Team meeting to learn more about OPAL from experts.

Is Your Order Process “Automated” or “Autonomous”?

Now, really think about the difference for a minute.  My guess is that most everyone would say that they are “Automated”.  There’s probably an EDI service that downloads Purchase Orders from the retailer into an Accounting System or ERP System, and it probably also sends back documents to the retailer like Acknowledgement, Confirmation, ASN and invoice.  There’s also probably shipping software that creates shipping labels and feeds back the tracking number.  So, there are at least three (3) different pieces of software in the process with at least a few manual touches or interventions needed to keep everything on track.  AND the number of hours your team can work is usually limited, as well.

Now, what’s different about “Autonomous”?  Well, the definition of autonomous is: “Performed by a device capable of operating without direct human control”.  Here’s how that relates to order processing:

  • Receiving orders from your customer retailers and e-tailers in real-time
  • Managing all of their EDI transactions (i.e. 846, 850, 855, 856, 860, 997, etc.) with that retailer / e-tailer without a 3rd party company to retrieve, translate, send the data
  • Creating Sales Orders or Invoices in your ERP / Accounting System
  • Creating the custom branded 3rd party Packing Slips required by each retailer / e-tailer
  • Creating Carrier Shipping Labels, BOL and/or UCC128 Labels based on the PO received
  • Sending the Picklist to the warehouse, as well as all required shipping documentation, for pick, pack and ship operations
  • Tracking the shipment through that Carrier and communicating delivery status
  • Processing orders 24 hours per day, 7 days per week, even when no one is in the office
  • Achieving all of this WITHOUT EDI Document Cost
  • Achieving all of this with one, low cost software platform that maximizes your existing investment in an ERP or Accounting System.

AUTONOMOUS order processing also enables an order to be processed through all of these steps in as little as 6 seconds.

Here’s another aspect to consider when balancing “Automated” versus “Autonomous”.  Do you have an order processing team that works 24 hours a day, seven days a week for the cost of one part-time Customer Service Representative?  Probably not, but this is what an Autonomous Order Processing Solution gives you.  And, you do not need to have a one size fits all solution. It’s configured to your processing work flow.


Who Needs EDI Anymore?

EDI continues to be a significant part of a supplier’s life.  It’s mandated by many of your retailers or e-tailers, whether it be for drop shipping product directly to consumers or doing warehouse fulfillment.  However, over the last 20 years a major shift has opened up new opportunities in the industry due to the proliferation of the Internet.  Business processes have changed because of the Internet and the speed of data transmission has increased by a 100 fold.  The only thing that has not changed is EDI.   

While it was awesome technology in its day, it’s expensive, requires manual intervention and monitoring – but most of all, it does not communicate information instantly.  Unfortunately, real-time communication is becoming more and more important to retailers and e-tailers for things like Order Acknowledgement and knowing your current Inventory Balances as they try to be more responsive and profitable when dealing with their consumers.

So, if that’s the case, then why do you still need EDI through an EDI company?   The simple answer is that it is has been in place for decades and retailers / e-tailers can still easily point you to it as a way of doing business with them.  Unfortunately, the speed and compliance they will require falls entirely upon your shoulders.

What’s interesting is that a growing number of these retailers / e-tailers have been developing alternative ways of sending and receiving the same information that does NOT require the use of EDI through an EDI company: Application Program Interfaces (API).  APIs are a messaging format that allows data to be transmitted from one system to another in nanoseconds WITHOUT those expensive EDI Document fees.

The reason for this is that retailers and e-tailers today are becoming far too dynamic to rely on an outdated tool to be the backbone of their business operation.  Its simple evolution, the Typewriter was replaced by the Telegram, the Telegram was replaced by Fax, and the Fax was replaced by EDI.  EDI is now being replaced by API, but you, as a supplier, have to be prepared to use it.

The good news is that there are tools available that take advantage of this new technology, eliminate pretty much all of your costs associated with communicating with your retailers and e-tailers and also even reduce the overhead and cost of order processing, adding profit to each order and removing the bottlenecks that keep you from growing your business with more customers and more orders.   

Check out OPAL.  The only truly autonomous (think Robotic) order processing fulfillment software solution that takes advantage of API technology, processes a drop ship order in less than 8 seconds, compliantly maintains all communication with your customers, does this all without any EDI cost and even simplifies the processing of large LTL, Truckload or Container orders.  All of which makes each order much more profitable to deliver.