EDI and inter-firm relationships: toward a standardization of coordination processes?

• Published in: Information economics and policy 1994-12, Vol.6 (3), p.319-347
• Main Author: Brousseau, Eric
• Format: Article
• Language: English
• Subjects: Business communications; Communication; Computers; Economic theory; Electronic data interchange; Information technology; Inter-firm communication; Inter-firm coordination; Organization; Organizational impact of information technologies; Standardization; Standardization processes
• ISSN: 0167-6245; 1873-5975
• DOI: 10.1016/0167-6245(94)90007-8

Electronic data interchange (EDI) consists of the inter-company computer-to-computer communication of machine generated and readable information to automate information exchanges. Its development requires a process of standardization. However, this standardization does not consist only in the standardization of EDI messages and communication protocols. An organizational standardization is also required since EDI messages refer to specific coordination procedures. The paper explores the consequences of this link between EDI communication and the interfirm coordination processes. It suggests that the requirement for a unique/universal EDI standard is weaker when one takes the EDI specificity into account than when one considers EDI only as a neutral means of communication. Indeed, the degree and the magnitude of the possible standardization of coordination processes, and the desirability of the standardization of coordination rules are not so large.