Step 2: Undertake a Strategic Review
This analysis identifies the most likely corporate applications for EDI deployment and sets priorities for conversion to EDI. To this end, factors to be considered include the number of suppliers, customers or other business partners, and the volume and type of transactions to be exchanged. It includes a description of the present systems in each functional area and an explanation of how EDI will improve them.
The issuance and receipt of each type of business document is based on a system of human and machine procedures, all of which have to be documented and analyzed for EDI efficiencies. For best results, the goal should be to improve the business cycle rather than simply automate it.
Can EDI:
- Eliminate redundant steps from the business cycle?
- Eliminate redundant data entry?
- Reduce manual effort?
- Reduce the size of inventory?
- Improve customer service by speeding the delivery of goods?
- Improve the relationship with business partners?
- Facilitate larger business strategies, such as Just-in-Time manufacturing?
Fully answering these questions will highlight the business cycles that are likely to benefit most from the implementation of EDI.
