Considering Adding Electronic Data Interchange to Your Business? Find Out The Benefits:
If you’re considering adding Electronic Data Interchange, or EDI as it is better known, to your business then you know there is a lot to consider. EDI has many major business benefits and it continues to prove its substantial long-term business value over and over again. In fact, according to a recent EDI research study by Forrester, “the annual volume of global EDI transactions exceeds 20 billion per year and is still growing.” What this shows us is that by electronically exchanging business data, your business gains improved transaction speed, processing productivity and works to decrease the cost associated with manual processes. However, if you think cost savings is the only benefit a business sees from EDI, think again.
Let’s explore how these benefits are accomplished:
EDI COST SAVINGS
When EDI is implemented into a business, almost immediately the costs associated with paper, printing, reproduction, storage, filing, postage and document retrieval are virtually eliminated. This initial cost-savings can amount to a 35% to 40% reduction in processing expenses, sometimes even higher depending on your business practices. And that’s just to start. Not only are you substantially saving in processing costs, EDI also offers a significant restructuring for the organization of your business and its data processing needs. Using EDI, the days of illegible faxes, lost orders and incorrect phone orders are gone. This eliminates the frustration of data disputes, confusing information and unorganized data, which all work together to improve the overall functionality of your business.
EDI INCREASED PRODUCTIVITY, SPEED AND ACCURACY
In terms of increased productivity, EDI offers many ways to streamline your data processing efforts with side effects being increased processing speed and accuracy. Here are the facts:
- EDI has the potential to increase your business processing cycles 61% to 65%. This is accomplished because EDI exchanges data in a matter of minutes, compared to waiting days or weeks for postal delivery.
- EDI significantly improves the quality of data. Because data is transferred electronically, transaction error rates decrease by 30% to 40%.
- EDI reduces the order-to-cash processing time by over 20%. This increases cash-flow for your business while simultaneously improving business partner transactions.
- EDI allows the automation of all paper-based procedures. As a result, this allows your employees to focus their attention on core areas of the business.
- EDI automation between applications across a supply chain supports business-critical data being sent on time, allowing tracking in real time.
- EDI decreases processing time, which then allows for faster delivery times, which means that organizations can reduce their inventory levels.
EDI ADDITIONAL BENEFITS
Because EDI enables real-time visibility into transaction status, both customers and your business are streamlined, more organized and in the end, able to increase revenue based on increased productivity and overall processing cost-savings. And the waterfall effect continues as the processing runs faster and more accurate, employees focus on more core-business needs. This in turn enables faster decision-making and improved responsiveness to changing customer and market demands.
As a primary business process automation outsourcing provider, Integration, Inc.’s goal is to empower all its clients 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 a 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.
To learn more about business process outsourcing, contact Integration, Inc. today. Integration, Inc. is an industry-leading business process automation provider specializing in business process automation services, such as Electronic Data Interchange (EDI), check writing, check printing, check processing, rebate processing, barcode labels and third party billing to thousands of companies across the globe.