Brazil ERP selection: localization notes – Oracle, Microsoft, SAP, Microsiga

Oracle E-Business Suite, Microsoft Dynamics, SAP mySAP or SAP B1 (Business One) – these ERPs are localized for Brazilian market from the standpoint of tax & legislation compliance as well as Portuguese interface and language support.  Such features as multicurrency support are common for all leading ERP brands, however localization dilemma also includes such country specific modules as Payroll & HR, Manufacturing (especially reporting to inspection authorities), State & Municipal taxes

When multinational corporation launches its operations in Brazil or another country MRP selection dilemma is probably one of the first to address.  The realities of international business should be considered from all possible sides and possible problematic points.  Let us give you the questionnaire.

• Centralized Control.  In your headquarters you would like to retain control over ERP data entry, reporting, management resources, etc.  The meaning of control is typically broader, than it looks on the initial spot.  Consider hypothetical situation when you need to make changes in your overseas finance department management team.  To secure your flexibility in this scenario ERP system should be “understandable” (English language support) and its interface should be standard: Microsoft, SAP, Oracle or another recognizable worldwide brand – this will allow you to find qualified manager, who understands and shares your company ideology and is familiar with the MRP interface
• Government Audit.  If you plan to deploy your headquarters ERP, which is not recognized worldwide, then you might expect that this system custom “localization” will not convince local audit authorities.  In some cases you are still OK – if you don’t sell or provide services in Brazil, if you only export your production, for example
• Payroll & HR functionality.  It is known problem of worldwide ERPs – they have to optimize their localization efforts for the specific country.  Payroll legislation might be considered as the second echelon.  In Brazil payroll is definitely better automated by local developed ERP, such as Microsiga. On the other hand, Payroll might be realized in local specialized payroll automation application and financial data could be relatively easy integrated with ERP
• Industry Verticals.  Transportation industry: Bill of Lading, Monthly Agent Settlement report, Hazardous materials transportation documentation – these types of vertical and horizontal functionalities are good candidates for customization.  We are giving you examples of the business logic, where you should be ready to deploy local customization experts
• Local versus Worldwide Brands.  This question requires deep analysis.  Worldwide brand enables you to retain worldwide control over your ERP, while local MRP enables you to comply to local legislation, including such “difficult” areas as payroll, human resources, local taxation, etc.

Please give us a call: Alba Spectrum Group, USA/Canada: 1-866-528-0577, 1-630-961-5918,  help@albaspectrum.com skype: albaspectrum

Andrew Karasev is Chief Technology Officer at Alba Spectrum Technologies ( http://www.albaspectrum.com  http://www.ronix-systems.de ) - Microsoft Business Solutions Great Plains, Navision, Axapta, MS CRM, Oracle Financials and IBM Lotus Domino Partner, serving corporate customers in the following industries: Aerospace & Defense, Medical & Healthcare, Distribution & Logistics, Hospitality, Banking & Finance, Wholesale & Retail, Chemicals, Oil & Gas, Placement & Recruiting, Advertising & Publishing, Textile, Pharmaceutical, Non-Profit, Beverages, Conglomerates, Apparels, Durables, Manufacturing and having locations in multiple states and internationally.

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