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Q    What is EDI/EC?

A    Electronic Data Interchange is the exchange (preferably computer to computer) of business data using an standard data format. Electronic Commerce is the general exchange of business documents electronically including EDI, fax, web sites, etc.

Q    Costs involved in EDI?

A    Costs to implement basic EDI can be between $5,000 to $10,000 (including EDI translator, VAN connection, two maps, installation and training) with ongoing costs ranging from $3,000 to $13,000 per year (including VAN usage and software maintenance fees).  These costs increase as additional documents/trading partners are added and/or integration with your application occurs.

Q    How long to implement?

A    Implementation schedules, including set-ups, testing and moving from testing into production, can take approximately two to four weeks per trading partner.

Q    What resources are required?

A    Hardware resources include a PC (preferably a minimum of a 133MHz PII, 64 K RAM and 100MB hard drive space for EDI programs), minimum 9600 BPS modem, telephone line access and printer.  A local area network (LAN) would be required if integrating to applications that reside on various PCs &/or servers.  The most important resource, however, is your staff who must understand both basic DOS and Window commands and have an aptitude for change.

Q    What alternatives are available?

A    Implementing an EDI system in-house is not always required.  There are third party vendors that will complete the necessary requirements on your behalf.  These third party vendors include service bureaus, VAN suppliers and a limited number of EDI translator companies.

Q    Benefits of implementing EDI / EC technologies?

A    The most obvious benefit is to keep your customers who require that you implement EDI / EC to maintain the business.  Other benefits include faster turnaround time with less error when integrating into your business applications, ability to complete other requirements such as Vendor Managed Inventory (VMI) and Just in Time Inventory (JIT), shorter supply chain lead times and strengthening the trading partner relationship.

Q    Why use CTR?

A    ChangeTech Resources Ltd. has over 20 years business experience in manufacturing and service bureau environments.  We conducted EDI training for the EDI Council of Canada and have made presentations  to many organizations and industries on this topic.  We work closely with those companies requesting you to use EDI, especially grocery and retail, to better assist you in your own EDI implementations.