Staying updated with the technology is the key to success in business and other aspects of life. And Electronic data interchange software is one of the most popular solutions that every business needs to integrate in their system. From reducing costs to lessening errors and more, EDI makes business transactions quicker and easier.
Have you been wondering why and how Electronic Data Interchange software (EDI) has become so famous among business owners? How it helps businesses? Then check out the post below that will give you a brief idea about Electronic Data Interchange technology and its benefits.
What is EDI technology?
EDI can be simply defined as an exchange of business documents via computer-to-computer in a standard electronic format between different business partners. Electronic Data Interchange software offers various benefits such as reduced costs, automated workflows, quicker document processing, less errors, and much better relationships with partners and customers. EDI data comprises of crucial information regarding business transactions.
What is EDI Integration?
EDI integration is created when an EDI workflow is set up between the business partners. It can be attained via two steps:
- Setting up EDI documents, transactions, protocols and endpoints that will be used for data exchange with business partner
- Converting the EDI data into a format that can be used in backend technical ambiances.
Why go for EDI Integration?
To keep up the pace with the current hyper-digital business world, EDI integration helps businesses in handling crucial B2B transactions efficiently. By utilizing the EDI integration to its fullest potential businesses can reap automation rewards via enhanced visibility over business partner transactions.
What are the advantages of EDI integration?
EDI software integration has a variety of reasons that makes it famous among the businesses. Let’s have a look at some of the top advantages of Electronic Data Interchange software below:
- Cost Saving
Using an EDI software helps businesses in executing workflows that reduces costs. Expenses such as printing costs, reproduction, storage and postage costs are eliminated. With a streamlined documentation process companies comply with EDI service standards that helps companies to avoid fines due to SLA violations and other performance issues.
- Speed
EDI software enables companies to cut processing time via automation which further speeds up business cycles. Particularly, the order to shipment cycle time gets reduced by 60 to70 percent. Moreover, transactions are exchanged in few minutes instead of days or weeks that often seen with manual transfers.
- Accuracy
EDI software helps organizations in eliminating errors, which are common with manual jobs. EDI solutions automate the burdensome processes and eliminate errors caused by humans.
- Efficiency
EDI is fast and accurate which makes it a popular integration and automation method to companies everywhere. It also improves relationships with customers, lessen the errors, and accelerates delivery of goods and services.
- Security
With EDI software integration companies feel safe and secure as these solutions are designed for ensuring security and allows only strict access to authorized users and are often equipped with document tracking and audit trail capabilities. Besides that companies can also share data securely across several communication protocols and security standards for ensuring compliance with global business mandates.
Author Information:
This article is written by Aurora Software Inc. After reviewing several translation packages, Aurora Software, Inc. has entered a partnership with the Kleinschmidt Company, a third party Value Added Network (VAN), which specializes in EDI processing. This partnership saves their clients money by allowing them to take advantage of Aurora’s EDI transaction volume discount.