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EDI 101An Introduction to Electronic Data Interchange and its benefits

Agenda1. Automate Order and Invoicing TransactionsData Transfer OptionsWhat is EDIWhat are EDI DocumentsHow does EDI workEDI Integations

Introduction – Rick Pozniak Canadian Electrical Industry lifer Sonepar and Rexel organizations Experience in Sales, Marketing,Industrial Automation, BusinessDevelopment and Ecommerce Recently graduated from University ofBritish Columbia’s Digital Leadershipprogram

Why Automate Order and Invoicing TransactionsMost orders have followed thesame manual ordering process fordecades. It involves entering andre-entering data over and over,taking time and creating errorsBy creating maps that read thecritical information on documentsand following common standards ontransmission, Purchase Orders andInvoices and be transmitted andconsumed automaticallyBuyer generates PurchaseOrder in their internal systemBuyer enters Invoice intheir internal systemSent via Mail, Fax,Phone, Email, SMSSupplier enters Order into internalsystem. Creates Invoice when shippedSent via Mail, Fax,Phone, Email, SMSBuyer generates Purchase Order in theirinternal system and PO is automaticallyformatted and sent to SupplierInvoice enteredautomatically intointernal systemOrder entered automatically into Supplierinternal system. Invoice generated and sentautomatically when product shipped

Benefits of Transactional Automation Reduced costsReduced errorsShorter business cycleImproved business efficiencyImproved Data SecurityEase of AuditingStrategic Business BenefitsImproved Data Quality

Different Options For Digital Data Transfer M2MEDIXMLAPI’sOthers

What is EDI?Electronic Data Interchange (EDI) is the computer-tocomputer exchange of business documents, such aspurchase orders and invoices, in a standardelectronic format between business partners, suchas manufacturers and distributors.

Different Types of EDI DocumentsOrder Series (ORD)Materials Series (WAR)Financial Series (FIN)Warehousing Series (WAR)Delivery Series (DEL)

Most Commonly Used EDI Documents Purchase Order (850)Invoice (810)Purchase Order Acknowledgment (855)Advance Ship Notice (856)Product Catalog (832)Remittance Advice (820)

How does it work?This becomesthis

How does it work?The EDI document is sentvia number of differentoptions to your partner –either through a directconnection or a third partynetwork

How does it work?The EDI documentis translated backto a format thereceivingcompany’s ERP canrecognize anddocument isprocessedautomatically

What are the Key Components of an EDI integrations IntegrationCommunication (Data Sharing)MappingTranslationData Quality

EDI StandardsTwo most common EDI StandardsANSI X12EDIFACTIs XML a EDI Standard?

EDI Evolution

How do you implement an EDI Program? Do-It-Yourself Third Party platforms and integrators

When is the time to implement an EDI Program?“The price of doing the same old thing is far higherthan the price of change.”- Bill Clinton

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An Introduction to Electronic Data Interchange and its benefits. Agenda 1. Introduction 2. Why Automate Order and Invoicing Transactions . (850) Invoice (810) Purchase Order Acknowledgment (855) . Two most common EDI Standards ANSI X12 EDIFACT Is XML a EDI Standard? EDI Standards. EDI Evolution