What does the acronym EDI stand for in business communications? 🔊
The acronym EDI stands for Electronic Data Interchange. It refers to the structured transmission of data between organizations using standard electronic formats. EDI enables businesses to exchange documents such as purchase orders, invoices, and shipping notices efficiently and accurately without manual intervention. By automating these communications, EDI reduces errors, accelerates transaction processing, and enhances collaboration between trading partners. This technology is critical in optimizing supply chain management and improving operational efficiency.
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