What is Electronic Data Interchange (EDI)? Unlike other electronic data interchange articles, this piece will help provide a complete understanding of the electronic data interchange process, including an overview of EDI benefits and drawbacks.
Basically, the electronic data interchange process is the computer-to-computer exchange of business documents between companies. EDI replaces the faxing and mailing of paper documents. EDI documents use specific computer record formats that are based on widely accepted standards. However, each company may use the flexibility allowed by the standards in a unique way that fits their business needs.
EDI is used in a variety of industries. In fact over 80,000 companies have made the switch to EDI to improve their efficiencies. Many of these companies require all of their partners to also use EDI.
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