EDI Transmission

EDI Transmission Details

Electronic Data Interchange (EDI) is a process of exchanging electronic documents between businesses or organizations in a standardized format. EDI enables businesses to exchange documents such as purchase orders, invoices, and shipping documents in a fast and efficient manner.

When EDI is performed via the internet, it typically involves the use of a secure connection between the two parties involved in the transaction. This can be achieved through a Virtual Private Network (VPN), which creates a secure and encrypted connection over the internet. The EDI transaction process typically involves the steps described below.

Data preparation

The business or organization creates a standardized electronic document in a format agreed upon by both parties. This could be in formats such as EDIFACT, XML or JSON.

Data transmission

The electronic document is then transmitted over the internet through the secure connection using EDI software. This software can be integrated into the business’s existing systems or can be a standalone system.

Data receipt

The receiving party’s EDI software receives the electronic document and processes it based on predefined business rules.

Data acknowledgement

The receiving party sends back an acknowledgement to the sender indicating that the document was received and processed successfully.

Data integration

The electronic document is then integrated into the receiving party’s systems for further processing, such as generating an invoice or updating inventory.

Overall, EDI via the internet provides businesses with a reliable and efficient way to exchange electronic documents, reducing the need for manual data entry and paper-based processes.

To learn more about EDI and become a CEDIAP® (Certified EDI Academy Professional), please visit our course schedule page.

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