The first clue that your EDI system may be out of date is that it is more than 10 years old. During that length of time your business and your customers’ businesses have changed. Your customers may be using newer versions of EDI that are not supported and you may have new customers who need to be added to your EDI system.
EDI software issues, personnel issues and communication problems can also indicate your system is out of date and it is time to look at alternatives.
Your EDI software may be out of date if:
- As mentioned above, your system is over 10 years old.
- Versions of EDI ANSI X12 after version 4020 are not supported
- New customers are difficult to add
- You are getting chargebacks from customers
- Customer service based on EDI documents is difficult or time consuming
- Too much manual effort is expended in receiving and sending EDI documents
- EDI transactions are not integrated with your in-house systems
- EDI transactions are not interfaced with your third party logistics provider
Difficulty in Upgrading EDI Software
We frequently hear from small businesses that are having a hard time upgrading their EDI software. This is usually caused by either the small businesses hardware and operating system constraints or issues caused by their software vendor.
Sometimes small businesses have EDI software installed on older hardware that has an older operating system on it and for a variety of reasons they do not want to update the operating system. The problem this creates is that newer versions of EDI software require a newer operating system.
Sometimes the EDI software vendor decides to stop supporting the software or requires that an entirely new and expensive software package be purchased.
In other cases, the small business has not paid for maintenance in a number of years, and now to solve a problem an upgrade is needed. Usually the software vendor will require that all of the past years of maintenance be paid in order to receive the upgrade. The cost can be prohibitive.
Personnel are a key component of an EDI system. Turnover may have resulting in the loss of knowledge of how the EDI system works and how to maintain it. There may not be time available to debug issues. Or there may not be time to understand new customer’s requirements and then perform the necessary EDI compliance testing.
An EDI system can become out of date when it does not support the communication requirements of new customers. Many customers will use a VAN (Value Added Network), but other communication methods such as AS/2 have become more common and may be the only alternative.
EDI Provider Outsourcing
Outsourcing your EDI provider can be a viable alternative if your EDI system is out of date. All of the above issues can be solved and avoided in the future by choosing the right solution. Call us anytime to find out more about our web-based EDI service delivered from the cloud. We may be able to save you thousands of dollars.8 Signs Your EDI System is Out of Date by Steve Brewer