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How does EDI work?

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Question added by Hany Sewilam Abdel Hamid , Director of Sales and Marketing , Creative Sense
Date Posted: 2016/02/27
Aadikesavareddy Pandikunta
by Aadikesavareddy Pandikunta , software analyst , Capgemini Technology Services

A buyer prepares an order in his or her purchasing system and has it approved. Next, the EDI order is translated into an EDI document format called an 850 purchase order.

The 850 purchase order is then securely transmitted to the supplier either via the internet or through a VAN (Value Added Network).

If the purchase order is sent using a VAN, then the buyer’s VAN interconnects with the supplier’s VAN. The VANs make sure that EDI transactions are sent securely and reliably. The supplier’s VAN ensures that the supplier receives the order.

The supplier’s computer system then processes the order. In the case of CovalentWorks’ clients, we provide VAN transportation and our servers provide all of the software and hardware required to process EDI documents. Only internet access and email are needed.

Data security and control are maintained throughout the transmission process using passwords, user identification and encryption. Both the buyer’s and the supplier’s EDI applications edit and check the documents for accuracy.

ahmed alharezz
by ahmed alharezz , مساعد عمليات , شركة فخر الملاحة المحدودة

 

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