What to Know Before ERP Integration

ERP platforms rarely operate in isolation. Whether organizations are modernizing legacy environments or migrating to cloud platforms like Microsoft Dynamics 365 or SAP S/4HANA, the ERP increasingly sits at the center of a broader ecosystem connecting customers, suppliers, logistics providers, and third-party applications such as EDI.

Today, integrations are essential, not optional. However, they are still often treated as secondary technical tasks instead of being considered a core part of ERP design. As a result, integrations may work on a technical level but introduce operational risk, manual workarounds, and long-term constraints.”

This article outlines what organizations should consider before integrating solutions like EDI into their ERP, and how to approach integration in a way that supports scalability without unnecessary complexity.

ERP Integration Is About Operations, Not Just Data

Integration is often described as moving data between systems. In reality, an effective ERP integration is about supporting end-to-end business workflows:

• Orders must flow cleanly from customers through fulfillment and invoicing.
• Inventory updates must remain accurate across systems.
• Financial transactions must align with controls, compliance, and reporting requirements.

When integrations are designed without a clear understanding of ERP processes, they may succeed technically but fail operationally. The result is usually not an immediate system failure, but a slow accumulation of errors, resulting in manual fixes, reconciliations, and escalating support effort.

A successful integration is one the business can operate confidently, especially during peak periods or month-end close.

The Hidden Risk of “Bolt-On” Integrations

A common mistake in ERP projects is treating integrations, particularly EDI, as bolt-ons: they are added late in the project, configured narrowly, and expected to adapt to whatever ERP configuration already exists.

This approach introduces several risks:

• Transactions bypass core ERP controls or approvals
• Exceptions require manual intervention
• Custom logic accumulates without clear ownership
• ERP upgrades become harder and more costly

Over time, these issues turn integrations into fragile dependencies rather than operational enablers. What initially feels like a shortcut often becomes a long-term constraint.

Integrations work best when they are designed as extensions of ERP workflows, not external overlays.

Questions to Answer Before Integrating EDI or Other Systems with Your ERP

Before connecting EDI, or any third-party solution, into an ERP environment, organizations should validate a few fundamentals.

1. Are core ERP processes clearly defined and consistent?
   Integrations reflect what already exists. If processes such as order-to-cash or procure-to-pay are inconsistent, those inconsistencies will carry over into the integrations.
2. Is master data reliable and governed?
   Customer, item, pricing, and partner data must be accurate and aligned across systems. Weak data governance is one of the most common causes of integration issues.
3. What level of automation is actually required?
   Not every transaction needs real-time processing. Over-engineering integrations can increase cost and operational burden without adding value.
4. Who owns integration outcomes?
   Clear accountability between ERP teams, solution partners, and internal stakeholders is essential, especially when issues arise.

Answering these questions early helps prevent integrations from becoming sources of ongoing risk.

Common ERP Integration Challenges We See in Practice

Across ERP projects involving Microsoft Dynamics 365 and SAP Cloud ERP environments, several patterns consistently emerge:

• Legacy ERP customizations that were never designed for integration
• Trading partner variability, with differing transaction and compliance requirements
• Limited testing of exception and edge cases
• Integration design deferred until late in the ERP project timeline

These challenges rarely stay technical. They surface in operations: delayed invoicing, reconciliation issues, customer disputes, and increased reliance on manual intervention.

ERP Integration Best Practices for Scalability and Readiness

Organizations that succeed with ERP integrations tend to follow a few pragmatic principles:

• Engage integration expertise early, alongside ERP functional design
• Ensure integrations reinforce ERP workflows rather than bypass them
• Keep architectures simple enough to operate and support
• Align integration decisions with future ERP upgrades and growth plans

The objective is not to build the most sophisticated integration landscape, but one that is stable, maintainable, and scalable over time.

A Practical, Scalable Approach to ERP Integration

At Talan, ERP integration is approached as part of an overall ERP modernization. Whether working with Microsoft Dynamics 365 or SAP Cloud ERP (S/4HANA), integration design is aligned with ERP processes, data models, and operational realities.

This approach relies on close collaboration with specialized ISV partners like TrueCommerce, ensuring solutions such as EDI integrate cleanly into ERP workflows and support long-term objectives rather than short-term fixes.

Final Thought

ERP integration success is rarely about the technology alone. It depends on preparation, alignment, and making intentional design decisions early.

Organizations that treat integration as a core component of ERP strategy and engage the right expertise from the start are far better positioned to modernize confidently, scale effectively, and avoid unnecessary operational risk.

About the Author

Talan is an international consulting and technology expertise group that accelerates its clients’ transformation through innovation, technology, and data. For over 20 years, Talan has been advising and supporting companies and public institutions in implementing their transformation and innovation projects internationally.

Through their partnership, Talan and TrueCommerce collaborate to support consumer goods and distribution-focused businesses, pairing ERP expertise with EDI and supply chain integration to help customers meet retailer requirements and scale efficiently.