Edi Agreement In E-Commerce

The process improvements offered by EDI are significant and can be dramatic. For example, let`s look at the difference between the traditional paper order and its electronic equivalent: the traditional invoice illustrates what this can mean. Most companies create invoices with a computer system, print a paper copy of the invoice and send them to the customer. After receipt, the customer often marks the invoice and inserts it into his own computer system. The whole process is nothing more than the transfer of information from the seller`s computer to the customer`s computer. EDI minimizes or even eliminates the manual steps of this transmission. Many business documents can be exchanged via EDI, but the two most common are orders and invoices. EDI replaces at least the preparation and processing of mail related to traditional commercial communication. However, the real strength of EDI is that it standardizes the information communicated in business documents, which allows for a “paperless” exchange. Transentric`s Online Rapid Invoicing and Supply Solution (ORISS) system for non-EDI compliant suppliers allows these suppliers to receive orders and send invoices via a web browser. Electronic Data Interchange (EDI) is the electronic exchange of business information in a standardized format; a process that allows one company to send information electronically and not on paper to another company. Business units that conduct transactions electronically are designated as trading partners….

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