When it comes to the business world, we can see numerous technological advancements with time. When considering an organization, often there is a massive requirement for exchanging business documents between each other. During the earlier days, these documents were arbitrary. Moreover, the post was the way to exchange such business documents. But, at present, organizations use Electronic Data Interchange (EDI) systems in standard formats. With EDI order management, communication between businesses has become faster, accurate, and more convenient. All of which a supply chain needs to have to succeed.
The following are the two key technologies that revolutionized the modern business concept.
- EDI (Electronic Data Interchange)
- ASN (Advance Shipping Notification)
EDI and ASN technologies play a huge role in the process of interchanging documents from one company to another.
When considering EDI transactions, they are created based on the EDI message standards. The information in these message standards is vital. Even the EDI will not process correctly in case the smallest part of these messages is not available.
When Considering EDI Order Management, Basically, there are Two Main Types of EDI Transmissions
- Point-to-point direct: Two machines connect with the internet with secure protocols. This does not use any other intermediatory mode.
- Value-Added Network (VAN): This is a third-party network that usually manages the transmission of data.
With the use of ASN, a barcode ID number can be assigned to shipping labels. As mentioned in the name of ASN, it simply tells your customers in advance that your shipment is on the way.
The following are a few of the main attributes of ASN.
- Contents of each package
- Information about the shipment destination,
- Delivery schedule
- Transportation carrier
The ASN is also an electronic packing slip that tells your customer how you have packed each of your shipping items. In that way, the recipient will get the information on the items that have shipped and not shipped.
The use of ASN and EDI has made the supply chain very much leaner, making the operations efficient. With the removal of physical documents from the operations, it has increased the processing time (in some cases, the operation time has been reduced to 1 day, which used to be ten days). Increasing the accuracy of the shipment has made the involvement of the human resource for the operations making proper resource utilization as well.
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