SAP EDI

What is SAP EDI?

EDI stands for electronic data interchange. EDI is a technology that helps business partners exchange standard electronic business documents in an automated fashion and over a secure, standardized connection. It replaces manual business-to-business (B2B) communications like fax, email, and postal mail, and allows for a computer-to-computer exchange.

In SAP, EDI is used for transmitting documents between an SAP system and an external system. External systems could belong to a customer, vendor, or business partner. The data is transmitted using documents called IDocs.

EDI is a critical technology for SAPinsiders, according to our research. Slightly more than half of respondents said they are using EDI to integrate solutions with their ERP systems. Respondents said they are using EDI in combination with other SAP integration tools to meet their integration requirements.

Key Capabilities and Benefits of SAP EDI

What is SAP EDI?

EDI stands for electronic data interchange. EDI is a technology that helps business partners exchange standard electronic business documents in an automated fashion and over a secure, standardized connection. It replaces manual business-to-business (B2B) communications like fax, email, and postal mail, and allows for a computer-to-computer exchange.

In SAP, EDI is used for transmitting documents between an SAP system and an external system. External systems could belong to a customer, vendor, or business partner. The data is transmitted using documents called IDocs.

EDI is a critical technology for SAPinsiders, according to our research. Slightly more than half of respondents said they are using EDI to integrate solutions with their ERP systems. Respondents said they are using EDI in combination with other SAP integration tools to meet their integration requirements.

Key Capabilities and Benefits of SAP EDI

• Strategic benefits: real-time visibility into transaction status and shorter lead times on product enhancements and delivery.
• Digital transformation: supports electronic commerce with modern exchange of information.
• Environmental benefits: support sustainability as electronic alternatives replace paper-based processes.

Key Considerations for SAP EDI

Integrate EDI into your strategic integration plans. A Swiss-based, multi-national specialty chemicals company needed to replace its file-based integration model with a real-time web services-based integration. Serving the automotive industry, which runs primarily on EDI-based processes, the company focused on EDI as its main use case. Integrating EDI as well as non-application programming interface gateway applications, the company has built many interfaces and integration scenarios. It is prepared for further expansion, a growing hybrid SAP landscape, and cloud-to-cloud and cloud-to-on-premise integrations. Read the full integration story.

Support customer needs with electronic commerce. Marty Menard, CIO of Pacific Coast Companies Inc. (PCCI), credits the agility of his IT shop, in part, to its ability to take on more EDI projects for its customers. “In 2020, we had eight to 10 EDI projects. This year we have 28, so three to four times what we thought we were going to have. The business has completely turned a corner. COVID-19 has taught customers and suppliers that using digital transformation does make a difference. They don’t need paper and they do need electronic commerce,” Menard says.

Enhance EDI with the latest integration platform for a modern environment.  SAP Cloud Platform Integration Suite is SAP’s recommended integration platform for simplifying and accelerating integrations for both SAP and third-party integration scenarios. It supports B2B and EDI integration scenarios. It’s possible that you’re still running SAP Process Integration and SAP Process Orchestration. Consider modernizing your SAP EDI integration scenario with SAP Cloud Platform Integration Suite.