Double entry wastes time and increases errors. Entering data once already carries the risk of mistakes entering it again only doubles the chance. Manual input slows down operations and forces employees to spend more time correcting errors instead of adding value.
While manual entry might make sense in paper-based workflows, repeating the same data input twice offers no business value. In today’s era of digital commerce, reducing manual entry should be the default approach to improve both performance and accuracy.
What is EDI?
Electronic Data Interchange (EDI) is the use of technology to securely move structured business data between organizations without human re-keying. It’s one of the foundations of e-commerce, enabling trading partners to exchange purchase orders, invoices, shipping notices, and more. As a first step in digital transformation, EDI helps businesses automate manual processes, reduce costs, and improve accuracy.
From Paper to Digital Workflows
EDI replaces error-prone paper processes with automated digital workflows. For many organizations, it becomes the catalyst for reengineering outdated processes and embracing automation. While not all data integration is EDI, the principles of structured data exchange (accuracy, speed, and efficiency) apply across both.
The first principle of integration is simple: eliminate paper. Paper-based processes cause delays, raise storage and handling costs, and introduce errors from repeated manual input. By shifting to EDI, businesses reduce overhead and speed up access to accurate information.
Implementing EDI reduces operational costs by:
- Increasing transaction speed
- Decreasing processing times
- Minimizing data entry errors
The top benefit of EDI is cutting costs by eliminating paper and automating transactions. Businesses save money not only in processing but also in error correction and resolution. With EDI, organizations increase productivity handling more transactions with the same or fewer staff while delivering faster, more accurate service to customers.
Another overlooked benefit of EDI is its ability to structure data and workflows. Transactions can be processed in seconds, boosting service efficiency and responsiveness. EDI also provides access to detailed transaction data that can be analyzed for insights, used to automate other processes, and stored for compliance.
Why EDI is Essential Today
Adopting EDI is no longer optional, it’s a requirement for working with many major retailers and suppliers. Like moving from phone orders to fax, and from fax to online ordering, EDI represents a major leap in how business transactions are processed. Companies that embrace it improve performance, strengthen supply chain collaboration, and stay competitive.
EDI connects every part of the supply chain (orders, invoices, shipping, returns) while eliminating the need to re-key data. This seamless communication increases efficiency across all trading partners.
At Mendelson Consulting, we bring decades of real-world experience implementing EDI solutions with leading providers and thousands of retailers and suppliers. Our experts help businesses integrate EDI successfully streamlining processes, reducing errors, and unlocking measurable value.
