When Retailer asks to Trade Electronically with EDI

Adding a new retailer to an EDI system is way more complicated than it should be. Supplier can manually pull data from the retailer’s portal, or from their third-party provider, or can integrate the data directly with the retailer. In all cases, supplier have to find a way to process data that’s unique to that retailer. Suppose suppliers do business with 100 different retailers and perform the same three transactions with each. That’s 300 point-to-point integrations suppliers have to build, all because each retailer structures and labels its data differently.

EDI (Electronic Data Interchange) is the leading solution for automating b2b data exchange for retail and business partners. As suppliers evaluate EDI solutions for their company, one of the first choices supplier will need to make is whether to set up an in-house model or enlist the expertise of a managed EDI service provider. One of the main components for delivering a strong omnichannel experience is supply chain management. Integrating big retailers like Walmart EDI with the business often highlights opportunities to streamline the business process and reap further benefits.

A fully integrated EDI approach should not only strengthen their retail partners, but also, include a downstream system that delivers a seamless exchange of information to other operations, such as accounting, eCommerce, warehousing/3PL shipping, logistics and manufacturing.

Retailers, especially large players that do business with a vast number of suppliers, continue to rely on EDI because it standardizes the transactions with their many partners, cutting down on miscommunication, human error, incorrect shipments and other mistakes that can cost the company money and eat into already-thin profit margins.