ORiON EDI: for customers (buying)

Project ROLL-OUT (involvement) of suppliers

In the case of interest, a service called ROLL-OUT can be included into EDI implementation. It is an organised outreach to partners (suppliers) and their involvement in electronic exchange of documents, with assistance of CCV Information Systems as the EDI provider. 

ROLL-OUT helps speed up the process of involving suppliers in electronic exchange of documents. The progress of the project, its success, effectiveness, and especially the speed of integrating new suppliers, depends on many factors, such as the situation of specific suppliers (technical and time capacity) quality of data, standardization of goods identification and also business incentives from the side of a customer. Service ROLL-OUT, is based on know-how and designed as a project with a fixed goal, monthly price and duration. 

Other benefits of message ORDERS for customers

Indirect benefit (mainly for suppliers) is faster processing of orders, which can be processed automatically thanks to EDI.  It thus eliminates the occurrence of errors caused by manual transcribing, such as errors in price, quantity or wrong identification of goods. Owing to the automatic processing, these errors are not transferred into related documents used by the customer and thus the process results in better mutual customer-supplier relationships. 

The option of making a single order by non-EDI suppliers

EDI ORION^® solution can deliver orders also to suppliers, who are not equipped by EDI communication.  In such case, an order is converted into a readable form and sent to a supplier via e-mail or fax. The advantage for the customer is a uniform method of ordering from their information system, an overview of all orders in ORION EDI and control over their delivery.

 What other advantages has DESADV for buyers?

• Information about lots and expiration of goods can be useful for record keeping, which is essential for tracking of goods in the distribution chain.   
• Allows to better control supplier discipline (e.g. approve in advance whether quantities that are larger than those that have been ordered can be accepted).
• It can contribute to better continuity of supplies owing to timely provision of substitutes, albeit to a limited extent with regard to short notice before actual deliveries.

In addition, the message DESADV can also include information about prices of goods. This way, the customer has the information about selling price before receiving the invoice and can deal with possible discrepancies as compared to the purchase order.

Option of further development of ORION EDI for customers

The benefits of electronic data interchange can be emphasized using other reports that can be introduced individually and can smoothly extend on normal EDI communication ORDERS – DESADV – INVOIC.

ORDRSP (Order response)

The message is sent by a supplier to a customer to confirm an order. The purpose of ORDSP is an individual confirmation of what of the order will and will not be delivered, or what might be different. In this message, the supplier can respond to one or more items relevant for the order. The message has the biggest contribution where there is a big need for accurate and fast information about fulfilling the order.

Advantage of ORDRSP

Its advantage is primarily an opportunity to respond quickly in time in case of order shortages (undelivered goods by a supplier).

RECADV (Receiving advice)

The message is used by a customer to inform a supplier about the actual received goods and its amount. The message is usually produced on the basis of physical receipt of goods into IS/ERP system of a customer and is related to a specific delivery (number of delivery note, possibly order). 

Through this message, the customer notifies the supplier about which goods have been received and what quantity he expects to be invoiced for. This allows to eliminate logistical credit notes since an invoice can be issued by a supplier only once the reception has been confirmed. 

Where the contractual customer is a wholesale centre that makes orders on behalf of other members who then physically receive the goods, and this centre has no information about the actual received goods, the message can be used to check supplier invoices of such wholesale centre.

Advantage of RECADV

RECADV significantly contributes to the reduction of logistics credit notes and accelerates disposal of invoices. This message ensures that a supplier receives instructions to invoice only for the actual amount of goods received by a customer. Supplier can operationally deal with any shortcomings and inconsistencies in a delivery even before issuing an invoice and thus to significantly reduce usage of logistical credit notes. 

REMADV (Remittance Advice)

REMADV message informs an issuer of an invoice that customer has sent a payment. The message is useful especially in case of multiple invoices being covered in one payment. Thanks to this message, a supplier then has an information about which invoices are covered by which payment. 

Possibility of use for managing ten-day invoices

The message can be an addition to a solution of so-called ten-day invoices, whereby a supplier issues invoices for a larger number of delivery notes at the same time (usually covering a ten day period and various purchase locations- for example retail stores). In the transition to paperless EDI communication, the invoice is generated by items (it includes all lines from all delivery notes).

RETANN (Announcement For Returns)

The message is used if an organisation wants to return delivered goods to another organisation for a specific reason (for repair because of damage etc.) and served as a basis for a subsequent credit note. 

Advantage of RETANN

• The option to automatically dispose of electronically revised tax documents (credit notes). In IS/ERP, the refund is issued as primary document, which is then paired with a credit note of a supplier. 
• Faster transfer of information to a supplier so that complaints and invoicing can be resolved within legally defined periods.