Interoperability and Integrations in the Microsoft Business Central Ecosystem
By Mathieu Galipeau & Jeremy Rotenberg
July 25th | 3 min read
Supply Chain Technology: Interoperability vs Integrations
Interoperability has been a key word in the world of technology, especially as it relates to the systems that are responsible for the efficient and reliable operation of businesses. However, the growing popularity of the term has also led to growing confusion about what supply chain technology interoperability really means and, more importantly, how it differs from integration. In the Microsoft ecosystem, for example, interoperability and integration are everywhere – but it’s not always clear which is which. In this post, we’re going to unpack what interoperability is, how it differs from integrations, and how systems like Microsoft Business Central leverage both for optimal business performance.
Supply Chain Technology Integration
The easiest way to understand integrations is to think about two people who speak different languages trying to communicate with each other. How do you effectively transmit information to the other person? In today’s world, you could pull out your phone and use a translator to input your information, and have it spit out a copy of that information in the other person’s language. Voila! But how does that apply to computer systems?
Let’s say you’re working in Business Central, and find yourself in need of data from another system like an Warehouse Management System (WMS). These are two distinct systems, with databases set up for their own specific purposes. You could go into your WMS and copy over the data one by one into Business Central, but that would take forever. To save time (and your sanity), the best option is to use what’s known as middleware. A middleware could be an Application Programming Interface (API) or an Electronic Data Interchange (EDI) that operates equivalent to a translator – taking information in one system and transforming it into something that is readable and editable for another. In this case, Business Central can be connected to the WMS via API, making it possible to move data back and forth between the two systems.
Middleware solutions like APIs and EDIs act as bridges, allowing otherwise incompatible systems to share crucial data. While incredibly useful, integrations do have potential drawbacks. They can introduce complexities, as you need to manage and maintain these connections. There’s also the risk of data mapping errors if the integration isn’t meticulously configured. For example, you could run into a problem where your WMS vendor pushes an update to the system that breaks the connection. In this instance, not only is your integration broken, but you could be stuck waiting for an update to the ERP to re-establish it.
Supply Chain Technology Interoperability
Let’s now take a look at interoperability. This differs from integrations in that two interoperable systems do not require the use of middleware to transfer data between them. That’s because interoperable systems speak the same language, and can function natively within each other.
This is important for a couple of key reasons, the first being ease of use. With an interoperable system, you don’t have to worry about incorrectly mapped data or additional complications brought about by middleware. Interoperability means it just works. Another is that interoperable systems are much better at preserving the context in which data exists. This includes things like who collected the data, what the data is about, when it was collected, and much more contextual information that helps users understand not just what the data is, but how it exists within your broader information system. This is hugely important when it comes to reporting, where maintaining relevant data could be the difference between actionable insights and ineffective reports.
Another key benefit of interoperability is useability. Unlike integrations, you generally don’t have to worry about the connection breaking due to an update on one system, as they are operated and updated concurrently. Additionally, interoperable systems are able to be used within each other seamlessly. An everyday example of this can be seen in Microsoft Teams, where users have the option of natively viewing, editing, and even presenting PowerPoint presentations right in the Teams interface without having to go to the application.
Microsoft’s Power Platform is a prime example of supply chain technology interoperability within the Business Central ecosystem. Power Apps, Power Automate, and Power BI natively interact with Business Central. You can create custom apps to streamline Business Central processes, automate workflows between Business Central and other systems, and build interactive dashboards to visualize Business Central data, all without extensive custom development or middleware.
Interoperability simplifies data exchange, reduces the risk of errors, and preserves the context of your data. It’s about creating a unified environment and single source of truth where different systems work together as a cohesive whole.
Final Thoughts
Choosing between integrations and interoperability isn’t an either/or decision. Both play a vital role in modern business technology. Integrations are indispensable for connecting disparate systems that wouldn’t otherwise communicate. Interoperability, on the other hand, is the gold standard for seamless data flow within a cohesive ecosystem.
In the Microsoft ecosystem, both integrations and interoperability are essential tools for optimizing your business processes. By understanding the nuances of each, you can make informed decisions about how to connect and leverage your various systems.
Keywords: Interoperability, Integrations, Middleware, API (Application Programming Interface), EDI (Electronic Data Interchange), Data Exchange, Business Central, Microsoft Power Platform, Enterprise Technology, Data Management, Business Systems, Software Integration
Learning to leverage integrations and interoperability in the Microsoft ecosystem is essential to unlocking the full potential of the platform. Find out how by reaching out to the LIDD team today.