Importance of Integrating eCommerce with an ERP

The COVID-19 pandemic has completely changed the way many businesses operate, and an important aspect of this new business model is the integration of the well-established e-commerce ecosystem. According to Adobe’s latest Digital Economy Index, global e-commerce sales are expected to reach $4.2 trillion by the end of 2021 (1). As the e-commerce market continues to grow, the importance of integrating back-office systems such as Enterprise Resource Planning (ERP) to support an e-commerce system is more urgent than ever.

SAP Business One provides users with full integration of back office systems such as finance and accounting, sales and customer management, purchasing and inventory control, production planning, and business intelligence. With full visibility and real-time updates, Business One makes the transition to the e-commerce marketplace less stressful and more efficient.

Why is back office systems integration important to e-commerce? Back office systems are in essence the processes that automate the management and operation of a business. Integrating systems such as procurement, inventory control, and production planning is especially useful when running e-commerce because it allows updates and new information to be automatically visible and documented in real time.

For example, the item manager keeps track of items purchased, sold, manufactured, and stocked, and the inventory data tab within the main item displays items, descriptions, pricing, general data, and purchasing. The Inventory Data tab additionally displays stock statuses such as Stock Level, Committed, On Demand, and Available Within Warehouses (3). These statuses are automatically updated by sales orders, purchase orders, and deliveries.

These automatic real-time inventory updates and the ability to see the status of each type of inventory makes the process of selling on the e-commerce platform much easier and hassle-free. Having a direct view of the quantity available for sale from the warehouse ensures that customers get the required products. Knowing the number of units required allows clear communication that products will be available for purchase soon.

Overall, the importance of integrating e-commerce with ERP has become an integral part of the modern business model. Implementing an Enterprise Resource Planning (ERP) software to integrate back office systems will make the transition less stressful, more efficient, and ultimately help business processes run more smoothly. Access to structured data in real time within the back office systems will help power the e-commerce platform.

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