EDI Insights & Facts: September 2025

Monday, 22 September 2025

Different EDI formats (standards) for exchanging data

EDI (Electronic Data Interchange) has evolved over decades, and different industries, regions, and trading partners use different EDI formats (standards) for structuring and exchanging data. Some of the formats are

1. ANSI ASC X12 (North America)

Developed by the Accredited Standards Committee (ASC) X12.
Widely used in the United States and North America.
Covers multiple industries: retail, healthcare, logistics, government, finance.
Example: 850 (Purchase Order), 810 (Invoice), 856 (Advance Ship Notice).

2. UN/EDIFACT (International)

Stands for United Nations/Electronic Data Interchange for Administration, Commerce, and Transport.
Widely used in Europe and globally.
More internationally accepted than X12.
Example: ORDERS (Purchase Order), INVOIC (Invoice), DESADV (Advance Shipping Notice).

3. TRADACOMS (UK Retail Industry)

Predecessor to EDIFACT, mainly used in the UK retail sector.
Developed by the GS1 UK standards body.
Now mostly replaced by EDIFACT.
Example: ORDHDR (Order Header), INVOIC (Invoice).

4. ODETTE (European Automotive)

Organization for Data Exchange by Tele-Transmission in Europe.
Mainly used in the European automotive industry.
Helps standardize supply chain transactions between OEMs and suppliers.
Example: Delivery Schedules, Shipping Instructions.

5. VDA (German Automotive Industry)

Verband der Automobilindustrie (German Association of the Automotive Industry).
Specific to German automotive manufacturers like VW, BMW, Daimler.
Still widely used in Germany, but transitioning to EDIFACT/ODETTE.

6. HL7 (Healthcare)

Health Level Seven standard for healthcare data exchange.
Used to transmit clinical and administrative data between healthcare providers.
Example: Patient admission, lab results, claims processing.

7. HIPAA EDI (US Healthcare – subset of X12)

HIPAA mandates specific EDI transactions for healthcare providers, insurers, and payers in the US.
Example:
- 837 (Healthcare Claim)
- 835 (Payment/Remittance Advice)
- 270/271 (Eligibility Inquiry/Response)

8. RosettaNet

XML-based EDI standard for high-tech and electronics industries.
Used for supply chain automation in semiconductors, IT, and telecommunications.

9. XML / JSON-based EDI (Modern formats)

Newer companies are adopting API-driven data exchange with XML or JSON payloads.
Example: Amazon Vendor Central uses XML EDI over AS2/AS4.
JSON is often used in API-EDI hybrid integrations.

Sunday, 14 September 2025

EDI vs. API: Key Differences in B2B Integration

Both EDI (Electronic Data Interchange) and API (Application Programming Interface) enable data exchange between business partners — but they do it in different ways.

What is EDI?

A standardized format for exchanging business documents (PO, Invoice, ASN, etc.).
Batch-based: documents are sent in structured files (X12, EDIFACT, VDA).
Works well for large-scale, regulated industries (retail, healthcare, automotive).

Example: A retailer sends an EDI 850 Purchase Order to a supplier.

What is API?

A real-time communication method between applications.
Data is exchanged instantly using web technologies (REST, JSON, XML).
Works best for instant updates (inventory checks, shipment tracking).

Example: An eCommerce site calls a supplier’s API to get livestock availability.

Cloud-Based EDI Integration: The Future of B2B Data Exchange

For decades, companies relied on on-premises EDI systems—servers and translators installed inside their IT landscape. While reliable, they were costly to maintain, slow to scale, and hard to upgrade.

Now, businesses are shifting toward Cloud-Based EDI Integration platforms, which deliver EDI as a service.

Cloud-Based EDI simplifies integration, speeds up partner onboarding, and reduces costs—making it the go-to choice for modern supply chains.

What is Cloud-Based EDI?

It’s an EDI solution hosted on the cloud, managed by a vendor, and accessible via the internet. Companies don’t need to install heavy software or manage servers; instead, they subscribe to an EDI service provider who handles connectivity, standards, and compliance.

Key Benefits

Lower Costs – No upfront investment in servers or complex software.
Scalability – Easily add new trading partners, formats, or volumes.
Faster Onboarding – Pre-built connectors for retailers, healthcare payers, logistics, etc.
Global Compliance – Support for PEPPOL, e-Invoicing, HIPAA, GS1 standards.
Real-Time Visibility – Dashboards for monitoring transactions (e.g., 850 POs, 856 ASNs, 810 Invoices).

When to Choose Cloud EDI?

If your company is growing and adding multiple trading partners quickly.
If you want to replace legacy EDI translators and reduce IT overhead.
If your industry requires regulatory compliance (e.g., healthcare, retail, government).

EDI Insights & Facts