Credit Management January February 2020
The CICM magazine for consumer and commercial credit professionals
The CICM magazine for consumer and commercial credit professionals
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TECHNOLOGY IN ACTION<br />
REFLECTED<br />
GLORY<br />
APIs can help mirror vital credit<br />
information across multiple platforms.<br />
AUTHOR – John Patounas<br />
THE Application Programming<br />
Interface, more commonly<br />
known as an API, has continued<br />
to revolutionise the means with<br />
which companies and individuals<br />
interact with data. Although not<br />
new, they continue to make our lives easier,<br />
especially when it comes to maximising ‘the<br />
cloud’.<br />
One of the most significant features of APIs<br />
is the fact that their functionalities are virtually<br />
unlimited. Recently there has been a focus on<br />
data-driven companies, data-driven decision<br />
making and, overall, big data. In a business<br />
world that is so reliant upon data, the need to<br />
transfer that data has increased, paving the way<br />
for more resilient APIs. This is especially true in<br />
the Customer Relationship <strong>Management</strong> (CRM)<br />
space, and how credit data can now be accessed<br />
and integrated via CRM software.<br />
SIGNIFICANCE OF CRMS<br />
CRMs are very much the norm today, with a<br />
focus on providing the best customer service<br />
with a data-first approach. This strategic<br />
software helps businesses automate storage<br />
organisation of client data, and find potential<br />
customers. CRM databases may contain contact<br />
details, lead sources, consumer interaction<br />
records, purchasing records and plenty more<br />
information that helps specify your types of<br />
customers and, therefore, potential clientele.<br />
There are a myriad of CRMs that businesses<br />
can use, such as Salesforce, HubSpot, Zoho,<br />
to name but a few. If we take Salesforce as an<br />
example, how can an API be used to access<br />
credit data via the Salesforce CRM? More than<br />
this, what is the added value of using a CRM<br />
with additional credit scoring applications and<br />
add-ons?<br />
API is, essentially, the channel of<br />
communication between two systems. It is an<br />
intermediary to serve one system with data<br />
from another system, and with this exchange,<br />
all functionality is mirrored to the receiving<br />
system. For example, company X has an API<br />
and channels the communication with their<br />
system to a CRM such as Salesforce. All the<br />
functionalities that company X’s API holds will<br />
be embedded into the Salesforce software.<br />
Therefore, if company X is a business<br />
intelligence company with significant amounts<br />
of data on companies and individuals, then<br />
their API that can offer all of their services (such<br />
as Know Your Customer (KYC) information,<br />
company profiles and credit reports) will<br />
be mirrored onto the receiving software.<br />
In our example, Salesforce would gain new<br />
functionalities due to the API data exchange.<br />
USER PERSPECTIVE<br />
Continuing with our credit data example, how<br />
can the everyday user access company X’s API<br />
functionalities? Luckily, the everyday user<br />
doesn’t have to deal with all the technicalities<br />
of the API and the exchange from one system<br />
to another. These APIs are tidied up by the<br />
CRM and configured in a way where users<br />
will only have to install a plugin or an app that<br />
automatically connects users to the original<br />
destination of the API exchange, without the<br />
need to worry about any major technicalities<br />
or the transition of APIs. It’s a relatively simple<br />
process, like downloading an app, though<br />
some minor customisation may be required<br />
depending on the user.<br />
There is no doubt that APIs and CRMs are the<br />
present and future of conducting efficient and<br />
effective business, so what are the benefits of<br />
integrating credit data to a CRM via API?<br />
1) One-Stop Shop:<br />
It doesn’t matter what your company does or<br />
what the CRM can do, you will gain complete<br />
access to another company’s functionality via<br />
their API. In the case of our business<br />
intelligence company, company X, you will<br />
be able to perform KYC and credit checks as<br />
if you were using their system or their website<br />
directly, but it would be through a CRM, such<br />
as Salesforce. The benefit of this is that you<br />
can have access to many different APIs from<br />
other companies (for example credit<br />
reference agencies) on the same CRM, to<br />
have all your data and access to it, in one<br />
place. Additionally, with multiple user<br />
access, you can have many people in different<br />
global locations simultaneously accessing all<br />
of this data and all of the functions offered<br />
via API on the CRM.<br />
Advancing the credit profession / www.cicm.com / <strong>January</strong>/<strong>February</strong> <strong>2020</strong> / PAGE 18
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