While Electronic Data Interchange (EDI) has been extensively used since the late 1960s, there are many companies that rely on legacy systems for streamlining B2B transactions. Legacy B2B transactions, such as Purchase Orders, Invoices, Advance Ship notices, Sales Orders, and Functional Acknowledgement receipts, encompass a set of steps to process. In order to process these business transactions, companies need access to multiple paper documents and a lot of human intervention, which makes them prone to mistakes and risky errors. However, with the support of EDI, the use of paper documents is almost eliminated.
EDI empowers companies to automate data exchange between different applications across supply chain ecosystems. This particular process ensures that complex, bi-directional data is transferred and exchanged on time. According to a market report, the market size was expected to reach $2.1 billion by 2018 and $2.1 billion by 2020. But what are the benefits of EDI over legacy solutions of business communication and data exchange?