Companies using EDI:
Retail Industry, Banking, Health care, Government Sector.
▪ American National Standards Institute (ANSI X12
Committee).
▪ EDIFACT (EDI for Administration, Commerce
and Transport).
▪ TDCC (Transportation Data Coordination
Committee)
▪ VICS (Voluntary Inter Industry Communication
Standard).
▪ Translation Software translates business documents into a
common EDI standard.
▪ It also translates EDI Standard data into a format suitable for
application Processing.
ANSI X12 (cont'd)
Interchange Control Header ISA