Communication

Various communication channels can be used to conduct EDI business transactions. The Value Added Network (VAN) service, developed alongside EDI, is the most widely used platform in Europe. There are, however, alternatives which may better suit your business needs. Whichever communication channel is chosen, a computer and one Internet connection are required to send and receive EDI transactions.

The Value Added Network
Value Added Networks (VAN) were primarily adopted to solve the problem of connecting to trading partners who operate different communication protocols. The VAN provides a 'one-stop shop' communication channel to all trading partners. In addition, they offer the security of reliability and audit trail as data traverses their network between the trading partner mailboxes.

Communication alternatives
Trading partners with fewer electronic business transactions may find the cost of running a VAN service less efficient. Other communications channels worth considering include:

Point-to-point telephone direct connection

  • Using dedicated leased lines (always on)
  • Telephone dial-up (as required)

Point-to-point internet direct connection

  • Using ADSL or Broadband (always on)
  • Telephone dial-up (as required)

These channels offer a more cost effective connection rate in spite of some drawbacks. For example, trading partners using telephone lines will incur additional costs (labour and hardware) necessary to manage all the physical connections for each and every trading partner. In the case of the internet, the security, reliability and audit trail is significantly diminished.

Technical considerations
Using any of the communication channels listed above will require the use of a data transport protocol to send data messages. A transport protocol will be mutually agreed with your connection partner (VAN or trading partner). Some examples of transport protocols are X.25, SNA, 3780, FTP, TCP/IP, AS1, AS2.