How an API makes your ERP work smarter

Running lean is a reality for most small businesses. 

That’s why every process, every system, and every decision needs to pull its weight. Moving faster, staying efficient, and adapting when things change isn’t optional – it’s how you stay competitive. 

Luckily, automation, AI and AI agents are becoming more accessible, with more than half of Australian businesses already using AI (1), and 39% of SMEs feeling confident using it (2). 

So how do you set your business up to take advantage of these technologies? 

Why ERP connectivity matters – and how APIs unlock the value 

If you want to innovate or scale your business without adding overhead, spending too much time on manual tasks, or waiting too long to get insights, you need systems that are ready to plug into what’s next – and that starts with having Application Programming Interface (API) access.  

But before we delve into APIs, let's have a quick look at ERP systems. These can run in different ways: 

• On-premises servers managed in-house – where your business owns and maintains the infrastructure locally, including updates, backups, and security.
• Public cloud platforms (for example, Amazon AWS or Microsoft Azure) – where the ERP runs in the cloud, but your business is still responsible for setup, configuration, and ongoing system management unless paired with external support.
• Partner-hosted private cloud environments – where your ERP is hosted and fully managed by a specialist provider. This simplifies access, ensures updates and security are handled for you, and removes the need to maintain physical servers on-site. ross-check, and an extra phone call. The change is gradual, which is why it often goes unnoticed.

For those who prefer not to manage their own environments, an ERP like SAP Business One partner-hosted private cloud offers an alternative. A modern ERP system brings your core business processes – finance, inventory, sales, and operations – into one platform, so everyone’s working from the same data. 

Whether you’re on cloud, hybrid or on-premises, what matters most is how your system is connected. That’s what enables access to automation, AI tools, and streamlined workflows. 

What is an API?

Think of your ERP’s API like a telephone line. It connects your system to another, and on both ends, someone is holding a dictionary. They understand the words being passed.

Now, the edge that small businesses get is when they layer AI into this process. What changes is that AI doesn’t just understand the words, it understands the intent. Even if you ask a question the wrong way, or your input is jumbled, AI can still figure out what you mean and respond with the right output.

This kind of smart interaction is possible because the API provides the connection – the telephone line. The tools you connect to could be anything from project management software to other AI-driven platforms. And the interaction is designed to help you make sense of your ERP data.

What you can do with the right ERP

When your ERP offers API access, whether it's running on-premises or in the cloud, it’s easier to integrate with external tools like n8n, Microsoft Copilot, or automation platforms.

These AI tools come in to assist, summarise, automate, and deliver insights, without needing you to manually dig through raw data. They can highlight trends, flag anomalies, or trigger decisions without relying on human interpretation every time.

In some cases, this could save material costs, prevent a business mistake, or uncover a new opportunity in your data.

Choosing a future-ready ERP today means you’re positioned to adopt automation and AI tools as they become available. 

Building a smarter business  

Modern ERP systems are no longer just about record-keeping. With AI, they’re becoming proactive advisors. The road ahead is opening possibilities that have never been seen before – and now is the best time to have active and open conversations about inefficiencies in your business. 

Whether you're in an on-premises, cloud, or hybrid environment, at Key Business Solutions, we help you get the most out of automation and intelligence.  

Ready to explore how SAP Business One can support your goals? Want to unpack how tools like AI, automation, or Microsoft Copilot could help your team work smarter? 

Let’s talk about what’s possible – and what makes sense for your business.

Start a conversation with our team today.