Load balancing is a key feature for ensuring SMP scalability. XI makes use of load balancing by using multiple Web AS instances. In XI, load balancing is especially useful in inbound request processing. You can use outbound load balancing if the receiver application or component is prepared for and can benefit from load balancing (for example, a receiving IDoc or RFC application is addressed using its message server to distribute the load).
we use load balancing for better performance . if you select the load balancing option in RFC adapter it asks what other system details for RFC data for better perfomance as number calls increase. when the no. of calls increase it distrubes among these system to load balance it.
well we use load balancing when the sender RFC adapter is using the messaging system.
For more details on load balancing please refer this
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