White PaperExternal partners mandate many small companies to utilize an EDI solution. If a company doesn’t use an ERP system, EDI is challenging but not necessarily impossible. WebEDI is a simple yet powerful browser-based solution that allows smaller partners to exchange EDI files electronically with the hub without investing in infrastructure.
What Is EDI?
Find out everything you need to know about electronic data interchange (EDI).
1. Executive summary
Learn everything you need to know about EDI. What does EDI mean and how does it work? What software do you need for EDI and how do you choose the right EDI setup? Discover what a typical EDI project looks like and how you can implement an EDI solution in your company. Finally, our FAQs at the end answer the most frequently asked questions about EDI.
2. Definition of EDI
EDI stands for Electronic Data Interchange and refers to the electronic data interchange of business documents such as orders, delivery notes and invoices. These EDI files are exchanged between business partners in the form of structured data with no human intervention.
EDI facilitates seamless communication and data exchange between trading partners, streamlining business processes, enhancing efficiency and reducing errors associated with manual data entry.
EDI is not a specific technology, but a combination of electronic processes, exchange protocols (communication protocols) and established, internationally valid business document standards. For simplicity and security, structured electronic data interchange must use established standards for EDI files regardless of the specific EDI formats or ERP (Enterprise Resource Planning) system used by the business partners involved.
- Automating your business processes with EDI makes them faster, more efficient and less prone to errors, leading to reduced lead times through faster data transmission
- Reduced unnecessary task repetition and data entry errors through less manual work
- Increased information accuracy and less costs through automation
- Reduced warehousing costs as EDI enables just-in-time or just-in-sequence logistics
EDI also has a host of advantages for management, since business-relevant information is available faster and in a more structured way. EDI ensures a constantly available, up-to-date stream of readily-available data. Running this through business analytics tools gives you insight to improve process controls.
For planning and decision–making, EDI means:
- Up-to-date statistical findings through simpler target/actual comparisons and deviation analysis
- Improved information availability through simulations and new forecasting techniques
- Improved cash management and a better stock overview through productivity analyses
3. Functional overview of EDI
Messages are exchanged between companies using established business document standards for electronic data interchange (known as EDI message standards), which companies in a specific industry have agreed upon among for exchanging EDI files. For example, the European chemical industry generally uses the EDI standard EDIFACT, including the subset CEFIC (French: Conseil Européen des Fédérations de l'Industrie Chimique), which has been specifically defined for the chemical industry.
Since ERP systems are generally not capable of these message standards, the structured data needs to be converted from its initial format into the defined message standard (EDI format) before it is sent via the agreed communication protocol. Classic EDI capability involves three steps:
- Connect to ERP and receive messages in internal format from the SAP system.
- Convert and transfer messages from the internal format to the message standard.
- Communicate and technically dispatch data via the agreed communication protocol.
The receiver carries out these steps in reverse order starting with confirming the message has been received over the agreed communication protocol, then converting the message to the EDI format they need and then sending the message to the receiving ERP system.
The SEEBURGER BIS Platform B2B/EDI capabilities support you in the comprehensive EDI integration and management of all B2B/EDI partners through the B2B gateway and various portal/cloud applications.
The BIS B2B gateway connects the most important business partners, handling the routing and processing of B2B/EDI messages according to industry standards.
The gateway is complemented by portal applications for efficient management of numerous business partners, such as the Community Management Application and the BIS WebEDI Supplier Portal.
4. EDI message standards
If business partners want to exchange business data electronically, they need to have a clear agreement to ensure they can understand each other's messages. In practice, however, it’s the dominant business partner initiating the EDI process (known as the hub) who usually dictates the standards used by all subsequent partners (the spokes). These are existing industry standards.
The following scenarios illustrate the advantage of these EDI message standards: If several people of different languages try to communicate with each other, they would need an unmanageable number of interpreters.
2 people, speaking two different languages -> 1 interpreter
3 people, speaking three different languages -> 3 interpreters
4 people, speaking 4 different languages -> 6 interpreters
n people, speaking n different languages -> n(n-1)/2 interpreters
If, on the other hand, they decided to use an international standard language, each person would need just one interpreter from their own language to and from English:
2 people, speaking 2 different languages -> 2 interpreters
3 people, speaking 3 different languages -> 3 interpreters
4 people, speaking 4 different languages -> 4 interpreters
n people, speaking n different languages -> n interpreters
Direct and indirect communication
The first scenario is an example of direct communication. The sender transmits each message to each recipient. This type of point-to-point connection is particularly suitable for transferring large amounts of data.
The scenario using one international standard illustrates indirect communication. Here, the message is sent just once, to a VAN (Value Added Network) provider, which manages distribution to the individual receivers. The advantage of this type of mailbox system is that senders can communicate independently of their partner – they just need to connect to their own mailbox.
5. Requirements for EDI in your company
The EDI software essentially consists of three components:
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The ERP connector integrates your company’s ERP system, allowing you to you send and receive messages in your ERP system’s native EDI format.
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The converter transforms in-house message formats to the industry-standard EDI format needed by your partners.
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The communication adapter sends EDI messages through the communication protocols your partners require.
ERP connector to EDI
Many companies rely on an ERP system to manage their in-house business processes. To enable electronic data interchange with external business partners, this ERP system needs to be connected to the EDI system via EDI integration.
An ERP connector links the EDI software with the ERP software, and then automatically transfers messages between the ERP system and the EDI software.
We have EDI connectors for these widely used ERP systems, and more:
- SAP
- Microsoft Dynamics AX/NAV
- Infor
- Oracle E-Business Suite
- abas
- ProAlpha
- JD Edwards
- APplus
- IFS
- Peoplesoft
- NetSuite
SEEBURGER can also build connectors to link up other ERP systems to EDI. Contact us for further details.
Using an EDI converter
An EDI converter is one type of EDI mapping tool. EDI converters are software solutions that translate electronic documents from one format to another, such as converting EDI files into human-readable formats or vice versa. This process often involves mapping data elements between different standards or protocols to ensure compatibility between trading partners' systems. The term "EDI mapping tool" can be used interchangeably with "EDI converter" to describe software that performs these tasks.
An EDI converter transforms data (messages) from the ERP system into standardized EDI messages – essentially, into the language needed to communicate. In order for business partners to be able to engage in electronic data interchange, both partners need to decide on a specific standard. Various organizations such as the United Nations (UN), the American National Standards Institute (ANSI), the Deutsches Institut für Normung (DIN) or the German Verband der Automobilindustrie (VDA) define those standards.
During EDI conversion, the information from the source structure is transferred to the target structure using an individually created mapping.
Business partners use uniform EDI message standards for electronic data interchange.
In addition to the global EDIFACT standard, there are other regional or industry-specific standards. You can find an overview of these in our guide to EDI message standards.
Some international EDI formats for messages are:
- EDIFACT (global)
- XML (global)
- ANSI X12 (regional)
- EIAJ (regional)
- TRADACOMS (regional)
- VDA (regional)
- AECMA (industry-specific)
- HL7 (industry-specific)
- SWIFT (industry-specific)
The SEEBURGER EDI converters let you work with a multitude of EDI formats.
EDI communication adapter
A communication adapter establishes a connection between sender and receiver. Once both sides are connected, it securely transmits the pre-converted message.
The EDI software essentially has two transfer options. You can exchange data via either a mailbox system or a point-to-point connection based on the TCP/IP internet protocol.
Mailbox system
The sender sends the data to a mailbox where the recipient will pick it up. The protocol mainly used for this purpose is X.400.
With a mailbox system, companies do not have to be constantly able to receive and send data. This allows them to communicate regardless of when their business partners’ systems are online, as they just need to connect to their own mailbox.
Providers of X.400 mailboxes are VAN providers such as Deutsche Telekom, IBM or British Telecom. The data remains in the box until actively collected.
Point-to-point connection
The sender establishes a direct connection to the recipient for the duration of the data transfer. The senders’ and receivers’ systems must therefore be permanently accessible. The automotive industry mainly uses point-to-point connections, and many other industries are following this trend. It is particularly suitable for transmitting large amounts of data.
Common transmission protocols include HTTPS, (S)FTP, AS2, AS4 and OFTP2.
Learn more about message standards and EDIFACT messages.
The best way to exchange EDI messages depends on the frequency and data volume. In addition to common transfer protocols such as email and FTP, there are numerous national, product- and industry-specific transfer protocols for communication in the EDI environment.
Common transfer protocols for EDI messages include:
- Value Added Network (VAN)
Atlas, AT&T, EXITE, IBM, KPN, OpenText GXS, Telebox X.400, Tradanet - A direct connection
OFTP(2), AS2, AS4, (S)FTP, http(s)
A modern EDI solution can also support many other communication protocols.
6. EDI operating models
Our EDI software is available as a stress-free, fully managed, cloud-based service, as an on-premises package that you can install in the public cloud of your choice or in your own private cloud, or in-house hardware.
Would you like to keep some aspects in house while outsourcing others? Our Integration Platform as a Service (iPaaS) lets you choose what to manage in house and what to outsource to SEEBURGER.
We even offer WebEDI for connecting trading partners new to EDI.
EDI as a fully-managed cloud service
EDI offers many benefits to companies by automating the exchange of documents between trading partners. It reduces manual errors, accelerates transaction processing and fosters stronger relationships with suppliers and customers.
Get the benefits of EDI without the stress. SEEBURGER deals with everything – from setup, onboarding and maintenance to security and compliance. We can even integrate your cloud-based EDI with the business applications of your choice
This not only frees up in-house resources, there is a significantly lower initial outlay and TCO than for on-premises software, and the monthly costs are easier to accommodate in your annual budget.
The SEEBURGER BIS Platform is the engine behind the SEEBURGER B2B/EDI Cloud Integration Services.
EDI as a cloud service is particularly suitable for:
- Companies who may not have the resources for 24/7 operation of an on-premises EDI solution
- Companies unable or not wanting to recruit dedicated staff members with EDI experience
- Companies wanting to offload time-consuming maintenance and security updates to let their people focus on other tasks
Cloud services provide easy access to IT resources, increased flexibility and faster time to market, enable agility, and are increasingly proving to be the source of new, innovative business models.
EDI on-premises
An on-premises solution means that the company acquires the EDI software package and runs it from a public cloud of its choice such as AWS, Azure or Google, its own private cloud, or on its own hardware.
The company is usually responsible for operating and supporting their on-premises software, however, they may outsource this to a hosting partner.
An on-premises EDI solution offers the benefit of enabling a company to implement the required EDI system without having to coordinate with an external partner. In certain cases, company regulations dictate that specific data must remain within the company's premises. If you choose to utilize an on-premises solution, it is essential to have staff members who possess proficient EDI experience and skills.
iPaaS – the best of both worlds
An iPaaS is a range of cloud services that facilitates the integration of applications, systems and data sources within an organization. Through pre-built connectors and EDI capabilities, an iPaaS enables businesses to streamline workflows, enhance data sharing and improve operational efficiency. An iPaaS offers scalability, flexibility and ease of deployment, empowering enterprises to adapt swiftly to changing needs while minimizing the complexities typically associated with traditional integration methods.
By adopting EDI in our iPaaS model, you can actively engage in mapping and overseeing your data streams, while delegating less exciting tasks to SEEBURGER. Embrace the independence that comes with an on-premises model and the time-saving advantages inherent in a cloud-based model.
WebEDI, perfect for small and medium-sized companies
For smaller organizations seeking to exchange data with larger corporations, WebEDI provides an excellent solution. With WebEDI, you can conveniently receive, generate and transmit EDI-based messages to your business partners using electronic forms in a web browser, making the process semi-automated and accessible over the internet. Utilizing WebEDI for electronic data interchange with a majority of your customers is highly beneficial. This strategic decision can result in the moderate investment paying off significantly, generating multiple returns on investment.
7. Success factors of an EDI project
Three factors are decisive for successful implementing EDI in a company: Full managerial support, professional project management and clearly defined objectives.
Management support
A positive attitude from management significantly influences employees’ acceptance of a new system.
The most important success factor for adopting EDI is managerial support. A shared comprehension of the reasons behind the company's adoption of EDI is essential for management at all levels, along with their active support for all relevant departments. Good change management is part of successfully managing a project.
To showcase the significance of your EDI project to your staff, implementing tracking measures and ensuring project progress can be effective. Additionally, communicating progress to different stakeholders within your company in a focused manner is crucial.
Clearly-defined reporting paths and named decision-makers make it easier for everyone involved to understand the new processes and find the right person for their queries.
Project management
Stringent project planning and control, clear task assignment, strong leadership and close cooperation with the EDI solution provider are essential to making your project run smoothly.
Make sure that your EDI project is adequately staffed with the necessary skilled labor throughout each stage, starting from the initial preparation phase until the system is ultimately approved and launched. Don’t forget that once released, your staff need to be able to use the new system – the quality of staff IT training can make or break a project.
In our SEEOcta blog series, we take a closer look at how to successfully manage a project.
This all goes hand in hand with empowering the project participants to make necessary decisions. Speedy decision processes, sufficient time and staffing buffers can help create a schedule that is easy to adhere to and avoids deadline pressure.
Project objectives
Project objectives must clearly communicate the desired project outcome in full and be verifiable.
In the early stages of any EDI integration project, it is essential to define clear aims and objectives. This provides a framework for monitoring the progress of the project and allows for appropriate adjustments to be made if necessary.
Clearly-defined objectives play a crucial role in supporting the success of your project. They
- facilitate clear planning and establish a foundation for the project manager to take action.
- provide a secure basis for project planning.
- enable the establishment of specific timelines for deliverables.
A precise goal definition encompasses realism, comprehensiveness and attainability, making it imperative to be measurable. It is crucial to clearly and unambiguously define the goal to eliminate any room for interpretation. Importantly, the goal should not rely on preconceived notions and must be thoroughly documented.
Questions to help to define the objectives
- Why are we introducing an EDI solution? (Cost savings, transparency, compliance, etc.)
- What do we want to achieve with this EDI project? (e.g. increase supplier satisfaction, speed up a process by 10%, improve company’s image in the market)
- How deep should we integrate? How much should we automate?
- Where do we need the EDI solution? Which locations and countries?
8. Components of an EDI integration project
The preliminary study
The objective of a preliminary study is to efficiently assess the potential benefits of implementing EDI and determine the required resources involved. What should the preliminary study define?
- Project size
- Product strategy
- Resources required for detailed analyses
- Planning the implementation and realization stages
- Potential of the EDI project
- Interests and needs of current stakeholders
The preliminary study incorporates an evaluation of the existing systems utilized in each department and highlights the potential enhancements that EDI implementation could bring. It serves as the foundation for making the final decision regarding the EDI integration project, assessing the immediate benefits for the organization, and determining the optimal utilization of the new technology. The resulting report should have a financial focus, offering management a solid groundwork for informed decision-making.
Defining your EDI requirements
After formulating the concept for your desired EDI solution, the next step involves delving deeper and generating a comprehensive list of specific EDI integration requirements. These requirements will serve as the foundation for developing detailed specifications at a later stage. Alongside technical requirements, you also need to decide whether to choose an on-premises installation or a SaaS solution.
When contemplating your desired EDI solution, several factors need to be taken into consideration, including the following:
- The implementation cost associated with your desired EDI solution.
- Additional expenses related to software and hardware required to operate the EDI solution.
- Ongoing costs for administration, maintenance and EDI transaction volume.
- Availability of internal personnel resources to support the EDI implementation.
9. Launching EDI in your company
The EDI proof of concept phase
Prior to the actual installation of your EDI solution, it is beneficial to conduct a proof of concept. This entails testing the parameters in a realistic environment using standard EDI format settings.
The proof of concept phase involves:
- Installing the EDI solution on a test server,
- Doing a basic installation and parameterization of the EDI solution,
- Checking and, if necessary, cleaning up the master data and transaction data,
- Potentially adapting processes and interfaces,
- Deciding upon and documenting the ultimate EDI installation,
- Deciding when to go live with the EDI solution,
- Creating test scenarios and test plans with corresponding reference data.
During the EDI proof of concept phase, you gain the opportunity to delve into the software and service functionalities at an early stage. This enables you to develop a comprehensive understanding of the EDI solution's functionality and the technical capabilities it offers to you organization.
The EDI testing phase
In the EDI proof of concept phase, test plans and reference data were established. The subsequent EDI test phase provides an opportunity to conduct thorough testing of these elements with your connected trading partners. During this phase, an iterative approach is employed to assess whether any adjustments are required for either the process or the EDI solution. These test runs lead to modifications in the definition and documentation of the overall EDI system. This process concludes upon the EDI system's commissioning.
Go live
After the successful completion of the test phase, the EDI system transitions from a testing environment to a production environment. Project experience has shown that after two months of live operation, it makes sense to conduct additional downstream training for key users, administrators and end users in order to solve any remaining questions and possible application problems.
10. EDI migration
An EDI migration refers to the adoption of a new EDI system within a company. Typically, this process encompasses the seamless transition of data, systems and infrastructure from the existing legacy framework to a new EDI environment. It may also involve re-evaluating partnerships with new service providers or transitioning to a cloud-based solution.
Why do companies choose to switch their EDI integration provider or migrate to the cloud? This decision is driven by a variety of factors, including technological advancements, the need for greater scalability and flexibility in response to a dynamic business or market environment and heightened demands on the technology arising from new EDI integration possibilities.
When a company expands into international markets, it frequently encounters new industry-specific or regional requirements that its current EDI integration provider may no longer satisfy or support. Moreover, there are instances where the existing EDI integration provider discontinues its services, making EDI migration not just an option but a necessity. In such cases, opting for a modern EDI solution from an experienced EDI integration provider establishes a secure foundation for seamless electronic data interchange within a digital ecosystem.
Key characteristics and criteria of an EDI integration provider
When choosing an EDI integration provider, the following key characteristics and criteria play a crucial role in ensuring long-term success:
- An optimal EDI solution is scalable and adapts to the changing needs of the company.
- Automated EDI processes enhance repetitive business operations such as partner onboarding, which minimizes manual interventions and mitigates errors associated with them.
- The new service provider shall guarantee strict compliance with industry-specific regulations and relevant standards, while upholding robust data security measures.
- An ideal EDI solution provides extensive EDI integration options for effortless connection to the current infrastructure. In cases where a comprehensive cloud migration initiates the need for EDI migration, the design and management of a B2B/EDI integration platform are outsourced to a cloud provider. Ideally, this provider possesses extensive EDI experience and can proficiently assist both migrations with a competent consulting and support team.
- The provider shall efficiently handle time-consuming, cost-intensive and repetitive tasks, including onboarding, maintenance and matters concerning security and compliance. This allows the user to fully focus on their core business without being burdened by these operational aspects.
Secure replacement of legacy infrastructure
As mentioned, an incentive for EDI migration arises when legacy systems no longer align with the needs of a contemporary and dynamic company. Proactive companies confront this challenge by replacing outdated B2B solutions in a timely manner with a fully digital, secure, reliable and scalable EDI integration platform. The migration tools offered by the SEEBURGER BIS Platform guarantee a secure and smooth migration.
EDI migration strategy follows five phases:
- In the first phase, planning and strategy development, transparent and consistent communication within the entire project team with all stakeholders is of the highest importance in order to define the current status, goals and potential risks.
- In the analysis and design of the target architecture, the second phase of EDI migration, the focus is on what the future cloud-based EDI ecosystem should look like, including analysis of the data and processes, design of the target architecture, integration into existing systems and security and compliance planning.
- The third phase, EDI migration preparation and data assessment, aims to ensure the integrity, security and continuity of the data throughout the migration process. This includes developing the migration plan, test plans and scenarios and training the technical team and users.
- The fourth phase of EDI migration execution begins with the initiation of the data migration and implementation of the business processes and ends with tests to verify the live environment.
- Post-migration support and continuous optimization as the fifth and final phase ensures functionality even after the EDI migration has been completed.
11. EDI as a Service
Building on the discussion of replacing legacy EDI infrastructure, as outlined above, this section introduces EDI as a Service.
EDI as a Service (EDIaaS) refers to the outsourcing of all EDI-related processes to a specialized third-party provider. This service allows companies to delegate responsibilities such as hardware management, communication channel configuration and data conversion to an external provider in order to save resources. The external provider manages, maintains and administers the entire EDI infrastructure (IaaS), ensuring seamless operations. Depending on the Service Level Agreement (SLA), additional tasks like system monitoring may also be included. By leveraging EDIaaS, businesses can access EDI capabilities more easily, without the need to invest internal resources in complex underlying technical requirements.
In cases where the service provider takes on responsibilities beyond the infrastructure's scope, users will benefit from the comprehensive features of Fully Managed Service and Software as a Service (SaaS) solutions.
- As part of a SaaS-based EDI solution, the service provider takes on responsibility for the operation, security, maintenance and integration of the system. This enables clients to focus on their core business while the provider manages all technical aspects. The solution eliminates the need for individual local installations or integration with existing ERP and CRM systems, while additionally, the provider handles the onboarding of new trading partners and ensures compliance with all necessary technical requirements, such as various communication protocols.
- EDI as a Fully Managed Service builds on SaaS. The service provider takes on full responsibility for the support and management of the EDI infrastructure and systems, including proactive monitoring and maintenance, network administration, advanced security management, efficient capacity and resource management, as well as ensuring compliance and comprehensive reporting.
In addition to the two delivery models—Fully Managed Service and SaaS, governed by SLAs—EDIaaS also differentiates between Cloud EDI and WebEDI. These options provide businesses with flexible approaches to EDI, allowing them to tailor their solutions based on specific needs and infrastructure.
Cloud EDI is a comprehensive, cloud-based solution for electronic data interchange. Managed through an external cloud platform, often provided by a third-party service, it allows businesses to access all essential EDI functions without the need to own or maintain the underlying infrastructure. This streamlined approach reduces operational complexity and ensures efficient data exchange:
- Companies can flexibly expand or reduce capacities
- There’s no need for significant investments in hardware, software or IT personnel
- Cloud providers offer advanced security protocols and regular updates
- EDI processes can be set up more quickly without lengthy on-site installations
Cloud EDI is an attractive solution for large enterprises with complex partner networks and extensive integration needs, enabling seamless data processing of any volume.
WebEDI is an efficient, web-based EDI solution accessible through any browser. It allows businesses to seamlessly send and receive EDI documents over the internet, eliminating the need for complex software or infrastructure:
- This solution is ideal for smaller companies or trading partners who only require EDI on an occasional basis
- Requiring only internet access and operating through a web browser, this solution is ideal for companies with limited technical expertise
- Since no significant investment in infrastructure or IT is required, WebEDI is frequently a more cost-effective and time-efficient solution
- Integrating trading partners into the existing EDI environment is a seamless and efficient process
WebEDI is often employed by smaller companies that primarily engage in electronic document exchanges with a limited number of trading partners and/or do not require complex EDI integration.
In summary, Cloud EDI is the ideal solution for larger, more complex organizations with extensive EDI needs, while WebEDI serves as an excellent option for smaller companies or those with limited EDI requirements. The primary differentiators between the two solutions include technical specifications, cost structure, flexibility and scalability.
| EDI solution | Traditional EDI | Cloud EDI | WebEDI |
| Deployment model | On premises | As a Service | As a Service |
| Direct connection of systems to EDI | Both ordering and supplier systems | Both ordering and supplier systems | Ordering systems only |
12. EDI FAQs
Frequently asked questions about implementing EDI
You have decided to implement an EDI solution to automate processes between your business partners and your company. However, how do you start? Here are answers to the most pressing questions about getting started in the world of EDI and EDI integration:
Do you need an ERP system before implementing EDI?
Who can implement EDI in my company?
Before you start implementing an EDI project, make sure that there are people in your company with the necessary knowledge to manage your EDI project. Alternatively, you could call in an outside expert to manage the EDI project and implementation phase.
What skills does an EDI project manager need?
The EDI project manager must have EDI experience and good working knowledge of internal processes, as well as basic IT knowledge. As the project manager liaises between your company and the IT partner in charge of implementing your EDI project, the project managers has a huge influence on the project’s ultimate success.
Who determines which partners join an EDI project?
There are two main routes into triggering an EDI project:
1. The adoption of EDI within a company is often initiated by an external request. This request typically stems from a supplier or customer who requires your participation in a digitally transformed process, making it a requirement for future collaboration. In this scenario, the supplier or customer serves as a hub, connecting you and other spokes through EDI.
In the role of a spoke, your initial EDI environment will be configured to the specifications for the B2B/EDI infrastructure of your hub – the supplier or customer who has initiated this digital transformation. However, you now have the perfect foundation to connect to further business partners and start automating and digitalizing your own business processes.
2. Another scenario is that you are the hub, i.e. the initiator of the automation of your business processes, because you want to benefit from the advantages electronic data interchange can offer your company. By adopting EDI for digital data interchange, you gain a competitive edge by making your processes more transparent, secure and efficient.
Plan and design your EDI environment according to your needs, and decide which processes and which business partners (spokes) are part of the EDI integration.
Regardless of how the need for EDI arose in your company, you will need a detailed list of business partners with whom you can usefully implement the solution.
Which processes are to run via EDI in the future?
Did an external request prompt the decision to implement EDI within your company? Do you want to keep your company competitive by automating business processes? However you arrived at the decision to implement an EDI solution, it is crucial to carefully determine and specify the processes that will be automated using EDI. Factors to consider include supplier or customer requirements as well as the scope of your own ERP system.
Does my ERP already have the necessary interfaces?
If you are already working with an ERP system, it is important to find out whether it is EDI-compatible. In order to communicate with an EDI system, your ERP system needs certain interfaces. Most ERP systems already contain these interfaces. If you use a home-grown ERP system, you will probably need to still have the necessary interfaces developed.
Have you checked our connector page to see if we have already developed a way to connect to your ERP system?
Which messages will I need to send or receive?
Before you can electronically exchange data with another partner, both sides need to decide on a technical standard. Various organizations, including the UN, ANSI, DIN and the German VDA, have defined these standards.
The most commonly used format is UN/EDIFACT message (United Nations rules for Electronic Data Interchange for Administration, Commerce and Transport). This format contains a number of variations, usually by industry, for example EANCOM. These variations are referred to as subsets.
In-house messages are individually adapted to the particular needs of the in-house system.
Look at a list of current message standards and EDIFACT messages.
What communication protocols should I use for EDI?
Data can be exchanged using a mailbox system, a point-to-point connection or over the internet. You need to consider, do you want a system independent of your communication partners, to cultivate intensive communication with your business partner, or just to transport small amounts of data at low cost?
What’s the best way to deploy an EDI solution?
We offer EDI as stress-free, fully managed cloud-based services, particularly suitable for companies who don’t have the resources for 24/7 operations.
The SEEBURGER BIS B2B/EDI capabilities are also available as an on-premises package that you can install in the public cloud of your choice, in your own private cloud or on in house hardware.
Would you like to keep control of some aspects in house while outsourcing others? Our Integration Platform as a Service (iPaaS) lets you choose what to manage in-house, while outsourcing other more mundane tasks to SEEBURGER.
We even offer WebEDI for connecting trading partners that have no ERP system or a low message volume, as well as partners that are new to EDI.
What expenses should I expect?
Experience from larger EDI projects that require EDI integration has shown that software license and hardware costs only account for 20 to 30 percent of the total deployment and operating costs during the first three years.
Organizational measures, adapting the EDI solution to company-specific requirements, operating and further developing the system account for the majority of these costs.
To achieve economical utilization of EDI solutions, it is essential to have a long-term B2B/EDI integration strategy in place that considers a company's future needs. One consideration for a B2B/EDI integration strategy is using API capabilities to complement batch processes for EDI files with real-time API processes. Regardless of the EDI solution and EDI integration strategy that you choose, the guiding principle for any EDI project is always strategy before organization, organization before technology.
