Think of this as your “big picture map” – the one you pull out whenever someone asks, “So how does EDI actually work?”
1. What EDI Really Does
EDI is just the backbone of automated communication between companies.
It moves documents like:
- Purchase Orders
- Shipping Notices
- Invoices
- Inventory updates
- Transport instructions
from one system → to another, without human intervention.
2. The Core Components of Any EDI Flow
Almost every EDI ecosystem has these four pillars:
1. Trading Partner (Customer / Supplier)
The business sending or receiving the document.
2. Transport Layer (How data travels)
- AS2
- SFTP
- VAN
- API (modern alternative)
3. Integration Layer (Boomi, MuleSoft, SAP PI, Dell ECS)
This is the translator, validator, and “smart router.”
It:
- Picks up the file
- Validates structure
- Transforms/mapping
- Applies business rules
- Sends it forward to ERP/warehouse
- Logs and monitors everything
4. ERP / Core Business System (D365, SAP, Oracle, Sage)
This is where the real business action happens:
- Orders created
- Shipments generated
- Invoices raised
- Inventory updated
3. EDI Flows
Inbound EDI Flow (Customer → You)
Trading Partner → Transport (AS2/SFTP) → Integration Platform → ERP/WMS
Breakdown:
- Trading Partner sends a document (e.g., ORDERS / PO)
- The document travels via AS2/SFTP
- The integration platform (like Boomi) picks it up
- It is validated, translated, and mapped
- The ERP/WMS receives a clean, structured payload
- Order automatically appears in the system
Outbound EDI Flow (You → Customer)
ERP/WMS → Integration Platform → Transport (AS2/SFTP) → Trading Partner
Breakdown:
- ERP creates shipment/invoice
- Integration platform extracts the data
- Transforms it into EDI format
- Sends to partner over agreed method
- Partner loads it into their system
4. What Happens in the Mapping Layer
Mapping is the “bridge” between two worlds.
It takes:
- Your system’s fields
- Their system’s fields
- And aligns them
Examples:
- Your ItemCode → Their ProductID
- Your UOM “Each” → Their “EA”
- Your OrderID → Their ReferenceID
This is the layer where most errors happen — and where integration developers spend most time.
5. Why EDI Is Critical to Business Operations
Here’s the general pitch:
- Orders flow automatically
- Customers get shipments on time
- Warehouses work on real-time instructions
- Invoices are generated without delays
- Retailers stay compliant
- Cost goes down
- Human error disappears
In short:
EDI keeps the supply chain breathing.
6. The Most Common General Document Types
Inbound examples:
- ORDERS: Customer buys goods
- INVRPT: Customer sends inventory status
- INSDES: Warehouse receives pick-pack-ship instructions
Outbound examples:
- DESADV/ASN: Shipping notice
- INVOIC: Invoice
- ORDRSP: Accept/reject PO
7. Generalised EDI Architecture
“Every EDI ecosystem has the same general pattern:
A trading partner sends structured data → it travels through a transport method like AS2 or SFTP → an integration layer validates and translates it → and the ERP/WMS consumes it.
In the reverse direction, the ERP/WMS triggers outbound messages → the integration layer formats them to the partner standard → and sends them back securely.”
8. General EDI Troubleshooting Flow
When something breaks:
- Check if file arrived (AS2/SFTP logs)
- Check if the integration picked it up
- Validate the message structure
- Check mapping rules
- Check business rules in ERP
- Replay after fixing