Definition for EDI

EDI: EDI is the acronym for Electronic Data Interchange. It is generally used to describe the exchange of data between businesses or organizations. This data could be anything from patient health records; to diagnostic and test results; to purchase orders; to shipping details; and much more. Previous to the widespread adoption of the internet for EDI, it was usually conducted over private EDI networks or direct business to business connections such as frame relay or direct dial up modems. Historically EDI used a variety of data formats that were usually agreed upon by both parties; dictated by the larger party, or based on a standardized format. Standardized formats were not the most popular choice except along larger organizations due to the lack of flexibility or availability to smaller scale operations. Luckily this has been rapidly changing as the internet has become nearly ubiquitous to businesses of all sizes. Many modern EDI implementations now use a combination of XML and HTTP to provide or consume web services that makes the exchange of information much easier for businesses of any size.

Glossary