Do You Really Need Real-Time Sage ERP to eCommerce Integration?

3 min read ● Silk Team

Real-Time Sage ERP to eCommerce Integration: Is It Always Necessary?

Real-time integration is commonly viewed as the “gold standard” for linking together ERP (Enterprise Resource Planning) and eCommerce systems. The allure of real-time integration is clear: instant inventory level changes, immediate changes to pricing, and automated order fulfillment. However, for many manufacturing and distribution companies, the true question is not whether to integrate in real-time — but whether to integrate in real-time at all.

This article examines under what circumstances real-time Sage ERP to eCommerce integration will provide value to your business; when such an implementation is likely to be overkill; and how to develop the appropriate integration methodology based on business requirements versus assumptions.

What Does Real-Time Integration Really Mean?

Integration in real-time refers to the synchronization of data between systems in real-time. Therefore, when an order is placed by a customer; when inventory levels change; or when pricing changes, such changes are communicated across the various platforms in real-time.

Real-time integration for organizations utilizing Sage ERP, specifically includes:

• Inventory availability
• Customer-specific pricing
• Creation and updating of orders
• Limitation of credit accounts

In addition to providing significant power, real-time integration also adds additional complexities and infrastructure considerations.

Under Which Circumstances Does Real-Time Integration Add Significant Value?

There are specific instances in which real-time integration is not merely valuable — it is critical.

High Levels of Inventory Volatility

If inventory levels fluctuate rapidly, due to multiple sales channels or small inventory levels, real-time inventory updates help prevent the sale of items when they are no longer available and prevent backorders from occurring.

Contract Pricing for Customers

Companies that have contractual pricing arrangements or negotiated prices for their customers benefit from the use of real-time price validation to confirm that customers are always shown correct pricing at checkout.

High Volume of Transactions

Organizations processing high volumes of transactions per day often require real-time automation to maintain efficient order-to-cash cycle times.

Self Service B2B Portals

When customers expect to be able to access information about their orders, invoices and inventory availability in real-time, any delay in communicating such information may result in loss of confidence.

In each of these examples, real-time integration directly contributes to protecting revenues and ensuring customer satisfaction.

Under Which Circumstances Does Near Real-Time or Scheduling the Update of Data Work Better?

Although there are benefits associated with real-time integration, there are numerous instances where real-time integration is not required, and therefore, would be impractical.

Stable Inventory Management Environments

If inventory management is centralized and/or changes in inventory do not occur frequently, the update of data every few minutes or every hour, using scheduled synchs, may be adequate.

Updates to Non Critical Data

Changes to product descriptions, images, and categories generally do not need to occur in real-time. Using scheduled synchs reduces the load on the systems involved in the transaction, while maintaining a positive user experience.

Costs and Efforts Required for Maintenance

Real-time integrations require much more robust error handling, monitoring and performance tuning. For organizations with smaller teams, the effort and cost associated with implementing and maintaining a real-time integration may be greater than the advantages realized.

In these instances, the use of batch or near-real-time integration provides reliability at a lower complexity.

Trade-offs in Performance and Reliability

Implementing real-time solutions demands continuous processing from both the ERP and eCommerce systems involved in the transaction. If these systems are not properly architected, the consequences include:

• Exceeding API limits
• Failure of the synchronizing process cascading throughout the systems
• Reduced performance resulting in negative impacts on the user experience

In general, a slower but more reliable integration will ultimately produce better results than a faster but less reliable real-time solution.

Hybrid Approaches Typically Provide the Optimal Solution

A hybrid approach is commonly employed by successful manufacturers who:

• Use real-time for orders, pricing and inventory checks
• Schedule the update of products, content and reporting data

Balancing the need for timely updates and maintaining stable operation, while allowing the organization to scale.

Questions to Help Determine the Appropriate Approach for Your Business

Prior to selecting real-time integration ask yourself:

• How frequently does this data actually change?
• What happens if this data is delayed by 15 minutes?
• Is real-time accuracy directly related to revenue and/or customer trust?
• Can we, as an organization, handle real-time monitoring of our systems?

The responses to these questions will often reveal that real-time integration is a strategic decision and not simply a default necessity.

Conclusion

Real-time Sage ERP to eCommerce integration can be very powerful; however, it is not a universal necessity. The most effective integrations are developed around the business impact — and not around technical ambitions.

By aligning the integration speed with the actual operational realities, manufacturers can create systems that are both accurate and scalable, and operate dependably — without excessive complexity.