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Why Do You Need EDI Services?

Why Do You Need EDI Services?

Electronic Data Interchange, commonly known as EDI, is the exchange of documents between businesses without involving any human actions. In simple words, it is a process in which business documents get transferred from one computer to another automatically. There is no need for anyone even to hit the “send” button.
Why Do You Need EDI Services?
Many businesses view EDI as an unnecessary expenditure but in reality, it is an efficient business tool. EDI Services not only eradicate the possibility of human error but also increase the speed of the processing involved in the exchange of such data.

The best part is it also reduces the extra expenditure on resources required for the manual process. There are many such reasons that make it mandatory for businesses to avail EDI Services. Let us discuss them one by one.

Processing Speed Increases

Businesses used to exchange data using fax before the introduction of Email. The introduction of Email increased the speed to a considerable level. However, sending an email requires for a person to carefully draft an email with all the necessary details.

Why waste precious time on such ordeals when the data can be transferred at a lightning fast speed?

Yes, you read it right. The data transfers do not require any human interaction. They are exchanged automatically between computers.

Costs are Reduced

First of all, the time saved during data transferred could be utilized for productivity. Secondly, it reduces the cost incurred on the resources involved in the process of document exchange. Most importantly, EDI integration reduces cost on the execution of workflows.

For example, the cost incurred on paper including the printing, storage, reproduction, postage, etc is completely eliminated. Furthermore, the process of streamline documentation helps companies to avoid penalty resulting from performance gaps or SLA violations.

Reduced Errors

The possibility of errors during the transfer of documents through emails is always high. The person required to transfer the documents might make several mistakes. On the contrary, the chances of errors are reduced substantially with the automation of the transfer process. It is because the data is entered once and is stored online for further operations. 

Improves Relations with Business Partners

It becomes easier and more cost effective for companies to conduct business with an EDI compliant company. The relations with the business partners improve tremendously as both the partners work in proper synchronization for the growth of business and mutual profits. Another factor pertaining to the improved relations is increased accuracy of retail scanning which is made easier through EDI Services.

Promotes CSR

When a company adopts EDI, it not only reduces the cost spent on papers, but also saves a lot of trees required for making papers. Saving trees means saving the environment. By saving trees they are fulfilling their Corporate Social Responsibility or CSR.

These are some of the most important factors that validate the need of EDI services for businesses. Apart from being efficient and cost- effective, these services are also very reliable. 

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