Benefits of EDI Standards
The reasons for implementing EDI standards is because suppliers and
other trading partner
facilities are increasingly more tactical rather than the
strategic, with speed and accuracy
acting as the driving force behind this decision. Additional
benefits include:
- Improved data accuracy
- Effective customer service
- Reduced manual data entry
- Reduced postage and handling cost
- Reduced cost of printing forms
- Reduced mail time
- Reduced labour processing cost
- Reduced order cycle time
- Reduced lead times
- Reduced filing of paperwork
- Reduced inventory carrying cost
- Improve trading partner compliance
Another compelling reason to implement EDI is to comply with major
trading partners’
requests to establish electronic communication links in order to
realize the benefits listed
above.
EDI supports many business processes covering ordering, shipping
& receiving,
warehousing, and invoicing to name a few.