Question

Which of the following is not a motivation for using electronic data interchange (EDI)? Reduction of paper work Less frequent deliveries of smaller shipments Reduction in clerical labor Increased accuracy Increased speed in processing transactions

Answer 1

Frequent deliveries of smaller shipments is no a motivation for using EDI

Step-by-step explanation:

Let us understand the term EDI so that we can easily answer the question.

EDI (Electronic Data Interchange):

• In simple terms EDI is replacement or computerization of sending purchase order, shipping notices, invoices, etc.
• Simply we can say exchange of business documents through digital media.
• It define an uniform standard to exchange information

EDI promotes:

• Reduction of paper work since everything is computerized
• Reduction of clerical works
• Increased accuracy & speed in processing transaction.