EDI Advantages and Disadvantages [Ecommerce Notes]

EDI Advantages and Disadvantages

Advantages	Disadvantages
Automating existing business procedures in inventory management, transport and distribution, also in administration, and cash management.	Managerial problems in the support, maintenance and implementation of EDI transactions.
Cost saving in - document preparation, postage, and handling of mainstream transactions- reduced errors and exceptions handling.	Each entity may have a different method of delivery, ranging from dial-up BBS systems mailing hard media such as a CD-ROM or tape backup.
Faster handling of transactions results in increased cash flow.	Lack of strict standards across implementations, transactions and methods. Improve customer services and Enhance the business process and operations One single computer application cannot handle all health care entities. Though this may not be necessary, it can lead to an obvious management headache as a company attempts to register itself with various EDI partners.
Improve customer services and Enhance the business process and operations	One single computer application cannot handle all health care entities. Though this may not be necessary, it can lead to an obvious management headache as a company attempts to register itself with various EDI partners.