The Advantages of Using an EDI Value-Added Network (VAN)

Gain a competitive advantage, reduce data entry and manual processing costs, improve business relationships, and optimize your supply chain

What is an EDI Value-Added Network (VAN)

An EDI VAN uses phone lines to create a business-to-business network for electronic communication. This particular type of network is called “value-added” because of the variety of services and communication protocols facilitated that otherwise wouldn’t be available through a regular phone line.

Using an EDI VAN creates seamless communication channels between supply chain vendors and other trading partners while allowing data translation between multiple formats. A lot of this communication is automated through the VAN, providing more efficient e-commerce transactions and supply chain management.

VANs are time-tested and utilized by all industries and provide several distinct advantages over other forms of electronic business communication.

EDI is FastEDI Communication = Efficient B2B COMMUNICATION

Compared to manual transaction processing, fax communication, and even email, an EDI VAN allows you to exchange business data significantly faster. In many cases, the data sent over a VAN is inputted directly from other business software, eliminating manual data entry that requires labor time and runs a higher risk of errors.

In fact, the VAN audits the data in transport to detect errors and correct them whenever possible. Since a VAN sends data with a variety of protocols, it creates a fast communication channel between businesses in any industry, allowing each party to use the data format most suited for their organization.

Whether you’re new to EDI or ready to move to a VAN focused on your needs, starting service with BOLD VAN is a cinch. See our processes:

BOLD VAN manages the entire implementation and migration processes in as little as a day without interrupting EDI communication.

EDI is ReliableIMPECCABLE RELIABILITY

A VAN is a gold standard for EDI communication. VANs are secure enough to meet government and HIPAA security standards, and data-sensitive organizations have trusted them for decades.

In addition to being reliable for security measures, VANs are just extremely reliable in general. In fact, our VAN has a 99.998% uptime.
Once you’ve implemented EDI into your supply chain, you won’t be able to live without it – and fortunately, you won’t have to. Unlike other business services, an EDI VAN is one you can certainly count on to keep your operations running smoothly.

EDI Reaches Rural AreasCOMMUNICATION TO RURAL AREAS

The global economy has increased manufacturing costs to the point that more companies are outsourcing manufacturing to China and other developing countries for lower costs. However, with those lower manufacturing costs also comes a variety of other issues – for example, a common problem is internet outage.

The last thing you want is a lapse in communication between your manufacturer and other vendors in your supply chain for hours on end. Fortunately, a VAN bypasses this issue because VANs use phone lines for communication to ensure data is exchanged 24/7, anywhere in the world.

Your supply chain is only as strong as its weakest link, and when you’re dealing with manufacturers (or other vendors) in third-world countries you want to ensure you’re still maintaining a first-class operation. Aside from security and overall reliability, this is one of the biggest reasons that VANs remain the standard for EDI communication over newer (and older) technology.

Compliance is Easier With EDIBecome EDI Compliant

Companies like Costco, Amazon, Walmart, and others have individual requirements a company must meet to join their vendor/supplier network and exchange EDI data. Since VANs are the most-preferred EDI communication channel, there’s a high probability that companies will require you use a VAN to meet their EDI compliance requirements.

When you already use a VAN for EDI communication, becoming EDI compliant for a new trading partner is usually a simple process. If you’re a BOLD VAN customer, it’s incredibly easy because we handle EDI compliance for you.

Different VANs communicate interchangeably, so if you’re using BOLD VAN as your EDI VAN provider, you can automatically communicate with any other VAN network in the world. At that point, EDI compliance is usually a matter of setting up new protocols for communication that you haven’t used before and doesn’t take long at all.

Learn more about BOLD VAN’s powerful, reliable, and cost-effective VAN.

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