A small shop at the corner of the colony or the big stores offering you everything from pin to electronic gadgets, the retail industry has changed a lot. With the customer-centric approach and better services, many retail stores are experiencing the real boom in their business.

With the advent of the e-commerce, and linkage to the digitization of the retail industry; especially in the area of online order and home delivery, the consumers are now getting inclined towards businesses that offer easy shopping ways.

The need to scrutinize every moment in the shopping experience right from the start of the moment customers enter the store to after-sale services is a must to meet the level of competition. But what makes the Retail Industry as a strong competitor to other industries? Ever checked with the facts? We help you to know few…

Facts of the Retail Industry

With the ample opportunities and options, the retail industry has scope and space for a lot of people to enter. The savvy retailers know very well that the information is key to success. With the perfect vision and updated system, analyzing and transforming it into the application, focusing on targeted market communication, product descriptions, pricing, and promotion, is the solution to the best retail business.

The facts that one needs to be aware of the retail industry before planning to invest in it are listed below.

Customer Experience

Customer is king- this is the basic idea on which any retail business sticks on. Knowing about the customer’s needs and expectations, and fulfilling them is must, to grow and reach the peaks. With the customer-centric approach and reaching the highest level of customer expectation, the retail industry aims to bridge the gap between demand and supply.

Digitization – the need of today

In the current fast-paced world, the time has shrunk to the least. Ordering all the prime consumer durable goods at the comfort of home is more preferred. With the online ordering method and home delivery, the businesses are fast shifting their model to an e-commerce portal. With the ease of tracking and opportunities to get feedback, the retail industry has shifted in recent years.

Bottle-necked Competition

The entry of the foreign direct investment and opening of the giant retail stores, the competition for the small local retail vendors, has increased a lot. With the opportunity to check and buy, compare and contrast, the products at the mega-stores, a paradigm shift has been seen. Consumers feel it better to buy when satisfied with the product features which are offered by all multi-brand stores around the globe.

Inventory Movement

Managing inventory is crucial for any business. Excess or short of inventory hampers a lot. Also, the focus on the trends, the market demands, customers’ preference, and brand value needs to be focused while buying the stock to arrange on the shelf. The products preferred by the majority are sure to get a positive response.

Human Touch

The businesses are considered to best when the staff and owner communicate with the customers to know their needs better. The speed, convenience, knowledgeable help, positive attitude, need-based understanding, and friendly service are the most crucial elements of positive customer experience. A positive attitude reflected towards the customers is sure to go a long way.

Secured Transaction

There are so many available options to transact and pay where the customer-experience has been always smooth and better. The online payment modes, payment via cards, and cash have given the options. With no need to run to ATM every minute you go to market, the satisfaction level of customers has increased in manifolds.

Invest in Retail Industry

Retailers face several key issues. The major ones are poor economic conditions, increased regulation and competition, and channel disruption. To stay on the peak in any business, it is a must to keep pace with the trends and advances as well. The investors who look forward to investing in the retail industry focus on the four R.

The need to quantify the returns is the prime concern for all the investors. To understand the business metrics, to better understand profitability and financial health, the prime analysis points are listed for you.

• Return on Revenue: The cornerstone of all the retail operations that guide on the revenue made in the form of the gross profit on the inventory and investment.
• Return On Invested Capital: The amount of the profit generated based on the initial investment is arrived by using this.
• Return on Total Assets: The total value of the operating profit generated from the assets invested in the business is ROA.
• Return On Capital Employed: The efficiency by which the capital is utilized and the net earnings before tax arrives, is obtained here

Understanding these R’s, one can move ahead with the plan to invest and get benefits from the retail industry. With so much scope, the best sector to invest in retail in consumer durable goods. With the least investment and stock management, one can get higher returns and profits.

Conclusion

The tremendous business opportunities in the retail industry and the basic knowledge of the trends, one can move ahead with investing in the retail industry. The use of available data and focusing on the key customers is prime factor of success mantra. The booming retail industry filled with savvy investors always outperforms the broader market.

With globalization, the export and import of goods and services have grown tremendously. To cater to the demands of the global market smoothly, the requirement for a well-structured and sophisticated communication and supply chain channel is required. To answer this need, we have the EDI logistics strategy.

To improve the overall efficiency channel, and increase the visibility; a well-structured logistics channel is a must. The EDI logistics strategy must take a comprehensive plan that involves supply chain and communication.

Right from the stock management, shipping service, invoice creation, bill payments, and logistics tracking, every task has become so quick with the advent of the logistics EDI. Especially in case of the overseas business involving export and import, the EDI logistics has the crucial role to play as the manager of logistics operations.

With being time savvy and budget-friendly, the EDI logistics strategy has proved to be effective in reducing the business’s environmental footprints.

Benefits of EDI Logistics Strategy

With a bundle of benefits and ease of communication, EDI has become an integral part of the business world. The industry standard and B2B transactions, the reaping benefits of technology that the EDI offers, many large-scale suppliers are already using the EDI logistics strategy.

The benefits of the application of the EDI Logistics strategy for the businesses are jotted down for you.

Automation

With the automation of the messaging processes related to generation, sharing, and recording of electronic data related to shipment and dispatch, without any human intervention, the logistics EDI is a boon.

Better and Quick Management

With the business catching up high, the need for error-free processing is a must. The data with the help of the digital generation and sending of commercial messages, the communication related to logistics management is at best.

Traceability

With the traceability of the product dispatched throughout the transit period, the person in charge can easily monitor and track the movement of the product. With the ease of validating the information, the trust factor between the supplier and distributor is managed too.

Standardization

With the standardization of the message and the exchange of information through the electronic mode, a standardized message to share with the receivers can be formatted. Without any language barrier and a predefined format, communication has eased a lot.

Supply Channel

Maintaining the stock is a tedious task. And to keep track of the order by the distributor, the EDI logistics strategy can control a lot. When the product is perishable, the EDI strategy can ensure that the product reaches its destination well on time, and no damage occurs.

Real Time Integration

With real-time integration with all the modes of transport, the chances of delay in services diminish. It henceforth streamlines and provides secure administrative procedures. It reduces lapses in services and better coordination between the business partners.

Need of EDI Logistics Strategy

In any business, the need for updating and advancement as per the trends and pace is a must. Still, some will contradict the fact stating that what is the actual requirement of the EDI logistics strategy?

The basic answer to this question is to streamline the process and to ensure seamless working. Apart from these, various other factors come to limelight as the need for EDI logistics.

With the bulk of need that the EDI logistics fulfill for its users, the major ones can be categorized as below:

• Better and complete synchronization between manufacturer and distributor.
• Well-managed and flourished channel of communication between various stakeholders of the business like manufacturer, distributor, transport, storage, customs, and others.
• Perfect end-to-end supply chain coordination.
• Transparency and traceability of the merchandise in transit
• Real-time information about the status of the product, especially beneficial for perishable goods.
• Ease of on-boarding new logistics partners or distributors based on the existing framework.
• Common codes used by the EDI logistics software that enables better understandability.
• The standardized format of invoicing, receipts, and messaging to ensure synchronization and sophistication in business.

Conclusion

With the global connectivity capabilities and the scope of reach to every nook and corner of the world, EDI logistics has proved that a business has no boundaries. With limitless area and unlimited exposure, a business can enter the market of any location with the ease of logistics.

To enter the export or import segment, safe and efficient communication between the origin and final destination of the product is a must in addition to the pricing. With the effective relationship built by the EDI technology between the various actors of the business world, the administration is simple.

The dream of a more sophisticated and controlled business backed by real-time traceability and transparency, quick delivery, and communication, is now possible. The EDI logistics strategy with standardized code and framework to suit business organization is ready to change the face of the business world most unimaginably.

As a solution to all the above questions of implementation, CloudGen’s SmartEDI’s Automated Trading partner agreement enables our customers to roll-out their EDI projects quickly and efficiently by reducing the time invested in manual setup & mapping. Also, our Automated EDI On-boarding process helps the customers to increase their focus on overall business development of organization.

How EDI is Shape Shifting Your Legacy Systems

Communication and data transfers are no longer elective activities for a business in both B2B and B2C models. And Electronic Data Interchange (EDI) plays a significant role in establishing viable communications. Organizations that stay up-to-date in this regard achieve greater success.

EDI has been around for a while, and it helps in the standardization of the data transfer process. But the long-standing technology is currently under scrutiny. It is because organizations have become much more complex, and their enterprise-level requirements are growing on a global scale.

Yes, legacy EDI systems still exist, but they can pose new challenges. Modernization of EDI protocols and processes is the only solution. This process of modernization of legacy systems is particularly essential if one of the business partners is still stuck with older technologies. Emerging solutions are the order of the day to improve their profits.

Future-oriented Solutions

Workflow Unification

Diverse legacy EDI systems become fragmented and unwieldy. For example, Value-added networks (VAN) get disjointed and require multiple tools. Otherwise, it is not possible to ensure file transfer and mapping or back-end integration. Such systems can also stretch the wits of the trouble-shooters.

Workflows get slowdown as different tools are essential to process orders. Communicating with trade partners and system upgrades also become challenging. But modernizing EDI improves end-to-end workflows. It also enhances supply chain visibility and facilitates faster upgrades and system repairs.

User-Friendliness

Legacy systems can challenge the HR resources of any company. The staff has to undergo training for diverse tools usage. It makes the process of building teams, and expertise takes time and cost money too. Not all employees will be on board and thrilled by the prospects of reading lengthy manuals, either.

Modern EDI systems have convenient UI/UX and friendly drag-and-drop features. They eliminate coding needs and provide a single, seamless front-end for quick mastery. The visual interfaces appeal to the users, and they even show a willingness to do remote work.

Faster Productivity 

Asynchronous file transfer and batch processing were the banes of older EDI systems. These processes were slow, and scheduling demands stressed out the managers. But now, cloud computing and mobile phone access is a reality. 

Data collection, storage, and back-end processing are faster. They happen in real-time, and syncing features resolve data redundancies and replication issues. Cost control becomes efficient and overall productivity and profits of the organization increase.

Innovative Edge  

In the future, companies that adapt to modernity will thrive. They will have an innovative edge over their competitors on a global scale. Technologies and tools have also become more reliable and refined. Web interfaces, robust APIs, mobile data collection, and superior security are assuring.

Data decentralization through Blockchain technology enhances transparency. The modern EDI tools are faster, convenient, and more reliable. 

Superior Security

Older IT systems and legacy EDI tools have multiple security flaws. They are vulnerable and require constant upgrades and updates. This requirement increases maintenance costs and disrupts the workflows. But modern EDI VANs ensure data security, compliance, and optimized supply chains. They reduce the risks of data storage and file transfer and address privacy issues also.

Complementing APIs 

Modern EDI solutions are not in conflict with APIs. The developers are endorsing their simultaneous usage. Legacy system problems like rigidity and inflexibility can get dealt with API-first architectures. Cutting-edge interfaces like JSON, REST, and OData create feature-rich apps. Besides, customized, code-free APIs enhance workflow integration, data access, and publication. Developers can provide secure, real-time access, even to legacy databases, Excel sheets, etc.

Scalability 

Integration with legacy EDI requires considerable investment. The specialists have to set-up expensive servers, cloud interfaces, web, and mobile apps. Modern solutions reduce such complexity through container technologies. The project managers can design scalable solutions in advance, and even implement them quickly and accurately with superior software development tools.

Collaboration Support 

Legacy desktop applications rely on version control systems and package repositories. It facilitated data maintenance and collaboration to a limited extent, but modern EDI solutions create an eco-system using APIs, web, and mobile interfaces. So, collaboration becomes more rapid and reliable.

Flexibility

Traditional IT infrastructure gets limited by platform dependencies. It extends from hardware to operating system requirements. Thankfully, modern EDI deployment and integration are platforms- agnostic. You can set up the system on UNIX and Windows, or run it as a cloud-based application. 

This flexibility accelerates end-to-end workflows without compromising security and privacy. Moreover, the modern system is not only interoperable but also easy to maintain and upgrade. It also addresses the organization’s business needs without a breakdown in supply chain processes.

Conclusion

To conclude, modern businesses operate in a dynamic environment. They are under pressure to compete and resolve complex problems very quickly. Mere automation of business processes and data communications is not sufficient anymore.

Modernizing EDI is not easy for business partners in e-commerce. They have to deal with legacy systems and spend on new technology. Also, integration with existing IT infrastructure is challenging. But the emerging solutions are too enticing, and safety in familiarity is not an option anymore.  

CloudGen’s SmartEDI is one such solution, which can be a perfect fit into any of the B2B transactions. Easy setup and implementation with accelerated onboarding process is our promise to the struggling new companies, to head out successfully in taking off the EDI systems. Contact us for a live demo, which helps you to understand more.

Orders, invoices, catalogues, instructions, sales reports, quotations, and more – the list of documents required in logistics management is endless. Logistics and supply chain is heavily reliant on documents for transactions and communications. But this increased paperwork translates to the increased expenditure of time, money, and resources. And don’t forget the risk of errors.

Electronic data exchange (EDI) is a computer-to-computer exchange of business documents, which allows you to eliminate cumbersome paperwork, reduce costs, and improve efficiency.

In this article, you’ll learn about the key benefits of EDI in logistics and supply chain.

Let’s jump right in.

Cost Savings

First things first, EDI helps you save costs. As discussed, logistics management comprises copious amounts of paperwork, including printing, storage, reproduction, postage, and retrieval. All this can add significantly to the overall logistics expenses. Utilizing an EDI system enables you to lower your transaction costs by 35-45%.

Besides, manual administration of documents is susceptible to illegible faxes, incorrectly taken orders, or lost orders, which can add up to the losses. EDI eliminates human involvement, thereby alleviating the risk of losses.

Lastly, manual documentation can eat up your valuable resources. For instance, you’ll need to have an employee present to handle the tasks, along with machinery, to print, send, and receive paper documents. EDI automates the entire process and allows you to make better utilization of your resources.

Improved Speed and Accuracy

Electronic data interchange can accelerate your supply chain procedures by up to 60%. For example, it can speed up exchange transactions to a few minutes, instead of waiting for days in case of postal service. Apart from speed, EDI also enhances data quality by delivering a minimum of 30-40% reduction in transaction errors. It excludes mistakes emerging from illegible handwriting, keying/re-keying errors, or lost mail/faxes.

Using EDI can also help you reduce the order-to-cash cycle time by 20-30%, thus, improving business partner relationships and transactions. In addition, using EDI enables you to handle a significantly larger task load with better accuracy.

Improved Business Efficiency

EDI automates paper-based tasks, which allows you and your staff to focus on more productive, higher-value activities. Besides, it helps you and your transport management provider to spend more time on hand-getting shipments where they need to go, instead of spending hours juggling through paper documents and email communications.

Another benefit of EDI in supply chain management is the quick and accurate processing of business documents, which results in fewer stock-outs, cancelled orders, and re-working of orders. It ensures you’re able to send business-critical data on time and track it in real-time.

EDI further allows you to improve cash flow and reduce order-to-cash cycles, along with shortening order processing and delivery times to reduce your inventory levels.

Streamlined Communication Between Partners

Communication plays a key role in the success of logistics operations. However, paper-based documentation impedes communication between trading partners. In addition to streamlining transactions, EDI also advances all types of trading partner interactions.

This results in improved partner-customer relationships and more sales. For example, EDI allows you to shorten your sales cycle. So, you can take and confirm orders more rapidly, giving your customers confidence in your ability to deliver remarkable service.

Peak Inventory Management

Maintaining optimal inventory levels is one of the hurdles most logistics managers face. Not having the right inventory levels means you won’t be able to meet your customer demands, which will lead to losses and a degraded reputation.

EDI helps you maintain ideal inventory stock levels for the future. It provides you access to real-time updates and latest market trends, which you can use to streamline proper resource allocation and manage shortage or excess inventory levels.

Promotes Strategic Planning

One of the major hurdles logistics companies and managers encounter is the lack of transparency and visibility into the status of transportation transactions. EDI resolves this challenge by offering real-time visibility into transportation transactions, which, in turn, promotes faster decision-making and enhanced responsiveness to changing market demands and customer preferences.

EDI also conduces to strategic business planning in the following ways:

• Cuts down the lead times for product improvements and new product delivery
• Enhances corporate social responsibility and sustainability by replacing paper-based procedures with electronic methods. This helps you save money and carbon dioxide emissions.
• Enables you to enter new markets and territories by providing a common business language for facilitating business partners across the globe.

Conclusion

We live in the era of digitization, where businesses need to evolve and amp-up their operations. Electronic data exchange allows you to gain more information on your fingertips in the quickest possible time. You can trace orders and see their status in real-time.

EDI also helps you manage your inventory levels and enables you to keep up with the fluctuating market demand. On the whole, EDI promotes strategic planning and gives your businesses an edge over others.

CloudGen has the right smart solution called SmartEDI, which can perfectly fit into your Logistic needs and make the business happen in the most acceptable desired format. Our team of experts never fail to satisfy customer expectation and always maintain maximum delivery excellence.