Every company wants to spend less. Dollars saved will mean improved revenue or the ability to invest elsewhere — allowing room for business growth. Many organizations are doing everything they can to trim excess processes and get by with fewer staff, but often ignore a potential area of significant cost savings: document transfer. Leveraging an easy-to-configure set of electronic data interchange (EDI) tools, it’s possible to recognize both significant monetary benefits and improve overall efficiency. Here’s how:
The Cost Factor
EDI systems work because this exchange method is highly standardized; devices transmit and receive information using specific formats that do not vary from state to state or even country to country. The result is a kind of universal language among companies that use EDI, allowing easy transmission of documents, invoices and other critical files.
The cost savings start when you move away from physical document exchange to EDI software. There’s no paper to purchase, no toner required, and no maintenance needed for printers and fax machines. What’s more, the average size of a single document in EDI format is around 1 kilobyte, putting virtually no stress on your network or bandwidth. Best of all, the chance of document error is significantly reduced when no human interaction is required, meaning you won’t be on the hook to resend files, reconcile mismatched account balances or explain missing line items. Bottom line? You save money every month because you’re not spending on paper, not taxing your network, and don’t have to waste time correcting mistakes.
You can also save money thanks to greater process efficiency. When files transfer in minutes rather than the days required for physical mail, you’re able to act more quickly on strategic information and capture business opportunities. Better document quality also means you won’t waste money fixing files that aren’t legible or don’t follow the standard format of business partners — EDI ensures that all trading partners are able to freely communicate thanks to regulated, automated processes. Best of all? Staff can be deployed on other projects rather than being paid to monitor invoice processing and bill payments. In effect, EDI lets you do more with less to improve your bottom line.
If you’re considering EDI software to save money every month, it pays to leverage a solution that features EDI system easy configuration options. Deployment and implementation of EDI systems are key factors in minimizing document transfer spend — it’s worth opting for a provider that offers simple configuration solutions for virtually all backend systems.
Want to improve monthly cash flow? Stop paying for paper and control spend with EDI software.