EDI solutions in the supply chain

  • Written by Peter Needle
  • Published on 30 March 2015
  • Blogs

Electronic Data Interchange (EDI) has been with us now for quite some time, described by Cerasis as the “no paper, no people” exchange of information between electronic devices. So what benefits can it offer, and how can supply chain technology platforms work alongside it?

Electronic Data Interchange (EDI) has been with us now for quite some time, described by Cerasis as the “no paper, no people” exchange of information between electronic devices. So what benefits can it offer, and how can supply chain technology platforms work alongside it?

The benefits of an EDI system

While traditional communication methods such as post, fax and email require human intervention, EDI software transfers documents directly between devices to begin immediate processing. This technology was developed in the 1960s to speed up the movement of shipping documents such as purchase orders and invoices, and the annual volume of global EDI transactions has now surpassed 20 billion, according to research by Forrester.

Modern supply chain management relies heavily on EDI solutions to automate complex processes. Here are just some of the many benefits:

  • Business cycles can be sped up by 61%, processing exchange transactions in minutes rather than the days or weeks required from postal services.
  • Expenses are reduced dramatically, as costs associated with paper, printing, postage, filing and human resources are all reduced, lowering total transaction costs by at least 35%.
  • The risk of errors is reduced by at least 30%, as illegible handwriting, lost faxes, typing errors and incorrectly heard phone orders are all eliminated.

All this means that transportation providers using EDI can handle a much larger task load, and manage their supply chain with far greater accuracy. Order can be traced from start to finish, monitored through each step of the supply chain process. Companies can see how quickly orders are moving, whether there is any unexplained downtime, and how efficient your transport providers are.

Using Segura and EDI systems together

The sheer amount of information that can be utilised through EDI is a huge asset to any business. Here at Segura, we understand that our supply chain technology must be fully integrated with existing EDI capabilities to provide customers with complete visibility and control. 

Many prospective clients will already use supply chain technologies, so we provide a full EDI transactional layer within the core of our platform’s architecture. This means that customers can continue to manage their supply chain as usual, while relevant data is fed directly into Segura.

Since our cloud-based platform has been built by our own in-house development team, Segura can offer a fully flexible service. We are able to take on board additional services and requirements for both the main platform development and especially in the EDI space, where data integration into multiple platforms is an absolute must. We can work with almost every platform, from old AS400 and mainframe solutions to modern ERP and MRP platforms based on SAP, Oracle, Microsoft Dynamics and AX, and even bespoke and localised systems and tailored solutions.

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