The world before EDI
Typically, businesses interact with other businesses through manual processes -- paper and manual intervention is involved. The thing is, people and paper slow document processing and introduces inaccuracies and errors. Take Jim the grocer, for example...
Jim needs to order 500 apples for his store.
So he emails his supplier, Tom, to order some.
Tom’s a busy man and doesn’t pass Jim’s order to his warehousing team for 24 hours.
By the time the warehouse gets Jim’s order from Tom, they’re out of apples.
Jim’s order has to wait another 24 hours until more apples are picked.
Finally, Jim’s apples arrive.
But Tom missed a zero in his email to the warehouse team.
Only 50 apples turned up.
Jim is furious.
The world after EDI
Business documents flow straight from your applications to your trading partners and vice versa. Instead of waiting on someone to email or fax, order processing begins immediately. Here’s what Jim’s life is like with EDI...
Jim logs into his inventory management system.
He sees Tom has 500 apples available.
So he confirms an order in his system.
Tom receives a shipment notice back within a couple of hours.
The apples arrive.
Jim is happy.