SaaS Integration: Definition, Benefits, Process, Methods, Best Practices, Use Cases & Much More!

Almost every person—whether an entrepreneur, a manager, or an employee—comes to the realization, at some time, that there is no business in modern days without SaaS applications. The entire economy depends upon the efficient use of these cloud-based services because they facilitate the ease of work in day-to-day life. In this context, SaaS integration assumes importance for a higher level of efficiency. 

If you have recently learned about integrating SaaS applications, this article will revolutionize the way you handle your business. Read the information below and get your workflow streamlined. 

What is SaaS Integration? 

SaaS integration software is nothing but a way to establish connectivity between two or more service-as-a-software products or applications. When one cloud-based platform is integrated into another for simplicity, it is called SaaS integration. This is one of the most common ways to streamline workflow.

Today’s corporate world heavily relies on easily accessible services over the internet, for example, CRM, ERP, HRIS, 3D printing software, etc. And that is where managing all of these tools separately for maximum productivity comes as a major challenge. Thus, to solve this problem, the integration approach is adopted, in which all the services are integrated into one dashboard. This cuts back on extra labor and allows for a hassle-free, high-efficiency, and unified experience. 

Most importantly, companies seek the integration of ERP and CRM. These are the two crucial parts of modern-day corporate workflow. However, most newly established businesses don’t know the difference between ERP vs CRM very well, missing out on opportunities to streamline operations and boost outcomes.  

What are the Benefits of SaaS Integration? 

When businesses integrate SaaS products, it creates a unified interface from which the user can get access to all the essential day-to-day tools in one place. This facility offers multiple benefits, such as higher efficiency, improved data quality, enhanced transparency, a unified database, better scalability, enhanced user experience, and maximum compliance.   

1. Higher efficiency: Inefficiencies resulting from the repeated tasks and separate use of applications are resolved. It saves time, cost, labor, and all the limited resources to a possible maximum. 

2. Improved data quality: The unified screen becomes the single source of truth, as all users access the same tool to manage the varied data from their respective departments. It removes data inconsistency and promotes quality, leading to fewer human errors. That is the second advantage of SaaS application integration.

3. Enhanced transparency: Everyone uses the same platform to complete their part of the work and feed the crucial data into the system. So, managers can access the truth or facts instantly from a single dashboard. As a result, it helps business owners or top-level corporate authorities to better implement the rule of 40. 

4. Unified database: The integration promotes a unified database, leading to better analytics and holistic insights for quick and workable decisions.

5. Better scalability: All the services can be easily scaled up or down as per the fluctuating needs of the users without individual management. 

6. Enhanced user experience: These advantages ultimately improve the end-user experience, as labor is reduced and the output doesn’t just remain the same but also increases. 

7. Maximum compliance: Finally, SaaS application integration helps in compliance with the relevant legal provisions. Through controlled data management, it becomes easy to meet all the regulatory requirements and operate in a highly transparent manner. 

Note: Summarizing in one word, the SaaS integration software helps achieve a revolutionary capacity within a company’s IT ecosystem that is known or termed as interoperability.

How Does SaaS Integration Work? 

The integration software as a service works with the help of application programming interfaces, which are also called APIs for short. 

To learn how to integrate lending services into a SaaS product, you also need to learn about using the same protocols. These APIs, when properly installed, facilitate the exchange of crucial data or information from one software to another without any disruptions.  

Looking into it at a deeper level, an API is a set of rules and protocols. It enables SaaS programs to establish secure connections with each other and exchange functionality and databases for a unified user experience and holistic analytics.

After you integrate SaaS, data is usually exchanged in all the standard file formats, including XML and JSON. In this context, if your internet connection isn’t stable, you might have to face lagging issues. But that challenge is manageable with the replacement of a stable connection. 

If you want to learn about how to integrate the SaaS applications that you use, connect with a reliable service provider nearby. Some leading names in the industry are Zingmatrix, Workato, Boomi, MulSoft, Zapier, and Celigo. 

What are the Different Methods of SaaS Integration? 

The SaaS application integration can be mainly achieved through four commonly used deployment methods, namely native or custom integration, Integration Platform as a Service (or iPaaS), Embedded iPaaS (or EiPaaS), and Robotic Process Automation (RPA). 

1. Native or Custom Integration   

A custom SaaS integration is an in-house solution to unifying applications without the involvement of any third-party service provider. This option is often considered by companies where standard integration solutions in the market don’t offer the features required to meet their unique needs or wants. 

Furthermore, this approach offers the highest flexibility, as the changes can be implemented whenever required with the help of the in-house developers. Typically, large and well-performing companies use this method for the integration software as a service.

2. Integration Platform as a Service (or iPaaS)

Integration platform as a service, also called iPaaS, is a cloud-based solution for integrating various applications or SaaS programs. However, not just between SaaS tools, iPaaS is also capable of establishing connections between accessible-over-the-internet and on-premises systems. 

That offers a unique blend of interoperability between the custom and third-party software applications. This approach is the opposite of custom integration, as discussed above. Furthermore, iPaaS is a more economical type of integration software as a service than custom integration. Thus, if you ask how to integrate lending services into a SaaS product, consider iPaaS. 

3. Embedded iPaaS (or EiPaaS) 

It is a B2B software integration approach under the iPaaS category, as discussed above. This third-party integration service is only facilitated between businesses without the involvement of end users. 

In simple terms, with the help of EiPaaS, the end users don’t need to rely on a third-party platform to achieve SaaS integration. Rather, this technology allows SaaS companies, in the first place, to pre-build their products with the ability to integrate with other same-level services and offer a unified experience. 

4. Robotic Process Automation (RPA) 

In the context of SaaS integration, Robotic Process Automation (RPA) also has a place. This technology uses software bots and facilitates the automation of repetitive tasks, which would otherwise be performed by humans. 

RPA tools are typically the best for integrating legacy programs with modern SaaS applications. It is because RPA minimizes the risk of human errors to a considerable extent, promoting the quality of data along with seamless connectivity. 

Note: Many people find the IaaS, PaaS, and SaaS technologies confusing, especially beginners. In that case, they should first go through the differences between all of these before committing to any service. A guide to IaaS vs PaaS vs SaaS will be enough for a quick overview. 

So, these are the four types of Saas integration software or methods to integrate SaaS applications. 

What are the SaaS Integration Best Practices? 

Making the most out of SaaS integration software requires that the users pay attention to key aspects such as least access, regular audits, managing machine credentials, strong authentication, timely monitoring, and proper documentation.     

1. Least access: If you are using a third-party solution to achieve the cloud-based integration, only provide access to your personal data as much as is essential. Only keep it to the bare minimum, denying all the unnecessary permissions. 

2. Regular audits: Once you have been using the integration for a period, it might happen that your needs change and you no longer need some of the SaaS applications that have been in use previously. So, keep track and remove them from the network through timely checks. 

3. Managing machine credentials: Also, manage and treat the credentials of non-human entities with the same care as those of human beings. It helps prevent cyberattacks even from channels such as API keys, service accounts, and OAuth tokens. 

4. Strong authentication: Don’t forget to protect API credentials with the help of OAuth2.0 with token rotation. It will keep sensitive digital keys safe from unauthorized access and subsequent lockouts with negative consequences.   

5. Timely Monitoring: After integration, constant monitoring is also crucial to rule out cases of data inconsistencies and unauthorized access. So, the system provides accurate analytics for reliable insights. 

6. Proper Documentation: Make a record of everything related to the cloud-based integrated workstation, such as new features added, troubleshooting, any module you need to remove, SaaS applications not in use anymore but lying dormant, etc. 

Many neglect the importance of the final sixth point, but it is crucial. This helps users build a reference or logging system that they can use, at a later point, to look back on specific events, decisions, or additions. 

Where is SaaS Integration Used? (Key Use Cases) 

The most common use cases related to the SaaS integrations are sales & marketing, e-commerce & supply chain management, collaboration & productivity, and human resources & payroll. 

1. Sales & marketing: The best integration in this field is achieved with the confluence of HubSpot and Microsoft Dynamics 365. This duo enables organizations to get the leads easily transferred to Microsoft Dynamics 365 from HubSpot as soon as they are captured. Thus, later the sales team can handle them with follow-up activities.

2. E-commerce & supply chain management: Here, the best capability is achieved by integrating an e-commerce platform, such as Shopify or any other, with an ERP system, mostly NetSuite. This confluence helps make commerce and inventory management a seamless process due to automatic, real-time updates regarding orders, inventory, and customer data. 

3. Collaboration & productivity: Today, collaboration and productivity tools or suites have become an inseparable aspect of the corporate world. Thus, companies choose the best SaaS applications and integrate them for maximum output. Google Workspace, Slack, and Zoom are commonly used solutions for seamless communication.   

4. Human resources & payroll: Workday, Concur, and ADP are typically used to establish connectivity between payroll and expense-related data for a connected overview and insights.   

Note: SaaS application integration must not be ensured between two software applications that superficially contain two or more unique features but essentially perform the same function. It is only to be initiated between two functionally distinct platforms. 

Two functionally distinct platforms mean that one handles an entirely different aspect of work than the other. For example, the HRIS handles human resources, while the CRM concerns itself only with the clients of the company. So, here, the connectivity through integration would only facilitate a higher capability.

But when you integrate two functionally similar cloud-based applications, just because two have certain unique features, it only adds to the clutter and cost. The solution here is to pick a single software that is an all-in-one solution. Or, you can consider building custom-made software if the money isn’t an issue. 

What are the Challenges in SaaS Integration? 

The major challenges faced during or after integrating cloud-based software applications or  Integration SaaS are vendor limitations, development challenges, performance issues, maintenance concerns, a steep learning curve, data security, and incompatibility. 

1. Vendor limitations: You might not agree with the terms and conditions of a service provider if they are asking for too much access. Furthermore, most vendors keep their users locked in, making it harder to switch to another provider after the subscription. 

2. Development challenges: It is not always the case that a software program will suit all your needs perfectly. There might be feature gaps or inefficiencies that you would like to eliminate. But, unless the vendor improves its services, nothing is in your hands. Or, you have to switch to a custom-made solution that would add to the overall costs immensely. 

3. Performance issues: Adding all your cloud-based apps into one platform for the unification of varied data always causes lagging issues. It happens due to the synchronization of the large datasets. Also, now the organization requires a stable connection and compatible hardware for an optimal experience on the cloud.   

4. Maintenance concerns: SaaS software tools go through intensive updates from time to time. Thus, in the case of a custom solution, the integration also has to be up-to-date in accordance with such changes. And that requires an IT team and an additional budget because the process requires technical expertise.   

5. Steep learning curve: If end-users are going to experience the integration of many applications for the first time, it will take them some time to get used to it, and for the productivity to kick in.  

6. Data security: With the involvement of a third-party integration solution, there is always a higher risk of data insecurity, as the connector might have access to all your data from all cloud applications. Thus, always choose a service provider that you can completely rely on, or that doesn’t request unnecessary access. And research thoroughly before subscribing to any provider. 

7. Incompatibility: Two third-party SaaS software might conflict when integrated due to some technical difficulties or built-in inconsistencies. Thus, incompatibility is also a major concern. However, this can be resolved through custom development, but hardly anyone has that many resources to spend. 

How to Choose the Right SaaS Integration Platform: Practical Tips Inspired by Key Insights? 

Finding the best service for integrating multiple SaaS applications isn’t a matter of chance but mindful research and clear objectives in mind. This action requires going through 8 small tasks, such as defining needs, checking ease of use and implementation, assessing scalability, looking for hidden charges, trying before subscribing, watching out for lock-in, reading terms and conditions thoroughly, and searching for 24/7 support.  

1. Define needs: Knowing clearly what features you are exactly looking for saves time while comparing various solutions available in the market. 

2. Check ease of use and implementation: Without user-friendliness, the new setup will impose a steep learning curve on your human resources, lowering productivity in the short term. Furthermore, the solution must also be within your means of deployment, or you won’t be able to implement it at all.   

3. Assess scalability: The solution you pick must be flexible enough to scale the infrastructure up and down as per your needs. If it is poor at handling demand-supply dynamics, you should not consider it. Although there is no perfect tool to accommodate every fluctuation, it doesn’t mean you should ignore serious expansion-related limitations associated with a particular provider. 

4. Look for hidden costs: Never trust a quote at face value. There might be hidden or undisclosed charges involved. Discuss it clearly right from the beginning in a one-on-one meeting, whether virtual or in-person. Being aware of saas pricing model always helps you to choose the best.

5. Try before commitment: Don’t miss out on free trials if available. A free trial helps you learn practically how significant a piece of software can be in your case. Furthermore, because vendors only exhibit the best qualities during the free trial, always commit in the beginning to the shortest term of the available plan, i.e., one month or two months. It will further help learn the true worth of the system. 

6. Watch out for lock-in: Most vendors don’t allow for an easy way to export and import data from their platform to another, causing a situation called lock-in for the user. And the user only has to keep on using the same platform due to the fear of losing essential data. Thus, make sure that doesn’t happen to you after purchasing the subscription. Ensure the provider offers an easy export-import functionality. 

7. Read terms and conditions thoroughly: It allows you to see if the provider might misuse your key information, along with how secure your data is with them. If ever you find ambiguity in the language, connect with the support and get it cleared. General terms are often where vendors avoid their part of the liability in the future. 

8. Search for 24/7 support: Ensuring this helps sort out conflicts and technical difficulties at the very moment they crop up. 

Practical Insights: When it comes to selecting between SaaS integration platforms, always give a higher preference to a solution that a person in your known list has already used or tested! Here, you can leverage their experience to learn about the true strengths and weaknesses of the software rather than just blindly relying on online reviews. 

Final Words 

SaaS Integration is the only way to efficiently use multiple cloud-based applications and get the most done in less time. It solves the problem of switching between more than one dashboard and provides a seamless way to handle regular operational tasks. 

However, not every business needs this capability, but only those with multiple departments and even sub-departments under one roof, i.e., big MNCs or large-scale native companies. That is why, before choosing a service, every enterprise must define its needs and objectives as clearly as possible for an informed decision.    

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