Internet-based EDI : Its Management and Strategic Implications

Internet-based EDI is emerging as a prominent substitute technology for traditional VAN-based EDI technology. The strength of this new technology is based on the explosive growth of Internet community, low "fixed-rate" Internet expense and "globally" open base of its participants. These strengths of Internet-baed EDI bring vast new opportunities for enterprises and thus. have as much implications for IT managers. However, Internet-based EDI technology has, at least by now, several drawbacks too. Most of these drawbacks also comes from the fact that it has its structural base on the Internet. Managers should carefully consider these drawbacks and hidden costs before adopting or switching to this attractive new technology. This presentation attempts to address major trends of Internet-based EDI and its implementation, opportunities and threats of the changes in technology, factors to consider in adopting this technology, and several managerial and strategic tradeoffs and implications of Internet-based EDI for IT managers.