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On November 25, 2008. By Neil, under Executive Desk, Tech Talk.
Integrating or sharing EDI information with your business systems is a decision most EDI users face at one time or another. When a business system like ACCPAC, AccountMate, or Great Plains/Dynamics is integrated with EDI information sales orders are uploaded and invoices are downloaded to save the time of manual data entry, to speed the time of processing and to reduce operator error in entering orders.
“Nobody wants an order for 1000 pieces to be entered as 100 – particularly if the material has a significant lead time. Sales can and have been lost due to a simple error like this.”
Through experiences with our customers we have found that enormous value can be derived from integrating EDI information with business systems. But is it a no-brainer to decide to integrate? – not exactly.
The start-up costs for EDI integration can be significant. These one-time costs are weighted against the ongoing cost of labor to manually integrate and the inefficiencies of labor that could be used more fruitfully for customer service or order fulfillment.
“Integration software never takes a vacation or a sick day and the costs of integration are borne only once while the benefits live on.”
It all comes down to volume and it’s a pretty simple calculation. A couple of orders a week or even per day might not present a significant manual effort. Manual practices can be put into place to avoid errors and the labor expended is minimal. When the volume of orders increase the burden and costs of the manual process also increases, sometimes quite suddenly.
A good rule of thumb when manually integrating is to review the costs in dollars and time spent every couple of months to see if it passes the threshold that makes integration viable.
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On November 13, 2008. By Fran, under Tech Talk.
Shipping systems are a key link in the fulfillment process amplified by the growing popularity of deliveries direct to the consumer. Our EC Gearbox Shipping Manager creates a seamless connection between shipping systems and your EDI transactional information resulting in enhanced customer service with an ability to provide up to the minute details.
Order distribution details are pre-loaded into shipping systems with available information including order number, ship to information, and even packing details with weights. With the addition of a simple bar code scan, this physical process becomes an automated, one-step event.
Shipping results, including tracking and cost information, are integrated back into The EC Gearbox where it is used to create EDI Advance Ship Notices, exchanged back into accounting systems to enhance and/or automate the invoicing process and even sent back to CRM systems for customer notifications.
The shipping process is fully entwined with the EDI process often requiring special labeling and special packing lists as well as shared shipping information in the preparation of EDI Advance Ship Notices (ASNs). Share data with any shipping system including, but not limited to, complete UPS and FedEx integrations.
Fully automate your shipping process with EC GearBox tools. Share data with any shipping system including, but not limited to, complete UPS and FedEx integrations. Preload shipping systems with order details and retrieve shipment details like charges, insurance, and tracking numbers from completed shipments.
Use EDI transactions to mange external or 3rd party warehouses. Send to the warehouse notifications of incoming stock from suppliers and orders to ship to customers. Receive reports back from the warehouse when they receive goods and send shipments to customers. Use this information to reconcile open purchase orders with suppliers, manage inventory and to create ASNs to customers for shipments direct from the warehouse.
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On October 30, 2008. By Fran, under Tech Talk.
Building more capital, faster order and delivery, improved order accuracy, greater staff productivity, better trading partner relations, increase productivity and eliminate errors.
Now that you have decided to transform your business with EDI software, EDI training and understating the functions for your business is vital to better productivity and partner relationships.
A basic interface might require general PC skills, but an elaborate system may call for greater ability. EDI software can be set up for one user or by department, depending on the company and how you plan on using EDI.
Will you have to attend group EDI training or will EDI training be made available to you & your staff?
Will manuals & education material be an additional cost?
How many employees can use the EDI system?
Is there a service fee for training?
When planning for your purchase of EDI software and services, it is critical to understand what kinds of training your EDI host will make available. An open line of communication to ask questions and develop a relationship with your EDI service will promote in the learning curve. You are the customer and should feel that proper execution of training is being directed toward you and the staff.
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On October 30, 2008. By Fran, under Tech Talk.
ASN (Advanced Shipping Notice): Also known as the 856 document. This provides the retailer with advanced information about pending product shipments.
AS2: A specification for Electronic Data Interchange (EDI) between businesses using the internet web page protocol & the Hypertext Transfer Protocol (HTTP). AS2 was created by EDI over the Internet (EDIINT) a working group of the Internet Engineering Task Force (IETF) that develops secure & reliable business communications standards.
B2B (Business to Business): When one business communicates with or sells to another business.
Compliance Settings: Comparison of EDI data being sent or received with the applicable EDI standard. Normally part of the EDI translation process.
Compliance Checking: A checking process that is used to ensure that a transmission complies with ASNI X12 syntax rules.
Data Mapping: Provides significant enhancement & transformation of data from multiple sources to multiple target formats.
EDI (Electronic Data Interchange): The computer to computer transfer of business transactions using standard, industry accepted message formats.
Integration: The process of making one application compatible with another application.
Functional Acknowledgment: An EDI transaction sent to acknowledge the receipt of a prior transaction set.
Integrated EDI: An approach to EDI implementation requiring no human involvement in the computer to computer exchange of data.
Invoice: Also known as the 810 document. This is the request for payment from the purchaser for products or services rendered.
SKU (Stock Keeping Unit): Lowest level of identification of merchandise for inventory management. Within a particular style, this usually refers to the ability to identify a unique size or unique color.
Trading Partner: A customer or supplier or the partner with whom business is conducted using EDI
Third Party Network: A commercial service that allows people to transmit data to a computer and store it so it can be retrieved the party to whom it is addressed. This is also called an electronic mailbox.
UCC 128 Labels: Code 128 is a bar code standard that is used for several applications. Placed on shipments and refers to information contained in the ASN.
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On October 17, 2008. By Fran, under Tech Talk.
Making sure to get the most out of your EDI experience will benefit not only your company, staff but also your business growth and potential. Knowing all the aspects to EDI and what your solution can provide is a valuable tool. Introducing a new way to do business, might seem overwhelming to a staff, and cause concern. Call a meeting to settle fears and answer questions, to ensure a smooth transition to EDI.
With anything new or a major change come the usual fears and concerns. That’s natural. We would not be human if we stared change in the face without any worry.
- Is there a requirement on how many partners our business must meet?
- Does my company need to hire more employees or candidates with EDI experience?
- How do I know my transaction status, monthly or weekly reports?
- My trading partners have unique shipping label requirements, do you contact them?
- Can I still ship, using UPS and FedEx with this new system?
Concerns on how your business will incorporate this new solution should be answered by the provider, insuring a smooth transaction to EDI.
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On October 17, 2008. By Fran, under Tech Talk.
When it is time to purchase an EDI (Electronic Data Interchange) system that will benefit you and your company, increase sales and keep track of business one must consider theses key points:
- How many vendors or customers are requiring EDI transactions?
- How does an EDI system cut down on clerical entry and redundant tasks?
- How will my relationship with trading partners benefit?
- Building a better customer service business?
- Planning for larger business and growth?
Remember to do your home work: learn about EDI via the internet, through clients, and ask plenty of questions. Make a checklist to have on hand when interviewing EDI providers. Knowledge is strategic. Use it to your benefit.
Hidden costs, monthly fees and yearly upgrades go unnoticed or unexplained in the scheme of service. Be upfront and inquisitive and you are off on the right track.
Let’s face it, every business has high hopes for being the next major player, in the game of trade. Thinking ahead or a five year plan is always a plus, but getting to the next level requires hard work, dedication, and most importantly, technology.
- Can your potential EDI service provide these benefits?
- What factors are important to your business plan by implementing EDI?
EDI has rewired business into a superhighway of fast communication, partner relationships and above all, a paperless office.
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On October 17, 2008. By Fran, under Tech Talk.
EDI: Electronic Data Interchange. EDI is computer-to-computer exchange of business documents between companies. It replaces faxing and mailing of paper documents. EDI is used in a variety of industries. In fact, over 80,000 companies have made the switch to EDI to improve their efficiency. Many of these companies require all of their partners to use EDI.
Why does my trading partner now require EDI technology?
Computer-to-computer exchange of information through EDI is much less expensive than the manual operating of paper documents. Fewer errors occur because computer systems process the electronic order documents instead of manually processing the documents by hand. Think about it, the “paper trail” is a very unsafe way of doing business, and keeping records and files is practically obsolete.
In the age of internet, a superhighway of electronic tools has advanced business to greater levels. Transactions between companies work faster and more efficient than using paper documents. Electronic transactions help reduction in inventory, better use of warehouse space, fewer out-of-stock problems, and lower freight charges. EDI orders can take as little as one day to process and exchange business transactions.
What do I need to use EDI?
To become EDI capable you will need some type of computer. Many types of computers can be used to become EDI capable, from a personal computer to a mainframe system. You will need to select the computer that best meets your business needs.
- A Windows based computer
- Internet communication
- Laser printer
- Remote access software
What does the term EDI compliant mean?
EDI compliance, or compliant, is the ability to send and receive EDI documents in the way that your partner requires it.
Pretty simple right?
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