Why You Should Change Your EDI Partners?

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A brief about EDI logistics

To achieve effective and efficient logistics and supply chain practices in each process is almost impossible without the presence of technology today. In most cases, technology plays crucial roles in our everyday end-to-end communication between logistics providers and clients. Thanks to Electronic Data Interchange (EDI) technology, the daunting tasks of logistics and supply chain from stock management to order processing has become a lot easier.

Electronic Data Interchange (EDI) is a data transaction system that can speed up any important logistics processes in the supply chain. With EDI, as an illustration, you can move paper-based, traditional inventory to a more automated network. Thus, the supplier can receive their order automatically and can ship the item the same day the order is sent. As a result, a supplier can receive payment quicker while boosting a better customer experience.

See also: How Logistics Companies Can Boost Communication with Employees?

The need to change

EDI has become an integral part of our daily lives, especially for logistics and supply chain industry as reported by Comarch. When connecting a high-end system application and unifying trading processes, EDI will be more than a helpful system to be implemented. However, EDI still has room for improvement which drives industry to update or change to more modern systems.

According to the report, the changes will be driven by some of these reasons

1. Industry systems that change continuously

To let EDI work properly and maximally, you need to connect it with your ERP (Enterprise Resource Planning) and CRM (Customer Relationship Management) system which are upgraded occasionally. Hence, upgrading your industry system will mean upgrading EDI system as well

2. Industry standards

Enterprises must always strive to improve their interoperability regardless of the competitive markets. This leads to a thought that you need to choose EDI technology provider that is fully compatible with all major global data exchange standards as well as government platform.

3. Globalisation

To start a successful corporation globally, companies must connect to more business partners, customers, and suppliers locally and internationally. With this in mind, choosing the right EDI solution that covers every country they operate in and can easily coordinate data exchange processes with any supplier they currently work with is important and more efficient than registering to multiple EDI providers.

Hence, if you are still among those who work with multiple EDI partners, you should move to one that is more reliable and potentially can help you achieve the success you want. Besides, working with a single EDI provider results in one more, quite, significant advantage – a given company has more control of what it’s EDI workflow looks like, suggested the report

4. Better business growth

To keep improving in the national and international market, making changes to your EDI system is needed. One collaboration with an EDI technology provider can provide new business-relevant functionality.

Choosing the right partners

As suggested in the above statement, the one and only EDI provider you collaborate with should align with your industry goals and vision. To help you choose the right provider, here are guides to follow.

Step 1 – Look back to previous collaboration and set objectives that you want to follow and achieve. This way, you can help determine which provider is the best for your company needs.
Step 2 – Select provider that does not only benefit your needs but also helps you build the foundation on top. As business industry changes over time, you can do a market research of which EDI provides such changes that align with your goals.
Step 3 – Consult with a business partner as you are not the one who will use the technology.
Step 4 – Define how you will migrate to a new system while taking your partners on board at the same time. You might want to do one of these approaches: global and phased migration.
Step 5 – Set up to the new reporting tools to allow advanced reporting and monitoring provided by your new EDI provider. Doing this can give you a complete overview of the migration process, allowing you to see the realistic and actual achievement you have made.

Read also: How Mobile Technology Reshape Supply Chain Management

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