It is common for small businesses to consider outsourcing solutions to maximize their effectiveness at an affordable cost. A few months ago we discussed outsourcing and its ability to make small businesses more competitive. Today we take the conversation a step further by comparing two types of outsourcing solutions in regards to electronic data interchange.
One solution is referred to as “build to order.” In such an arrangement, an order must be placed before production begins. This model works best with lower volume products that require customization and a longer time for production. Aircraft, for example, are appropriate products for such a setup due to their varied configurations and high holding cost.
In our experience, we have found that “build to order” arrangements are not optimal for small businesses seeking EDI compliance.
Small businesses need a solution that is already “built” and ready to go. This type of solution, referred to as “turnkey,” is immediately available for use upon implementation.
Setting up and maintaining EDI capability is a complicated, technical process that is different with each customer who requires you have EDI. With a turnkey solution, small businesses can avoid the many potential headaches of EDI. A third party handles all of the technical details.
An easy way to understand such a turnkey business relationship is to visualize a light switch. All the electricity in a modern home is available at the flip of a switch and is effectively outsourced to a power company.
The complicated power grid and power plant operations are of no concern to the consumer. We pay for someone else to deal with the complexities of the process, and in turn receive a switch that is available whenever electricity is needed. This is the way a turnkey solution works, with experts behind the scenes taking care of the nuts and bolts.
CovalentWorks offers turnkey EDI solutions in the purest sense of the concept. Small businesses relying on CovalentWorks receive the fastest implementation in the industry, need no software or hardware, and have to ability to exchange any EDI transaction type with any trading partner anywhere in the world.
Turnkey EDI Solutions by Steve Brewer