Understanding the Basics of EDI

1
NEECOMSpring 2007

• Understanding the Basics of EDI
• Friday, May 18, 2007

Bob Lyttle [phone] [phone]
fax Assistant Vice President-Sales, Kleinschmidt
Inc. bob_lyttle_at_kleinschmidt.com
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There Once Was a Man Named
ED
Who Had a Dream..
3
EDI is Like Kids
(1983)
4
Words of the Trade
Trading Partner Transaction Set Network Value-Adde
d Network Internet Mailbox Translation

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Electronic Data Interchange
The exchanging of business data between
applications ...While Maintaining a Business
Relationship
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Evolution of Standards
1960s 1970s 1980s 1990s Company
Specific Industry Specific Cross Industry Cross
Industry Domestic Domestic Domestic Internation
al Proprietary TDCC X12 EDIFACT Ford Transpor
tation VICS XML
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Its Data Processing
8
P.O.
850
204
BOL

940
WBOL

Invoice
210/810
214
Status
Transaction Sets
Documents
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Transaction Set
ST210100199 B3ROA08995085020205PPL9612304
6386961217035961211 N9BM85020205 G628696
1211 N1SHJOESCHOCOLATE USZZJOCEOC N3MAIN
STREET N4STURATIL24477 N1CNCONSIGNEE
CO N34O EAST MAIN STREET N4KINGSIL170712 N7
488TR N7772TL LX1 L51CONFECT
IONERY LD144099N2697PCSL L11457.00
FR45700 L71AR LX2 L52FURL
SURCHARGE L12686FUE L12S-015 L
344099G463862697 SE23-100199
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Functional GroupGS/GE
GSINSCACSHIPPERID991230104520X004010
ST21089898988
SE2589898988 ST210345432
SE14 345432 ST21076543
SE3376543 ST210777705
SE28777705




GE420
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Interchange Envelope
ISA000002SCACZZSHIPPERID9912301045UOO300
12345670P
GSINSCACSHIPPERID991230104520X004010
ST21089898988 SE2589898988
ST210345432 SE14 345432
ST21076543 SE3376543
ST210777705 SE28777705 GE420 GSSH
SCACSHIPPERID991230104534X004010
ST85645456 SE3345456
ST856555566 SE47555566
ST85676543 SE3376543 GE334 IEA212
34567







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EDI Defined
EDI is the application to application exchange of
information. in a
standard format and/or between entities.
Not necessarily
Connectivity
Two fundamental issues for EDI
EDI
Data Format
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Communications
VAN
Internet
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Internet Connectivity Options
Asynchronous
Bisynchronous
TCP/IP FTP
ISDN
Internet
Leased Line

Frame Relay
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AS 1/AS2
Existing System Bysync FTP Direct
Value Added Network (VAN)
Research Options Purchase Install Test Support (24
X7 web server)
AS1/2
Time, Staff, Dollars
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Integration of EDI
EDI has been defined as the application to
application exchange of information. Integration,
the linking of the inbound/outbound files to
business application(s), is the key to cost
savings, process improvements, and successful EDI
implementation.
EDI Success
INTEGRATION
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One to One E-Commerce Relationship (Proprietary)

BOL
Flat File
Must Be Defined!!!
Internal data capabilities Trading partner data
requirements
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One to Many E-Commerce Relationship (Proprietary)
BOL
Flat File
BOL
Flat File
BOL
Flat File
Each
Internal data capabilities Trading partner data
requirements
Must Be Defined!!!
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Formatting or Translation
E-Commerce Software
Standards (X12) (ANSI)
BOL
BOL
Flat File
Flat File
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E-Commerce Standards Software (EDI Translation
Software)

204-3040
T.P. File

Version delimiters communications data
fields FAs
BOL
Flat File
T.P. File
204-3030
T.P. File
204-4010
Internal data capabilities Trading partner data
requirements
Must Be Defined!!! Must be Maintained!!!
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In-Network Translation
File Format Choice
Trading Partners
Outbound
File Format Choices
850/810
VICS
X12
XML UCS
WINS
CLM
204/211/214
TDCC
EDIFACT
Flat Files/ XML
Inbound
OtherNetworks
UN/EDIFACT
File Format Choice
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Electronic Commerce
Fax Flat File Standards E-Mail Web Forms
Flat File
Flat File
Direct VAN Internet E-Mail Telephone
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Application Integration Services (AIS)
Firms perform file edits between their
application file formats and the file formats
(EDI standard or proprietary) they exchange with
their trading partners.
Application Ready Files
Trading Partners
Application Interface Services U.S. to
Metric Cases to Units Add Vendor Number Part
Numbers and More!!
Translation Services Version Changes X12 to
EDIFACT Flat File to X12 and More!!
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Web-Based Forms
Company sponsored Web Form as part of total EDI
program.
Download
VAN
Any Web Browser
Send
Forms may be unique to a particular trading
partner, in a generic format for an industry, and
may be presented in a typical windows form
layout. These forms have unique passwords which
control access by form and by partner.
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Trading Partner Expansion Services
TRADING PARTNERS
Company
Reiterate your Message Inform
Educate on diverse choices Testing and
continuing support
Partner List Contact Data
EDI Message
VAN
You get informed EDI capable TPs!!
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Implementation Strategies
I have yet to see any Problem, however
complicated, that when looked at in the right
way, did not become more complicated
Paul Anderson, Writer
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They Are Still Kids
(2001)
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Seven Steps To Success
Strategy
Understanding
Commitment
Control
Education
Staffing
Schedule
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Special Thanks
Edward A. Guilbert