Are You Considering Adding Electronic Data Interchange (EDI) to Your Business?
Are you considering adding electronic data interchange, or EDI, to your business? If so, read how implementing EDI can add a significant cost-savings to your business.
What is Electronic Data Interchange (EDI)?
EDI is the electronic process by which the transfer of data from one computer system to another computer system occurs. EDI processes data using a standardized message formatting, which allows businesses to share information quickly, accurately and securely. By using EDI for data sharing, there are no location restrictions or barriers to keep data from being shared. This is especially valuable when time is of the essence. EDI Data can be shared through serial links and peer-to-peer networks, in addition to Internet connectivity.
How does EDI benefit my business?
Are you a business that is still processing non-core business procedures manually? Let’s look at the facts, which include viewing your business from a financial point of view. In reviewing your business performance, you must admit there are impressive benefits related to implementing EDI into your business processing system.
All businesses require certain established business processing procedures for a business to succeed. Processing data manually can be time-consuming, inaccurate and costly. Manual processes alone can adversely impact a business in terms of productivity and the amount of time employees are consumed by completing internal non-core business processes. The more time employees spend processing data, the more employers pay for a process to be completed.
“Electronic Data Interchange (EDI) could be your answer to finding a huge cost-savings for your business,” according to a recent Forrester study, “…EDI continues to prove its worth as an electronic message data format.”
Additionally, EDI offers businesses a cost-savings almost instantly by streamlining the internal processing system. Generally speaking, the cost of processing an order for a manufacturer of electronics is approximately $38.00. The typical cost of processing an order through an EDI system for the very same manufacturer is approximately $1.35. Using EDI allows businesses to automate their data sharing, providing much faster, more accurate processing, thus cutting costs, increasing productivity and decreasing inaccurate processing.
Today, EDI transactions are estimated at 20 billion annually, and that’s on a global scale. What does this mean? Well, it means that EDI works for businesses who implement it. Implementing EDI into your business has the potential to produce millions of dollars in savings for your business every year. Additionally, businesses using EDI show an average savings of more than 35% compared to their previous data processes method. Using EDI can also increase your business’s processing cycles by 61% and can drastically improve the quality of the business process by processing 30% to 40% less error transactions than human employee processing.
As a primary business process automation outsourcing provider, Integration’s goal is to empower all its client’s to focus on their core areas of expertise, while leaving the business process automation services to our team of experts. This is accomplished by supplying excellent business process automation services that enhance your company’s ability to provide increased reliability and cost savings to your customers.
Integration enables your company’s success by providing complete IT outsourcing solutions for business process automation. As a result, this allows your organization to increase efficiency, by being able to respond rapidly to changing business environments, while meeting your customer’s needs consistently and in a more cost effective manner.