An EDI Translator is a commonly used term for software that converts data from various formats (including XML and CSV) into an organized and standardized structure in compliance with Electronic Data Interchange (EDI) standards. These standards, such as EDI X12 and EDIFACT, are widely utilized by retailers and distributors. They allow supply chain organizations to maintain consistency across order communications. 

EDI translation software can be deployed on various computer hardware and operating systems, including Windows, Unix, AS400 and many others. Whether you are using Windows-based systems or Unix platforms, the EDI translation provides seamless integration to meet your business's unique needs. 

An EDI translation tool converts EDI messages from your company's preferred standard and format to the EDI format and standard required by your trading partners. It can be compared to speaking different languages to communicate with other nationalities. 

EDI is now how most large and mid-size organizations trade with their supply chain. Imagine that you are sending a message to your vendor to check on an order. The EDI translation process resembles the manual procedures that it replaces. Your business would like to inquire about the status of an order. Here is how the process would typically unfold: 

1. Identification of Necessary Data: Determine the specific information required for the communication. 

1. Retrieval of Information: Gather the relevant data needed for the inquiry. 

1. Organization of Data for Communication: Structure the data in a format the vendor understands. 

1. Sending the Request: Transmit the inquiry to the vendor. 

With EDI translation software, this process is automated: 

1. Data Extraction or Conversion: Extract or convert the required data from internal systems. 

1. Message Generation or Translation: Generate an outbound message or translate an inbound message into the appropriate format. 

1. Standardizing the Message: Transform the message into a standardized format, such as EDI X12 or EDIFACT. 

1. Message Transmission: Transmit the formatted message to the vendor or your ERP system. 

This modern, automated approach streamlines communication, ensuring a unified exchange of information between your business and its partners or internal systems. 

The most used configuration methods for EDI processing are manual and integrated.  

• Manual processing. Following this method, the EDI translator receives EDI data, which is input manually into in-house systems.  
• Integrated EDI. This method automatically converts EDI documents into formats compatible with the company's ERP or accounting system. This solution automates the data flow, ensuring efficient communication between systems. It also can translate ERP data into EDI transaction sets for outgoing messages. 

Building an in-house EDI translator was common in the past. However, the evolution of EDI standards and the high cost of developing and maintaining custom code now make this option increasingly expensive and impractical. 

Selecting an EDI Translator from a reputable vendor presents an efficient and profitable solution. But how do you ensure you're making the right choice? Here are some essentials to consider: 

Quality Over Cost 

While many low-cost EDI translation options are available, it's crucial to prioritize quality over price. Cheaper solutions often lack advanced functionality and require users to have extensive EDI knowledge. Your chosen EDI Translator should offer affordable and user-friendly implementation without compromising essential features. 

Embrace Automation 

Automation is a game-changer in EDI translation. Look for a solution that streamlines repetitive tasks across various EDI transaction sets. By automating processes, you can significantly enhance efficiency and reduce manual intervention. 

Scalability for Future Growth 

Your selected EDI Translator should meet your current needs and offer room for scalable growth.