Easing the Swivel Chair Burden With Direct Data Services

For today’s businesses, efficiency is critical, and that includes banking processes. Many midsized to large companies are looking to their financial institutions to provide some of that efficiency by removing a major impediment to smooth accounts payable/accounts receivable processes—the “swivel chair” between their enterprise resource planning (ERP)/accounting system and their online banking platform. 

Companies don’t consider ERP integration a luxury, but more a necessity. In fact, Datos Insights reported in their January 2025 Top Trends in Commercial Banking & Payments that 88% of midsize and large corporate enterprises globally say that running banking operations from their ERP is important or very important.

That’s where Q2 Direct Data Services comes into play. Direct Data Services is a set of solutions focused on enabling better accounting simplicity, automation, and efficiency. Rather than forcing businesses to work in an inconsistent workflow, Direct Data Services brings banking processes directly to the systems where accounting staff already spend their time: their ERP system. It’s more than just automation; it’s about redefining what banking is in the modern world.

This capability was front and center at Q2’s CONNECT 25 customer conference, where two innovative financial institutions, Synovus Bank and Encore Bank, shared how they are using Direct Data Services to help their business customers streamline payments, eliminate manual entries, and embed banking seamlessly into their daily operations. 

The Value of Direct ERP

What is ERP integration? Basically, its a connection between digital banking and ERP/accounting systems so accounting department staff no longer must move back and forth between their ERP system and their online banking platform. 

Chad Parramore, head of commercialization for Synovus Bank, said the strong demand is what drove the bank to aggressively pursue integration.

“Clients want that ease-of-use, that direct connection to their bank. It's also easier for them. I mean, we all know clients' tech resources are very, very scarce out in the marketplace. So our ability to integrate in a very ease-of-use, light type of method for that customer base is very, very important. As we continue to grow into other lines of businesses—upstream, downstream—that direct connection is a key for us for the strategy we've put in place.”

ERP Direct, which is part of Direct Data Services, enables ERP integration via an application programming interface (API).   

For organizations that prefer file–based transfers or already rely on batch processing systems, integration can also be achieved through Secure File Transfer Protocol (SFTP). This method allows files—such as payment instructions, account reports, and reconciliation data—to be exchanged automatically between the bank and the ERP system using encrypted, secure folders. SFTP is especially valuable for businesses with established workflows or those handling large data volumes because it ensures consistent, scheduled data delivery without manual intervention.

With ERP Direct, payments, reporting, and account data don’t have to be re-entered, re-uploaded, or re-verified across disconnected systems. Instead, file processing is streamlined, data flows automatically in both directions, and transactions can be initiated and tracked without leaving the ERP. 

Direct Payables: Automating the Money Movement

One of the most important and impactful applications of Q2 Direct Data Services is Direct Payables, a solution designed to take the friction out of business payments. Traditionally, initiating ACH or wire transfers meant hopping between systems to upload files or confirm transactions. This created a tedious and error-prone process that burns time and inflates costs. 

Direct Payables flips that script. It enables businesses to initiate these payments directly from their ERP system, with no need to log into a separate banking platform. Whether using SFTP batch delivery or real-time API integrations, the payment process becomes fast, secure, and seamless.

Matt Marsh, commercial product manager for Encore Bank, described how Direct Payables has factored into his bank’s strategy for serving title companies. 

 “We wanted to make an easy access point to bring on title company clients,” he said. “We partnered with Qualia to build these integrations directly and, obviously, with Q2 to use their Direct Data Services in tandem with that. There are different components that we needed to build to make life easier for these title companies.”

He added that the top priority for Encore was giving title companies the ability to initiate wires from Qualia and have them flow seamlessly with their online banking platform.

“They want to do everything from their quality of system, including the timing of their wires and everything else,” he said. “And then we also added on other features as we went through this process. We were able to do Direct Payables, deliver BAI2 files for account reconciliation, automatic transferring of positive pay check files—so all this through SFTP in a matter of three months. And we've seen tremendous growth in constantly onboarding these clients in partnership with Q2 and with Qualia.”

Smart Report Delivery: Faster Access, Better Decisions

Data is only as valuable as it is accessible. When financial reporting lags behind operations, businesses are forced to make decisions in the dark. Direct Account Recon, a critical solution within Direct Data Services, solves this by bringing data to the frontlines— securely, consistently, and without friction.

Formatted reports are delivered directly to the client via SFTP folders. This ensures financial data lands exactly where it’s needed, when it’s needed, without relying on someone to manually retrieve or reformat it.

As back-office efficiency becomes a growing priority, Direct Account Recon allows financial institutions to support their commercial customers with quick access to their financial position. It’s a small change with massive ripple effects: cleaner audits, faster budgeting cycles, and more confident leadership across the organization.

Why Integration Is the Future

The impetus for integration is clear: The old way of banking no longer meets the pace of modern business. And as Parramore put it, businesses are looking to their financial institutions to be there for them.

“They're looking for us to be the problem solvers for them when they come to the bank. They say, ‘This is our specific situation. What can you solve for?’ From our team's perspective, understanding the business process ... understanding the differences in those verticals and then how our platform can integrate where and how we can do that. Presenting to them in a very specific way, understanding what resources they have available first and foremost, and then how we fit into their business plan. 

“We all know change management is very, very difficult, both with our clients and also internally. So understanding what that change management impact is and the benefits of this integration and how to accomplish it in a meaningful way, that's the biggest challenge that we see.”

Q2 Direct Data Services helps change the relationship between financial institutions and their commercial customers. Instead of positioning the bank as a separate, external platform, Direct Data Services embeds banking functions directly into the tools businesses already rely on.