EDI (Electronic Data Interchange)

Topics to be covered:

EDI General Concepts

EDI & SAP R/3
Configuring SAP R/3 For EDI
Ports
Partner Profiles
EDI Demo

Tuesday, December EDI Overview 1

EDI (Electronic Data Interchange)
EDI (Electronic Data Interchange) is the electronic
transfer of structured business information between trading
partners.
EDI is transmitting business transactions in a
standardized format between computers and across
multiple computer platforms electronically.
EDI (Electronic Data Interchange) provides the means of
exchanging structured business documents from
application-to-application across enterprise boundaries in a
seamless and controlled manner.
EDI is not hampered by differences in computer or
communications equipment among trading companies.
Tuesday, December EDI Overview 2
Why EDI?
•Reduction of processing time
•Cost Savings
•Quick Access
•Accuracy of Data
•Competitive Advantage
•Improved Customer Service
•Increased Business Opportunities
•Reduction of Inventory
•Reduction of Lead Time
•Reduction of Safety Stock
•Faster and more accurate information
Tuesday, December EDI Overview 3
EDI Some History

1968 - Transportation Data Coordinating Committee.

1970 - Shared EDI system & Third Party Network.
Examples - IBM IVANS, ORDERNET
1973 - Living Standard—standards on how to change the
standards!
1975 - first inter-industry EDI standard covering air, motor,
ocean, rail and some banking applications.
1981 - ANSI X12
1985 - EDIFACT (EDI for Administration, Commerce &
Transport)
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 EDI Standards & Formats

The main EDI standard is EDIFACT - the UN supported

International Standard
There are also Industry subsets (EANCOM, EDIFICE
etc.) of the EDIFACT Standard
Other common Standards include ANSI X.12 (American),
TRADACOMS (British), ODETTE (European Motor Trade),
GENCOD (French) and VDA (German).

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EDI Process

The EDI enabling software converts the appropriate

data into an EDI format, conforming to the Standard
agreed between the two organizations
This EDI data is transmitted using a mutually agreed
electronic communications method
On receipt of the EDI data, the recipient organization,
using its own EDI enabling software, translates the data
back into a format which can be used by its own
business application.

Tuesday, December EDI Overview 6

 EDI Terminology
Extranet
An extranet extends internal networks across enterprise
boundaries to provide a secure and efficient communications
network for net-commerce.
VAN (Value Added Network)
A third-party provider of a network service that delivers and
stores electronic messages for subsequent retrieval by the
recipient. Ancillary services will vary from company to company.
Interchange Agreement
An agreement that defines levels of service and business terms,
legal obligations and the areas of responsibility between two
trading partners for the exchange of EDI.

Tuesday, December EDI Overview 7

 EDI Terminology
Event-driven EDI
This is where the EDI process is initiated by a specific action
within the business process. An example would be the
construction and transmission of an outbound order being
initiated by the completion of the order entry process. Event
Driven EDI is particularly useful for processing individual
documents as well as initiating a batch process.
Interactive EDI
This is where the EDI process is totally integrated within the
business applications between which the communication
occurs. This approach requires an open communication link
over which the EDI data can be exchanged and an application
environment capable of a receive/process/return processing
cycle.
Tuesday, December EDI Overview 8
 EDI Terminology

EDI subsystem - converts in house formats to standard EDI

structures. An EDI subsystem, therefore, is a link in an EDI
communication chain.
Follow-on system - as viewed from a particular system, this is
the system to which a data packet is forwarded by EDI, i.e. it is
the "next link" in the electronic communication chain.
Target system - the last link in a communication chain. The
final addressee for the transferred data.

Tuesday, December EDI Overview 9

 EDI & SAP R/3

SAP supports EDI through IDOCs. IDOCs are Intermediate

Documents through which SAP exchanges data with
external systems.

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EDI Process In SAP R/3 Outbound

Document data is written to

IDocs and sent to the follow
on system,
via two different paths.
•Indirect path via message
control
•Direct path from the
application to the interface.

Tuesday, December EDI Overview 11

 EDI Process In SAP R/3 Inbound

IDocs are transferred to the

interface and stored in the R/3
System via two different paths.

•Direct path via function

module
•The indirect path via SAP
Business Workflow

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Configuring SAP R/3 For EDI

•Define Partners
•Partners with whom are the IDocs to be
electronically exchanged.

•Define Partner Profiles

•What data is to be exchanged

•Define Ports
•How is the idoc forwarded via the interface and
where it is forwarded to

Tuesday, December EDI Overview 13

Ports - Terminology

Port - Path for exchanging IDocs with the external system

Port Type - Communication technique adopted for

exchanging IDocs

Port Definition - Data defining the technical link

Tuesday, December EDI Overview 14

 Ports - Concepts
Ports are required for exchanging IDocs with external
systems along different paths. At least one port must be
provided for each external system. The figure below shows
how IDocs are sent to two follow-on systems via three ports.

Tuesday, December EDI Overview 15

 Ports - Types Of Ports

Port Type Comm Tech Processing Scope

File Seq. File Sync. RFC Any

CPI-C CPI-C Protocol Reports R/2

tRFC Trans. RFC Online Any

Internet Email SAP Gateway Any

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Ports - Defining Ports

Tuesday, December EDI Overview 17

File Port - IDoc Outbound Processing

All of the data between the R/3

System and the external system is
exchanged via files. The generator
(SAP system) simply notifies the
receiver (follow-on system) via the
synchronous RFC that a file is to
be transferred.

Tuesday, December EDI Overview 18

 File Port - IDoc Inbound Processing

In inbound processing, IDocs are

transferred to the interface and
stored in the R/3 System. The
document data is generated in a
second step, also in the course
of a workflow.

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File Port - Example

Path - Tools --> Administration --> Administration

-->Process Technology --> IDoc --> Define Ports

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 Internet Port

IDocs can be sent directly via the Internet by appending them

as a so-called MIME attachment to a standard e-mail.

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 Internet Port outbound

SO EDI_IDOC_
Mail
message _OBJECT R3I_
_SEND OUTGOING

Idoc Numbers Formatting and

collection of data.

R31
•SAP Office Internet format
Mail is sent Gateway ie table
•R31 Format
255 char
•MIME format
•Send mail
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 Internet Port Inbound
SO
Mail SX
Internet _DOCUMENT
mess _OBJECT
Gateway _RECEIVE_
age _RECEIVE
API1
Via. RFC
MIME format

IDOC EDI
Idoc IDOC
_INBOUND _IDOC
_START
proce _WRITE _R3I
ssing _INBOUND
_TO_DB _INCOMING

Tuesday, December EDI Overview 23

Other port types.

CPI C PORT
R/3 to R/2 connection
t-RFC PORT
Target system is specified directly as the
RFC destination.
[ALE Scenarios]

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Partner Profile

Partner profile determine:

•The partners with which data is exchanged
•Types of data to be exchanged with the partners
(Message type)
•Path along which the data will be exchanged(Port)
•How data is processed(Process Code)
•EDI Standard

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Partner Profile - Sections

General

Message
Control

Outbound Inbound

Tuesday, December EDI Overview 26

Partner Profile general

Trading divide your partners

into partner classes
relationship
Documents have been
archived for the partner
“documentation
purpose”

Communication is only
possible if status is
active.

Path: WEDI --> partner

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 Partner Profile message control
It uniquely identifies a
message type in
message control

the message type is

based on EDIFACT
message types.[SAP]

Used for further

classification purposes

Logical message type.

another name
for a process SAP document types
that is <=> EDIFACT
implemented by standard
a function
further separation of
module or
messages.
workflowTuesday, December EDI Overview 28
Partner Profile outbound profile
Defining transmission
port.

Packet size. To be
defined only for t-RFC
port.

Defines time of transfer

of the EDI document.

Basic Idoc type

supported by SAP

Customer extension /
modification

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Partner Profile inbound profile

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EDI - Scenario Example

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 EDI Demo - Steps
1. Define File Port (Tools->Admin.->Admin->Process
Technology->Idoc Basics->Define Ports.)

2. Create an article, Vendor, Purchasing Info Record

3. Create a condition record for vendor (from Purchasing:

Master data--> Messages --> Purchase order --> Create).

4. Create a customer, Customer Material Record.

Tuesday, December EDI Overview 32

 EDI Demo - Steps
5. Assign sales organization data to the customer/vendor
combination. In SD Customizing, choose the action
Electronic Data Interchange --> EDI messages -->
Configuration of EDI partners (transaction VOED). Choose
Partner --> Application --> Customer/Supplier

6. Define Partners. Tools->Admin.->Admin->Process

Technology->Idoc Basics->Define Ports.) Create General
Partner profiles for Vendor (Partner Type LI) & Customer
(Partner Type KU)

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 EDI Demo - Steps
7. Maintain Outbound parameters for Vendor
· Message type ORDERS
· Partner function LF
· Receiver port TESTPORT
· IDoc type (basic type) ORDERS01
8. Maintain Message Control Parameter for vendor.
· Partner function LF (vendor)
· Application EF (purchase order)
· Message type NEU
· Message type ORDERS
· Process code ME10
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 EDI Demo - Steps

9. Maintain Inbound parameters for Customer.

 Message type ORDERS
 Partner function AG (sold-to party - SP)
 Process code ORDE

Tuesday, December EDI Overview 35

 EDI Demo - Steps

Testing the scenario.

1. Create a purchase order for the vendor selected.
Before you save the record check for EDI messages.
(Header --> Messages).
2. Check if the Idoc is generated. (Tools->Admin.->Admin-
>Process Technology->Idoc --> Disp Idoc.) Select Idoc
type as ORDERS01
The Idoc Status should be 3.

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EDI Presentation

Presented by.

Yogesh Sane
Sandeep Damodaran

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