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EDI stands for electronic data interchange & is defined as the machine-to-machine exchange of business information in a standard & structured format

What is EDI?

Electronic data interchange (EDI) is defined as computer-to-computer exchange of business information in a standard and structured format. Organizations are moving to electronic data interchange to streamline and improve the operational efficiency of business processes and communications by exchanging data electronically.

What-is EDI

How EDI Helps Your Business?

Businesses adopt EDI to enhance efficiency, improve communication and accuracy of data exchange with real time log analysis, strengthen partnerships, and drive down costs. It eliminates the need to re-key information, reduces error-prone data entry and speeds up the process of exchanging business documents with customers and other trading partners.


Need For EDI:

For supply chain businesses of any size, implementing EDI is essential for sustained competitiveness and growth.

  • EDI reduces costs and improves operational performance with a real time data monitoring system
  • EDI accelerates data flow, enhances accuracy and streamlines administration
  • EDI makes it easier to manage inventory and reduce associated costs

Different Ways EDI Can Benefit You

Minimizes data entry and eliminates expense of manual steps and re-keying data

Reduces lead time on orders and Improves communication and relationships with partners

Quicker exchange of business information and order to cash cycle

Improves accuracy of information exchange, eliminates errors and inaccuracies

Enhances efficiency with integrated electronic data interchange streamlining processes

What Are EDI Standards?


ANSI ASC X12 is the official designation of the U.S. national standard body for the development and maintenance of EDI standards. The most widely used standard in the United States and much of North America.


Tradacoms is an EDI standard introduced and implemented for the UK retail sector. Tradacoms was introduced in the early 1980s and is maintained by the UK Article Numbering Association now known as GS1 UK.


EDIFACT, known as Electronic Data Interchange for Administration, Commerce and Transport, is the international standard developed under the United Nations. The EDIFACT standard provides messages which allow multi-country and multi-industry exchange.


Health Insurance Portability and Accountability Act is a subset of X12 with healthcare specific requirements. Part of the HIPAA initiative seeks to establish standardized mechanisms for electronic data interchange, security, and confidentiality of all healthcare-related data.