What is EDI
EDI stands for Electronic Data Interchange and it is an electronic communication method that provides standards for exchanging data via any electronic means.
By adhering to the same standard, two different companies or organizations, even in two different countries, can electronically exchange documents (such as purchase
orders, invoices, shipping notices, and many others). In 1996, the National Institute of Standards and Technology defined electronic data interchange as
that represent documents other than monetary instruments.
EDI implies a sequence of messages between two parties,
either of whom may serve as originator or recipient.
The formatted data representing the documents may be transmitted from
originator to recipient via telecommunications
or physically transported on electronic storage media.”