Thursday, December 25, 2008

What is EDI ?

What is EDI?

EDI (electronic data interchange) is the direct, application-to-application transmission of business documents such as purchase orders, invoices, and remittance advice. By itself, EDI does not create any new processes or strategies, it simply speeds the existing ones. EDI compresses the timeline from initial order to shipment to final payment by sending actionable information without the need for rekeying at any step along the way.

If you're a retailer, EDI helps you respond to consumer demand faster. Reorders can be sent automatically in response to sales. If you're a manufacturer, EDI gets you the order faster and speeds the manufacturing process. At every stage of the supply chain, EDI is a tool that eliminates waste, delay and human error. It should be apparent why more and more business customers are favoring suppliers who can do business with them electronically.

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