New technology can provide many advantages for organisations, including streamlined processes and improved efficiency. However, to successfully implement and reap the benefits, organisations must first address the barriers to adoption, according to MessageXchange.

Businesses that implement new technology without fully understanding its capabilities and what it requires to work successfully risk failing to achieve the desired outcomes, including return on investment (ROI).

Ensuring a smooth, successful adoption is even more important in uncertain markets, where being cost efficient and agile are vital to success.

According to MessageXchange managing director, John Delaney, when it comes to adopting new technology, companies need to ask a lot of questions.

“The more information a company can gain ahead of time, the easier the adoption and transition will be. Addressing any barriers to adoption early can set the adoption process on the right path,” he said.  

Electronic data interchange (EDI) can provide retailers, suppliers and third-party logistics (3PL) companies with improved efficiency and effective operations needed to ensure commercial sustainability.

EDI is the exchange of business information directly between business software. It automates manual processes and improves the speed of the supply chain, while freeing up employee time, reducing errors, and providing more visibility.

EDI represents file formats that match the specifications of individual companies. It minimises the need for suppliers and buyers to email purchase orders and invoices, enter purchase orders manually and manually compile invoices, in turn reducing the risk of error and making it faster to do business.

“EDI can deliver significant benefits to organisations, especially in a challenging economic environment. Like any other technology, it’s important for organisations to understand how EDI can help them as well as the potential barriers to successful adoption so they can overcome those barriers,” he said.

MessageXchange has identified the following three barriers to overcome when adopting EDI.

1. Understanding the concept and its benefits
This includes how it works, how it can benefit operations and the bottom line, and how the business will overcome any challenges that arise. With a trusted partner, businesses can receive information from experts that can help clarify the concept and benefits of EDI.  

2. Clarifying expectations
Implementing EDI efficiently requires clear expectations for costs, timing, responsibility for actions and expectation for suppliers from the beginning. Outlining these points can not only provide a roadmap to guide the implementation of EDI, but also help to assess how the implementation is progressing and if it is on track to meet targets.

3. Understanding the capability of the supply chain  
Some suppliers may not be as technologically advanced as others or may have limited resources. Addressing these challenges early can avoid hold-ups during the implementation process.