Business Integration with XML

Business processes are increasingly characterized by structures operating between companies. Companies no longer act in isolation: instead, they are integrated into geographically distributed production networks, pursuing the production process in cooperation with other firms. This means that exchanging data quickly and securely between applications and systems is an increasingly important requirement.

XML acts as a uniform standard for exchanging business data, through which heterogeneous applications can communicate with one another over uniform interfaces and in a language, which everyone involved, can understand. With XML, simple and complex structures can be presented at any data level and for any category of data.

Non-SAP applications can now be used by SAP customers owing to XML compliance. For example, using a company’s services in the cyber marketspace allows the customer data to be received and directly stored on vendor system as both are using data formatted in XML. These third-party systems using the XML standard data format are increasing rapidly. A customer using SAP can use a range of add-on products and services to their existing applications.

XML integration is also easier than using proprietary communication formats like SAP's BAPIs and RFCs. This has found widespread customer acceptance as it reduces integration and maintenance cost of interface integration during the implementation of non-SAP systems. Furthermore, customers can now exchange data with XML standard by using the Internet infrastructure through a much-more user-friendly Web Browser.

An XML environment of data exchange over the Internet via security protocols such as HTTP, HTTPS and FTP fully supports collaborative business scenarios, increasingly common in an integrated world. XML formatting and message handling with the help of the SAP Business Connector allows customers to use an industry-wide accepted format for data exchange between the SAP system and partner systems including historically grown proprietary systems.

The ability to integrate and analyze business data across applications, structured and unstructured information, and heterogeneous systems extends the traditional business environment and provides users with a complete view of the business.

6.3.1 Incorporating XML Standards

Various XML standards are supported by SAP. It presents data according to an SAP specification either in IDoc-XML or BAPI-XML, the SAP XML extensions for IDocs and BAPIs. It uses preprepared representations of the SAP interfaces to XML Commerce Business Language (xCBL) messages to facilitate communication with the MarketSet marketplaces.

Messages are stored in a generic envelope. This envelope contains metadata that controls, among other things, the routing of the messages. SAP supports two different standards for these envelopes - Microsoft BizTalk and a format similar to Simple Object Access Protocol (SOAP). Packaging SAP BAPIs in a standard envelope offers several advantages, including direct processing of messages by external applications and a uniform system of error handling.

6.3.2 SAP’s Internet Business Framework

SAP's Internet Business Framework (IBF) attempts to address business collaboration issues by enabling integration with Internet technologies at the user, component, and business-process levels:

 User integration is achieved by providing a single point of Web-based access to the workplace (that is, local and company wide systems) and the marketplace (that is, systems across a number of companies).

 Component integration consists of the integration of Internet technologies at the front-end and application-server levels with the aid of HTML, HTTP, and XML messages.

 Business process integration across company boundaries is accomplished through the exchange of transactions between companies based on open Internet standards.

6.3.3 SAP applications with XML

SAP BC provides an add-on XML layer with R/3 functions to ensure compatibility of non-SAP applications with R/3 internal data structures or protocols. SAP Business Connector can help achieve seamless B2B integration between businesses through the integration framework.

For example, there can be a real-time integration between supplier inventories and an enterprise’s SAP system; or a multi-vendor product, price and availability information and a customer’s purchasing application. The SAP proprietary RFC format is converted to XML (or HTML) so that no SAP software is needed on the other end of the communication line and developing applications does not require SAP R/3 knowledge. SAP BC has built in support for SAP's specification of IDoc-XML and RFC-XML. Whenever the user deal with messages conforming to these standards, integration is supported out of the box. For cases where other XML formats are required the user can create maps with a graphical tool or insert the user own mapping logic.

XML Based communication over the Internet is achieved through SAP's Business Connector

Figure 1

6.3.4 Factors leading to emergence of XML-enabled SAP solutions 6.3.4.1 Changing Business Standards and their adoption

Mapping of SAP business documents and the XML-based business documents can be easily done with SAP Business Connector. The flexible architecture of the SAP Business Connector makes it easy to add specific schemas and interfaces To comply with business documents standards, the Business Connector provides for automated generation of server and client side codes thus solving the interconnectivity problem by enabling uniform transactions among customers.

A business model based on these standards allows companies to move towards becoming make-to-order businesses replete with all the marketing, sales, distribution, manufacturing and other logistic-driven operational cost savings.

6.3.4.2 Internet Security Standards

The effectiveness of E-commerce is premised on a secure exchange of information. The SAP business connector provides security essential to an online business transaction. Business partners can be authenticated and business documents can be securely exchanged. The SAP Business Connector supports the well-established standard encryption technology Secure Socket Layer (SSL) for secure document exchange. Digital signature will ensure authentication of crucial data.

SAP communication is achieved through Idocs, BAPIs, and RFCs.

These documents must be made compliant with Internet. This conversion is achieved using the Business Connector. Business Connector converts SAP documents into XML so that they can be exchanged using Internet protocols.