Business Integration

8 min read

Business Integration – Benefits, Challenges, and Importance

In the digital world, good business integrations are the only difference between top-performing and bad-performing companies.

Read on to find how business integration benefits corporations, the challenges of business integrations, and why crucial it has. But before that, let’s understand what business integration means.

What does business integration mean?

Business Integration

Otherwise known as B2B integration, business integration refers to the digital standardization of communication as a business function.

Business is evolving, and digitalization is the primary force behind this transition. In order to effectively connect, communicate, and cooperate with customers, partners, suppliers, service providers, and all other participants in the supply chain, businesses must take advantage of today’s global business ecosystem. In fact, the contemporary supply chain has evolved into its own digital ecosystem, enabling new cooperative working methods and increased cooperation.

The digitalization of supply networks might have a significant positive impact on company. According to research, higher levels of digitization can increase fill rates—the proportion of customer demand that is satisfied through stock availability—by up to 80% and reduce cash-to-cash (C2C) cycle times, which, in 75% of cases, increase profitability. Shorter C2C cycle times are also associated with higher fill rates. According to additional McKinsey study, organisations with fully digitalized supply chains can anticipate to see an increase in yearly revenue growth of 2.3 percent and 3.2 percent in EBIT (profits before interest and taxes), which is the greatest rise from digitising any sector of company.

It streamlines all communication channels, allowing businesses to connect their digital ecosystems. Such a system allows the companies to handle all the company operations more effectively.

For instance, you could take the example of a company adopting useful integrations like Itrezzo with Outlook for syncing public folders and calendars, leading to better communication among team members.

Be that as it may, the standardization of communication is not particularly done to improve internal communication systems. Instead, such an integration worked on all ends and communicated with other companies to avoid data silos.

Business Integration: the benefits

Business integration has become a key aspect of all successful businesses. The businesses which are away from such a system have reported significant cost increases and resource consumption year on year. Here is the reason why companies with business integration processes perform better:

Improved Data Accessibility

One of the most significant benefits of business integrations is it allows you to see the needs of your business and how a particular data can address any issues.

Moreover, it allows everyone to access the data, be it from any department, permitting better decision-making.

If you want such integration for better data accessibility, look for software that all the departments can use. Or you can start by assessing the current tools used for data sharing by your firm and use one that is liked by the majority.

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Effective Communication

As much as 40% of projects fail due to a lack of proper communication.

And the institutions that integrate tools for project management, online collaboration, and cloud communication do not have any communication collapses.

Of course, the ones that don’t incorporate proper communication channels yield a 40% failure rate.

If your company lacks a good communication network, you could consider any cloud-based collaboration channel and allow the team to connect seamlessly.

One other important aspect is to ensure to look for tools that allow synchronous and asynchronous communication.

Improved Organizational Maturity Level

Better decision-making, better belief, and trust among colleagues lead to a better maturity level of the firm.

Business integrations allow teammates to understand organizational maturity.

Some 70% of PMs put their organizational maturity level as one on a scale of 5. However, over 30% of team members do not understand the long-term tangible goals.

And they all focus on short-term deliveries related to a project or two.

However, the project managers from companies with proper business integrations put the organization maturity score as 3 (on a scale of 5).

Increased Productivity

Not only at the individual level, but valuable business integrations could also increase organizational productivity.

Most organizations are not productive for several reasons: no communication, lack of resources, budget cuts, and overhead processes.

However, valuable business integrations could tackle all these problems effectively and produce tangible results within a short time. Thus, improving organizational productivity.

Why Is Business Integration important?

Business Integration

The benefits sum up why such methodologies are critical for any company.

One of the most significant challenges of companies is to make the data accessible to every member for the sole purpose of better decision making, cutting redundancies, and improving organizational productivity.

And proper business integration could help the companies tackle all the data-driven challenges, decreasing redundancies and improving productivity.

Most organizations without proper business integrations fail to inform their teams that a long-term tangible goal is essential to make your business shine alongside the short-term goals.

That said, there are many challenges that companies face with business integrations as well.

So, let’s discover such challenges and discuss how businesses could tackle the challenges linked to business integrations.

Business Integrations: the challenges

As much as companies value the business integrations and understand the benefits, most face challenges in the execution of business integrations. Here are some common problems that companies face relating to business integrations:

Disparate Data Formats and Sources

Data is valuable for businesses. But it soon compounds. For one thing, most businesses couldn’t afford to improve the data handling capabilities of their business integration platforms.

Take, for instance; one team member enters a phone number as +(08) 888 8888. At the same time, another team member from another department might be entering the numbers as 08 888 8888. This could cluster the information and create unnecessary redundancies.


Clean up the duplicates and standardize a format across all departments to avoid such data pile-ups.

Complex Integrations

As mentioned earlier, business integrations do not have to be something new. But it has to be expected. Still, most businesses try to enforce the teams with new integrations that team members couldn’t adapt in a short duration.

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Always head up for simple solutions and try to bring in a solution that most team members already use.

Lack of Tech Knowledge

Most businesses fail to manage their data as well as fail to bring in any backup solution. Businesses do not understand that backing up the data is critical for sustaining. Additionally, most businesses rely on one source for backing up data.


Have proper channels for data backup and do not rely heavily on one platform.

Benefits of Business Integration

Following are benefits of a corporate integration strategy. To get these benefits, you must integrate the correct technologies and procedures across business groups.

1. A Simplified Environment

Integrations may quickly become unmanageable for a business. This creates a complicated environment that slows operations and frustrates IT management. An ecosystem integration platform streamlines data workflows. The heavy lifting is done so you can focus on creating business value to your company’s bottom line.


2. Comprehensive Visibility

End-to-end data visibility lets companies see the full data life cycle. A unified integration platform lets you track, monitor, and manage EDI, cloud, and SaaS data. It gives business and technical users real-time visibility into crucial data flows, based on personas. You’ll have all the information you need in your digital environment, including comprehensive reporting and alerts.


3. Automated Workflows

Our outdated technology have onerous workarounds and specialised programming. Through automation and business orchestration, centralised integration systems eliminate mistakes, processing delays, and chargebacks. Built-in data movement and transformation features enable end-to-end processes, freeing personnel from tiresome activities like data input.

4. Cost Savings

Your teams manage expensive legacy systems and one-off apps. You may manage EDI, application, and data integration procedures from a single, easy-to-use platform. Consolidating solutions reduces maintenance costs and increases operational efficiency, allowing you to invest in essential business services.


5. Security

Unintegrated IT environments are more expensive and harder to manage security. Managing each system and application’s risk and security is tedious. An ecosystem integration platform allows enterprises to use secure protocols, encryption techniques, and extra security technologies in a more controllable fashion, making data protection easier.

Conclusion – Business Integration – Benefits, Challenges, and Importance

2 in 10 companies state data silos as one of their biggest challenges. Integrating businesses enables trade partners. Business integration solutions save time and costs associated with manual processing, eliminate human mistakes, improve data quality, increase productivity, gain supply chain insight, and enhance cooperation with trading partners. Modern business integration technologies and methodologies have advanced from the beginning of information exchange. This allows your organisation to function more efficiently, competitively, and cost-effectively.

It’s clear why as much as 80% of companies face problems streamlining their data to team members across the organization.

Either they haven’t incorporated business processes that deal with them effectively, or they are doing it wrong (most do!).

But your company does not have to be one of them. Instead, take steps that ensure that your company can adjust to the ever-changing digital landscape.

Only when your firm has appropriate business integrations can it make the data accessible to everyone and profit from such approaches.


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