What is an EDI network?

All businesses need customers, and most will have a list of regular suppliers too. How well relationships with these groups are nurtured and sustained is crucial to commercial survival and hopes of prosperity. This includes the efficient, frictionless exchange of essential trading documents such as purchase orders, sales invoices and ASNs (Advanced Shipment Notices). Increasingly, this process is digitised through an automated EDI network.

EDI, standing for Electronic Data Interchange, is a behind-the-scenes software solution that underpins global trade by helping to ensure supermarket shelves are well-stocked, manufacturing processes run smoothly and customer deliveries arrive on time and exactly to order.

EDI has introduced across-the-board time and cost savings and improved accuracy by automating the whole activity of sharing transaction data and eliminating the need for manually derived documents.

In new research commissioned by Transalis, businesses spoke of their EDI network requirements at a time when they anticipate more trading to happen internationally rather than solely in the UK.

More than four out of ten respondents said they were expecting to significantly increase the number of trading partners, with 16% of these being based outside the UK.

Engaging with more international partners means companies will increasingly have to navigate different territories’ localised regulations on import and export duties, invoice reporting and other factors directly relevant to operating an EDI network.

Asked when they would be reviewing their current EDI network arrangements, almost all respondents said they would be doing this within the next six months.

As well as helping their preparations for more international trade, reasons included broad recognition of the benefits of automation in reducing operational costs and the need to add resilience to supply chains hit by Covid.

At the same time, the research showed it takes longer to bring non-UK-based trading partners on board an EDI network – three months on average as opposed to two for those based in the UK – so there is an added focus on achieving swift process integration.

The benefits of tapping into our global EDI network are extensive. Examples of how we facilitate visibility, transparency and efficiency include:

• ONBOARDING: we take 50% less time to onboard a new customer. This is because of our efficient management of set-up and partner onboarding, designed specifically to ensure new customers and trading partners are up and running as quickly as possible.
• FASTER SET-UP: Shorter lead-in times for implementation come as standard. If integrating data directly into existing systems, we provide a clearly formatted FTP file that can be automatically mapped and uploaded. For a full integration, an API pulls in information from the EDI network platform instantly, with no disruption or delays to BAU (Business As Usual) operations.

• INPUTTING CHANGES: Fast turnaround of change requests is often crucial. In our recent research, many organisations highlighted their need to make rapid and regular updates to their EDI network solution to reflect ‘on the ground’ changes among trading partners. Unfortunately, one of the typical drawbacks of a legacy EDI system is the inability to deal quickly and cost-effectively with such change requests. We have invested substantially to ensure our EDI solutions respond to change updates in a timely, efficient manner. Smoother system integration also minimises the risk of service outages, another feature associated with legacy EDI solutions.
• TRANSPARENCY: Unlike many other providers, we don’t impose VAN (Value Added Network) charges which penalise you for going over a data limit within a set period. Instead, Transalis offers transparent, fixed-price integrations to your EDI network within an agreed timeframe and service agreement. And we do not put up any barriers that could disrupt BAU if a supplier ever wanted to switch to another provider.
• CUSTOMER EXPERIENCE: Customers value Transalis EDI network solutions because they meet business needs and expectations and offer an outstanding and meaningful customer experience. It features frictionless migration to maintain BAU, an intuitive cloud-based EDI platform, coupled with full operator training from dedicated Customer Experience Managers, as well as reliable, ongoing support.