New Odyssey
Back to Glossary

System Integration

Last updated

Definition

System integration is the process of connecting separate software systems, applications and data sources so that they work together as one, sharing data and triggering each other's processes automatically.

Overview

Most organizations run dozens or hundreds of applications, from ERP, CRM and HRIS to industry systems and spreadsheets, each built independently. System integration links them so that data entered once flows wherever it is needed and a step completed in one system starts the next step in another. It can be done with direct API connections, middleware, an integration platform (iPaaS), event streaming, or file transfers, and it covers both the technical connection and the mapping of data between the systems' different structures.

Why It Matters

Without integration, people become the link between systems: re-keying data, reconciling mismatches and chasing updates. That swivel-chair work is slow and error-prone, keeps data out of date and inconsistent across the business, and grows with every new system added.

Types of system integration

  • Point-to-point: each pair of systems is connected directly. It is simple for a few systems but becomes unmanageable as the number grows.
  • Hub-and-spoke: systems connect to a central hub that routes and transforms data between them.
  • Enterprise service bus (ESB): a shared messaging backbone that applications publish to and consume from.
  • iPaaS and API-led integration: cloud integration platforms with pre-built connectors, often organized around reusable APIs.
  • Event-driven integration: systems publish events, such as "order created", that other systems subscribe to and act on in real time.

Common examples

  • CRM to ERP: a closed deal creates the customer, order and invoice in the finance system.
  • HRIS to identity and payroll: a new hire automatically gets accounts, equipment requests and a payroll record.
  • E-commerce to inventory and fulfilment: an online order updates stock and starts shipping.
  • Bank feeds to accounting: transactions flow in for reconciliation.

The system integration process

  • Map the business process and every system it touches.
  • Define the data each system needs, and map fields between them.
  • Choose the integration method and pattern.
  • Build, test with real data, and handle errors and retries.
  • Monitor the integrations in production and maintain them as systems change.

How New Odyssey Helps

New Odyssey connects to 200+ business platforms through unified APIs and adds AI agents on top, so processes that cross systems, such as onboarding, reconciliation and contract intake, run end to end with people handling only the exceptions.

Frequently Asked Questions

What is the difference between system integration and API integration?
API integration is one method of system integration: connecting systems through their APIs. System integration is the broader goal of making systems work together, which can also use middleware, file transfers, databases or events.
What does a system integrator do?
A system integrator is a company or team that designs and builds the connections between an organization's systems, including the data mapping, testing and ongoing support.
What are the main challenges of system integration?
Different data models between systems, poor or missing APIs on older systems, data quality problems, security and access control, and keeping integrations working as each system is upgraded.

Next step

Want to learn more?

Explore how these concepts apply to your enterprise.