EDI Communication is processed via computers rather than people. Not unlike a wall socket, there are certain standards. This allows all computers to read and understand the information. For example, if all wall sockets were not the same, retailers would not be able to create a standard plug for all electronics.
A Standard format makes sure that all documents are in the same format. This includes for example decimals, mmddyy and integers. Without standards, not all computers would understand the language. There are several global EDI standards. There are many versions for each standard. Before any EDI communication can be concluded, both businesses must agree on the same standard. This will ensure that all both sides speak the same language. Businesses often use an EDI translator. This is implemented to translate the EDI format.
Additionally, EDI uses various protocols. A protocol refers to the independent communication methods. A common way is known as Applicability Statement 2 (AS2). This is a security protocol often used for transmitting documents over the internet.