the customer order system, admitting the opportunity of keying errors. However, information that passes directly between computers without having to be re-entered eliminates the chance of transcription error. There is almost no chance that the receiving computer will invert digits, or add an extra digit; thus ending the human error element.The cost of sending an electronic document is not a great deal more than regular first class postage. Add to that the cost reductions afforded by eliminating the re-keying of data, human handling, routing, and delivery. The result is a substantial reduction in the cost of a transaction. Expense, Networking Complexity, and Alternatives are the drawbacks of EDI. Although these benefits are convincing, actual acceptance and execution of EDI was far less common than might be expected. For all the benefits, the technological problems of EDI presented a number of major stumbling blocks. “Computers, especially mainframes, and their business application systems were complex and expensive. Primarily serving the “on the edge” functions of a business, they were not regarded as being fully joined into all business activities”. 2 Traditionally, the mainframe-computing consciousness was viewed as an information reservoir. EDI required that information technology be extended beyond core functions. So while there were substantial savings to be gained from the use of EDI, the cost of re-designing and deploying software applications to conform EDI into an existing portfolio of business applications was high enough to offset the anticipated advantages. The need for telecommunications capability posed a second major barrier for EDI implementation. Beyond the computer, a basic requirement of EDI is a means to transmit and receive information to and from a wide variety of customers or suppliers. This required a large investment in computer networks. Unlike the mail, to send electronic documents ther...
