The Future of EDI – Engage Your Customers

by | Jul 29, 2024

The old expression “If it isn’t broken, don’t fix it” rings true in many aspects of our lives. This is even more relative when it comes to EDI. Historically, EDI was going to be combined, replaced, or eliminated. First, it was going to be combined with the international standard EDI/EDIFACT. Next, it was going to be replaced with another standard XML. Finally, many ERP applications tried to eliminate it by selling the concept of going direct from application to application. While some companies did move to EDI/EDIFACT or XML, most companies continued to trade business documents electronically using the EDI standards. Unfortunately, many companies are still not using EDI as a competitive advantage, but think of it as technology and not strategic. How can you use EDI strategically in your organization?

  • Engage your customer
  • Expand your suppliers
  • Connect with your logistic partners

Technology is needed to implement EDI; therefore, many companies leave it in the hands of IT and do not see it as a way to be competitive. Providing more accurate and timely information through the implementation of additional documents can build a better relationship with your customers. Receiving their Purchase Orders and sending your invoices is a place to start; but this doesn’t give you a competitive advantage. Sending additional information about the status of their orders makes you a valuable supplier. Can you fulfill the entire order? Will some items be on backorder? When will the shipment arrive? These are examples of information you can provide through EDI documents. Are your customers asking you to implement more documents, but don’t have the resources available? Innovate Managed Services can become an extension of your IT staff and help you implement more electronic documents, enhancing your customers relations and positioning you as a strategic supplier.

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