In the days before the internet, EDI networks were more commonly referred to as “Value Added Networks” (VANs). A VAN is a secure, private network provider whereby EDI documents are transmitted and exchanged. It’s basically an electronic, commercial version of the US Postal Service. Or, in layman’s terms, it’s a channel of communication to move your company’s data from point A to point B.
With the internet’s growth in popularity over the last few decades, VAN providers began offering additional services like EDI translation, encryption, management reporting and secure email. Due to value added services like these, the vast majority of EDI still occurs through these networks.
An EDI VAN receives electronic messages from senders, organizes the messages for their intended recipients and delivers them to each recipient’s inbox. To do this, EDI VAN uses electronic “mailboxes” for each trading partner using the service.
First, a trading partner transmits an electronic message via the internet. The electronic message is then sorted to the recipient’s mailbox until it is sent to the recipient.
You can use an electronic mailbox via EDI VAN regardless of if you send EDI messages, receive them or both. You can also access your mailbox 24/7 so that your business can communicate at any time.
An EDI VAN offers a B2B network of electronic communications, an array of value added services and facilitated communication protocols. When your company utilizes EDI VAN, you get seamless and automated communication channels and multiple formats for EDI translation. Below, we’ll take a closer look at some of the key advantages of using EDI VAN.
EDI VANs allow you to use multiple protocols to send data and to employ the data format best suited for the organization.
Your incoming and outgoing data are typically audited to help you detect errors. EDI VAN uses a system of checks and balances and may provide corrections and adjustments as a way to enable successful transmissions of data.
Say “hello” to significantly faster data exchanges. With EDI VAN, manual processing is typically eliminated and, as a result, this reduces the risk of error and time delays. Documents are sent directly from one business to another, which saves you time and resources.
Your incoming and outgoing data are typically audited to help you detect errors. EDI VAN uses a system of checks and balances and may provide corrections and adjustments as a way to enable successful transmissions of data.
Most retailers require EDI testing and compliance to be met and complied with by their supply chain vendor community. Their preferred EDI method of communication is typically EDI VAN. Going through an EDI VAN can facilitate and simplify the EDI overall.
With 24/7 access to EDI VAN, your business can securely exchange information anywhere in the world at any time. You can count on this unrestricted accessibility without time constraints or disruption to your daily business operations.
With EDI VAN, you get a web tool and corresponding reports that help you track the data you exchange with your business trading partners and monitor its delivery status.
In most cases, a business’s first exposure to EDI happens via EDI VAN. This is a good gateway to the world of EDI, regardless of your company’s size and expertise. If your business is small, you can use EDI VAN to grow bigger. Larger companies can utilize EDI VAN to exchange data and conduct business with smaller companies. Ultimately, you’ll find EDI has a lot to offer companies of all sizes in a variety of industries.
