Electronic Data Interchange

Electronic Data Interchange

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 Electronic Data Interchange
http://www.itl.nist.gov/fipspubs/fip161-2.htm

Electronic Data Interchange is the computer-to-computer interchange of strictly formatted messages that represent documents other than monetary instruments. EDI implies a sequence of messages between two parties, either of whom may serve as originator or recipient. The formatted data representing the documents may be transmitted from originator to recipient via telecommunications or physically transported on electronic storage media.

In EDI, the usual processing of received messages is by computer only. Human intervention in the processing of a received message is typically intended only for error conditions, for quality review, and for special situations. For example, the transmission of binary or textual data is not EDI as defined here unless the data are treated as one or more data elements of an EDI message and are not normally intended for human interpretation as part of on-line data processing.

An example of EDI is a set of interchanges between a buyer and a seller. Messages from buyer to seller could include, for example, request for quotation (RFQ), purchase order, receiving advice and payment advice; messages from seller to buyer could include, simi- larly, bid in response to RFQ, purchase order acknowledgment, shipping notice and invoice. These messages may simply provide information, e.g., receiving advice or shipping notice, or they may include data that may be interpreted as a legally binding obligation, e.g., bid in response to RFQ or purchase order.

Electronic Data Interchange is being used also for an increasingly diverse set of concerns, for example, for interchanges between healthcare providers and insurers, for travel and hotel bookings, for education administration, and for government regulatory, statistical and tax reporting.

EDI is the computer to computer exchange of routine business information in a standard format. Working with the contracting community, DFAS has implemented EDI transactions to support commercial pay and accounting processes. These EDI transaction sets eliminate the need to re-enter critical data in commercial pay systems and accounting systems. Implementing EDI invoicing capability, coupled with increased use of Electronic Funds Transfer (EFT), have been a major factor in decreasing errors and improving payment processing. Additional areas where EDI has been implemented are: Garnishments, Grants, Purchase Card, Travel, Transportation and Medical Logistics. EDI Implementation Guides  - (PDF - 362kb - Apr 2011)   The use of EDI for the submission of commercial invoices include only the Enterprise Business System (EBS) - previously SAMMS & BSM. The following implementation guides contain information pertaining to what is needed to participate with the DFAS EDI invoicing process: EDI 810 3050 Implementation Appendix  - (PDF - Jun 2011) EDI 820 4010 Remittance Appendix  - (PDF - Jun 2011) For more information, contact the DFAS Columbus Customer Service at 1-800-756-4571.

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