The adoption of electronic data interchange: a model and practical tool for managers

Despite the benefits of standards-based Electronic Data Interchange (EDI) modes of communication, only a small percentage of organizations have adopted even a single form of EDI. Organizations are often unable to assess the benefits resulting from the adoption of EDI due to the complexity of operational issues. This paper develops a model and decision support tool for identifying if EDI adoption is cost effective. In contrast to previous research, the model presented allows for the simultaneous adoption of multiple modes of communication. This tool is used to predict the appropriateness of EDI adoption with greater than 85% accuracy.