Modernize EDI with MFT Integration for Supply Chain Optimization

/ Integrations / API, edi, file transfer integration, ipaas, modernization, mulesoft, partner file exchange
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Retailers and manufacturers such as Target, Walmart and Grainger understand that optimizing supply chain processes is critical for increasing business agility, improving service efficiency and enhancing trading partner satisfaction. A key aspect of modernization is upgrading legacy systems that handle critical supply chain communications, with electronic data interchange (EDI) being a top priority. Delays or inefficiencies in processing files such as purchase orders, invoices and inventory updates can significantly impact business performance.

Despite originating in the 1960s, EDI remains essential for the seamless exchange of supply chain data across industries like healthcare, automotive, manufacturing and retail. The EDI software market is projected to grow from USD 2.08 billion in 2024 to USD 5.30 billion by 2032, exhibiting a compounded annual growth rate (CAGR) of 12.4% during the forecast period, according to Fortune Business Insights.

bar graph showing $2.08 billion in 2024 growing to $5.30 billion in 2032. 12.4% CAGR from 2024 to 2032

This article explores the challenges of traditional EDI systems, the advantages of adopting a microservices-based architecture and how managed file transfer (MFT) integrated with integration platform as a service (iPaaS) delivers a scalable, API-driven approach to modern EDI integration.

Top Challenges of Legacy EDI Systems

Many companies still rely on value-added networks (VANs) or homegrown EDI solutions to translate, transfer and integrate messages between partners and internal systems. However, as trading partner networks grow and technology evolves, organizations encounter key challenges:

  • High Maintenance Costs – On-premises EDI infrastructure demands extensive IT resources to maintain and scale as business needs change.
  • Slow Partner Onboarding – Legacy point-to-point integrations make onboarding new partners cumbersome, delaying market expansion and product launches.
  • Limited Monitoring & Troubleshooting – Traditional EDI systems often lack centralized visibility, making error resolution slow and complex.
  • Rigid Backend Integrations – Many businesses still use hardcoded scripts to integrate EDI workflows, leading to inefficiencies and high maintenance costs.

Modernize EDI with United API-Led Approach of iPaaS + MFT

To overcome these challenges, companies are shifting to cloud-based iPaaS and MFT solutions. MFT systems can be used as the send/receive component within an enterprise EDI infrastructure to manage the exchange of EDI documents. Using an MFT system that can easily connect with iPaaS solutions is ideal for EDI since it can be used to manage high volume file transfers to guarantee delivery, secure data and track all activity.

The top business benefits of integrating MFT with iPaaS for EDI are

  • Accelerated partner onboarding
  • Precise control and monitoring of EDI file transfer activities
  • Streamlined/simplified integration of EDI processes with backend systems

MuleSoft Integrates Thru’s MFT to Modernize EDI

By leveraging the API-led connectivity of Thru with MuleSoft, businesses can establish a robust microservices-based architecture that ensures flexibility and scalability in EDI and other file transfer transactions:

Example: Modernized EDI Purchase Order Process Using MFT and iPaaS

The Anypoint Platform is deployed as an integration hub to translate, transform and manage the flow of EDI push/pull data from its trading partners. MuleSoft with Thru streamlines an enterprise’s EDI purchase order workflow:

  1. Receive Purchase Orders – Trading partners submit purchase order files using a pub/sub model.
  2. Process Files via MuleSoft – The Thru MFT Connector seamlessly integrates with MuleSoft to transfer and transform files for processing. The Thru Flow connects to a Mule Flow, instantly extending management of high-volume, multi-partner EDI file exchanges.
  3. Send Shipping Notices – The processed files are pushed back to Thru for secure distribution to trading partners.

This solution streamlines EDI by eliminating the need for coding when onboarding partners and integrating with enterprise systems. With Thru, all file transfers can be monitored through a centralized, “single pane of glass” dashboard. Additionally, Thru offers a user-friendly, web-based interface for partner onboarding, removing the complexity of manual connection coding.

Below is a simple EDI purchase order process diagram showing how Thru can be used by an enterprise:

diagram of Thru MFT Workflow used to receive purchase orders to send to MuleSoft Flow for processing by enterprise system. then sends shipping notices back to trading partner systems via Thru

Benefits of Using Thru’s MFT with MuleSoft for EDI

Integrating Thru’s MFT solution with MuleSoft offers numerous benefits:

  • Flexible Endpoints – Automate B2B file transfers for SFTP, FTPS, Amazon S3 and more.
  • Seamless API Integration – Use Thru’s APIs or native MuleSoft connector for effortless interoperability.
  • No-Code Workflows – Create and manage file transfers using a visual dashboard.
  • End-to-End Monitoring – Gain full visibility with system alerts and centralized dashboards.
  • Guaranteed File Delivery – Auto-retry and recovery mechanisms ensure seamless transactions.

By combining MuleSoft’s Anypoint Platform with Thru’s MFT, businesses can modernize EDI processes with an API-driven, scalable and secure solution. This approach not only accelerates partner onboarding and reduces operational overhead but also enhances the agility of supply chain communications.

For a deeper understanding of MFT and EDI in an iPaaS, read this blog »

For more information about how Thru leverages a microservices-based architecture for EDI integrations with MuleSoft, please visit our MFT Connector for MuleSoft page »

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