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Second USENIX Workshop on Electronic Commerce
Financial EDI Over the Internet, Case Study II: The Bank
of America and lawrence Livermore National Laboratory Pilot
Arie Segev, Janna Porra, and Malu Roldan
University of California, Berkeley
Abstract
Bank of America Corporation (BofA) has used Electronic
Data Interchange (EDI) to transmit financial transactions between
itself and its customers for years. Until recently, however, BofA
has used direct private lines or third party value added networks
(VANs) as the carrier of the EDI data. In 1994, BofA initiated
a pilot project with its customer Lawrence Livermore National
Laboratory (LLNL) to investigate whether the Internet could be
used for secure, reliable, and fast financial EDI (FEDI) transactions.
This follow up study is the second case study on BofA's EDI strategy
conducted by the Fisher Center for Information Technology and
Management at the University of California, Berkeley. The first
case study was completed in August 1995 (Segev, et.al., 1995).
In the first case study, the current practices in EDI, FEDI, and
related technologies were reviewed and documented. In this second
case study, the results of the pilot project, which ended June
30th, 1996, are presented and possible implications are discussed.
According to the results, the Internet is a viable alternative
carrier for critical or sensitive business transactions. It is
suggested that the transition from the traditional EDI to EDI
over the Internet has strategic implications.
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