Integrating softwares can prove to be the best practice in modern businesses. There are so many combinations that organizations have implemented in the past such as LMS integration with salesforce, project management tool integration with trackers, etc. that have shown tremendous results. One such combination that is emerging to be something beneficial for organizations is the integration of cloud EDI software with a transportation management system.
To understand how things work in this integration, you must first understand what these two are capable of and how their potential outcome can be enhanced by combining their processes. Starting with a transportation management system, it is a centralized system that maintains all the records of logistic information related to the transfer of physical assets, goods, or products with proper documentation and knowledge of routes and handover.
The idea behind implementing a TMS is to ensure that nothing goes missing in a long supply chain of transports. Many companies have bulk goods movement in multiple vehicles, and each of them must be traced down to bits to ensure that nothing is missing. Not to mention, the receiver might often get confused between which vehicle has made it to the delivery point and which is yet to come with the volume of incoming goods and transport. A transportation management system makes it possible to understand everything in detail and trace the entire logistics process.
Now, the application of EDI is somewhat similar but it is on an integral level of the company. EDI ensures that the communication between multiple trade partners, customers, or clients stays seamless. It is a data transmission and interchange application that can help your organization in sending and receiving crucial documents faster and with the highest accuracy. Knowing how these both work, you might have already got an idea of how integrating cloud EDI software wh transportation management systems can prove to be wonderful and probably the best decision for you if you are into logistics and product-based businesses.
BENEFITS THAT TMS-EDI INTEGRATION OFFERS
When you integrate a messaging system with a carrier, you ensure that the product reaches you soundly and you have all the information about it. While a transportation management system is capable of tracking the vehicles well and keeping track of sent and received products, the documentation that comes with the transaction is always a headache. It requires extra efforts to maintain the documentation that includes receiving the product, the invoice, and a lot more.
There are times when businesses have to suffer serious losses just because of being single here and there in the process. These mistakes may include errors in the documentation or worse, loss of documentation as it is also a major reason why paper trails should be avoided. With EDI replacing the information, you can get better results. Moving to the benefits of implementing the EDI cloud-based integration, there are 4 major benefits that you can find –
- Minimizes Labor & Resource Cost – With every shipment that you send, you often need to send a professional from your company to ensure that it reaches well and the documentation is completed then and there. Mostly, the idea of sending a professional is to ensure paperwork. With an EDI integrated transportation management system, you can reduce the amount of paperwork as now the receiving formalities can be done through EDI, saving you resources and labor. Only an experienced driver is enough to deliver your goods.
- Reduces Human Error Margin – While preparing a document offline, there are so many irregularities that you may come across. Missing information, misinterpretation, and irregular writing are a few examples. These are common human errors that often result in major misunderstandings and hence an integrated EDI solution with your transport management system can help you avoid them easily. Documentation relates to the transport and the order of goods both can be directly shared with the receiving party and in a standardized format.
- Helps You Maintain Inventory Record – When you have sent a consignment, you should stay aware of the current status of inventory. Also, there are times when your trade partner requires only half of the number of their ordered goods. While the transportation will be used with or without a complete order, you may get confused with the vehicles moving and their goods carrying capacity. With the help of EDI-based communication, you can keep a record of what part of the order has been delivered or transferred and what is remaining pretty neatly.
- Cloud EDI is Always Cheaper – When it comes to integrating any two softwares, the cost is one of the major concerns of any organization. If you talk about legacy EDI solutions, setting them up and dedicating multiple resources is often typical for a small business and integrating it with TMS is a whole different hassle. Using EDI cloud solutions, the cost is reduced, the hassle is reduced and of course, the results are far superior to an individual system.
Other than these 4 highlighted benefits, there are always perks that you can experience when you have done the integration. One thing to keep in mind here is that to get the best results you should always look for the best EDI service provider. A lot of people often complain that they are not getting the results they expected from the integration and the reason behind it is the quality of service that they avail. Never go for a name that you do not trust, instead, look for a name that can assure you of the perfect outcome. This brings us to the end of the post, hope you find it informative and make the decision wisely!
Author’s Bio: Scarlett works with the editorial team of A3logics, a leading company offering EDI Solutions. Exploring the latest technologies, reading about them, and writing her views have always been her passion. She seeks new opportunities to express her opinions, explore technological advancements, and document the details. You can always find her enjoying books or articles about varied topics or jotting down her ideas in a notebook.