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Posted: 02/24/2023 - by Dean Reid

18 Benefits of System Integration

What are the benefits of integrating your systems?

The goal of a system integration program is to interconnect a company’s IT systems and platforms (both virtual & physical). System integration (SI) is the process of combining multiple systems or applications together to form a cohesive IT environment. It connects the entire business infrastructure, enabling interoperability between the different tools allowing data to flow seamlessly and organically. 

The transformation of infrastructures, protocols, formats and technologies is continuing to advance at a frenetic pace. Companies are using a growing number of systems and software applications to collect information about their customers. Typical information exchanges include customer information, orders, production line information, customer inquiries, and many more. 

System integration allows companies to continue operating with their legacy infrastructure while incorporating new technologies, software and applications. It is ,therefore, a requirement for long-term competitiveness, productivity and profitability of organizations and is why investment in SI has grown so much in the last decade. 

With all systems working in harmony - companies can simplify the collaboration & communication between departments, boost productivity, improve the customer experience and enhance the quality of day-to-day operations. 

The 18 Benefits of System Integration:

  1. Facilitates communication between disparate systems that do not normally communicate.
  2. Increases the efficiency of information exchange (standardization)
  3. Eliminates double/triple keying of the same information across systems
  4. Creates a single source of truth for all business operations
  5. Focuses on higher-value growth efforts vs gathering & cleansing data
  6. Integrates older systems to new systems - eliminating the need for a full legacy replacement
  7. Enables quicker data driven decisions to serve customers better
  8. Boosts the speed of information flows and reduces operational costs 
  9. Improves workflows, enhances productivity by driving operational throughput velocity 
  10. Scales the company for long term growth 
  11. Reduces operating costs as less time is spent gathering and more time spent on strategizing & innovating 
  12. Ensures that information is available when needed
  13. Improves the quality of products & services offered with real time feedback 
  14. Simplifies new technologies implementation
  15. Standardizes data security protocols across systems 
  16. Eliminates interruptions & failures in operational & business processes
  17. Improves the efficiency of exchanging information with customers and suppliers 
  18. Simplifies data governance and data management

Read 10 common types of system integration and see which type is best for your company

  1. File-based Integration - this type of integration involves exchanging files between different systems in a standardized format.
    • Benefits - simple to set up and use, cost-effective, can handle large volumes of data
    • Considerations - limited real-time integration, manual intervention required, limited flexibility
  2. Application Programming Interface (API) Integration - API integration involves the use of APIs to enable different systems to communicate and exchange data with each other.
    • Benefits - flexible, scalable, can handle real-time data exchange, secure
    • Considerations - requires technical skills, ongoing maintenance required, security risks if not managed properly
  3. Service-Oriented Architecture (SOA) Integration - SOA integration involves building a centralized, reusable infrastructure for connecting multiple systems using standardized protocols and services.
    • Benefits - scalable, flexible, cost-effective, reusable components
    • Considerations - complex to set up and manage, requires specialized skills, ongoing maintenance required
  4. Electronic Data Interchange (EDI) Integration - EDI integration involves exchanging structured data between different systems using standardized protocols and formats.
    • Benefits - automated, secure, cost-effective, enables real-time data exchange
    • Considerations - complex to set up and manage, requires specialized skills, limited compatibility with newer technologies
  5. Database Integration - this type of integration involves linking different databases and data sources to share data and information
    • Benefits - easy to set up and manage, cost-effective, can handle large volumes of data
    • Considerations - limited real-time integration, manual intervention required, security risks if not managed properly
  6. Middleware Integration - middleware integration involves using a specialized software layer to connect and integrate multiple systems.
    • Benefits - flexible, scalable, cost-effective, can handle real-time data exchange
    • Considerations - complex to set up and manage, requires specialized skills, ongoing maintenance required
  7. Cloud Integration - cloud integration involves integrating on-premise systems with cloud-based systems and services.
    • Benefits - scalable, flexible, cost-effective, can handle large volumes of data
    • Considerations - requires specialized skills, ongoing maintenance required, security risks if not managed properly
  8. Business Process Management (BPM) Integration - BPM integration involves linking different systems and processes to streamline business operations
    • Benefits - automates manual processes, improves efficiency, cost-effective
    • Considerations - complex to set up and manage, requires specialized skills, ongoing maintenance required
  9. Collaboration Integration - collaboration integration involves integrating different collaboration tools and platforms to improve teamwork and communication.
    • Benefits - improves collaboration and communication, cost-effective, user-friendly
    • Considerations - limited real-time integration, manual intervention required, security risks if not managed properly
  10. Mobile Integration - mobile integration involves integrating mobile devices and platforms with other systems and services.
    • Benefits - improves mobile access to data and information, cost-effective, user-friendly
    • Considerations - limited real-time integration, manual intervention required, security risks if not managed properly
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Not sure where to start - no problem we have integrated the most disparate systems - many times before. Give us a shout at Poeta Digital - it will be the best thing you have done today.