EDI Standard

Electronic Data Interchange (EDI) is a standardized messaging framework developed by industry groups for exchanging information between trading partners in a structured, pre-determined format.

Early electronic interchanges were based on proprietary formats agreed upon between two trading partners. Because of differing document formats, it was difficult for a company to exchange data electronically with many trading partners. A standard format for data exchange was needed.

In the late 1970s, work began on national EDI standards. Together, users and vendors created a set of data formats that were hardware-independent and unambiguous, which reduced the labor intensive tasks of exchanging data and allowed the sender of the data to control the exchange.

Although today many syntax exist for EDI, American National Standards Institute (ANSI) X12 and UN Electronic Data Interchange For Administration, Commerce are the most widely recognized. ANSI X12 is an EDI standard developed and used mainly in the United States. Standards are mandated for use within the United States government.