EDI (Electronic Data
Interchange) is set of ANIS standards
that define a syntax for the
computer-to-computer communication of
business documents. EDI establishes
trading relationships between businesses
allowing the exchange of common
documents such as purchase orders,
invoices, insurance claims, etc. This
allows a more flexible and efficient
exchange of information over private
networks instead of on fax machines,
eliminating much of the time, paper,
human interaction and errors previously
associated with these types of
transactions and providing more
flexibility.
EXAMPLE: Application Factory Inc. developed a
comprehensive application utilizing EDI
mapping that changed the way Kansas City
Southern Railroad conducted business
with an energy industry customer that
experienced exceptionally high railroad
traffic. Utilizing
this older data exchange technology that
was once expensive because it required
private networks, Application
Factory, Inc. designed a program
that uses
encryption over the Internet instead of
transmitting over proprietary value added
networks, or even worse, fax machines making the
technology fast and affordable. When a
Kansas City Southern rail car leaves a
petrochemical plant billing is
automatically sent over the system.