With the advent in information and communication technology, your company has more options in dealing with your business. Technological support is particularly important when you deal with massive transactions that include orders and invoices. When you have to deal with the orders in manual, you can imagine the mistakes you probably make. Accordingly, innovation in technology allows you to exchange the electronic data with your suppliers, vendors, or customers. Electronic exchange reduces and even eliminates the need for manual input. You can send the orders and receive the invoices in electronic way. Therefore, the possibility of making mistakes will be reduced.
Electronic Data Interchange, or simply known asÂ edi, allows you to exchange the electronic data in an effective way. In this way, the computer system in your company â€œtalksâ€ to the computer system in your suppliersâ€™ or customersâ€™ company. In addition to reducing the possibility of mistakes, preparing, sending, and recording the business transactions can be done in a faster way; sending and receiving the business documents are only a matter of a click. EDI also streamlines the transaction processing since you do not need complicated paperwork. More importantly, it may also contribute to the increase in the productivity because of the streamlined process without requiring more employees.
To benefit from the Electronic Data Interchange, you needÂ edi software. Based on the target user, there are two types of software. You can choose either or both based on your needs. The first is EDI for supplier. The software enables the customers to comply with the order requirements you have specified. The second one is EDI for buyer. It is designed to strengthen your partnership with the suppliers. The collaboration is extremely important to ensure the success of your EDI or supply chain. EDI provides you with strengthened collaboration through defined business goals, user-friendly interface, reasonable requirements, continuous assessment, and greater degree of accountability and visibility.