B2B Data Integration and Transformation Blog

The roots of Electronic Data Interchange aka EDI, date back to the 1960s when companies began exploring different ways to automate business document exchange. Today, managed EDI services allow companies to outsource their EDI operations to skilled, knowledgeable third-party providers.

Electronic Data Interchange (EDI) refers to the electronic data exchange in standardized formats between businesses. EDI replaced legacy, paper-based processes. EDI has an important role in modern business operations. Through their use of EDI, companies can reduce errors in document exchange, streamline a multitude of business processes, and improve relationships with trading partners. 

As a key facilitator of the flow of information between trading partners, Electronic Data Interchange simplifies business processes and improves efficiency. Today the technology is critical for key players in the supply chain.

Enterprise Resource Planning (ERP) and Electronic Data Interchange (EDI) are two sides of the same coin. ERP solutions consolidate processes, manage resources, and create a single version of truth for company data. On the other hand, EDI is the globally accepted protocol for transmitting electronic documents within and between businesses.

The pandemic had a significant impact on the way companies conduct business. Over 3 years later, the post-pandemic economy continues to influence business processes including EDI (Electronic Data Interchange), MFT (Managed File Transfer), and API (Application Programming Interface) solutions with managed EDI services emerging as the most important.