By United Language Group
As companies expand to new markets and global regions, the need to streamline business processes and data management becomes essential to increasing efficiency. Acquiring smaller companies or consolidating operations across different countries requires a solution that enables a higher-level overview of business proceedings and management. This is where global SAP implementation comes into play.
While SAP (Systems, Applications and Products) is most commonly known as a business software company, it has also become synonymous with ERP (Enterprise Resource Planning) implementation, which is the process through which an organization integrates and centralizes its data management system and business processes.
The goal of global SAP implementation is to consolidate operations and increase efficiency, enabling businesses to achieve its objectives more easily and with fewer overhead costs.
Here are some of the top considerations to keep in mind before implementing a global SAP system. A successful rollout can be amazingly beneficial for international companies, and the more you study the process, the more likely you’ll achieve the results you want.
1 . Balancing A Global System With The Need For Localization For Geography, Language, And Culture
It is worth noting that “global” does not mean “one size fits all.” Overall, the “global” parts of the SAP system would be components that are essential to all aspects of the business, such as a company code structure, hierarchies, or proprietary company information or products, and can be applied to branches of the company in any country. However, whatever SAP software you choose must also be equipped to adapt to local requirements, such as compliance regulations, currency, language, and culture.
2 . Having A Clear Plan For SAP Implementation, Including Timeline And Training
Defining the scope and rollout in advance will help companies determine what parts of the system can be global, and which will have to maintain maximum flexibility to fit local requirements. Companies with greater global diversity may encounter greater challenges in initially developing an ERP system, but incorporating input and perspectives from personnel in the company’s offices in other countries will make it easier to garner support for this major change. Ongoing training and support during implementation and further development will also ease the transition process.
ULG’s insights delivered straight to your inbox.
Thoughtful editorials from industry experts delivered weekly in bite-sized pieces.
3 . Creating A System That Enables A Holistic View Of The Company’s Global Finances And Operations
SAP implementation allows companies to track every aspect of their business, from new employee training to payroll, production and sales. Because global SAP systems can generate invoices in different languages and convert currencies, companies stand to reap massive benefits because finances and operations can be more easily compared across countries. This also means that business decisions can be made faster and with a more informed idea of how they will affect the entire company, as well as individual global regions.
4 . Reducing Operating Costs
By using one SAP system, you avoid duplicating systems and resources across countries. This is particularly true for financial and data resources. For data management, SAP implementation may take the form of having a single data center with a few different databases, or in the most extreme instance, a single database to house all company information. In particular, consolidating IT assets, such as enterprise software applications, hardware, and license agreements, can be a huge cost-saver.
5 . Collaborating With The Best Partner
Investing in a global SAP solution is an undertaking that will require guidance, experience, and partners who understand how to develop a system that will serve the company well in the future. Companies should work with a language solutions partner that has a history of successfully implementing global SAP software projects and has a rare combination of expertise in linguistics, technology, and localization.