The End [of DSS] is Nigh! 😩🌅

Guy Fieri holding up a pancake in the shape of his face.

ED-Hi Vendorville,

Vendorville city limits just got a whole lot bigger – SupplyPike is now a part of SPS Commerce!

We’re serving up the same great content with an extra dash of spice – the seasoned expertise of an EDI pioneer. 🌶️

Today’s Special: Understanding and setting up your EDI.

And to keep things interesting, we’re testing how many puns we can make out of EDI. Scroll to the end of this newsletter for the final tabulation. 👀

Big EDI in the Sky ☁️

Electronic Data Interchange (EDI) is the sharing of data in a standardized way between two organizations.

Typically, suppliers share documents such as purchase orders, invoices, and shipping notices with their 3PLs, retailers, and other partners.

Not only does EDI surpass paper documentation, but it also surpasses other electronic forms as well, such as digital copies of email.

The "paperless trading" made possible through EDI is helpful but can be confusing to understand. Where does it go? The cloud? What exactly is the cloud?

While the cloud is a topic for another day, think of EDI as your reliable postal service. Instead of mail, you’re sending data at the speed of light. 📫

The sender uses internal computer files to assemble the data necessary for the transaction to begin.
This assembled data file is inputted to a software module that generates the transaction in the standard EDI format.
The resulting EDI data file is then transmitted or sent to the receiving trading partner.
The receiving trading partner inputs the data file into their software module, which translates the EDI format data back into a file format that can be entered into their computer apps.

🌟 For more on the basics of ED-Try out this article: B2B Integrations, Demystified: EDI Vs API - SupplierWiki

ED-Why?

If you work with larger retailers, you must use EDI. It’s the industry standard for managing the shared information volume needed to keep the retail supply chain running.

Implementing EDI brings a host of benefits that can significantly enhance our business processes.

Efficiency and Speed: EDI automates the exchange of data, reducing the time it takes to process transactions and minimizing errors that can occur with manual handling.
Cost Savings: EDI reduces operational costs by eliminating the need for paper, printing, and postage. Additionally, faster processing times lead to quicker order fulfillment and payment cycles.
Accuracy: EDI improves data accuracy by reducing the risks associated with manual entry errors. This leads to fewer disputes and corrections, enhancing overall customer satisfaction.
Improved Relationships: EDI fosters stronger relationships with trading partners by ensuring timely, accurate, and reliable communications. It also allows for easier compliance with partners' specific data requirements.

Both of these transmission types are in the free format (not standard format) and, therefore, generally require re-keying of data into a computer system.

Keeping Your EDI On the Prize 🗞️

Know The 5 W’s

Remember this framework from school – Who, What, When, Where, and Why?

That’s partially the point of EDI. It’s used to communicate information, but first, you need to know these details to set up your EDI connection.

Who your business is communicating with?
What types of documents you’ll be sending and what needs to be included?
When do these documents need to be triggered?
Where are these documents being sent?
And the Why or the purpose of each document.

It's best to know all of that context ahead of time so that setting up your EDI goes smoothly. Want a place to start? Check out the EDI for Retail Supply Chains Cheat Sheet for a recap of what documents correspond to 200+ EDI codes.

Avoiding Common Pitfalls

Know Your Standards – It’s not apples to apples when it comes to setting up EDI with different retailers. Walmart might want one thing, while Lowe’s asks for another. Ensure you’re well-versed in each partner’s compliance standards before you start setting up your EDI. Failing to do so can result in delays, compliance fines, or even lost business.
Formatting Fumble – Having a formatting issue is like missing the field by centimeters. Know exactly the accepted formats by your partners to avoid ending data that are rejected or misinterpreted. It's the difference between scoring a touchdown and fumbling the ball—precision matters!
Test for Success – Dress rehearsal works out the kinks before your EDI needs to perform under pressure. Before you go live, always send a test to ensure everything’s running smoothly. Think of it as tuning your instruments before the big concert—you don’t want to hit a sour note when it counts.

Breaking News: Vendorville Reader Wins $25 from 5-min Survey 📰

Are you a supplier who deals with deductions, chargebacks, or fines from retailers and distributors? Take a 5-minute survey and receive a $25 gift card for your feedback!

Rick’s Tips 💘

Rick has enjoyed his “brat” summer floating by the pool. However, he’s a major proponent for B.R.A.T. Autumn movement (Baking, Raking leaves, Apple Picking, Trick or Treating).

"If you are a Target Supplier, you should take note of the 5 compliance updates that have been in effect throughout 2024."

Key Dates for SPA/OTR Rollout

August 8-10, 2024: OTR and SPA data will begin to be measured and generate compliance charges.
August 11-17, 2024: all week 1 data on OTR and SPA will be visible in SPMD in Greenfield.

Let's Circle Back ⭕

A woman laying her head down playfully in embarrassment while someone good-naturedly pats her on the back in consolation.

When the SupplierWiki team needs a break from crafting supplier education, we huddle around a desk, trying to guess the daily word from Contexto.

We made a special supplier version, just for you. ❤️

Hint: We used a word from this article. Happy Hunting!

Did you EDI-Spy them all?

Did your catch all the puns? There were 5 Total in today’s newsletter.

Don’t worry if you missed a few—give this newsletter another scan, and you’ll be an EDI pun master in no time!

❤️ Until next week, Your Friends in Vendorville

SupplierWiki

☕EDI with a side of puns