In the past few weeks, we’ve discussed the challenges associated with implementing a global instance of SAP ERP within the complex regulatory environment of Brazil. With the strictest mandated business requirements in the world, fully leveraging SAP in this country requires thorough planning, an expert team and patience during the implementation phase.
If you’ve made it through these phases, you’re likely breathing a sigh of relief. The challenges of integrating your global SAP template with Brazil’s strict e-invoicing, accounting and reporting requirements have been conquered. But not so fast. The work is far from over. In fact, it’s really just beginning.
The requirements to do business in Brazil are constantly evolving. In fact, earlier this year, companies operating in Brazil were forced to transition to Nota Fiscal version 3.1 – the largest change in requirements since 2010. Companies managing compliance internally had to make significant changes and upgrades to their SAP system and processes in order to maintain compliance and avoid costly penalties and operational disruptions.
It’s because of these constant changes and expansions in legislation that the process of implementing SAP in Brazil is never truly over. To ensure that your company maintains compliance, you need to:
- Regularly conduct system audits to ensure compliance.
- Constantly monitor legislation changes.
- Translate any change in requirements into your custom SAP set up.
Though corporate SAP teams typically have a specific plan for rolling out SAP upgrades, Brazil doesn’t time its legislation changes with these corporate strategies. As a result, SAP systems require major updates and faster response times that interrupt the COE calendar - and can affect the entire global operation.
Compliance is difficult throughout Latin America, but nowhere is it more so than Brazil. As the emerging market continues to expand its business requirements into finance, accounting, logistics and human resources, integrating these mandates within the SAP infrastructure will only get more challenging. Plus, as other Latin American countries look to Brazil as a model, you can expect these issues to expand throughout the region. That’s why it’s important to select the right partner – one with a proactive, regional approach to compliance that handles the constant changes and requirements seamlessly.
For an in-depth review of the challenges and considerations necessary to implement SAP in Brazil while maintaining compliance with complex business regulations, watch our webinar, and contact us to explore solutions to your company’s needs.