What exactly is EDI?
What is EDI?
Electronic Data Interchange (EDI) is the computer-to-computer exchange of business documents in a standard electronic format between business partners.
Ok….. Let me explain.
By moving from a paper-based exchange of business to one that is electronic, businesses enjoy major benefits such as reduced cost, increased processing speed, reduced errors and improved relationships with business partners.
EDI in the transportation industry can be used to receive tendered loads, accept or reject loads, update shipment status, send out billing, etc. These EDI transmissions are commonly called transaction sets. There are many different types of transaction sets:
204: This is a tendered load. For example, when you start receiving 204’s from your customer, a complete shipment is created in our NOVA TMS software ready to be handled by your trucking company. However, your customer may require an EDI transmission sent back to them acknowledging you’ve received the load but also whether you accept this load, or reject it. This brings us to the next transactions set.
990: Accept / Reject. This transaction set typically follows a 204. Your customer must find out, in a very timely fashion, whether you accept or reject this tendered load. If you accept the load a 990 is immediately sent notifying them you have accepted the load. You may also send a 990 notifying them that you decline (or reject) the load. Maybe it’s out of your service area, or you possibly don’t have the correct equipment. Whatever the reason may be, you decline the load by sending a 990.
214: Shipment Status. As a shipment makes its way through Operations, 214’s are sent to the specs required by your customer. For example, your customer may want a 214 sent when a piece of freight has been Picked Up, then another 214 when it’s been delivered. Your customer will tell you status dates & times they need to receive. Within our NOVA TMS software, these 214’s are automatically sent, behind the scenes, as the fright moves.
210: Freight bill. Instead of emailing over your billing or even printing it out and sending via snail mail, your customer may require a 210 transaction sent. These are run quickly and easily through a 210 EDI cycle run within NOVA.
EDI has been around a long time, however the cost of EDI has gone way down over the years. Also EDI can really open the door to great deal of business!
Have you been requested to transmit EDI transaction with any of your customers? If so, then give us a call and find out how your company can become EDI Compliant!
Call us today @ (800) 304-1488 or simply email us, Sales@AuroraSoftware.com.
No other TMS provider can give you the tools you need to not only run your business more efficiently but also to stay many steps ahead of your competition.
Information is the key. Call us today to find out more about our revolutionary container tracking service @ (800) 304-1488 or email us, firstname.lastname@example.org.
Our NOVA development team is in constant motion, which means we are always moving forward striving to producing a trucking software that fills every need and want coming directly from our customer base. The way we listen to our customer base and provide software according to what they need is what really separates us from the rest. Every trucking company has different needs, and we understand this. This is why we customize our software to fill these individual needs.