How EDI helps your business make more money
If you’re new to retailing, you might be wondering why so many businesses make the effort to be EDI-compliant. The truth is that EDI or electronic data interchange is not just a hassle you have to push through to meet business standards. EDI is a practice that benefits the companies who use it by greatly streamlining their supply chains, which saves time, money, and resources, allowing businesses to yield greater profits in the long run.
EDI allows trade partners to share information quickly, efficiently, and accurately. This ensures that retailers know exactly when goods will arrive, giving them time to plan for shortages and adjust their processes accordingly. Furthermore, transmitting information electronically reduces the potential for human error that businesses used to experience when communicating with their trade partners. According to EDI Basics, EDI reduces transactions with errors by at least 30-40%. The increased accuracy ensures that less time and money will be spent correcting mistakes. As previously mentioned, EDI also does a great deal to speed up the supply chain. This speed allows businesses to stock and sell more products to customers, resulting in more gains.
