ERP integration:
types, approaches, key steps & services

ERP integration: types, approaches, key steps & services

November 21, 2023

Konstantin Pilkevich

by Konstantin Pilkevich,

Head of Itransition's ERP Center of Excellence

ERP integration involves connecting the ERP platform with other software applications to work together and exchange data. Itransition delivers ERP integrations as part of full-scale ERP implementation and as a stand-alone service to help companies manage disparate business processes

About Itransition

10+ years delivering ERP services

50+ completed projects across various industries

25+ years of experience in enterprise software development

Strategic partnership with Odoo, Microsoft, and NetSuite

Looking for a trustworthy ERP technology partner?

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Types of ERP integrations

Itransition integrates ERP solutions with your existing infrastructure, internal enterprise systems, custom and third-party applications, including:

Ecommerce platforms

Accounting software

Shipping services

ERP

BI software

Electronic data exchange

Project management software

CRM

Communica- tion tools

Social media

Banking software

Payment gateways

ERP integrations

Banking software

Streamlined cash management and enhanced client experience with:
  • Seamless access to different banking services for business users
  • Transactions management from a single environment
  • Real-time information from banks for corporate clients

Payment gateways

Minimized risks of late/missed payment and human errors from manual data entry due to automated:
  • Payment acceptance, processing, storing, and check activities
  • Data synchronization with the ERP system

Ecommerce platforms

Automated procurement and inventory management, dynamic pricing, streamlined order execution process, and better shopping experience for customers with:
  • Accurate and relevant commercial data available across all departments
  • Real-time data integration between back-end and front-end

Accounting software

Streamlined accounting workflows and accurate budget allocations and planning with:
  • Seamless import and export of data on orders, partners, products, payments, and invoices
  • Automated creation of budgets and financial plans based on the company’s performance

Social media

Omnichannel shopping experience, greater customer insight for future marketing and sales campaigns, and better customer service with:
  • Centralization of customers’ and prospects’ social media data
  • Automated customer data management and instant messaging with bots and AI-enabled functionality
  • Social media feed and posts automation

Communication tools

Consistent interdepartmental communication and streamlined order execution with:
  • Scheduled and real-time action-based alerts and notifications
  • Automated information sharing and synchronization

Shipping services

Optimized supply chain management, reduced operating expenses, and enhanced customer experience with
  • Instant access to actual shipping status and details
  • Automated sending of shipping information for real-time shipment confirmation

Enterprise resource planning software

Ensured consistency and accuracy of customer and product data for companies operating worldwide or those that have undergone acquisitions and mergers with:
  • Bi-directional information flow between two or more disparate ERP systems
  • Automated data management activities

Customer relationship management software

Streamlined order execution, enhanced customer experience, optimized sales funnel conversions and performance, and marketing campaign automation with:
  • Delivery of all customer-related data across departments
  • Automated quote management
  • Dynamic price optimization

Project management software

Streamlined project management, resource allocation, scheduling and planning with:
  • 360-degree visibility of project-related data
  • Seamless collaboration and communication of business users

Electronic data exchange

Facilitated front-end communication, reduced order processing time, and accelerated business processes with:
  • Instant and secure exchange of electronic documents between business partners
  • Automated data upgrade in real-time

Business intelligence (BI) software

Fact-based decision-making across departments due to seamless access to analytics and reporting capabilities:
  • Ad-hoc analytics querying
  • Personalized reports and dashboards

ERP integration approaches we use

Point-to-point

Enterprise service bus (ESB)

Integration platform as a service (IPaaS)

Approach
Approach

We use custom code, pre-built connectors offered by ERP vendors, or APIs to connect ERP to another system

We connect ERP to other applications via a middleware layer, which enables the communication between systems through connectors and adaptors

We set up a dedicated platform with pre-built connectors, data mapping, data transformation and workflow design features for companies to manage ERP integration workflows

Pros
Pros

Low learning curve and initial investments

High scalability with simple addition/removal of apps/systems that doesn’t affect the functionality of other subsystems

Accelerated integration workflows and pricing flexibility with limited to no coding

Cons
Cons

Not future-proof and hard to maintain and scale as the ecosystem evolves

Requires complex maintenance and troubleshooting

Risks of vendor lock-in and limitations in case of complex data flows

Best for
Best for

Companies with a simple IT infrastructure and no complex integrations

Companies with a large and varied (cloud and on-premises) IT environment

Companies with a cloud-based IT environment. Can be also combined with the ESB approach to integrate legacy systems

How to choose an ERP integration method

Factors to consider

Integration needs

Integration budget

Solution environment

Technical resources

Non-functional requirements

ERP integration types

Unidirectional

Involves a one-way dataflow, which means the data moves from the sender to the receiver, but not vice versa. For example, data from the ERP system is transmitted to the integrated CRM platform.

Bi-directional

Implies a two-way data synchronization between the integrated systems to fully eliminate double data entry.

Real-time

Data transfer happens in a paired approach, in the form of data chunks or frames, which ensures a high data transfer rate. However, this approach is rather costly.

Batch

Data transfer happens in a half-paired approach, with one byte/character transformed at a time, which means changes in one system appear in the integrated system with delays.

Scheduled

Data transfer happens at a scheduled interval, which is a good fit for companies with multiple integration points that don’t need the data changes to be immediately available across systems.

Benefits of ERP integration

Single source of truth

An integrated ERP system is a centralized database that facilitates business process transparency, quick access to relevant information, and more comprehensive analytics initiatives.

Automated workflows

An integrated ERP platform automates time-consuming data management, which leads to human error reduction, an increase in overall accuracy of business operations, and employee productivity growth.

Data silos breakdown

Connecting ERP applications to homegrown legacy systems simplifies access to critical but previously siloed business information.

Improved team collaboration

ERP system integration facilitates data consistency between systems and enables teams from different departments to work in close cooperation.

Enhanced workflows

ERP integration helps keep track of departments’ performance and compliance with the corporate objectives and assign tasks in real time to minimize the risk of process disruption.

Better customer experience

The uninterrupted data flow between customer-facing tools and back-end applications, especially ERP, accelerates lead conversion and helps all departments better understand customer demands.

Turn to Itransition for your next ERP integration project

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Dedicated ERP integration services we offer

As a certified Odoo partner, we help companies implement the Odoo platform and set up effective two-way communication with their in-house systems and third-party services to broaden Odoo functionality scope.
Deployment
  • Cloud
  • On-premises
Platform pricing

Odoo Community Edition
free

Odoo Enterprise
depends on the number of users and modules deployed

Free trial

We establish secure and reliable communication between your NetSuite modules, as well as between the NetSuite platform and any corporate system or third-party application.
Deployment
  • Cloud
Platform pricing

The annual license fee is made up of three components: the core platform, optional modules, and the number of users.

Dynamics 365 Business Central integration

As a Microsoft Solutions Partner, Itransition team assists companies with Microsoft Dynamics 365 Business Central customization and integration with other corporate and external systems.
Deployment
  • Cloud
  • On-premises

Dynamics 365 Business Central Essentials
from $70 per user/month

Dynamics 365 Business Central Premium
from $100 per user/month

Dynamics 365 Business Central Team Members
from $8.00 per user/month (limited functionality)

Free trial available for 30 days

Dynamics 365 Finance & Operations integration

Our team helps companies customize and integrate Microsoft Dynamics 365 Finance & Operations applications for finance, supply chain and human resources management with in-house and 3rd-party systems.
Deployment
  • Cloud
  • On-premises
Platform pricing

Standard and premium monthly subscription fees
based on the number of users and selected Dynamics 365 applications

Free 30-day trial available

 

Custom ERP integration

Itransition’s experts help companies connect their custom ERP solutions with internal and external software solutions via:

  • Configuring pre-build ERP connectors and third-party APIs
  • Designing proprietary point-to-point integrations
  • Building a custom communication system into the enterprise IT infrastructure

Client spotlight

ERP for a repair & maintenance company

90%

manual processes automated

We implemented an Odoo-based ERP fully integrated with Salesforce and TaxCloud solutions, automating the customer’s core business processes, reducing purchase order approval time by 50%, and accelerating work order management by 100%.

Acumatica Cloud ERP integration with DocuSign eSignature

Automated

document signing

Acumatica Cloud ERP integration with DocuSign eSignature

We performed Acumatica integration with DocuSign to streamline document signing and speed up routine document management workflows for product users.

ERP system maintenance for LISI Aerospace

Optimized

system support costs

Itransition optimized the performance of ERP components and integrated bolt-on modules with M3 ERP system and other business applications to decrease system maintenance effort and cut its TCO.

Software suite for a UK furniture manufacturer

21%

increase in sales

We integrated a CRM/ERP system with a web/VR kitchen modeling application, warehouse management solution, ecommerce module, Sage Pay, and Worldpay to help the customer streamline back-office workflows and pioneer VR-based customer engagement.

ERP for a repair & maintenance company

90%

manual processes automated

We implemented an Odoo-based ERP fully integrated with Salesforce and TaxCloud solutions, automating the customer’s core business processes, reducing purchase order approval time by 50%, and accelerating work order management by 100%.

Acumatica Cloud ERP integration with DocuSign eSignature

Automated

document signing

Acumatica Cloud ERP integration with DocuSign eSignature

We performed Acumatica integration with DocuSign to streamline document signing and speed up routine document management workflows for product users.

ERP system maintenance for LISI Aerospace

Optimized

system support costs

Itransition optimized the performance of ERP components and integrated bolt-on modules with M3 ERP system and other business applications to decrease system maintenance effort and cut its TCO.

Software suite for a UK furniture manufacturer

21%

increase in sales

We integrated a CRM/ERP system with a web/VR kitchen modeling application, warehouse management solution, ecommerce module, Sage Pay, and Worldpay to help the customer streamline back-office workflows and pioneer VR-based customer engagement.

ERP for a repair & maintenance company

90%

manual processes automated

We implemented an Odoo-based ERP fully integrated with Salesforce and TaxCloud solutions, automating the customer’s core business processes, reducing purchase order approval time by 50%, and accelerating work order management by 100%.

Acumatica Cloud ERP integration with DocuSign eSignature

Automated

document signing

Acumatica Cloud ERP integration with DocuSign eSignature

We performed Acumatica integration with DocuSign to streamline document signing and speed up routine document management workflows for product users.

ERP system maintenance for LISI Aerospace

Optimized

system support costs

Itransition optimized the performance of ERP components and integrated bolt-on modules with M3 ERP system and other business applications to decrease system maintenance effort and cut its TCO.

Software suite for a UK furniture manufacturer

21%

increase in sales

We integrated a CRM/ERP system with a web/VR kitchen modeling application, warehouse management solution, ecommerce module, Sage Pay, and Worldpay to help the customer streamline back-office workflows and pioneer VR-based customer engagement.

ERP integration lifecycle

When integrating ERP software with a company’s IT infrastructure, our experts usually take the following steps:

1

Scoping

We begin with setting up integration goals by summarizing the IT ecosystem the ERP software will be integrated with. Next, we conduct a comprehensive technology audit to assess the viability of the integration project.

2

Conceptualization

After defining functional and non-functional requirements, our consultants select the optimal ERP integration approach and suggest the tech stack. For example, if temporary integrations have to be set up during the migration, our experts work out the solution suitable technically and cost-wise.

3

Project planning

The next step is project planning, which includes elaborating the project roadmap, project deliverables and milestones, project budget and timeline, and resources required.

4

Data mapping

Before data mapping, our ERP consultants conduct a preliminary data source analysis and identify data volumes, data sensitivity, entities and attributes, and relationship between them. After that, our consultants draw up data flows, map out data, and convert it into necessary formats.

5

Execution

The team starts connecting the ERP software with other corporate systems via custom integrations development and/or building/configuring APIs, configuring or customizing legacy systems if needed. We execute the process in phases to minimize operational disruption.

6

Testing & launch

Before deploying the solution, we perform quality assurance to check for inefficiencies, system malfunctions, and vulnerabilities. After fixing the detected issues, we gradually deploy the integrations and get users acquainted with new capabilities.

ERP integration timeline

ERP integration timeline

The duration of the ERP integration project depends on:

  • Systems to integrate (their number, tech specifics, data volume, etc.)
  • ERP integration approach (custom, ready-made, or a combination of both)
  • Data management activities (including data migration)
  • Non-functional requirements (solution availability, security, scalability, maintainability, usability)
  • Software upgrades (if necessary)
ERP integration timeline

Enable seamless data exchange through ERP integration

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ERP integration challenges we help solve

Challenge

Solution

Integrating customized solutions, legacy homegrown systems, software systems with different interface protocols may pose serious problems while connecting your ERP software with the existing IT infrastructure.

Integrating customized solutions, legacy homegrown systems, software systems with different interface protocols may pose serious problems while connecting your ERP software with the existing IT infrastructure.

To solve the issues of varying data formats and types, insufficient documentation, poor data quality, we start with a careful technology audit and work out a detailed ERP integration strategy, potentially involving a combination of integration approaches.

Failing to meet non-functional requirements, such as usability, security, reliability, availability, performance, scalability and maintainability, may jeopardize the project’s success.

Failing to meet non-functional requirements, such as usability, security, reliability, availability, performance, scalability and maintainability, may jeopardize the project’s success.

To ensure the overall effectiveness of the system, we identify non-functional requirements early on and outline the optimal integration solution to meet them.

Data hosted across various systems may be inconsistent, old, and incomplete, which hampers ERP integration.

Data hosted across various systems may be inconsistent, old, and incomplete, which hampers ERP integration.

We help you adopt comprehensive data management activities and practices, such as data cleansing and reformatting, validation, access management control, lineage, and deduplication, to streamline the ERP integration process and make the transition smoother.

Complementary ERP services we offer

ERP consulting

ERP consulting

We help companies draw up the optimal ERP tech stack and support them during the ERP implementation or optimization project to ensure smooth ERP deployment, high ROI, and business continuity.

ERP implementation

We deliver custom ERP software or platform-based ERP solutions for companies across industries to automate repetitive tasks, increase productivity, and reduce operating costs.

ERP development

Itransition delivers custom ERP solutions equipped with a fully personalized set of features, modules, and integrations in line with your business functions and infrastructure.

ERP customization

We customize and upgrade ERP systems in line with your business needs and vision, following the industry’s best practices.

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