You have just been told by Wal-Mart, the largest retail chain on the
planet, that you can no longer count on Wal-Mart remaining a customer unless you
adopt EDI.
Manufacturers and suppliers need to be in “technology
sync” with their big box customers (K-Mart, Home Depot,
Target, Wal-Mart and others). They must have back office
technology which communicates with the paperless environment
now found with most large retail companies like Wal-Mart and
Target. There is an urgent need for this technology.
These large companies realize that they lose profits every
time a piece of paper needs to be handled and dealt with by
a human being . As a result, they are
basically telling suppliers to either get EDI, or they will
no longer be able to do business with them.
Generally speaking, EDI is considered to be a technical
representation of a business conversation between two
entities, either internal or external. Note, there is a
perception that "EDI" consists of the entire electronic data
interchange paradigm, including the transmission, message
flow, document format, and software used to interpret the
documents. EDI is considered to describe the rigorously
standardized format of electronic documents.