Electronic Business Messaging
Electronic business messaging is a sustainable practice that involves sending business messages such as invoice, purchase order, dispatch advice etc. electronically without the use of paper leading to lower costs, reduced duplication due to fewer manual processes and fewer mistakes due to human error. This, in turns facilitates transaction processes like automated goods receipt and order-to cash. GS1 eCom standards facilitate electronic messaging by providing the language used by computers to send, receive and interpret business messages.
Automated Goods Receipt
Understanding on which goods are about to arrive, resolving delivery and receiving errors and reconciling deliveries against orders and invoices are time consuming processes.
A typical goods receiving process comprises of a number of integrated stages and transactions between the supplier and the customer. The use of GS1 standards based electronic business messages help firms match various business data from various sources. For example, it can match Advanced Shipping Notices (ASNs) to the data that is captured during the scanning of products and logistics units which automates the goods receiving process.
This leads to a more streamlined and efficient operation, benefiting all trading partners in the Supply Chain and aids in:
- Time saving through automated receiving , storing and cross- docking of goods
- Reduced labour costs through less human intervention and fewer errors.
- Better inventory management with fewer delivery and receiving errors
- Automated checks for under or over deliveries and electronic proof of delivery.
- Greater data accuracy through increased use of electronic messages and less manual keying of data
- Improved three-way reconciliation between orders, goods received and invoices leading to faster payments and few disputes
- Support for vendor managed inventories and other innovative business processes.
- Improved customer service
Order to Cash Process
Order-to-cash is the business process where goods are a) ordered, b) delivered and received and c) invoiced and paid for.
This process is critical for almost all businesses. When orders are improperly received, fulfilled, delivered or invoiced, payments may be delayed or refused and customers may cancel and even choose not to return. In order to increase the accuracy and efficiency of the order-to-cash process, organisations of all sizes look to automate the entire order to cash process by using GS1 eCom standards based electronic business messaging.