Many people often refer to AS2 as a type of EDI, when in fact AS2 is actually a communication protocol used to exchange EDI documents.  In the retail sector, the use of AS2 has become almost synonymous with Walmart who insist that all their suppliers around the world must communicate with them using AS2.

AS2 is one of the most popular methods for transporting data securely and reliably over the Internet. An implementation of AS2 essentially involves two computers-a client and server-communicating with each other over the Internet. AS2 creates an envelope for a message which is then sent securely, via the use of digital certificates and encryption, over the Internet. The US retailer Wal*mart is a good example of a company who uses AS2 on a point-to-point basis to communicate to each and every one of its suppliers. Further information about AS2 is discussed in a white paper which can be found in the resource area of this microsite.

For many companies, large or small, implementing an EDI system can be a long and complicated process. Larger companies will have extensive IT resources who manage both the software applications and the hardware, e.g., computers and network, which are used within the company. The larger company will also want to integrate their EDI system to back-office systems in order to try and establish a seamless trading environment for its internal users and external trading partners. For the smaller company, implementing EDI can appear to be a complex process, especially when all they want to do is exchange purchase order information with their customers. 

In order to allow the smaller companies to trade with their customers without the need to implement a dedicated EDI solution, it is possible to use a hosted AS2 service offered by a VAN provider such as GXS. The diagram below illustrates the differences between trying to implement AS2 yourself, shown on the left, and outsourcing your AS2 connection to an external vendor, shown on the right.

The outsourced AS2 option hosted by GXS offers many advantages over implementing a dedicated service:

• Suppliers comply with AS2 mandates without adding infrastructure, expense and expertise
• Connect the way they prefer
• NO AS2 software, hardware, firewalls, special skills, etc. needed
• GXS does all the AS2 work
• Exchange of AS2 set up information
• Provide testing between your company and your AS2 trading partner
• Access to a help desk to resolve issues
• Real-time document exchange
• Optional translation services
• Often lower cost than implementing direct AS2 when considering the total cost of ownership and risk-avoidance

If your company decides to use an outsourced AS2 service from GXS, you will have access to trading partners around the world. GXS has developed a global B2B infrastructure platform, Trading Grid®, which enables the real time flow of information between companies regardless of technical capability, standards preferences, spoken language or geographic location.

By combining the security and best practices of traditional e-commerce networks with the agility and responsiveness of the Internet, GXS Trading Grid offers significant speed and cost advantages over traditional, do-it-yourself B2B integration solutions.

In addition to AS2, GXS offers an extensive range of EDI outsourcing services, data mapping and translation, infrastructure management and community enablement. B2B outsourcing is becoming an important issue for many companies, especially to help reduce costs, improve infrastructure management and improve overall business efficiency. For further information about AS2 vist www.as2basics.co.uk.