What are the Benefits of EDI?

The most general benefits of EDI are improved speed, economy, and accuracy in handling business documents. More specifically, EDI offers:

• Convenient exchange of business documents during business or non-business hours
• Reduced business transaction costs
• Reduced information float
• Improved customer service
• Faster inventory replenishment and better overall inventory control
• Reduced inventory carrying costs
• Reduced safety stock
• Advanced notification of shortages, cuts and substitutions
• More reliable forecasting at both supplier and vendor ends
• Improved shipping, receiving, and cargo tracking
• Quick, accurate, and automatic reconciliation of documents
• Opportunity to negotiate better discounts and payment terms
• Improved cash flow management
• More efficient data flow at both intra- and inter-company levels
• More productive trading partner relationships
• Stronger bottom line