What is EDI?

EDI or Electronic Data Interchange is a communication technology of exchanging business documents like invoices, purchase orders, sales orders and advanced shipping notices, in a standard electronic format, as an alternative for traditional paper-based communication. This is a computer-to-computer communication mechanism where you don't need to rely on people as in regular Fax, Postal services or Email services. Electronic Data Interchange proves its worth by increasing efficiency, improving accuracy and lowering costs in the business world.