What is SaaS?
Software as a Service (SaaS) is a common type of cloud computing which provides access to business application data from any location with a web browser and internet connection. Rather than downloading the program onto a laptop or desktop computer, SaaS provides a web-based access to the software, where the application’s servers, databases, and code are kept and managed by the vendor.
Organizations can reduce considerable sums of money due to the absence of having to shell out for costly equipment in order to run the software. Rather than having to pay for a permanent license and continuing maintenance fees, under the SaaS model companies only have to pay a yearly or monthly fee that covers both the software license and service costs.
A recent survey concerning merging systems showed that 96 percent of those involved are providing increased importance to cloud-based applications in the face of the COVID-19 crisis. These respondents declared they are demonstrating greater attentiveness to integration software.
What is EDI?
Well, how about EDI? Electronic Data Interchange, or EDI, is the most popular technique for transmitting standard business information electronically between commercial counterparts.
EDI permits companies to transmit business documents to each other electronically, allowing for automation and the removal of paper.
What is SaaS EDI?
So then, what happens when EDI meets the cloud? You can access Electronic Data Interchange (EDI) software using a cloud-based system, providing you with the capacity to manage EDI without the need for expensive or difficult hardware.
Having command of the process means that your internal systems (ERP, TMS, CRM, WMS, etc.) can rapidly and effortlessly integrate with the EDI-compatible stakeholders you collaborate with across the trading partners you are connected to.
This allows for much smoother movement of information and paperwork during your crucial income-related end-to-end business activities, like Order-to-Cash, Buy-to-Pay, or Dispatch Tender-to-Receipt.
As electronic commerce develops rapidly and the capability to fulfill orders across multiple channels becomes the norm among customers and associates, having a software as a service EDI platform in place can help your company maintain its competitive edge, grow more rapidly, and create greater value across various businesses in the system, ensuring important working relationships stay strong.
The advantages of implementing a Software as a Service (SaaS) EDI approach exceed the difficulties linked to more traditional, on-premise EDI.
Challenges to On-Premise EDI
Here are some of the most common challenges enterprises face from “old school” EDI technologies, and why a move to a cloud-based SaaS EDI solution for B2B supply chains today makes so much sense:
Rising Costs
Maintaining outdated and legacy EDI solutions can be expensive. When an organization possesses software and hardware for Electronic Data Interchange, necessities such as financial and employee contributions are also necessary in order to process everything. Additionally, when a problem arises, the time and expense to repair it can increase significantly.
Scaling
Despite EDI being all-pervasive and reliable, the other components of your digital world would probably have their own EDI needs, which must be allocated for. Even standardized EDI requirements vary across numerous trading partners. Obsolete, domestic, or isolated EDI software won’t be able to increase enough to fulfill all the data needs needed to take part in your system as the business develops.
Lack of Automation
Traditional EDI mapping solutions are generally inflexible, and thus can only accomplish explicit EDI activities as they are incapable of seamlessly blending EDI with an ERP system or CRM for an all-in-one processing approach. Making automatic transmissions of EDI is a different thing than transforming EDI into the necessary internal form. Many businesses attempt to tackle the issue by allocating personnel and manual aid, but this approach is quite time consuming, impracticable, and incapable of being extended.
Complexity
Companies may struggle to keep up with the amount of discrepancies resulting from their EDI exchanges. Verifying each part to make an exchange meet EDI requirements might be difficult too without the correct technology. Now, compare these shortcomings against some of the clear advantages of SaaS EDI:
Cost Control
Your organization won’t need to invest in a lot of money initially, as most of the servers, software and highly skilled personnel needed beforehand are no longer required. You will be aware of your budgetary position as you will be paying a regular fee based on subscription and the quantity of use.
Ease of Deployment
Modern EDI cloud solutions offer immense advantages when it comes to business-to-business integration as they can be connected to various other business systems and programs such as an ERP in order to streamline EDI order processing and end-to-end business operations like order to cash and procure to pay. In addition to being much simpler and less time-consuming to set up, there isn’t anything to keep up with software-wise as the updates are delivered from the cloud automatically.
Accessibility & Scalability
Your SaaS EDI solution, hosted in the cloud, is always available to you and your trading partners if they choose – 24 hours a day, 7 days a week, and with any type of device.
The scalability of ecosystems is heightened due to the fact that new trading partners can be integrated up to three times as quickly. Additionally, there is an abundant library of ready-to-go solutions available.
What qualities should you look for when choosing a SaaS EDI vendor that will be working with your organization in light of the disadvantages of traditional EDI compared to advanced, cloud-hosted EDI options?
Managed Service Providers — Wolves in SaaS EDI Clothing?
Many companies mistakenly believe that a Software as a Service Electronic Data Interchange system is simply another type of managed service.
Nothing could be further from the truth.
Outsourcing Electronic Data Interchange and getting an outside party to handle the system for you, personalizing the connections you require, and resolving any issues that come up, is essentially managed services. It is accurate to state that a substantial number of Managed Services companies possess adept knowledge of EDI (Electronic Data Interchange) that you would not need to preserve among your IT team.
It may sound like an appealing idea at first, but more often than not, there will be multiple stages in between your proposed plan and its practical execution for daily operational processes. This is especially relevant for those involving crucial business operations which shape how much your firm makes. Slow responses or a lack of proper visibility for those in charge of decisions can be expensive, not to mention it can damage relationships with important business partners.
Depending on the strategy employed, either a Managed Services model or the in-house/on-prem/custom code approach will result in someone writing code for the integrations. This means that a great number of things can go wrong since that is the characteristic of software development.
What if, instead of having to figure out a complicated electronic data interchange system, you had a service that you could use yourself, hosted in the cloud, with a wide assortment of pre-made connectors that follow general guidelines, that can be quickly selected and implemented with certainty that most of the business rules needed are already in place?
Having access to an extensive suite of resources located in the cloud that can be quickly accessed would expedite your business operations with any partner, in addition to granting your business the adaptability required to surpass any market disruptions.
You will be able to benefit almost immediately from any current or new business partnerships with quicker onboarding of trading partners. Additionally, this self-service deployment model allows you to have as much power and freedom as you would like.
TrueCommerce
What are their strengths and weaknesses?
TrueCommerce provides an uncomplicated and user-friendly Electronic Data Interchange system that can be conveniently customized by the user in order to amend certain data. Software, such as Quickbooks and UPS/Fedex, can make business communication simpler, as well as facilitate logistics and supply chain management. This solution comes with some widely-liked features that customers like, like Transaction Manager and being able to find individual orders.
True Commerce offers a range of EDI transactions, which can be sent out over FTP as file formats. However, if you need particular mapping for those activities, the support staff will have to become involved and you will probably be charged an extra fee. Some customers have mentioned dissatisfaction regarding the effectiveness of their assigned partners in some reviews.
Cost and pricing models
It might appear to be a practical way to pay as there aren’t any fees for trading associates each month. However, there are extra charges for services like EDI mapping modification that one would think are already included in the bundle.
Type of EDI solutions offered
They present a cloud-based EDI service that is able to hook up with a variety of ERP systems, including Microsoft 365 Operations & SCM, NetSuite, Oracle, and other platforms. TrueCommerce additionally integrates business systems like Acctivate, AccountMate, Fishbowl, and Spire, among others.
Do they have an industry specialty?
TrueCommerce offers expertise in Electronic Data Interchange for retail companies and those involved in managing their supply chain.
Do they only offer EDI or any other add-on services?
In addition to electronic data interchange services, they provide electronic commerce services, invoicing, integration into online markets, fulfillment of orders, and product info management systems.
Data M asons (Vantage Point) from SPS Commerce
What are their strengths and weaknesses?
SPS Commerce has taken over the much-respected Data Masons. The product they used to refer to as Vantage Point and which is now called Fulfillment EDI is created separately from Microsoft Dynamics 365, yet it furnishes various message translation alternatives for distinct norms. The EDI system employs SQL views to obtain information from the ERP, and also uses ports for exchanging data. The team provides personalized alterations in certain situations, so the software is tailored to the needs of the business rather than being a standardized model. The upkeep of systems is very minimal once trading partners have been established.
Data Masons, based in the United States, has expanded their impact in Europe through a merger with SPS Commerce’s network. However, they are focused on specific industries only. A negative aspect of utilizing SPS Commerce as the EDI broker is that the provider offers little room to switch, which could be a deterrent to businesses who require the capacity to change EDI brokers or use multiple ones.
Cost and pricing models
Data Masons offers quote-based pricing plans. Please contact the vendor for more information.
Type of EDI solutions offered
SPS Commerce offers Cloud, SaaS, and web-based EDI Solutions. Data Masons EDI is an organization approved by Microsoft Dynamics and provides both on-site and cloud hosting services. In addition, SPS can link together with a wide range of Enterprise Resource Planning (ERP) systems, including those from Microsoft, SAP, Oracle, and Netsuite, along with extra applications such as Order Management System (OMS), Warehouse Management System (WMS), and a selection of others.
Do they have an industry specialty?
SPS Commerce specializes in the retail industry.
Do they only offer EDI or any other add-on services?
SPS Commerce specializes in EDI, as well as supplying retailers with SPS Analytics. They additionally have a DevCenter that offers API Programming and permission to existing APIs such as APIs for Shipping Labels, APIs for Packing Slips & APIs for Transactions.
EDI Offerings
The resolution has pre-constructed EDI schematics, so the progression and declaration of data with involved companies and purchasers is made simple. They offer partner-specific error detection. Vantage Point or Fulfillment EDI has a user interface that contains a diagram showing the process of data going in and out of the system, as well as alerts and notifications.
SEEBURGER B2B/EDI Solutions
What are their strengths and weaknesses?
Seepurger offers B2B/EDI integration as part of its Business Integration Suite (BIS), which can be implemented through either SaaS applications or cloud-based services. Organizations may want to look into utilizing the BIS Solution for their needs with integration of two environments. This single, consistent middleware platform eliminates the need to have additional applications from external suppliers.
EDI (Electronic Data Interchange) is a minor element of the broader situation, since their emphasis has been on API-directed integration, API administration, and hybrid integration through SEEBURGER Cloud Services.
Cost and pricing models
They offer a pay-per-user-based pricing model. Individuals who purchase their services pay for the most amount of configurations per map belonging to the customer, plus repairs for each configuration. Furthermore, you will need to cover the cost of every converter that you are expecting to employ. They provide various licensing plans for Europe and the USA.
Type of EDI solutions offered
They provide a solution that can be accessed through the cloud, on the web, or through Software as a Service. Customers of Seeburger have the opportunity to choose from cloud, on-site, or mixed deployment possibilities. Their Business Integration Suite solution includes B2B/EDI, IoT/Ind. 4.0 Technology, electronic invoicing, Managed File Transfer, Application Programming Interface/Enterprise Application Integration monitoring and connecting to the Enterprise Resource Planning system. They are providing Seeburger Express for electronic data interchange and business-to-business transactions for companies of all sizes.
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