Scribd Logo
Upload

Welcome to Scribd!

  • 51 views

    Electronic Data Interchange: Made & Presented By: Vidya More Varchasvi Mahajan Naved Khan

    Uploaded by

    Varchasvi Mahajan
    Electronic Data Interchange (EDI) is the computer-to-computer exchange of standard electronic business documents between businesses. EDI allows businesses to exchange common documents like purchase orders and invoices electronically instead of using paper, reducing costs and improving speed and accuracy. EDI automates the exchange and processing of documents, allowing information to flow directly into recipient business systems without human intervention. While initially expensive to set up, EDI provides benefits like faster transactions, fewer errors, improved efficiency, and lower costs compared to traditional paper-based exchanges. In the future, EDI will integrate more with technologies like the Internet of Things, blockchain, and artificial intelligence to further improve visibility and automation in business document exchanges.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd

    Electronic Data Interchange: Made & Presented By: Vidya More Varchasvi Mahajan Naved Khan

    Uploaded by

    Varchasvi Mahajan
    51 views8 pages
    Electronic Data Interchange (EDI) is the computer-to-computer exchange of standard electronic business documents between businesses. EDI allows businesses to exchange common documents like purchase orders and invoices electronically instead of using paper, reducing costs and improving speed and accuracy. EDI automates the exchange and processing of documents, allowing information to flow directly into recipient business systems without human intervention. While initially expensive to set up, EDI provides benefits like faster transactions, fewer errors, improved efficiency, and lower costs compared to traditional paper-based exchanges. In the future, EDI will integrate more with technologies like the Internet of Things, blockchain, and artificial intelligence to further improve visibility and automation in business document exchanges.

    Original Description:

    Presentation for E-business.

    Original Title

    Electronic Data Interchange

    Copyright

    © © All Rights Reserved

    Available Formats

    PPTX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Electronic Data Interchange (EDI) is the computer-to-computer exchange of standard electronic business documents between businesses. EDI allows businesses to exchange common documents like purchase orders and invoices electronically instead of using paper, reducing costs and improving speed and accuracy. EDI automates the exchange and processing of documents, allowing information to flow directly into recipient business systems without human intervention. While initially expensive to set up, EDI provides benefits like faster transactions, fewer errors, improved efficiency, and lower costs compared to traditional paper-based exchanges. In the future, EDI will integrate more with technologies like the Internet of Things, blockchain, and artificial intelligence to further improve visibility and automation in business document exchanges.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    51 views8 pages

    Electronic Data Interchange: Made & Presented By: Vidya More Varchasvi Mahajan Naved Khan

    Uploaded by

    Varchasvi Mahajan
    Electronic Data Interchange (EDI) is the computer-to-computer exchange of standard electronic business documents between businesses. EDI allows businesses to exchange common documents like purchase orders and invoices electronically instead of using paper, reducing costs and improving speed and accuracy. EDI automates the exchange and processing of documents, allowing information to flow directly into recipient business systems without human intervention. While initially expensive to set up, EDI provides benefits like faster transactions, fewer errors, improved efficiency, and lower costs compared to traditional paper-based exchanges. In the future, EDI will integrate more with technologies like the Internet of Things, blockchain, and artificial intelligence to further improve visibility and automation in business document exchanges.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 8

    ELECTRONIC

    DATA
    INTERCHANGE
    MADE & PRESENTED BY:
    VIDYA MORE
    VARCHASVI MAHAJAN
    NAVED KHAN
    WHAT IS EDI?

    Electronic Data Interchange (EDI) is the computer-to-computer exchange of


    business documents in a standard electronic format between business partners.

    By moving from a paper-based exchange of business document to one that is


    electronic, businesses enjoy major benefits such as reduced cost, increased
    processing speed, reduced errors and improved relationships with business
    partners.
    MAIN PURPOSE OF EDI
    Many business documents can be exchanged using EDI, but the two most common are
    purchase orders and invoices. At a minimum, EDI replaces the mail preparation and
    handling associated with traditional business communication. However, the real power of EDI
    is that it standardizes the information communicated in business documents, which makes
    possible a "paperless" exchange.

    Computer-to-computer EDI replaces postal mail, fax and email. While email is also an
    electronic approach, the documents exchanged via email must still be handled by people
    rather than computers. Having people involved slows down the processing of the documents
    and introduces errors. Instead, EDI documents can flow straight through to the appropriate
    application on the receiver’s computer (e.g., the Order Management System) and processing
    can begin immediately.
    HOW DOES EDI
    WORK? Traditional Document Exchange

    v/s
    WHAT IS ITS EDI Document Exchange
    PROCESS?
    BENEFITS OF
    • Speed- One of the most highlighted benefits of EDI is the increased speed of transactions. You can
    boost the speed of transactions by 61%.
    • Accuracy – Errors are a part of human nature. That is why the manual data interchange process is
    vulnerable to errors. But, with EDI, you can attain maximum accuracy, and that’s why it is preferred
    over traditional data interchange solution. EDI solution wipes out keying and rekeying errors,
    illegible handwriting, and incorrect document handling.
    • Business efficiency- With minimized human errors, firms can harness the advantages of an
    increased level of efficiency. It has been seen that EDI can improve a business customer’s
    relationship because of the quicker delivery of goods and services.
    •  Cost-effective- Another significant advantage of EDI is cost-effectiveness. By using EDI,
    organizations’ have witnessed a 35% decrease in expenses related to printing, storing, processing,
    papers, reproduction and documents retrieval.
    • Environmental Benefits: EDI promotes sustainability and reduces CO2 emissions by replacing paper-
    based processes with electronic alternatives.
    LIMITATIONS OF
    • Expensive: Setup and maintenance of some of the formats of EDI is expensive.

    • Initial setup is time consuming: Initial cost to setup EDI is time consuming.

    • EDI standard changes: The business process depends on EDI standard format. If any of the standard format
    changes then the business process must be changed accordingly.

    • System electronic protection: An EDI enabled system needs electronic protection from viruses, hacking,
    malware and other frauds.

    • Staff training cost: Staff needs training in order to run EDI enabled software. Investment has to be done in
    training.

    • Proper backup should be maintained as the whole data depends on EDI. In case of any crash of EDI system,
    proper backup must be maintained, and extra cost is required for it.

    • Limits your trading partners: Some organization stops doing business which don’t use EDI. For instance, Wal-
    Mart prefers to do business only with those organization which uses EDI.
    FUTURE OF ELECTRONIC DATA
    INTERCHANGE
    In future supply chains, EDI will be the core document exchange capability to support innovations
    such as the Internet of Things (IoT), blockchain and artificial intelligence (AI). Future EDI will use:
    • IoT sensors incorporated into a shipment’s packaging and tied to periodic EDI 214 messages to
    improve package condition visibility in near real time. 
    • Blockchain technology underpinning EDI information flows for shipments to offer a shared
    version of the truth that can quickly resolve and even avoid chargeback disputes. 
    • An AI agent that monitors all relevant events and information connected to a shipment and can
    identify a non-compliant event. AI agents can also determine if a reshipment is required, analyze
    the most efficient source of replacement, initiate a new shipment and accept an authorized return.
    Data Provided by:
    THANK YOU

    You might also like