By now, most companies have realized that automation allows for faster, more accurate and altogether stronger operation. The transaction automation capabilities offered with EDI are no different. Whether your company is a retailer or manufacturer, integrating electronic data interchange software with your business’s procedures will yield many all-around benefits. And, while there are a few things your company should know before getting started with EDI, the transition can be seamless. Read on to learn more about why your business should get started with EDI.
1. EDI will Reduce the Costs of Mistakes
If your business has utilized a non-automated transaction system, then you likely understand the dangers of manual data entry. Even with experienced, detail-oriented employees, mistakes are inevitable. Eventually, the wrong mistake could cost your company a sale or worse yet can result in vendor chargebacks.
Additionally, invoicing and shipping errors can also cost your company in other ways. The time and resources lost are certainly an issue, but you may incur indirect costs as well. Continual shipping and/or invoice errors may destroy a business relationship that you’ve worked hard to develop.
With electronic data interchange software, your company can avoid these mistakes. EDI will allow for flawless communication in sending data between trading partners. It also eliminates the potential for human error.
2. Easier Digital Inventory Management
When your business relies on manual data exchange for inventory tracking, it’s impossible to account for all factors. Even with diligent staff, or a customized internal system, inventory errors are inevitable at some point down the line.
In order to keep accurate inventory, your business needs electronic data interchange software. Integrating EDI software directly with the retailer’s point of sale system will prevent inaccuracies from impacting your bottom line.
Additionally, with EDI, employees can remotely access all transaction details at any time.
3. Speed up Your Order Processing
In an age where Amazon dominates the ecommerce world, haste is key. Customers have grown accustomed to Amazon Prime’s two day shipping period, and receiving their orders promptly.
EDI is crucial to swiftly relaying this order and shipping information. Second-rate internal systems and data entry staff cannot sufficiently relay this information at the necessary pace. So, in order to retain customer loyalty, retailers must ensure that they have the capability to ship orders punctually. Electronic data interchange goes a long way in making this possible.
To meet client expectations, your company needs electronic data interchange software. Integrating this software into your process will create an easy way for businesses to translate and forward all pertinent information instantly. Distributors can then complete the shipping process with ease.
4. EDI OptCenter Scales to Your Business Growth
When your company starts out in a niche marketplace, it’s hard to imagine a future where you’ll need EDI. With the right decisions, though, you could find yourself with some critical choices to make about your company’s future. Implementing electronic data interchange software is one of the best decisions your company can make for the long term.
Some choose to view it as a luxury, but in reality, EDI is quite necessary. It has steadily grown in prominence over the years. Eventually, it will become a requirement, even for much smaller businesses. As you build a prosperous company, you will need to appeal to varying compliance standards set by industry giants. Rather than catching up later on, your company should proactively incorporate EDI now.
Incorporating EDI will help your company to make meaningful and actionable improvements. With real-time data about inventory and sales, executives can make informed forecasts, and create stronger marketing campaigns.
Additionally, EDI accounting integrations improve cash flow for your company. This improved system will help your business to receive payments faster, while also devoting it to expansion.
5. Have an Advantage over Competitors
As previously mentioned, electronic data interchange software has become the industry standard. In order to build relationships with higher-level companies, your business must have electronic data interchange software.
With enhanced EDI, you can send and receive payment, shipping, and inventory information in an easily understandable format. This capability is invaluable, and will push the boundaries of your business. Larger companies will deem your competitors, who lack this software, incompatible for a long-term relationship.
The choice to install electronic data interchange software also demonstrates a level of confidence. Taking the initiative to improve these business-retailer relationships shows companies that you are invested in the industry.
Electronic Data Interchange: Grow Your Business The Right Way
Even with stellar organizational practices and diligent employees, there is no feasible alternative to electronic data interchange software. At EDI Options, we have guided both Fortune 500 companies and smaller specialty companies that are still determining their needs to streamline inventory, shipping and payment processes. Regardless of your company’s size and needs, our dynamic platform will aid you in improving operations, and increasing sales.