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EDI

Value Added Data Services (VADS) &
   Value Added Networks (VAN)
Value Added Data Services
• VADS provides “Time Independence” and
  “Protocol Independence”

• It provides number of facilities but the main
  thing is “Postboxes” and “Mailboxes”

• It is POST and FORWARD network
VADS
• Postbox – Where outgoing messages are
  placed

• Mailboxes – Where incoming messages are
  picked up.

• It is also referred as “Store and Forward”
  system
VADS
Customer
                                             Supplier
             Postbox           Postbox
Customer 1   Mailbox                     Supplier 1
                               Mailbox


             Postbox           Postbox
Customer 2   Mailbox           Mailbox   Supplier 2


                               Postbox
              Postbox          Mailbox   Supplier 3
Customer 3
              Mailbox

                               Postbox
                               Mailbox   Supplier 4
VADS – How it works
• Establish connection to VADS system
• Send EDI message to postbox (selling)
• VADS inspects postbox, unpacks the message,
  moves it to related recipients mailbox
• VADS carries frequent inspection of postboxes
• Supplier inspects the mailboxes and transmits
  valid orders to their order processing system
Advantages of VADS
•   Large trading Community
•   Inter-network Connections
•   International Connections
•   Privacy, Security & Reliability
•   Message storage and logging
•   Charges
    – Subscription
    – Usage Charges
EDI Technical Set-up
  Trading     EDI Interchange Agreement
                                           Trading
  Partner                                  Partner
   App.                                   App. System
  System

EDI S/w and           VADS
                                          EDI S/w and
 standards                                 standards
EDI Security
• Interchange of message is reliable
• All the data received on EDI machine is passed
  and processed
• EDI software is run on separate machine
• Protection against tampering
• Privacy of message
• Validation of message delivery
Example
• SGN
  – 2,500 financial Institutes
  – 2,000 asset managers
  – 650 investment issuers
  – 500 brokers
  – 110 markets
  – 30 trading hubs
Additional Services
•   Automated trade routing
•   Worldwide order routing
•   Transaction Security
•   Integration Services
•   Market data and research
•   Cash management
EDI Transaction
Customer                                    Supplier
----------------------------------------------------------------
Presales                                    Contract
Execution                                   Order
                                            Delivery Note
Settlement                                  Invoice
                                            Payment
After Sales                                 Maintenance

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E business edi_vads

  • 1. EDI Value Added Data Services (VADS) & Value Added Networks (VAN)
  • 2. Value Added Data Services • VADS provides “Time Independence” and “Protocol Independence” • It provides number of facilities but the main thing is “Postboxes” and “Mailboxes” • It is POST and FORWARD network
  • 3. VADS • Postbox – Where outgoing messages are placed • Mailboxes – Where incoming messages are picked up. • It is also referred as “Store and Forward” system
  • 4. VADS Customer Supplier Postbox Postbox Customer 1 Mailbox Supplier 1 Mailbox Postbox Postbox Customer 2 Mailbox Mailbox Supplier 2 Postbox Postbox Mailbox Supplier 3 Customer 3 Mailbox Postbox Mailbox Supplier 4
  • 5. VADS – How it works • Establish connection to VADS system • Send EDI message to postbox (selling) • VADS inspects postbox, unpacks the message, moves it to related recipients mailbox • VADS carries frequent inspection of postboxes • Supplier inspects the mailboxes and transmits valid orders to their order processing system
  • 6. Advantages of VADS • Large trading Community • Inter-network Connections • International Connections • Privacy, Security & Reliability • Message storage and logging • Charges – Subscription – Usage Charges
  • 7. EDI Technical Set-up Trading EDI Interchange Agreement Trading Partner Partner App. App. System System EDI S/w and VADS EDI S/w and standards standards
  • 8. EDI Security • Interchange of message is reliable • All the data received on EDI machine is passed and processed • EDI software is run on separate machine • Protection against tampering • Privacy of message • Validation of message delivery
  • 9. Example • SGN – 2,500 financial Institutes – 2,000 asset managers – 650 investment issuers – 500 brokers – 110 markets – 30 trading hubs
  • 10. Additional Services • Automated trade routing • Worldwide order routing • Transaction Security • Integration Services • Market data and research • Cash management
  • 11. EDI Transaction Customer Supplier ---------------------------------------------------------------- Presales Contract Execution Order Delivery Note Settlement Invoice Payment After Sales Maintenance