EDI -basic
- 1. Electronic data interchange (EDI) Presented by: SOHAN SINGH RATHORE B.Tech-CSE IV yr. VII sem MUR1300221
- 2. Electronic commerce is known as E-Commerce in short. The term e-commerce is used for describing a variety of market transactions, enabled by information technology and conducted over the electronic network. Fig.1 e-commerce
- 3. EDI is the electronic interchange of business information using a standardized format; a process which allows one company to send information to another company electronically rather than paper. Fig.2 EDI
- 4. However, the real power of the EDI is that it standardizes the information communicated in business documents, which makes possible a “paperless” exchange. Move From Fig.3 paperless data interchange
- 5. The general idea behind EDI was originated by a group of railroad companies in the mid-1960’s, in the United States. Much of the early work on EDI was driven by the industry sectors for: transportation pharmaceuticals groceries automobiles banking
- 6. It was not until the 1970’s, when work began for national EDI standards. Both client and vendors input their requirements to create a set of standard data formats that were hardware independent; were unambiguous and could be used by all trading partners; reduced labor-intensive tasks such as data-entry; allowed the sender of data to control the exchange including receipt confirmation of by the other party
- 7. Fig. 4 EDI components
- 8. EDI transactions can be passed from many types of computers (i.e. PC, Mac, UNIX, and mainframe). Trading partners do not need to use the same type of equipment. EDI messages are hardware independent, due in part to the X12 standard. The transactions are sent via dedicated links, ISDN or phone lines. Fig.5 EDI H/W
- 9. Translation software takes raw data and arranges it into the X12 format or the United Nations EDIFACT standard on the sender's end. Mapping software is used to exchange information between the company's EDI transactions and its other internal applications such as inventory, accounts receivable, and accounting and ordering.
- 10. communications networks supplied and managed by third-party companies that facilitate electronic data interchange, Web services and transaction delivery by providing extra networking services Retailer B Retailer A Retailer C Wholesaler A Wholesaler B Wholesaler C Value-added Network Fig. 6 VAN network
- 11. Applications that use a universal language to send data and instructions to one another, with no translation required Uses the Internet, so most of the connection problems are eliminated DIRECT ROUTING Fig. 7 web services
- 12. ANSI ASC X12 EDI standard in North America is the ANSI ASC X12 standard. The X12 committee is charged with developing "standards to facilitate electronic interchange relating to order placement and processing, shipment and receiving information, invoicing, payment, and cash application data
- 13. UN/EDIFACT the ANSI X12 standards and the European standards, known as "Guidelines for Trade Data Interchange" (GTDI). Immediately prior to the formulation of EDIFACT, European EDI standards had undergone a process of reconstruction by the United Nations Economic Commission for Europe (UNECE)
- 14. • More Secure than paper • Cost savings • Acknowledgements from receiving institution • Speed • Easy partner exchange each term • Automated transfer articulation • Small file size • Lower operating costs -Saves time and money. • Less Errors = More Accuracy -No data entry, so less human error.
- 15. • Server issues • All technological systems need upgrades • Staff training • Interface with your student software system • Move from SSN to generated ID • Web transcript requests. • High Dependence on the participation of trading partners • Costly for smaller companies • Difficult to agree on standard to be used.