What is Enterprise Application Integration (EAI) & How it Works?
Managing different aspects of business workflows at the enterprise level often requires using multiple applications, such as ERP or CRM. When you store your data across disparate systems, it results in information fragmentation that impacts operations and decision-making. To resolve this issue, you can integrate all the applications used in your enterprise to create a centralized data system. Such an arrangement facilitates better data accessibility and business insights.
Here, you will learn in detail what enterprise application integration is and how it works. You can leverage this knowledge to streamline the data-driven tasks in your organization and enhance operational efficiency.
What Is Enterprise Application Integration (EAI)?
Enterprise application integration is a process of connecting different applications, databases, and other data systems used across different departments in your enterprise. The process simplifies data movement between these applications and also allows you to consolidate dispersed data in a centralized repository for further analysis.
Every enterprise comprises several departments, each using specific applications to perform assigned tasks. Common applications include CRM, payroll processing, ERP, and marketing automation software.
The use of various applications can lead to data silos, affecting the overall workflow of your organization. Enterprise application integration can help you resolve this issue by supporting data synchronization across different departments.
Benefits of Application Integration For Enterprises
You can leverage enterprise application integration to enhance the working of your business as it offers the following benefits:
Improves Data Quality
The unified data obtained through EAI is more consistent, and you can transform it further to create a high-quality enterprise dataset. Such datasets are easier to analyze and enable well-informed decision-making to drive business growth.
Streamlines Enterprise Operations
Enterprise integration application helps you to remove data silos by creating a centralized repository of enterprise data. Various departments can then access and use this data to coordinate with other departments and streamline the entire workflow.
Enhances Customer Experience
EAI helps unify customer, marketing, and sales data. You can utilize this integrated data to develop robust marketing strategies to increase sales. This data also allows you to identify customer preferences and create more personalized and user-friendly products. You can further use the centralized data to resolve customer queries effectively.
Reduces Cost
By integrating enterprise applications, you can save the cost of maintaining data across multiple applications. The insights obtained through data integration can also help you reduce expenditure on unnecessary resources. For example, by unifying inventory and sales data, you can prevent overstocking or understocking of products.
Challenges With Integrating Enterprise Applications
Some of the challenges that you may encounter while integrating enterprise applications are as follows:
Scalability
The data system obtained after enterprise application integration consists of large-scale data. As your business expands, this system may be unable to accommodate increased data volumes, resulting in inefficient performance.
Security Issues
Integrating various applications or databases can expose your data to breaches, compromising security. You can avoid this risk by implementing robust security mechanisms, such as RBAC, encryption, and regulatory frameworks like GDPR.
Complexity
Different databases have varied architectures and allow you to store data in multiple formats. This makes integrating data across diverse applications a complex task.
Integration of Legacy Systems
If your enterprise uses legacy data systems, you may find it difficult to integrate them with modern third-party software products and APIs. As a result, achieving effective communication between applications becomes challenging.
How Enterprise Application Integration Works?
To implement EAI, first identify all the applications, flat files, databases, and data warehouses across different departments in your enterprise. Then, decide the destination data system where you want to consolidate data from the source systems.
Start the EAI process by extracting the data from all the applications. You may temporarily store the data in a staging system like AWS S3 or Google Cloud Storage. Next, cleanse and transform the data that is not in a format compatible with the destination system. After transformation, you can route the data using an integration layer that employs pre-defined rules and workflows to determine the data’s destination. Finally, load the processed data into the desired destination system.
Types Of Enterprise Application Integration Patterns
Most modern-day EAI tools include a centralized hub, which is a framework that allows you to connect applications and databases to a single location.
However, there are various other types of enterprise application integration models, as discussed below:
P2P Integration
Point-to-point or P2P integration is the earliest model form in which data is directly transferred between two endpoints. It involves extracting data from source applications using a programming language, manipulating it, and sending it to the target data system.
The P2P model is suitable if your enterprise uses a small number of applications, but it can become complex with multiple applications.
Hub & Spoke
In the hub and spoke model, you must connect all the enterprise applications to a centralized hub. You can then perform transformations on the data in the hub and send it to the destination system.
The hub and spoke model can help you manage a large number of enterprise applications better than P2P. However, any issues in the hub can disrupt the functioning of the entire integrated system.
ESB
Enterprise Service Bus (ESB) is a software architecture that allows multiple enterprise applications to communicate with each other by transferring data to a central hub. It is a variation of the hub and spoke model and consists of three components:
- Endpoints are like entry or exit points, each with unique addresses or identifiers.
- Adapters help you translate messages between various formats and protocols. You can also use adapters for tasks like message logging, monitoring, and error handling.
- Buses are the main component for message exchange between the endpoints based on specific rules or policies.
After receiving a message at an endpoint, the ESB assists in finding the address of the destination endpoint through a set of policies. Then, the bus enables you to process the message and send it to the destination endpoint.
Middleware
Middleware platforms act like intermediary layers between applications and the target database system. These tools facilitate the integration of even those applications that cannot be easily connected.
Middleware platforms allow you to use ESB, hub and spoke, message-oriented middleware (MOM), or application server middleware for the EAI process. The simple versions of middleware platforms help you connect two or three systems. On the contrary, complex cloud-based tools can assist in integrating multiple applications.
Microservices
Using microservice architecture, you can break down your enterprise applications into small, independent services. Each service is assigned a specific task, and you can deploy and scale it independently.
For application integration, you can take the assistance of the ESB or P2P models. Then, you can route it to the destination database using APIs.
Things to Consider Before Implementing Enterprise Application Integration
If you’re planning to implement enterprise application integration, here are some essential things to consider as best practices:
Clear Business Objectives
You must clearly define the business objectives for EAI. This can include enhancing data analysis capabilities, improving data sharing, or streamlining organizational workflows. Pre-defined goals help in the successful implementation and utilization of EAI.
Data Mapping Requirements
Data mapping is the process of matching data fields across different systems to ensure consistency. For example, you can map the customer ID in the CRM system with the customer number in the ERP system to enhance service delivery.
Data Security & Compliance
Implement robust security measures, including end-to-end encryption, RBAC, and user authentication mechanisms. If your business operates internationally, ensure compliance with data regulatory frameworks like GDPR or HIPAA. Regular audits can help identify and resolve any potential cybersecurity threats.
Monitoring and Optimization
After connecting applications, you must periodically monitor the performance of the integrated system. Metrics such as response time, error rate, or throughput help you to understand the system’s shortcomings. You can use this information to rectify the bottlenecks and optimize system performance.
Training Your Workforce
It is essential to train your workforce to successfully implement and manage enterprise application integration. First, identify your employees' current skill levels and develop a tailored training program. Then, hire an expert trainer and provide real-life use cases for hands-on experience to equip your team with the necessary skills.
Enterprise Application Integration Use Case Examples
Enterprise application integration enables you to collaborate with different teams to conduct various business operations. Some of the purposes for which you can use EAI are:
Enterprise Resource Planning
You can integrate Enterprise Resource Planning Systems (ERPs) like SAP with other business-critical applications like Human Resource Information Systems (HRIS) or sales management systems. This helps you automate processes like payment processing, invoicing, and sales lead tracking.
Supply Chain Management
With EAI, you can integrate inventory management systems, IoT sensors, and supply chain logistics. It allows you to track inventory levels, shipments, and production schedules in real-time and respond to demand fluctuations quickly. This reduces operational costs, prevents stockouts, and enhances overall efficiency.
Healthcare Management
Hospitals can use EAI to integrate electronic health records, appointment scheduling systems, and billing platforms to provide better patient care. This enables healthcare providers to send patient information across departments, facilitate faster diagnosis, and reduce billing errors.
Tools to Help With Enterprise Application Integration
Some of the tools that you can use for enterprise application integration are as follows:
Airbyte
Airbyte is a data movement platform that helps you move data from various sources to a centralized location. It offers an extensive library of 550+ pre-built connectors. You can use these connectors to extract data from any software application and transfer it to a desired destination system.
In the EAI process, Airbyte can help you transfer data from several enterprise applications to a suitable target data system. The integrated data can be utilized for different enterprise operations such as sales optimization, inventory management, or personalized marketing.
Some key features of Airbyte are as follows:
- Flexibility to Develop Custom Connectors: Airbyte offers multiple options for building custom connectors. These include Connector Builder, Low Code Connector Development Kit (CDK), Python CDK, and Java CDK.
- AI-powered Connector Builder: While using Airbyte Connector Builder, you can utilize AI assistant to speed up the custom connector creation process. The AI assistant pre-fills the configuration fields and offers intelligent suggestions to fine-tune the process.
- Streamline GenAI Workflows: Airbyte allows you to directly load semi-structured and unstructured data into vector store destinations such as Pinecone, Milvus, or Weaviate. You can utilize this feature to manage GenAI workflows effectively in your enterprise.
Azure Integration Services
Azure Integration Services is a popular EAI solution developed by Microsoft. It consists of 600+ connectors, allowing you to securely connect applications and data systems based on cloud, on-premise, or at the edge. Azure Integration Services also includes tools like Logic App, Functions, and Data Factory, enabling you to manage business processes effectively.
The prominent features of Azure Integration Services are:
- Event Grid: The Event Grid feature helps manage the routing of events from source applications to their destinations.
- Service Bus: You can utilize the Service Bus to connect cloud or on-premise applications with messaging workflows.
Boomi
Boomi is an Integration Platform-as-a-Service (iPaaS) that offers a rich library of connectors, allowing you to integrate data across various enterprise applications. This self-updating platform automatically synchronizes changes into your integration process, helping you to focus on other business aspects.
The key features of Boomi are:
- Hybrid Deployment: You can deploy Boomi on the cloud, on-premise, or at the edge for enterprise application integration.
- 99.99% Uptime: The platform offers a detailed SLA, which states 99.99% service availability through on-premise sync in the event of an internet breakdown.
Workato
Workato is a workflow automation and integration platform that simplifies enterprise application integration through a low-code environment. It utilizes ‘recipes,’ a set of workflows that facilitates the connection of your business applications. These recipes play a prominent role in enterprise application integration by automating the entire process.
Some important features of Workato are:
- Bot Customization: Workato enables you to customize your own bot recipes and name them according to their functionality, such as HRBot.
- Robust Versioning: You can auto-track changes and audit your workflows while using Workato. The platform also enables you to roll back to previous versions to undo any unwanted changes or upgrade to a newer version without data loss.
Conclusion
Enterprise application integration is crucial for your business if you want to perform organized data-related operations. This blog explains what is enterprise application integration comprehensively, including how it works and the different types of EAI models. Some benefits of integrating your enterprise applications include centralized data analytics and enhanced customer support.
Despite the benefits, EAI is also associated with challenges related to scalability, security, and complexity. For effective EAI, you can use tools like Airbyte to unify your business data for effective analytics, sales, marketing, and customer support.