How To Incorporate Magento ERP System Into a Website?

A typical e-commerce store has several tasks to handle, processes to track and departments that need close coordination to ensure harmonious operation. An offline business needs seamless communication and a process flow to avoid bottlenecks and operational inefficiencies. An online business is also very similar when it comes to implementing process-driven functions that operate like clockwork.


While offline businesses have ensured superior operational capabilities by implementing an ERP system, online businesses are also fast realizing its advantages. Magento’s ERP system is one such solution that is becoming increasingly popular among e-commerce businesses. Many companies that offer Magento ecommerce development services also bear witness to the platform’s advantages when it comes to running a store online.


An enterprise resource planning (ERP) software implements a network of integrated systems and software that streamlines behind-the-scenes processes that include human resources, procurement and critical services. When it comes to e-commerce, an ERP application automates multiple processes, manages sales, customer relations and operational logistics.


A typical lifecycle of an order with a Magento ERP system would be as below:


  • Customer completes a purchase on the e-commerce website or magento mobile app
  • The ERP sends a confirmation to the customer through their preferred mode of communication
  • This email includes shipping details
  • The ERP also shares tracking details with the customer 
  • On the business end, the ERP tracks revenues and profits from each sale while taking into account any discounts that may have been applied at the time of purchase


This entire process makes life easier for business owners. We look at how to add a layer of convenience to Magento website development by including an ERP to it.


1. Identify Critical Integrations

In order to identify the business processes that need to be integrated into the ERP, business owners must understand the data generated by the e-commerce store. This could be information about product inventory, orders and customer segments to name a few. Alternatively, businesses can identify critical processes, to begin with, and continue with integration in subsequent phases with a focus on integrating all capabilities that align with your business goals.


2. Understand Workflow

Before implementing Magento ERP, it is important to understand how Magento manages orders and how to add new products, workflows and data setup. This helps streamline the process and ensures maximum efficacy after the integration of the ERP. Businesses can also use external tools that help create detailed workflows.


3. Define Event Triggers & Ensure Compliance

While finalizing workflows, it is also important to understand realistic timeframes for each business process before the next action is triggered. For instance, the e-commerce store must only be able to accept payments for those products that are in their inventory and can be shipped once the customer has completed the payment to comply with industry laws.


4. Ensure All Information on Your Magento Platform 

While the ERP processes orders in the backend and assigns unique details to each order, the same information must also be captured on your Magento platform so that all communications to customers include these details as well. This enables easy tracking at both the business and consumer end and avoids duplication of the same task.


5. Employ Middleware Solutions

Although multichannel selling improves business prospects, it also comes with its own challenges such as integrating data from various sources and adhering to multiple rules depending on the platforms that they sell on. Middleware solutions help consolidate workflows across platforms by acting as a nerve center for all activities and also provide extra security.

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