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Supply Chain Performance

How To Integrate ERP Systems

Enterprise Resource Planning (ERP) systems help you integrate, transform, and scale your business. Companies specializing in eCommerce, retail, manufacturing and wholesale distribution are using ERP integration solutions.

It deals with front-office functions such as eCommerce, sales, and marketing automation. If your ERP system isn’t integrated with other core business platforms like CRM or eCommerce, it’s time to act.

Here’s what you should know about ERP system integration:

What Is ERP Integration?

ERP integration involves connecting and coordinating your ERP systems with other business applications such as:

  • Customer Relationship Management (CRM)
  •  eCommerce (front-end)
  • Electronic Data Interchange (EDI)
  •  Marketing tools, e.g., analytics, databases, and data points

The integration allows businesses to combine, input, manage, monitor, analyze, and output meaningful and vital data. ERP’s goal is to share data across all the systems to enhance productivity, performance, and insights. It helps create a single source of information.

Your ERP solutions should communicate and network with other key platforms properly. They should also synchronize data from different channels in the organization. ERP integration can help you achieve this.

Types of ERP Integration

 The type of ERP you choose depends on:

  • What business role does ERP serve
  • The problem ERP intends to solve
  • Applications the ERP integrates with

1. eCommerce Integration

When organizing your business, you should associate data collection and implementation. Most customer data originates from the eCommerce store, where your business interacts with the target customers. Examples of data that come from eCommerce include:

  • Leads
  • Customers
  • Orders
  • Transactions
  • Shipping statistics

When you integrate your ERP solutions with the eCommerce store, it’s easier for all the company sectors or members to access data.

2. CRM 

Every successful business prioritizes effective customer service. CRM (Customer Relationship Management) is a suite for everything relating to customers, their orders, communications, transactions, etc.

ERP integration with CRM creates an interaction between supply (ERP) and demand (CRM), enhancing sales funnel performance.

3. Business Intelligence Integration

Business Intelligence applications can help take your business to the next performance level. Integrating your ERP solutions with BI software your employees across the hierarchy and departments access actionable data insights. This can help them gain confidence with their individual judgment.

4. EAM 

EAM (Enterprise Asset Management) is a system that helps increase production through the management of your company’s assets, such as:

  • Vehicles
  • Raw materials
  • Heavy equipment
  • Installation devices 

You can synchronize logistics, human resources, inventory, and other essential data with the EAM software. By integrating ERP applications, you can optimize your EAM’s functionalities, including:

  • Inventory management
  • Demand forecasting and planning
  • Supply chain management
  • Maintenance management relating to company assets

How To Integrate ERP Systems With Your Business Applications

Integrating ERP solutions with business-critical software systems or applications is straightforward. Here are the steps to help you align your ERP integration with systems:

Step 1: Add System Credentials

Start by configuring the credentials for your ERP and other software systems you wish to integrate.

Step 2: Create Flows

Design the template that defines the relationship between your ERP and other systems. State when and how the data collected should be shared. Determine how the “create, read, update, and delete” (CRUD) operations should be executed.

Step 3: Configure Integration Pipes

Pipes are data points in your business systems and include:

  • Customer Data
  • Inventory Data
  • Product Data
  • Order Data, etc.

You should configure similar pipe connections (e.g., Inventory Data) in the networked systems (eCommerce and ERP).

Step 4: Create Mapping and Modifiers

Create connections between eCommerce, CRM, and ERP systems data fields.  For example, you can take the ERP Split’s “Customer Name” field and then map it to the CRM’s “First Name” and “Last Name fields.”

Once complete, determine the business’ advanced logic on how each data field should mingle with one another. Split the Customer Name in the ERP system into CRM’s data fields “First Name” and “Last Name.”

Step 5: Activate Auto Mode

Enabling or activating the auto mode helps verify that the ERP connection with other applications goes live immediately. Automate and set up the synchronization schedule and frequency before entering auto mode. Setting up real-time synchronization is another option.

Congratulations! Your ERP integration is complete, and your integrator application will take charge.

Optimize & Extend Your ERP

Your ERP is a powerful tool—it probably did away with a lot of manual work and made the creation of POs easier for your team. But there are still gaps to fill between your ERP and your supplier network to realize true PO lifecycle management. 

SourceDay closes the gaps and lets you fully manage POs from creation to receipt by extending your ERP purchasing capabilities to your suppliers. Request a demo today to see how you can efficiently tackle PO change communications with your suppliers and buyers.