Tag Archives: Managed EDI

How Managed EDI Tools Offset Supply Chain Risk And Complexity

Once we talk about a World class EDI system and couple it with risk and complexity, aren’t we thinking of a Supply Chain Control Tower? The SCM control tower is the single point of contact to reduce complexity and risk. And guess what?, EDI is the glue that holds all the participants together.
So let’s get “managed EDI” out on the table, define it, and show how and why it is such a powerful tool. The simple definition used throughout the industry is: “Managed services systems outsource the EDI document control to a third-party provider.” Digging a little deeper, isn’t it a specialized area of IT service management (ITSM)?

IT service management (ITSM) refers to the entirety of activities – directed by policies, organized and structured in processes and supporting procedures – that are performed by an organization or part of an organization to plan, deliver, operate and control IT services offered to customers. It is thus concerned with the implementation of quality IT services that meet the needs of customers, and is performed by the IT service provider through an appropriate mix of people, process and information technology.

Differing from more technology-oriented IT management approaches like network management and IT systems management, IT service management is characterized by: adopting a process approach towards management; focusing on IT services rather than IT systems; stressing continual improvement.

It is all about “knowledge”. Air controllers get information on weather, speed, direction, and altitude of aircraft and use that knowledge to keep their air space safe. Companies must know what is happening with their supply chains so they can prevent disasters too. They need to be able to do “what-if” analysis and work their way around events that will cause disruption and risks to the supply chain. Same thing with supply chains. Everybody needs to know what is going on. How? EDI.