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Unit 4: Electronic Commerce and the Digital Organization

In the event its adoption has been limited to a number of trade sectors where the efficiency of Notes
supply chain is of vital importance. EDI is apart of schemes for just-in-time manufacture of quick
response supply.

Notes Mature use of EDI allows for a change in the nature of the product or service being
offered mass customization is such an instance.

Did u know? Full form of EDI
Electronic Data Interchange

Figure 4.3: The EDI Process

4.5.1 Definition of EDI

 Electronic Data Interchange is the transmission, in a standard syntax, of unambiguous
information of business or strategic significance between computers of independent
organizations. (The Accredited Standards Committee for EDI of the American National
Standards Institute)

 Electronic Data Interchange is the interchange of standard formatted data between computer
application systems of trading partners with minimal manual intervention. (UN/EDIFACT
Training Guide)
 Electronic Data Interchange is the electronic transfer, from computer to computer, of
commercial and administrative data using an agreed standard to structure an EDI message.

Self Assessment

Fill in the blanks:
10. .................................. is based on a set of standardized messages for the transfer of structured
data between computer applications.

11. EDI, when initially introduced was seen by many as a universal, or at least a generalized
form of ..................................

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