Impact of EDI on accountants and auditors

Electronic data interchange (EDI) is a specific form of multi-organizational system. It is widely understood as the replacement of paper-based purchase orders with electronic equivalents. EDI actually has much broader application than the acquisition process and its impacts are far greater than the mere automation of manual processes. The adoption of EDI is changing how people think, changing business procedures, and changing how organization interacts with one another. It has great impact on accountants and auditors and thus, these two professionals must be aware of the strength and potential of EDI in changing their role Electronic Data Interchange (EDI) has conventionally been discussed from the perspective of, individual corporations or industry. This view needs to be complemented by an appreciation of the accountants and auditors of the companies that implemented EDI. This paper intends to examine whether the rapid development of electronic data interchange (EDI) has posed a threat to accountants and auditors or is it an opportunity for them to improve the efficiency and effectiveness of their services to clients