By Ruth Richter • October 13, 2016

Adobe Commerce (Magento)|Quantifying the Cost Savings of Magento Sage 100 Integration

The true cost of Magento Sage 100 integration can only be assessed in light of the cost of failing to integrate the two platforms. Magento, one of the world’s most popular e-commerce cart systems, and Sage 100, one of the most popular enterprise resource planning (ERP) systems are often found within the same company, yet companies fail to integrate them. The resulting costs can be assessed, analyzed, and understood as an important economic factor in the decision to integrate Magento and Sage 100.

The Costs of Separate Systems

A busy e-commerce store takes in dozens, if not hundreds, of orders per hour. Systems that aren’t synchronized with Sage 100 may require that manual print outs of these orders be sent (or emailed) to a data entry clerk who works with Sage 100. Then, the same orders must be manually keyed into Sage 100.

Consider this situation when you think about Magento Sage 100 integration. Not only does this repetitive data entry make no sense in today’s technology-enhanced world, but it is a system ripe for error. Manual data entry is prone to mistakes no matter how good the typist. This can lead to mistakes in the orders, which in turn add costs to your shipping and receiving system. They can also increase your return rate, because mistakes in orders must be rectified.

Customers are also impacted by mistakes. Too many mistakes and they will take their business elsewhere. Order errors may erode customer confidence over time.

Manual entry also adds time to order processing systems. The added time delays orders. During busy seasons, manual entry can significantly impact shipment times to the point where customers choose to go elsewhere. If your competitors offer faster shipping with fewer mistakes because they have an integrated system, you are losing your competitive advantage by not integrating.

Quantifying Costs of Separate Systems

According to Internet Retailing, only 16% of brands fill their omnichannel sales profitably. The cost of handling returns is one of the major costs that impacts profits. To reduce returns, reduce order processing errors. That means Magento Sage 100 integrations so that manual data entry is replaced by seamless data transfer.

If you’d like to calculate the exact cost of separate systems, consider the following questions:

  • How much time do you spend manually synchronizing data between Magento and Sage 100?
  • What is your current return rate? How does it compare to your industry standard?
  • How many returns are due to “wrong item shipped” rather than other factors?
  • How many clerks do you have completing manual data entry tasks?
  • How many hours does it take to enter data?
  • What does this cost your company?
  • When you need to run reports, how much time is spent synchronizing the data between the systems?

The numbers you affix to each of these questions will lead you to a rough estimate of the amount you could potentially save by a Magento Sage 100 integration.

IN-SYNCH, an Application to Seamless Integration of Sage 100 with Shopping Carts

Magento Sage 100 integration is just one of many shopping cart integrations that IN-SYNCH can handle. ROI Consulting frequently works with companies with multiple shopping carts to integrate in a complex system that require careful handling. We have successfully completed integration for companies in many industries for the past 20 years. We can help you integrate just about any common shopping cart with Sage 100 (Sage MAS 90 and MAS 200 ERP.)

ROI Consulting welcomes your call and the opportunity to help you solve your integration challenges. Contact ROI Consulting online or call us at 402-934-2223 ext. 1.