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EFaru ERP for Multinational Corporation SAP Business One

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Andrew Karasev

Joined: 03 Aug 2006
Posts: 1505

PostPosted: Sun Jun 10, 2012 4:33 pm    Post subject: EFaru ERP for Multinational Corporation SAP Business One Reply with quote

When you have subsidiaries in foreign countries you have to respect local legislation. As general observation here in the United States regulation is relatively light comparing to what you may expect in South America, Mexico, Russia and Europe. In this small publication we are describing how SAP Business One could be deployed as ERP for multinational firm. It is in the form or FAQ or questions and answers. Before we begin we have to say that we do not pretend to be technical and this paper is probably not for programmers:

Q. We are using Dynamics GP here in the headquarters. We are thinking about deploying it internationally in our offices in Sao Paulo, Moscow and Buenos Aires. Is it feasible solution?
A. The answer depends on the business type. We already described that former Great Plains should fit to investment and brokerage associations as they do not have to report manufacturing, retail or wholesale. In other words - if your foreign transactions are entered to GL. If however you need elements of ERP then you should know that GP is not localized in Brazil and Russia. It is localized in Argentina. We would rather recommend you SAP B1 as it is available in all mentioned countries

Q. When you say ‘localized’ what does it mean?
A. It has two components. The first one is compliance to the country business legislation. And the second one is user interface translation.

Q. Is Business One localized worldwide?
A. Not. But it is localized in major world regions except in Arab countries

Q. Very good as we need to roll out accounting in Brazilian office. Is it ready ‘as is’ or do we need additional components?
A. It is common practice for multinationals to open foreign branch as corporation. If you are following the same pattern then you need SPED (Public Digital Bookkeeping System) ad-on available through ISV channel. Also taxing is complex so you should expect some consulting work to setup tax tables and formulas

Q. If SAP B1 is used in Chinese then how do we do internal audit and control documents entered?
A. It is not a problem as you can switch user interface from Chinese to English directly in settings. Plus we do recommend have universal GL chart of accounts for all the subsidiaries.

Q. Should we purchase licenses separate in each country?
A. We recommend you to acquire licenses in the United States. Consider deploying all the companies on the server hosted in the headquarters and opening application to foreign users via Citrix. Of course in some cases you will need local add-ons as for example in the case of SPED (see above)

Q. We are midmarket company with several branches internationally. We understand that Business One should be able to do the job. However we heard that it is ‘small business ERP’. Does it mean that we have to look for something more upscale?
A. It depends on the volume of transactions. It has Microsoft SQL Server database platform so from this perspective it is powerful. If you plan to have less than two hundred users then it should fit

Q. We heard that there are A and B versions and foreign languages could not be deployed all on the same server
A. This was the issue with versions 2007, 2005 and earlier. However with release of 8.8X all languages are merged and can be installed on the same server

Q. We are acquiring mining facility in Siberia Russian Federation. Do you recommend SAP BO?
A. Yes we do however you should make your homework and understand tax reporting down there. B1 is good for ERP functionality. In order to print Russian Balance for example multinational companies often use the technique to export GL entries to local accounting packages such as 1S Bukhgalteria

Please call us 1-866-304-3265, 1-269-605-4904, We have local presence in Chicagoland, Southern California, Atlanta Georgia, South West Michigan, Houston and Dallas areas of Texas. We serve customers USA and Canada nationwide and internationally via web sessions and phone conferences (Skype is welcomed). We are working on Brazilian ERP consulting market in Sao Paulo since 2004

Andrew Karasev is SAP BO consultant and Great Plains Certified Master, MVP, 1-866-304-3265, 1-269-605-4904. He is also the initiator of eFaru project and founder of Alba Spectrum information space
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