u10.pptVIP

Unit10 Electronic Data Interchange(EDI) Definition of EDI EDI is rransfer of data from one computer to another by electroinc means,using agreed standards. The growth of EDI started in 1960s with banks,then developing with freight forwarding,shipping and airlines,and then more recetly expanding into retailer enviroment.As an example of the latter,in 1997 the supermarket chain Asda had 98% of orders,85% of invoices,and 60% of payment via EDI. Unit10 Electronic Data Interchange(EDI) Types of data transferred The EDI allows the automatic processing and routing of transactions between communicating partners.The main types fo data transferred by EDI are as follows: Trade data,such as quotations,purchase orders Consignment details,such as freight manifests,delivery documents Unit10 Electronic Data Interchange(EDI) Techcical data,such as product specification Query responses,such as progress on orders Monetary data,such as financial payments,invoices,statements Much of the data is fundamental to effective logistics and supply chain operations. Information up and down the supply chain can be shared to agree the projected stock cover.There is then visibility across the supply chain amongst trading partners,individual businesses,and all those functions which are viewed as part of the overall supply chain.The amount of stock,the movements between supply chain partners,and the comsumption rates at each stage can be accurately measured. Unit10 Electronic Data Interchange(EDI) Use of EDI in the supply chain Electronic point of sale(EPOS)technology is the capture of data on electronic files at the point where a sale takes place.EPOSdata is sent via EDI to the retailer’s regional warehouses and to their headquarters.This triggers replenishment from the manufacturer’s stock to the retailer’s warehouse.Shorter lead times and lower stock levels result. Unit10 Electronic Data Interchange(EDI) EDI enables the supplier and the customer to view each other’s operations.This reduces the nee