What is an API, and how necessary is it for business?

API stands for Application Programming Interface. It is like an intermediary that helps two computer programs communicate with each other without needing to know each other’s internal details — comparable to a menu in a restaurant, where the customer (one program) orders food (a command) through the menu, and the kitchen (another program) carries out that command.

Why is an API important for business?

• Increase flexibility and expand the business: an API helps a business connect easily to various systems, whether internal systems or external systems such as a payment system, a logistics system, or a social-media system, enabling the business to develop new products and services faster and reach more customers.

• Create collaboration: APIs open opportunities for various businesses to collaborate, by sharing data and services through APIs, giving rise to new innovations and building a strong business ecosystem.

• Improve the customer experience: an API helps a business create a smoother, more personalised experience for customers. For example, using the Google Maps API to show the location of branches, or using the Facebook API so customers can log in quickly.

• Increase work efficiency: an API helps reduce the time and cost of developing systems, because you do not need to build an entire new system but can use an existing API right away — for example, connecting an ERP system to factory machinery to send data in real time.

• Generate revenue: a business can generate revenue from providing API services to other businesses, or develop new products that take advantage of APIs.

An API is a very important technology for businesses in the digital era. It helps a business adapt quickly to market changes and build a competitive advantage, by helping to increase flexibility in the business, create collaboration outside the organisation, improve the customer’s working experience to increase work efficiency, and also serve as a way to generate more revenue for the business.

APIs in the PlanetOne ERP system

The PlanetOne ERP system is a fully integrated enterprise resource management system. In addition, it has up to 18 functional modules, including an API module that can connect the ERP system to machinery. It also connects data across the whole organisation into centralised data, enhancing work efficiency even further.