Electronic Data Interchange (EDI) remains fundamental to effectively run almost any business. And with the advent of cloud and multi-enterprise ecosystems, its implementation has become even more significant.
Electronic Data Interchange (EDI) implementation refers to the process by which an EDI solution or service is deployed in order to make a business capable of driving EDI transmissions across its trading partner ecosystem.
Additionally, EDI implementation can also refer to the process of creating individual partner relationships and becoming EDI-compliant. In doing so, numerous testing, vetting, and accessing steps play an important role.
Implementing EDI is a complex process. It requires companies to create a digital workforce team that will be managing the transactions and communications throughout. Next, they have to evaluate their business priorities. In this step, all the necessary factors such as the number of trading partners, suppliers and other customers organizations will be using EDI with, the volume of transactions etc. are taken into account. Then, three major processes are being carried out including, mapping, translation, and transmission of EDI transactions.
During EDI implementation, companies need to keep pace with shifting government regulations, standards, and updates. And the need to accommodate the complexities of global business needs makes this process even more complex. For example, every trading partner in a network can present individual requirements. Even though two partners may agree on which EDI document to use, each can have unique formatting requirements that need to be supported.
Related White Paper: I Just Bought EDI Software, Why Am I Still Up A Creek?
Clearly, implementing an EDI solution presents challenges. Oftentimes, businesses underestimate the time and expense required for an EDI implementation. However, it’s how you handle these challenges that can be a differentiator for your business; how easily are doing business and creating value.
Here are some of the most common EDI issues and implementation challenges we see:
Higher Complexity: A majority of companies are proficient at connecting internal applications and systems. However, with the proliferation of data as well as supply chains and changing customer/partner demographics, it becomes difficult for organizations to integrate customer data and drive EDI transactions – securely and easily.
Poor Scalability: It’s a challenge to onboard new trading partners quickly by accommodating all of the accepted standards (e.g. EDIFACT, ANSI X12, among others) and EDI transmission protocols such as SFTP, OFTP, AS2, etc. Modern solutions can help users create onboarding connections in minutes instead of months.
Compromised Data Security: Maintaining data security is key. With EDI implementations, you and your business partners routinely share valuable, often confidential data. As a result, data, if not properly handled, can fall prey to breaches or theft. So, it's important that you handle, encrypt, and store all parties’ data.
Increased Errors and Exceptions: EDI, if managed using legacy solutions, can result in errors, duplications or other inconsistencies. For example, purchase orders or invoices can have higher risks of errors and exceptions when a legacy EDI solution is used. The key is to leverage an automated solution that helps users almost eliminate these errors completely.
Reduced Business User/IT User Productivity: EDI solutions involve a lot of custom coding and EDI mapping that take a lot of time and effort. This puts an unnecessary burden on the IT user and so they are not able to focus on more important tasks. To deal with this, you need to employ a self-service-powered solution that enables business users to handle EDI transactions, while allowing IT users to focus on more high-value tasks.
Adeptia's self-service integration solution supercharges your ability to drive EDI transactions, making it much faster, secure, and reliable. By revamping EDI integration, you can empower even non-technical business users to build connections and facilitate faster connections – at speed and scale. Contact our specialists to find more details.