Creating an EDI Solution for Dairy Holdings Ltd
PGG Wrightson (PGW) are committed to helping our customers achieve better business efficiencies. So, when Dairy Holdings Limited adopted DX2 – a digital document exchange system from Olympic, PGW welcomed the chance to work alongside Olympic to change the way we delivered DHL’s invoices. Read on to see how a simple EDI solution was able to provide time saving and cost benefits for DHL.
Dairy Holdings Limited (DHL), based in the South Island, is the largest corporate dairy farming organisation in NZ. DHL operate across 74 dairy farms and 15 grazing block operations. DHL recently implemented DX2 Capture & Approvals to digitise their payables invoices and approval flow. With the system in place, the next step was to speed up processes from high-volume suppliers such as PGW.
DHL were receiving a large quantity of invoices from PGW via email on a monthly basis. These PDF invoices needed to be printed, coded and approved and manually entered into DHL’s accounting system. Olympic approached PGW and suggested a solution where invoices could be sent directly to DHL’s DX2 system in a digital form via EDI.
What is EDI?
Electronic Data Interchange (EDI) is the computer-to-computer exchange of documents in an electronic format between business partners, replacing postal mail, fax and email. While email is also an electronic approach, the documents exchanged via email must still be handled by people rather than computers. By moving to an electronic exchange of documents, businesses can enjoy major benefits such as reduced cost, increased processing speed, reduced errors and improved relationships with business partners.
How it works
The invoice data is sent directly from PGW’s accounting system and is converted to a CXML format which can be received by DHL’s DX2 system. DHL can code the invoices which are then sent for digital approval via DX2 Approvals. Once approved the invoices are sent direct to DHL’s ERP solution for payment.
If an invoice is wrong or has an error, it is instantly rejected by the user. This means DHL can immediately investigate the issue well before payment is due.
What are the benefits for PGW customers?
- No more emails every month.
- Code and approve invoices immediately and digitally
- No more waiting for monthly statements and invoices
- More time to query transactions before payment is due
- Reduce excessive admin and data entry for collecting approvals
- EDI has all the core data required to process a tax invoice
- Additional information can be supplied/tailored to customer requirements.
DX2 can connect to any ERP/Accounting solution. To find out more about using DX2 with your accounting system, complete an online enquiry form and an Olympic representative will get in touch.Learn more about DX2