The post-Covid U.S. economy certainly has impacted all the industries including B2B tech and EDI (Electronic Data Interchange) is no different considering overall online spending has gone down. However, the global EDI software market is still expected to grow at a CAGR of 11.19% and reach USD 1940.4 million by 2027. As long as there is supply and demand of goods across industries, EDI is here to stay.
Let’s take a look at some of the top five EDI trends in 2023 and beyond that we are predicting.
Emergence of new EDI standards-
As the world becomes more interconnected and moves towards increased globalization, new standards would be developed to support technologies like 5G, edge and quantum computing enabling even faster and more efficient data exchange. Also, cross-border trade and collaboration will necessitate the development of more international EDI standards that facilitate seamless data exchange between organizations across different countries and regions. Governments and regulatory bodies may introduce new mandates, such as electronic invoicing or reporting, which require specific EDI formats and protocols. Compliance with these regulations may lead to the development of new standards or updates to existing ones.
With the growing use of APIs and advancements in machine learning and artificial intelligence, EDI systems could become even more automated in the future. APIs facilitate seamless communication and data exchange between different systems, enabling real-time connectivity and data synchronization. API-driven EDI allows for more agile and responsive business processes, supporting the dynamic nature of modern supply chains.
Faster adoption of IoT and Blockchain along with AI
IoT, blockchain-based networks and AI will become widespread solutions along with API and EDI to enhance the security, transparency and reliability especially in the supply chain industry. Blockchain-based EDI can simplify the onboarding process for new trading partners. By leveraging blockchain, EDI systems can ensure secure data exchange, prevent fraud, and provide an auditable trail of transactions.
Increased adoption of IoT integration with EDI
Here’s how IoT impacts the EDI space-
- Real-time visibility: IoT devices can capture data from various points in the supply chain, such as manufacturing facilities, warehouses, and transportation vehicles. This real-time data can be seamlessly integrated with EDI systems, providing enhanced visibility into inventory levels, product conditions, and delivery status.
- Improved inventory management: By leveraging IoT sensors and RFID technology, businesses can track and monitor inventory levels automatically. This data can be integrated with EDI systems, allowing for accurate and timely inventory replenishment, reducing stock outs, and optimizing supply chain efficiency.
- Enhanced logistics and asset tracking: IoT-enabled devices, such as GPS trackers, can provide real-time location information for shipments and assets. This data can be integrated into EDI systems, enabling businesses to track the movement of goods, estimate delivery times accurately, and manage logistics operations more effectively.
- Predictive maintenance: IoT devices can monitor the condition of machinery and equipment in real time. By integrating this data with EDI systems, businesses can proactively identify maintenance needs, schedule repairs, and optimize equipment uptime. Predictive maintenance can help minimize unplanned downtime, reduce maintenance costs, and improve overall operational efficiency.
- Streamlined order processing: IoT devices can capture customer demand signals and transmit them directly to EDI systems. This integration enables seamless order processing, automatic order fulfillment, and faster response times to customer requests. It streamlines the entire order-to-cash process and improves customer satisfaction.
- Data-driven decision-making: The integration of IoT data with EDI systems provides businesses with a wealth of information for data analysis. By leveraging advanced analytics tools, organizations can gain valuable insights into supply chain performance, demand patterns, and customer behavior. These insights can inform strategic decision-making, optimize operations, and drive business growth.
Enhanced analytics and reporting
With the increasing volume of data generated through EDI transactions, analytics and reporting can become a huge focus for EDI platform companies as they can derive lot of insights into supply chain performance, partner collaboration, and customer behavior.
Another hope as an EDI consulting company in this space is that EDI should become mobile accessible along with more user-friendly interfaces. Mobile-friendly interfaces and applications can allow users to access and manage EDI transactions on the go. The emphasis should be on providing intuitive and user-friendly interfaces to enhance productivity and user experience.
These trends reflect the ongoing digital transformation and the need for businesses to adapt to changing market dynamics. By embracing these trends, organizations can enhance their EDI capabilities and gain a competitive edge in today’s interconnected business landscape.