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Electronic Data Interchange (EDI) is the sending and receiving of information using computer technology. Its efficiency has made it a condition of doing business in dozens of industries, including retail, transportation, health care, real estate, and government. Any standard business document that one company would exchange with another (such as a purchase order, invoice, shipping schedule, inventory inquiry, and claim submission) can be exchanged via EDI between the two parties, or trading partners.
WHAT ARE THE BENEFITS OF EDI?
- Reduced administrative costs
- Higher claim acceptance rates
- Speed: Since data is moved faster and with greater accuracy, the time spent communicating with suppliers is decreased.
- Increased Productivity
- Audit trail of claims submissions
- Elimination of paper documents
- Elimination of labor-intensive tasks, such as data entry
- Greater accuracy of information
For more information regarding EDI and electronic billing requirements, click on the following links:
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