4 Causes of the EDI Professional Shortage + 3 Solutions
Week #8 of IDEA’s EDI Masterclass: Your Ultimate Guide to Streamlining Business Processes with Electronic Data Interchange
By Tom Guzik, Director, Digital Integration Services, IDEA
Despite Electronic Data Interchange (EDI) being an essential piece of supply chain operations, a growing shortage of trained EDI professionals is leaving many companies struggling to maintain and expand EDI capabilities. Keep reading to discover the factors causing this shortage and how your organization can address it.
Low supply and high demand: The reasons behind the EDI Pro Shortage
1. Aging Workforce
EDI has been a core technology for decades, particularly in industries like manufacturing, retail, and distribution where B2B communication is critical. Many of the professionals who initially implemented and managed EDI systems are now reaching retirement age, taking with them years of specialized knowledge and hands-on experience and leaving companies struggling to fill the void.
The lack of effective knowledge transfer within organizations exacerbates the problem, as new hires often face a steep learning curve when it comes to understanding legacy systems and the complexities of EDI implementation and integration.
2. Limited Educational Programs and Training
While many universities and technical schools offer degrees in information technology, computer science, and business management, EDI is rarely a focus of these programs. As a result, few graduates enter the workforce with a specific understanding of EDI systems, protocols, and standards.
Most EDI professionals learn on the job, picking up knowledge as they go, which makes it difficult to scale expertise across the industry. The specialized nature of EDI, along with the reliance on standards like ANSI X12 and EDIFACT, requires specific technical training that is often not covered in general IT education. Without targeted training and certification programs, companies are left to rely on a dwindling pool of experienced professionals or invest heavily in training new hires.
3. Rapid Technological Changes and Integration Challenges
While EDI has been around for decades, it has evolved to keep pace with modern IT infrastructure, cloud computing, API integration, and the increasing demands of real-time data exchange.
Today, EDI systems must be integrated with a wide range of other technologies, such as enterprise resource planning (ERP) systems, customer relationship management (CRM) platforms, and supply chain management tools. This level of integration requires a deep understanding of both EDI and other complex technologies, which can be difficult to find in a single candidate.
Additionally, newer technologies such as APIs and blockchain are becoming more prevalent in supply chain management, leading to concerns that EDI will eventually be phased out or replaced. This perception may discourage younger professionals from pursuing careers in EDI, further contributing to the shortage.
4. Increased Demand for EDI Due to Digital Transformation
As more businesses seek to automate their processes, improve efficiency, and enhance their data-driven decision-making, the need for EDI expertise has surged.
Industries such as retail, healthcare, automotive, and logistics — which rely heavily on the smooth flow of electronic documents — are feeling the pressure to upgrade their EDI systems to support modern supply chain operations. The recent global supply chain disruptions have only highlighted the importance of robust and scalable EDI solutions, further increasing the demand for trained professionals to manage these critical systems.
Meet the Demand with a Three-Pronged Approach
Companies, industry associations such as IDEA, and educational institutions must work together to develop targeted training programs, mentorship initiatives, and certification paths for aspiring EDI professionals.
1. On-the-Job Training and Mentorship
Collaborations between businesses and academic institutions can create specialized EDI training courses or certifications as part of broader IT or supply chain management programs. These initiatives help equip the next generation with the skills needed to manage and evolve EDI systems.
2. Educational Partnerships
Investing in internal training programs and mentorship opportunities can help companies build a pipeline of EDI talent from within their own workforce. By pairing new hires with experienced professionals, organizations ensure valuable institutional knowledge is passed on.
3. Consider Outsourcing
Entrusting EDI operations to IDEA’s industry-leading Exchange Managed Services eliminates the need to scour hiring sites for skilled EDI professionals, reduces operational costs, and ensures compliance with trading partner requirements. In short, it helps businesses realize the promises of EDI without the burden on internal teams.
To learn more, please contact your IDEA Exchange Account Executive or Ilene Bromberg at 703-562-4689 or at ibromberg@idea4industry.com, or visit www.idea4industry.com/edi-managed-services.
Looking for the previous Masterclass articles?
- Week #1: Electronic Data Interchange (EDI): More Than Purchase Orders and Invoices
- Week #2: Five Foundational EDI Transactions in IDEA Exchange to Maximize ROI
- Week #3: Five EDI Transaction Sets to Improve Your Operations
- Week #4: There’s a Map for That! Automate Away with Custom EDI Mapping
- Week #5: 6 Reasons to Partner with EDI Managed Service Providers
- Week #6: Improve Accuracy & Efficiency in VMI with EDI
- Week #7: EDI VAN Security and Service Interruptions