01SAP × Banking API
SAP to Bank API Integration for Automated Payments & Virtual Account-Based Collections
Orthicmind Technologies Private Limited designed an end-to-end SAP-to-Bank API integration solution to automate corporate banking transactions directly from SAP.
SAP ERP / SAP S/4HANA connects with bank APIs through a secure integration layer such as SAP Integration Suite / SAP CPI or Node.js middleware.
Two core business processes
Outgoing accounts payable payments
Vendor and beneficiary payments are sent from SAP to the bank, with payment status and UTR returned into SAP.
Incoming collections via Virtual Account Numbers
Each customer gets a unique virtual account number; bank collection transactions are received and automatically allocated to the right customer in SAP.
Also supports
- Payment Status API
- Bank Statement API
- Virtual Account creation / maintenance APIs
- Bank callback APIs
- Payment reconciliation
- Exception handling
- Transaction monitoring
- Secure API authentication, encryption and digital signatures
Business challenge
Traditional corporate banking relies on manual payment files, internet-banking uploads, manual authorization, downloaded bank statements and manual reconciliation in SAP.
- Manual payment file generation and upload
- Duplicate payment risk
- Delayed payment status visibility
- Manual UTR entry into SAP
- Manual reconciliation between SAP and bank
- Difficulty tracking individual transactions
- Manual customer payment allocation
- Limited real-time visibility
- Multiple bank-specific integration requirements
- Security and encryption requirements for banking APIs
Solution
Orthicmind Technologies implemented an integration architecture in which SAP communicates with the bank through a secure middleware layer that separates the SAP business process from individual bank API implementations, making it easy to support multiple banks.
What the integration layer does
- Data transformation
- API orchestration
- Encryption
- Digital signature / private-key signing
- Authentication
- Bank-specific mapping
- Error handling
- Retry processing
- Logging
- Transaction tracking
- Callback processing
- Reconciliation
Technologies
- SAP S/4HANA
- SAP ERP
- SAP Integration Suite / CPI
- Node.js middleware
- REST APIs
- Encryption & digital signatures
- Virtual Account Numbers (VAN)