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B2B Integration : A Practical Guide to Collaborative E-commerce

B2B Integration : A Practical Guide to Collaborative E-commerce

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Enterprise Application <strong>Integration</strong> (EAI) 109<br />

on e-<strong>commerce</strong> exchanges. For example, companies can develop new<br />

products with their suppliers by sharing each other's data across online<br />

marketplaces. <strong>Collaborative</strong> <strong>commerce</strong> also enables organizations <strong>to</strong><br />

find new partners <strong>to</strong> solve one-off design problems.<br />

Unlike old-style ERP, ERP II will cut across all business processes,<br />

such as cus<strong>to</strong>mer relationship management (CRM), as well as traditional<br />

functions including finance and human resource management. ERP II<br />

will also be applicable <strong>to</strong> all industries, not just the finance, manufacturing<br />

and distribution sec<strong>to</strong>rs that were the original focus of ERP.<br />

ERP integration<br />

Before we start discussion about ERP integration, it is of utmost<br />

importance <strong>to</strong> understand clearly what ERP is not. ERP is not the<br />

nirvana of a company's integration needs — it is just another application<br />

that has <strong>to</strong> be integrated through EAI. Secondly, no ERP will provide<br />

all functionalities <strong>to</strong> support every business aspect of a company —<br />

thus there will always be multiple applications apart from ERP. There<br />

will be a need for an adapter or interface <strong>to</strong> communicate between ERP<br />

and other applications.<br />

ERP integration can be done in multiple ways, such as developing<br />

in-house connec<strong>to</strong>r components, using the APIs provided by the ERP<br />

vendors, configuring third party adapters or using XML-based messaging<br />

for extracting and sharing data between ERP and other internal<br />

applications.<br />

SAP, the most popular ERP package, supports integration in the<br />

following ways:<br />

BAPI-API Oriented <strong>Integration</strong> — SAP R/3 system provides a business<br />

framework consisting of business objects (which represent business<br />

objects such as purchase orders, G/L accounts, employees), which are<br />

made available <strong>to</strong> the external applications through BAPI (Business<br />

Application Programming Interfaces). BAPIs are object-oriented views<br />

of R/3 applications and data. BAPIs enable synchronous integration<br />

between the SAP R/3 system and external systems. Figure 4.6 below<br />

depicts multiple ways in which BAPIs can be invoked through other<br />

programs.

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