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Supplier enablement is the process of electronically connecting suppliers (or other trading partners) to a company's supply chain. Supplier enablement is achieved when suppliers of goods and services are connected to a company's back-office systems to exchange critical business documents such as purchase orders, invoices and other information.[1] Suppliers can be connected, or "enabled," using a variety of means including Electronic Data Interchange (EDI), Extensible Markup Language (XML), Web forms, RFID chips, or other e-commerce tools.
The benefits of supplier enablement include reduced supply chain costs, improved invoice tracking, reduced procurement costs, reducing or eliminating non-value added (manual) processes, and improved communications. Supplier enablement extends the value of a company's internal IT investments, such as ERP, into their trading communities—expanding the ROI on an initially internal investment.
^How to Combat Risk with a Trusted Supply Chain Network
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