Cloud Tech and EDI: What You Need to Know

Posted by Brooke Lester on Jan 11, 2018 9:03 AM

Cloud Tech and EDI: What You Need to Know

Twenty years ago, no one could imagine that it would be possible to access information from anywhere. The status quo was that you were tied to your desk, and if you needed to check something like an order status, you either had to be at your desk or call someone who was at his or her desk. That is not the case anymore; the cloud enables you to work on the go, any time you want.

Even though the cloud has been part of the business technology landscape for nearly a decade, it is still a widely misunderstood concept (especially as it relates to EDI systems). Read on to learn how the cloud drives modern EDI processes and how to best leverage it at your company.

How the Cloud Drives Modern EDI Processes

While there are a number of ways in which the cloud improves EDI systems and their processes, this article focuses on four in particular: scalability, speed, agility, and lower costs.

In the days before the cloud, you had to buy licenses to utilize EDI systems. Moreover, it was a tedious, laborious process to bring vendors on board. The cloud, in contrast, is highly scalable; it is easy and inexpensive to add new in-house users to an EDI system, and there are a wide variety of simple ways to add vendors to your network.

The cloud also makes EDI systems faster and more agile. Instead of waiting hours to transmit data, information travels instantly through the cloud. You can respond much faster to events as a result.

One of the biggest draws of the cloud is that it lowers costs. You do not need to own expensive infrastructure anymore, which significantly reduces CAPEX costs. Suppliers also do not need to make hefty investments in cloud EDI systems because of the same principle.

Cloud Tech and EDI: What You Need to Know

What Is the Best Cloud Deployment for You?

For some companies, it makes sense to move their entire EDI system into the cloud. Other firms would prefer to have some combination of an on-premise solution and a cloud solution. What is the right choice for you?

To make the best decision for your business, there are some things you need to consider. For a start, what benefits would you gain if you moved your EDI system completely into the cloud? Would it optimize your processes? Would you see enormous gains, such as an increase in agility? If the answer to these questions is “no,” hybrid EDI systems are a better fit.

Here is something else to consider. How crucial is it that you retain complete control over your data? When it is in a public cloud, your control is limited. For firms in highly regulated industries, hybrid EDI systems allow them to comply more easily with the law.

The cloud now plays a significant role in supply chain technology, including EDI systems. To learn more about how to choose the right cloud deployment method for your firm, contact us and tap into the knowledge of our highly experienced EDI professionals today!