Discuss the advantages of Electronics Data Exchange (EDI).
Advantages of EDI:
Electronics Data Exchange's saves needless re-capture of data. It leads to faster transfer of data, far fewer errors, less time wasted in exception-handling and therefore a more stream-lined business process. Benefits can be attained in these areas as transport, inventory management and distribution, cash and administration management. EDI gives the prospect of easy and cheap communication of structured information during the government community, and in between government agencies and their clients and suppliers.
Electronics Data Exchange can be used to automate existing processes. Also, the chance can be taken to rationalize processes, and thereby decrease costs, and enhance the speed and quality of services. Since EDI necessarily includes business partners, this can be used like a catalyst for gaining efficiencies across organizational boundaries. Such strategic potential inherent into EDI is expected to be, into the medium term, still more important that the short-term cost, quality and speed benefits.