300+ [UPDATED] EDI (electronic data Interchange) Interview Questions

1. What Is Edi?

Electronic Data Interchange is the exchange of business documents, such as purchase orders and invoices, between business partners in a common format directly from one computer to another.

2. Who Typically Uses Edi?

EDI is used in nearly all the major industries such as automotive, aerospace, retail, finance and CPG sectors. EDI is regarded as the standard for the electronic exchange of documents from one company to another.

3. What Is A Business Partner?

An EDI business partner is simply another company that you exchange documents with. Most OEMs will have a large network of business partners which are sometimes referred to as ‘Trading Communities’.

4. An Edi Partner That I Am Working With Has Asked Me To Use A Specific Edi Solution, Do I
Need To Use Exactly This Method To Send Documents?

EDI solutions are regarded as universal in nature and there are a number of functioning standards in existence which govern how companies should send EDI documents to one another. Your exact choice of which EDI solution to use should be aligned with those which suit your business requirements the best.

5. Is Edi Difficult To Implement?

EDI can be implemented almost immediately, depending on the type of EDI solution chosen. If it is a web-based solution hosted by your customer or client, then all you will need to do is log into their web portal and simply fill in the necessary online forms before sending the required documents. More complex systems will require software to be installed on your company’s network that will then allow integration with your back-office systems. An EDI system can be considered as an evolving solution. As your business grows and you begin trading with more partners, the complexity of your EDI system will grow as well.

6. What Is The Difference Between Edi Provided By A Van And Edi Delivered Over The Internet?

VAN stands for ‘Value Added Network’, which is private network where EDI traffic is exchanged securely. Business partners will typically require an account with an EDI VAN such as GXS and this account simply acts as an electronic mailbox to both send and receive electronic documents. In addition to sending EDI documents to your business partner via a VAN it is also possible to send EDI documents between VANs, these are known as ‘interconnects’. Interconnects are beneficial in so much as they will give you access to a much broader range of business partners distributed across the world.

Whilst EDI VANs have been around for nearly 30 years now, the Internet does provide an alternative method of transferring EDI documents. Even though the business benefits of using both are similar, the deciding factor of which to use will depend upon the partner agreement that has been prepared. Ideally, both EDI business partners need to use the same method of transport, either a VAN or direct exchange through the Internet. Many of the larger companies will insist that all their suppliers should use the same method of sending documents.

7. What Types Of Edi Solutions Are Available For Me?

Essentially there are three types of EDI solutions: EDI software, web-based EDI and EDI service bureaus. EDI software resides directly on a computer that your company owns and offers the highest level of flexibility and control. EDI software also allows you to possibly integrate with back office systems, thus improving business process efficiency. EDI documents are exchanged directly between your EDI software and your business partner’s EDI software. This ‘point to point’ method of communication allows for minimal delays and reduced errors and a secure method of interacting with business partners. Since the software for web-EDI resides on the Internet, using it requires some type of internet connection. Web based EDI is an interactive process and requires manual entry of your EDI information.

This method provides little opportunity for integration and lessens the control you have over the day to day operations. Since data with a web-based EDI system is interactive, customization of the EDI process is very limited. EDI service bureaus act as EDI contractors performing your EDI operations, they will typically use some form of pay as you go method. An EDI service bureau provides the least control over your day to day operations and the smallest opportunity for data integration with your business systems.

8. Why Would I Choose An Edi Software Solution Over A Web-based Or Service Bureau Solution?

The first consideration is to understand the impact that EDI will have on your business processes. Since web-based and service bureau solutions will have a ‘manual’ element embedded in the process, there is scope for introducing errors to the business process. EDI software allows you to exchange data directly with back office systems, thus eliminating manual errors in the process. The time saved entering data and eliminating errors allows your company to spend more time improving order fulfillment and more importantly improves customer satisfaction levels. The important thing to remember is that whatever EDI solution is chosen it will impact your company’s operation moving forwards.

9. Do I Need Specific Experience To Be Able To Do Edi?

In most cases you will not need specific experience; it is directly related to the type of EDI solution you end up choosing for your business. Internet based EDI solutions are normally ‘hosted’ by a company and you merely access this through a web browser. This is therefore the simplest method of interacting with an EDI system. If you decide to implement EDI software then it would be advisable to ask your chosen EDI vendor to undertake some simple training for your employees.

10. I Have Heard Of Outsourcing It Services. Is It Possible To Outsource Edi?

Yes, as with any other form of IT technology, EDI can be outsourced to a company with the necessary resources to manage your total EDI requirements. GXS Managed Services provides an EDI outsourcing capability and this service will look after your complete EDI requirements — from developing maps to link documents together to recruiting partners to form trading communities. GXS has successfully worked with 135 companies around the world to undertake the management of their EDI infrastructures. GXS Managed Services will allow you to enable your entire supply chain, on a global basis, if required to do so.

11. I Don’t Have The Resources To Be Able To Recruit Business Partners And Explain My Edi
Strategy To Them. Is There A Way Of Achieving This Efficiently?

Yes, GXS Community Link allows a company to quickly recruit business partners to your EDI program. GXS will undertake the necessary marketing of your EDI service to your potential business partners and will work with them to ensure they are able to trade documents with your company as quickly and seamlessly as possible.

12. I Currently Use A Number Of Automotive Suppliers Based In China. Is It Possible To Trade Electronically With These Companies, If So, How Is It Achieved?

Yes, it is possible to trade electronically with automotive suppliers in China. GXS recently announced a partnership with China Enterprise Online Data Exchange Services Ltd (CEDEX). This partnership has developed one of the only trading hubs dedicated to China’s growing automotive industry. The hub allows automotive companies in China to trade documents with both their domestic and international customers. China e-AutoHub is directly connected to GXS Trading Grid which allows a seamless connection to any business partner around the world.

13. I Have Heard About Various Edi Related Industry Associations And Data Standards. Are These Important?

Yes, the industry associations are very important as they will allow you to implement industry best practices and get a better understanding of what other companies, in terms of EDI usage, are doing in your particular industry. They also work closely to develop industry standards for document exchange. These are important to understand if you want to implement EDI correctly and hence obtain a competitive advantage in the market place. Please take a look in the ‘Resources’ area of this microsite to find out further information about the numerous industry associations and EDI document types.

14. I Have Heard That Edi Is A Relatively Old Technology. Is This True?

EDI has been around for over thirty years now and is regarded as a very mature IT technology. As EDI is so entrenched within many companies it is very difficult to replace with another technology overnight. As new technology, such as the Internet, has emerged, EDI has had to embrace these new technologies to remain an efficient business tool for communicating documents between companies. EDI will be around for many years to come.

15. What Is The Difference Between Electronic Data Interchange Provided By An Edi Van And Internet Edi?

VAN a Value Added Network, often referred to as an EDI VAN, is a private network dedicated to the secure exchange of EDI data. Trading partners obtain an account with an EDI VAN such as GXS VAN, Sterling, EDS/ELIT, COVISINT INTERCONNECT etc. This account serves as an electronic mailbox for sending and receiving electronic documents.

Internet EDI is another way of communication, it’s similar to OFTP2. You r partner can send you the data to your server via Internet or vice versa.

16. What Are Different Edi Standards And Application Standards Formats?

EDI Standard : ANSI X12, UCS, EDIFACT, VDA, TREDACOM etc. Application Format Standard : IDoc, Delimited Files, CSV etc.

17. How Do I Know What Type Of File I Received?

The ST segment is the transaction set header. The ST purpose is to indicate the start of a transaction set. The ST01 is the Transaction Set Identifier Code. The ST01 uniquely identifies a transaction set. The ST01 will identify if a file is a 997, 835 or 277.

18. What Do I Do If My File Is Rejected (ak501 Not = A Or E And Ak901 Not = A Or E)?

Contact the trading partner to resend the file.

19. What Is As1, As2 And As3?

AS1 : AS2 (Applicability Statement 2) is a specification about how to transport data securely and reliably over the Internet

AS2 : AS2 (Applicability Statement 2) is a specification about how to transport data securely and reliably over the Internet. Security is achieved by using digital certificates and encryption.

Files are sent as “attachments” in a specially coded SMIME message (an AS2 message)

AS2 messages are always sent using the HTTP or HTTPS protocol (Secure Sockets Layer — also known as SSL — is implied by HTTPS) and usually use the “POST” method (use of “GET” is rare).

AS3 : AS3 (Applicability Statement 3) is the draft specification standard by which vendor applications communicate EDI (or other data such as XML) over the Internet using File Transfer Protocol (FTP).

20. What Is Difference Between 855 And 997 Ts?

855 : Used to provide for customary and established business and industry practice relative to a seller’s acknowledgment of a buyer’s purchase order. 855 is acknowledge for 850.

997 : Used to define the control structures for a set of acknowledgments to indicate the results of the syntactical analysis of the electronically encoded documents. 997 generally indicates EDI standard problems rather than business rule errors 997 is Acknowledge for all transaction.

21. What Is 824 Ts?

It result of error checking by the trading partner’s business application program.

22. Can A 997 Ts Is Used To Acknowledge 997 Ts?

No, it will cause an infinite loop.

23. What Is Ddf? Can We Created Ddf For Edi Side?

Map Editor enables you to create (save as a DDF) a DDF  file (Data Definition Format File) so that you can use it as a starting place in other maps or as a means to update existing maps.

24. What Is Isa? Isa 6,8,14,15?

ISA 6 is sender id, 8 is date, 14 is the file indicator(P/T) and 15 is sub element separator.

25. What Is Gs Control Number?

GS*6 is the group control number which is unique for one GS in side one ISA segment.

26. What Is Auto Trim Function?

Auto trim is the way to activate the EDI segment base on input file.

Instead of activating map components manually, you can use the Auto Trim function to modify the EDI side of the map according to a sample EDI file that you select.

The sample EDI file must be of the same standard, version, and transaction set (message) as the map for Auto Trim to match map components.

Delimiters for the EDI side of the map must be set to match the delimiters used in the sample EDI file.

27. What Is Writeblock(), Readblock(), Unreadblock() Function?

Writeblock() : The writeblock function writes the data contained in the argument of a string variable to the output file. The readblock and writeblock functions are used together to pass a block of data from the input file to the output file without compliance checking or testing for proper EDI syntax.

Readblock(): The readblock function reads a block of data (segment or record) from the input file and places it into the argument of a string variable. The readblock and writeblock functions are used in conjunction with each other to pass a block of data from the input file to the output file without compliance checking or testing for proper EDI syntax. Together, these functions provide a more efficient alternative of using wildcard segments, which are typically implemented in build and break maps.

Unreadblock() : The unreadblock function provides a method of moving the input file-pointer back one block (a block of data is equivalent to one EDI segment or one positional record). This function “unreads” the block of data that was just processed by the readblock function.

28. What Is Pre And Post Session Rules?

Pre-session rules define variables that have global scope (can be accessed from any other extended rule in the map). Pre-session extended rules are processed before the translation object is processed, and apply to every extended rule defined in the map.

Post-session rules are run after the translation object is processed and thus have no permanent scope.

29. What Are Indexes?

To write valid extended rules, you must understand how to use indexes. Without indexes, it is possible that a rule which moves data from one field to another may result in lost data.

An index is a number that is used within an extended rule only when referencing a field contained by a repeating record or group. This number is used to specify the exact occurrence (iteration) of the repeating group or record that you want the translator to access.

30. What Is Basic Flow Of Map Editor?

First Input file will read, then it will apply for standard rule on source side then check for extended rule then linking, then it will go to target side and apply standard rule, then extended rule.

Pre and Post rule will applicable according.

31. What Do You Understand By Promotion In Map Editor?

The Promote function extracts one iteration (instance) of one of the following map components:

• Group
• Repeating record
• Repeating element
• repeating composite

Promote is a specialized version of the Split function. For example, if you have a group with 50 iterations and you select Promote, you then have two groups: one group with an iteration of 1 and a group that iterates 49 times.

This function enables you to map unique data from a document and to type a specialized definition. The translator specifies that only one-to-one (no loop) or many-to-many (loop) mapping relationships are valid. The Promote function is available only if a group or repeating record, element, or composite is selected.

32. Different Type Of Delimiters?

Tag Delimiter:

• Segment Delimiter*
• Element Delimiter*
• Sub Element Delimiter  
• Repeating Element Delimiter  

33. What Are Edi Drivers?

• Ability to strengthen partnerships
• Improve business processes
• A communication tool to allow new ways to do business
• A preferred way of doing business among Fortune 500 companies
• A business basic for the industry

34. How Is Edi Used?

EDI is used as a strategic tool to reduce expenses, streamline business procedures, and create a competitive advantage.

35. How Is Edi Started?

Usually Reactive or Proactive.