Everyone in business knows how the invoicing process works. A paper invoice is sent by
mail and arrives at its destination 3-5 days later only to be keypunched into an AP
System (often with errors), evaluated and validated (often by more than one person or
department!); potential problems must be disputed or investigated, and then eventually
approved and paid. It should be a simple process yes, but it is a process that can be
slow, costly and time-consuming. At first glance, EDI invoicing may sound complicated
and expensive. Perhaps you think that adopting such a solution will involve buying
expensive software, learning a bunch about EDI, and re-training staff with radical new
procedures. However, the truth is that when using a simple EDI application, the electronic
process follows exactly the same path as the paper process but with one big difference -
it takes significantly less time, effort and cost to complete. We have provided a couple different
scenarios with different levels of usage to illustrate the cost savings and ROI gained through EDI.
Scenario 1 - Mid-Sized EDI Volume
ABC company has 3 trading partners and processes 225 documents per month (75 POs, 75 Invoices, 75 Ship Notices) using the DataTrek desktop solution.
| Paper |
$8.00 |
$1800.00 |
| Electronic |
$1.36 1 |
$307.08 |
| Total Monthly Savings: |
$1492.92 |
| DataTrek Software |
Mapping, Testing, 1 yr license, and full tech support |
$2500 |
| Three Integration Programs |
Optional Custom Programs to Enable ECLynx to Flow Seemlessly With Your Backend Systems - $250 for Each Document |
$900 |
| Total Up Front Cost: |
$3400 |
As you can see, the total up front cost of $3400 can be re-couped within 3 months of usage
because of the enormous per month savings of almost $1500. That is time and money that can
now be reinvested into your company so you can focus on what you do best.
Scenario 2 - Low EDI Volume
ABC company has 1 trading partner and processes 45 documents per month (15 POs, 15 Invoices, 15 Ship Notices) using the ECLynx web based solution.
| Paper |
$8.00 |
$360.00 |
| Electronic |
$2.92 2 |
$131.25 |
| Total Monthly Savings: |
$228.75 |
| ECLynx Subscription |
One Time Up Front Fee |
$100 |
| ECLynx Trading Partner Addition |
One Time Fee for Each Trading Partner |
$150 |
| Three Integration Programs |
Optional Custom Programs to Enable ECLynx to Flow Seemlessly With Your Backend Systems - $300 for Each Document |
$900 |
| Total Up Front Cost: |
$1150 |
As you can see, the initial $1150 investment can be re-couped in less then 5 months if you choose
to integrate your backend systems. If you choose to key punch information, you can circumvent the
$250 per document custom programming fee and can see ROI in less then 2 months of use.
