Nowadays it’s difficult to expand your company when their goals are only directed to a single domestic market. Many cases have shown globally conducted businesses expanding rapidly compared to those that only focus on the local markets. Why wouldn’t a company seek to grow their company and explore the opportunity in marketing their services globally, when the internet has evolved to the point that the world has turned into a single entity?
Can the system you’re using take the load to bring about global expansion for your business? Your Multi-Latin business needs an ERP that can support what is needed for expansion, not only have the capabilities of managing multiple languages and currencies. Growth for business always means having to deal with continuous adjustments, updates, requirements…etc. International expansion is identified by having operational offices that create transactions, think about…financial reconciliation, regional revenue recognition compliance and localized financial report generation, foreign exchange management, local product support and service team establishment and management, and more.
Regulatory changes usually cause many companies to deter global growth, as well as possible risks with compliance and even potential financial penalties or system-based tax audits. It the same case everywhere int he worlds. Tax requirements continue to change often, governments regularly adjust/update tax rates and laws in an effort to balance their budgets and have control.
Have you thought about the hidden costs in compliance responsibility for your company? A company can face hefty penalties and interest charges if tax management processes and generation of improper financial reports were mismanaged.
What ERP should your multinational multi-latin company use?
Selecting an ERP system from SAP or Oracle wouldn’t be so much of a bad option at this point, despite their interesting capabilities. However, if your company happens to choose entry-level local ERP solutions such as Intuit QuickBooks, Xero, or some local Sage ERP product would not be a helpful choice. WHY? Local systems can only usually support only a few languages. Think of how it would deal with global capabilities. Instead of growing your company with one of these ERPs, the ERP solution itself will be outgrown.
What is a better choice? Tell us your thoughts.