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EDI Transactions

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EDI Transactions EDI transactions generally refer to the EDI messages that are sent between trading partners. EDI transactions are based on EDI standards, most often EDIFACT developed by the UN and used internationally, and X12 developed by the American National Standards Institute and used in US commerce. EDI transactions are denoted by a numbering scheme in the ANSI X12 standards, so an 850 is a Purchase Order and an 810 is an Invoice, for example. In EDIFACT these EDI transactions would be denoted ORDR and INVOIC. The EDI transactions that are most prevalent depend on the industry and particular use of the EDI transaction. An EDI transaction is essentially an electronic business document that has been standardized to be computer-readable. …show more content…

The EDI Transactions listed below are some of the more common ones that a business will need to use. When considering the purchase of EDI software, a business should make sure that all of the EDI Transactions listed below are available within the software or within the kits or plug-ins that provide EDI Transactions for the trading partners needed. Because each trading partner may implement these EDI Transactions in unique ways, the EDI Transactions available from your EDI Software vendor may need to be customized for the trading partners in question. Common EDI Transactions: The 810 Invoice EDI Transactions are used to send invoice data from the vendor back to the trading partner. The 810 EDI Transactions typically follow 850 EDI Transactions. The 850 Purchase Order EDI Transactions are the most frequently used EDI Transactions and are sent by the customer as an electronic purchase order. The 855 Purchase Order Acknowledgment EDI Transactions are often used when a customer requires an acknowledgement of receipt of the 850 EDI …show more content…

Before adopting EDI, a business needs to determine which EDI Transactions are specific to its industry, in addition to the EDI Transactions listed above. As the use of EDI has grown, the EDI Transactions set has grown along with it, and there are now hundreds of EDI Transactions in use in various industries. Making sure that the software available from the vendor can support any EDI Transactions necessary for your business is a critical part of selecting an EDI vendor. Planning for the future is critical, and your vendor should also be capable of adding additional EDI Transactions if those EDI Transactions become necessary to your business. Understanding which EDI Transactions your industry will need is an important aspect of implementing EDI. By using EDI Transactions, businesses can communicate electronically with their trading partners, avoiding repetitive data entry, minimizing errors, and maximizing

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