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The advantages of EDIFACT are obvious, as standardisation enables you to reduce manual work to a minimum and avoid having to enter the same data again and again. In most cases, the data is taken directly from your in-house system, converted to Westaflex format by the EDIFACT converter and fed into our Logistic Information System. We have compiled several EDIFACT programming manuals for our customers.
A list of our recommended EDIFACT partners:
My Open Factory e.G. D-52074 Aachen
Fon +49 (0)241 99 000 3000
Telefon +49 (0)6209 27 23 10
Advantages of EDIFACT
Research has shown that around 70% of data requiring manual entry has already been processed electronically by computer and is therefore already available. EDIFACT thus has enormous benefits for businesses which opt for standardised data exchange.
EDIFACT is used for just-in-time (JIT) logistics, thus increasing stock turnover, reducing stock in hand and reserves and reducing the capital tied up and the associated capital costs. Cash management is significantly simplified because payment procedures are quicker and a general summary of orders is instantly available.
General advantages of using EDIFACT.
- Not dependent on software and hardware
- Global comprehensibility of the information transmitted electronically
- Same message structure for all business partners
- Faster message forwarding
- Conversion of inputs and outputs eliminates need for new software investments
Five key benefits of Electronic Data Interchange (EDI)
The benefit of electronic trading is well documented. Here are the top five reasons why businesses adopt EDI.
Benefit One: Remove document re-keying
By removing the manual keying of key business documents such as Orders, Invoices, Acknowledgments and Despatch Notes your company can benefit significantly by:
- Reduced labour costs
- Elimination of human keying errors
- Faster document processing
- Instant document retrieval
- Remove reliance on the postal service
Benefit Two: Eliminate Paper
Paper-based trading relationships have some inherent disadvantages when compared with their electronic trading equivalents:
- Stationery and printer consumable costs
- Document storage costs
- Lost documents
- Postage costs
Benefit Three: Reduce lead times and stockholding
- Electronic trading documents can be delivered far more quickly than their paper counterparts, thus the turnaround time from order to delivery can be reduced.
- By using EDI for forecasting and planning, companies are able to get forward warning of likely orders and to plan their production and stock levels accordingly.
- Companies receiving advanced shipping notes or acknowledgments know in advance what is actually going to be delivered, and are made aware of shortages so alternate supplies can be sourced.
- Integrating electronic documents means they can be processed much faster, again reducing lead times and speeding up payments.
Benefit Four: Increase quality of the trading relationship
- Electronic trading documents when printed are much easier to read than copies faxed or generated on multi-part stationery by impact printers.
- Accurate documents help ensure accurate supplies.
- Batches of electronic documents are usually sequentially numbered, therefore missing documents can easily be identified, not causing companies to wade through piles of paper.
Benefit Five: Competitive Edge
Because electronic data interchange (EDI) makes you attractive to deal with from your customers' point of view, and you are in their eyes cheaper and more efficient to deal with than a competitor trading on paper, your costs will be lower because you will require less manpower to process orders, deliveries or payments.
It is no accident that the leading EEC retailers all rely on EDI for placing orders and receiving invoices - they know the benefits they get and the costs that can be saved.
The Westaflex Group Holding is located across the world’s automotive regions supporting some of the most respected automotive firms, and the company's solutions are fully compliant with all common industry standards such as UN/Edifact, Odette, VDA, or B10 requirements.
Guideline - Notification of Delivery
Guideline - Invoice
Guideline - Order Response
Guideline - Remittance Advice
Guideline - Inventory Report