Information is very useful in making key business decisions. A collection of data which make up information to support decision-making in the modern workplace requires a good systems and software to generate those data. Companies have invested their resources to procure systems or software to manage business processes but in reality haven’t seen the benefits. Thus, information is difficult to access, probably because it is stored in systems that cannot talk to each other. In such instance, employees resort to exploring other means which can give them the easiest access to the information they need.
Indeed, all systems or software need to be efficient and communicate with each other smoothly to help teams to generate reports. These narrations bring to the fore two fundamental concepts which are system integration and software integration and worth explaining.
System Integration
In the world of Information Technology (IT), system integration can be described as the process of bringing together components sub-systems into one system and ensuring that the computing sub-systems function effectively as a whole. System Integration also involves the process of integrating all the physical (machine systems and computer hardware) and virtual (data stored in databases, software and applications) components of a company’s systems. The brain behind system integration in any corporate set-up is to make communication more efficient between the company’s internal systems and that of other institutions it has business relationship with. System integration takes many forms and methods to deploy in any a company. But does this really happen in all cases for systems talk to each other?
Software Integration
Basically, Software Integration refers to the process of combining two pieces of software in order to solve the problem of isolated data. Technically, it is the process of connecting one software application with another, typically through their application programming interface (API). In the context of API, the word, Application means any software with a distinct function. Interface is a connection between two applications and how they communication with each other using requests and responses. To businesses, one of the reasons for software integration is that joining various stand-alone systems helps to make it easier to replicate processes and gain uniform results.
System & Software Incompatibilities
The integration of computer systems and having them to talk to each other can positively transform a company’s performance. This is also influenced by software integration which ensures seamless data flow between systems. When there is a compatibility between systems and software, it helps streamline processes, boosts speed and accuracy and thereby reducing the disruption caused by having data in different locations. That aside, it has been established that when businesses begin to use multiple set of off-the-shelf software (all-ready-made) for their daily operations, it tends to cause incompatibility of systems and they technically end up not talking each other.
The issue is that off-the-shelf types of software are designed to meet a wide range of needs, hence, all businesses types are largely attracted to using them. Also, they are easy to set-up at relatively low costs, as a result, businesses which don’t have a dedicated IT department are inclined towards using them. While those set of software can work for some businesses, they may not necessarily work for other businesses since processes and structures are not the same in every company. When a company’s computer systems and software are not talking to each other, it leads to other operational glitches. These have been highlighted:
Inefficient data management
It is worthy of note that generating and managing data from multiple systems produces incomplete results. When systems and software do not talk to each other due to the incompatibility, data ended up being stored in different systems and makes it difficult for a company to analyse such data properly for decision-making.
Communication Glitches
The use of multiple set of systems and software leads to a phenomenon where it is difficult for information to be shared across all departments for smooth workflow. That is to say, there is a complicated process involving data entry into multiple systems. For instance, a businessman who imports goods and services into the country may have an order containing billing and shipping information as well as other specifications. To fulfil his order may involve entry into separate accounting, order fulfilment and shipping applications. You will establish that the multiple systems with some being off-the-shelf were simply not designed to work together, hence keystroke errors. When your business faces issues with data flow and you are unable to meet the demands of your customers, the resultant effect is customer churn.
Slow and Inefficient Computer Processes
When your company’s software is running on your computer or a dedicated server, the amount of data that needs to be processed can slow significantly or take a longer time to process especially when data needs to pass through many applications or tools.
Low Productivity and High Training Costs
In a multiple systems and software application environment, employees could be stuck with large amount data entry in each of those applications where necessary. This can lead to burnout and low productivity. Again, multiple software solutions can have multiple user interfaces which means more training programs for employees especially new ones. This can be costly and time-consuming and negatively affect the companies’ profitability.
Maintenance and Upgrading
Upgrading can be a pain when all the systems are on different upgrade cycles and it then occurs that the upgrades are not compatible. When such systems age over time, their maintenance costs go high as well. Coupled with that, their support (back-up) could be limited or unavailable on the market.
Systems and Software Integration
To ensure the investment into workplace Information Technology (IT) systems are working efficiently, business owners must call for systems and software integration solutions. Software and system integration involves the process of linking together various IT systems, services and or software to enable all of them work functionally together. That said, all systems need to communicate with each other smoothly to help teams perform their tasks effectively. Indeed, robust system and software integration invariably improves business processes and efficiency.
After an integration exercise, you will begin to experience an improvement in real-time data accessibility as key information is made available, updated and clearly visible to all users of your systems. Another benefit of system and software integration is that it leads to cost savings as businesses can free up other valuable resources to help them earn more revenue. There again, by integrating systems and software, companies can expand their operations to other places at a faster pace with a unified order and accounting management processes. Companies can up-sell and cross-sell efficiently to existing customers due to improved visibility of their operations.
BERNARD BEMPONG
Bernard is a Chartered Accountant with over 14 years of professional and industry experience in Financial Services Sector and Management Consultancy. He is the Managing Partner of J.S Morlu (Ghana) an international consulting firm providing Accounting, Tax, Auditing, IT Solutions and Business Advisory Services to both private businesses and government.
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