Electronic Data Interchange (EDI)

How edi works?

interoperability standards

Business-to-business or B2B solutions integrate data between two or more different companies or organizations. By using interoperability standards like XML or Electronic Data Interchange (EDI) these organizations are able to exchange business data from one computer to another computer using a public standard format.

cloud-based integration platform

As today’s marketplace is too dynamic for old EDI tools, a new cloud integration platform like Boomi provides a complete native cloud-based integration platform that helps organizations run their EDI systems more efficiently. 

structured document formatting

EDI uses structured document formatting through which developers build solutions following the specifications provided by the company or trading partner. Typically, EDI is independent of a company’s internal application systems. EDI formats consist of interrelated document components.

edi Benefits

Cost Savings

On average EDI costs two-thirds less than its paper-based equivalent for example, a major American company used EDI to reduced its order processing costs from $38 an order to $1.35 an order​

Improved Speed and Accuracy

EDI improves speed and accuracy for conducting transactions. By using EDI an American automotive company reduced the time for a key process by 97 percent, from 30 days to 24 hours.

Increases Efficiency

EDI increases efficiency. The fast processing of correct business documents means less rework, fewer inventory shortfalls and fewer cancelled orders.

Faster Decision-Making

EDI supports faster decision-making and improved responsiveness to customer and market demands. This helps businesses adopt a demand-driven rather than a supply-driven business model.

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