In a context of increasing globalization, many French companies are expanding their operations beyond national borders. This international expansion, whether organic or through acquisition, creates significant challenges for information systems. Implementing an ERP capable of effectively managing multi-country operations therefore becomes a major strategic priority.
An international ERP project differs fundamentally from a local deployment due to its increased complexity. It is no longer simply a matter of implementing management software, but of creating an IT infrastructure capable of supporting a global business strategy while adapting to local specificities.
According to a Gartner study, more than 60% of international ERP projects exceed their initial budget and planned timelines, mainly due to an underestimation of the complexities related to differences between countries. A rigorous ERP requirements specification adapted to international challenges is therefore essential to avoid these pitfalls.
This guide will support you in developing a comprehensive international ERP requirements specification, addressing the essential aspects to consider: multi-language and multi-currency management, regulatory and tax compliance, deployment strategies, the balance between centralization and decentralization, and cultural considerations. These are all elements that, if properly anticipated, will make the difference between a successful international project and a chaotic deployment.
The importance of user experience in ERP adoption
Measurable impacts of UX on adoption
A well-designed user experience has direct and quantifiable effects on ERP adoption:
- Reduced training time: An intuitive interface allows new employees to become operational more quickly
- Reduced resistance to change: Users are more inclined to adopt a tool that makes their daily work easier
- Increased productivity: Customers who have migrated to ERPs with redesigned ergonomics unanimously confirm productivity and efficiency gains
- Better use of data: Easier access to relevant information enables more informed decision-making
Concrete cases of improvement thanks to UX
At TVH Consulting, we have supported several companies in improving the user experience of their ERP:
- An industrial company saw a 35% increase in ERP usage after redesigning the user interface to suit different business roles
- A distributor reduced order processing time by 40% thanks to redesigned ergonomics and simplified workflows
- A service-sector organization saw its data entry error rate decrease by 25% after implementing a more intuitive interface
Multi-language and multi-currency management in the requirements specification
Language requirements
The language dimension is often underestimated in international ERP projects, even though it is a determining factor in system adoption by local users. Your requirements specification must precisely state the languages required for the user interface, specifying all necessary languages, including regional variants such as Canadian French versus European French. It is also important to indicate whether certain languages are priorities for the initial deployment and whether the ability to easily add new languages is required for future expansions.
Managing translations of reference data is another crucial aspect. Your requirements specification must define how translations of master data such as items and bills of materials will be managed. It is important to specify whether a centralized multilingual database is required and to define translation validation processes to ensure consistency and quality.
Documentation and contextual help must also receive special attention. Require user documentation to be available in all required languages and specify whether contextual help must also be translated. Also define your training needs in the different languages to ensure optimal system adoption.
Finally, do not forget to determine how communication flows, such as notifications, alerts, and automatic reports, should handle multilingualism. In particular, specify whether certain documents must be generated in several languages simultaneously to meet internal and external communication requirements.
Multi-currency management
Currency management represents a major challenge for international companies. Your requirements specification must detail precisely your expectations regarding the conversion and storage of amounts. Require the system to be able to store transactions in the original currency and in the reference currency, specify how conversion rounding should be managed, and define conversion rules for financial consolidations.
Exchange rate management deserves special attention. Specify the authorized sources of exchange rates, whether the European Central Bank, Reuters, or other providers. Define the frequency of rate updates and specify whether differentiated rates must be applied depending on transaction types, particularly for purchases, sales, or intercompany transactions.
Multi-currency financial reporting is another essential aspect. Require the ability to produce reports in different currencies, specify conversion rules for consolidated reports, and define how foreign exchange differences must be presented to ensure optimal financial transparency.
Foreign exchange risk management may also be necessary for some companies. If this applies to you, specify whether foreign exchange risk hedging features are required and define the alerts needed in the event of significant fluctuations to enable your finance teams to respond quickly.
At TVH Consulting, we have observed that companies that precisely define their multi-language and multi-currency needs at the requirements specification stage significantly reduce the risks of budget overruns and delays in their international ERP project. These aspects are especially important to consider when evaluating the criteria for choosing an ERP in an international context.
Regulatory and tax constraints by geographic area
Compliance with local regulations is one of the most complex and critical aspects of an international ERP project. A non-compliant system can expose your company to considerable legal and financial risks.
Mapping regulatory requirements
Your requirements specification must include a detailed map of regulatory requirements for each country concerned. Regarding accounting standards, specify the applicable frameworks, whether IFRS, US GAAP, or local standards. Define how the system must manage differences between local standards and group standards, and specify requirements regarding the chart of accounts, indicating whether a single chart or multiple charts are needed.
Tax obligations vary considerably from one country to another. Detail VAT and indirect tax regimes for each country, specify withholding tax requirements, and state the needs for electronic tax filings. Do not forget to define requirements related to transfer pricing between group entities, an aspect often scrutinized by tax authorities.
Electronic invoicing is becoming mandatory in a growing number of countries. Identify the countries where this requirement applies, such as Italy with the SDI system or Mexico with CFDI. Specify the required formats and protocols and define validation and archiving processes that comply with local requirements.
Data protection is a major issue in an international context. Specify requirements related to GDPR and other data protection regulations. Define data localization constraints (data residency) and specify data retention requirements for each jurisdiction concerned.
Compliance strategy
Beyond identifying requirements, your requirements specification must define a clear strategy to maintain compliance over time. Regarding regulatory monitoring, specify your expectations concerning regulatory updates provided by the software vendor, define responsibilities for regulatory monitoring, and specify expected implementation timelines for regulatory changes.
Compliance documentation plays an essential role in managing regulatory risks. Require detailed documentation on the system’s compliance with local regulations, specify the required certifications, and define compliance audit requirements to ensure transparency with supervisory authorities.
Regulatory flexibility is a major asset in a constantly changing environment. Specify the system’s ability to adapt quickly to regulatory changes, define how regulatory updates must be deployed, and specify whether test environments dedicated to regulatory changes are needed to validate their impact before production release.
TVH Consulting’s expertise in international ERP deployment has shown us that solutions such as Microsoft Dynamics 365 and SAP S/4HANA offer robust features to manage these regulatory and tax complexities, but that appropriate configuration remains essential for each specific context. These regulatory aspects also have a direct impact on the cost and budget of your ERP project, which should be anticipated from the requirements specification writing stage.
International deployment strategies (big bang vs rollout)
The choice of deployment strategy is decisive for the success of an international ERP project. There is no universal approach, and your requirements specification must clearly define the strategy best suited to your context.
The “Big Bang” approach
A “Big Bang” deployment consists of implementing the ERP simultaneously across all entities of the group. This approach has potential advantages, including a shorter transition period, immediate group-wide data consistency, potential savings on project costs, and the rapid elimination of legacy systems.
However, this approach also involves significant risks that must be anticipated. The increased complexity of project management, the high risk in the event of problems at go-live, the need for significant resources mobilized simultaneously, and the difficulties in taking all local specificities into account are all challenges to be addressed.
If you choose this approach, your requirements specification must specify risk mitigation measures, contingency plans in the event of major issues, the resources required in each country, and the enhanced support plan for the post-go-live period.
The phased approach (Rollout)
A phased deployment, or “Rollout,” consists of implementing the ERP progressively, country by country or region by region. This approach offers specific advantages, including distributed and more easily controlled risks, the ability to learn from initial implementations, a more staggered mobilization of resources, and better adaptation to local specificities.
Nevertheless, this approach also involves challenges. The longer transition period, the need to maintain temporary interfaces between systems, the risk of the initial model drifting over successive deployments, and potentially higher costs over the total duration of the project are all points requiring attention.
If you choose this approach, your requirements specification must specify the deployment sequence and the criteria for prioritizing countries, the strategy for managing temporary interfaces, the process for integrating lessons learned from one deployment to the next, and the governance needed to maintain consistency in the global model.
The hybrid model
Many companies choose a hybrid approach, combining elements of the two previous strategies. For example, some organizations prioritize simultaneous deployment of financial functions in all countries, followed by a gradual rollout of operational modules. Others prefer to group countries into clusters deployed sequentially or opt for a big bang deployment for main entities and a rollout for smaller subsidiaries.
Your requirements specification must then precisely define the exact scope of each phase, the interdependencies between the different phases, and the governance specific to this hybrid approach to ensure overall deployment consistency.
At TVH Consulting, our experience shows that companies that succeed in their international deployment are those that choose their strategy based on their corporate culture, organizational maturity, and specific constraints, rather than blindly following market trends. To validate the relevance of your deployment strategy, we strongly recommend including this dimension in the execution of a POC (Proof of Concept) adapted to the international context.
Centralization vs. decentralization of processes
One of the major challenges of an international ERP project lies in finding the right balance between global standardization and local adaptation. Your requirements specification must clearly define your position on this continuum.
The ERP Core Model: the foundation of your international strategy
The concept of the “Core Model” (or reference model) is essential in an international ERP project. It involves defining a common foundation of processes, rules, and configurations that will be applied across all entities of the group.
Your requirements specification must specify the scope of the Core Model by indicating which processes will be strictly standardized worldwide, which processes may be adapted locally and to what extent, as well as the reference data that will be managed centrally.
Core Model governance is a determining factor in project success. Define the decision-making process for changes to the Core Model, the respective responsibilities of headquarters and subsidiaries, as well as the control mechanisms to ensure compliance with the Core Model across all entities of the group.
The flexibility of the Core Model represents a delicate balance to strike. Specify the mechanisms that make it possible to incorporate local specificities without compromising overall consistency, the process for evaluating requests for exceptions, and the strategy for evolving the Core Model over time to adapt it to the organization’s changing needs.
Balancing centralization and local autonomy
Your requirements specification must precisely define your position regarding financial processes. Determine the level of standardization of the chart of accounts, the centralization or decentralization of certain financial functions such as treasury or collections, as well as closing and consolidation processes.
Operational processes also deserve special attention. Define the degree of standardization of sales, purchasing, production, and other processes, adaptation to local business practices, and the management of sector-specific characteristics by country.
The organization and responsibilities must be clearly established. Specify the roles and responsibilities of central and local teams, the support model (centralized, regional, or local), and the management of skills and knowledge to ensure effective and sustainable implementation.
Practical case: the TVH Consulting approach
At TVH Consulting, we have developed a proven methodology for defining the right balance between centralization and decentralization in international ERP projects.
Our approach is based on a preliminary analysis of each entity’s organizational maturity and strategic contribution to the group. We generally recommend strong centralization of financial and reporting processes to ensure consistency in financial information, standardization of core operational processes with adaptation options for critical local specificities, and controlled decentralization of processes with a strong local component, such as certain aspects of sales management.
This balanced approach, integrated from the requirements specification stage, makes it possible to maximize the benefits of standardization while preserving the agility required for local operations. To effectively structure this thinking, you can draw inspiration from the examples and templates of ERP requirements specifications that we have developed specifically for international contexts.
Cultural considerations in ERP adoption
The cultural dimension is often overlooked in international ERP projects, even though it can be decisive for successful adoption. Your requirements specification must incorporate these aspects to maximize the chances of success.
Understanding cultural differences
Cultural differences can affect many aspects of an ERP project. Communication styles vary considerably by country: some cultures favor direct communication, while others are more implicit. Attitudes toward hierarchy also differ, as does the tendency to report problems, which varies depending on cultural contexts.
The relationship to change is another important cultural aspect. Some cultures are more open to change than others, expectations regarding support vary by country, and perceptions of risk differ depending on cultural contexts.
Working methods also show significant variations. Preferences for autonomy versus precise instructions, attitudes toward deadlines and planning, and decision-making styles (consensus versus hierarchy) are all elements that influence the adoption of a new ERP.
Integrating the cultural dimension into the requirements specification
Your requirements specification must take these cultural differences into account at several levels. Regarding the change management strategy, define approaches adapted to each cultural context, plan for local resources to support change, and specify training needs by country.
Personalizing the user experience goes beyond simple translation. Specify the necessary adaptations, define ergonomic adjustments based on cultural preferences, and state the needs for adapted contextual help to facilitate adoption by all users.
Governance and communication play a crucial role in an international project. Define a multicultural communication strategy, specify the composition of project teams (a mix of global and local expertise), and specify mechanisms for resolving intercultural conflicts to prevent potential tensions.
Concrete examples of cultural adaptation
Our international deployment experiences at TVH Consulting have enabled us to identify several effective cultural adaptations. In some Asian countries, where hierarchy is highly respected, we observed that a linear approval workflow was better accepted, while in Northern Europe, a more collaborative approach with parallel approvals was preferred.
In terms of training and support, we observed in France and Southern Europe a preference for in-person training with detailed materials, while in North America, self-paced online learning formats were better received.
Regarding dashboards and reporting, preferences for data visualization vary considerably: some cultures prefer detailed tables, while others favor concise graphical representations.
Integrating these cultural considerations into your international ERP requirements specification does not guarantee the absence of challenges, but it makes it possible to anticipate them and prepare appropriate adaptation strategies. These cultural aspects have a direct impact on the user experience, a fundamental element for the adoption of your ERP on an international scale.
Methodology for developing an international ERP requirements specification
Given the complexity of an international ERP project, a methodical approach is essential to develop a comprehensive and relevant requirements specification.
Preparatory phase
Building a multicultural team is the first essential step. Involve representatives from each key region or country, ensure a balance between business and IT expertise, and include profiles with international experience to enrich perspectives.
Then carry out an in-depth assessment of the existing environment. Map current systems in each country, identify the strengths and weaknesses of the current organization, and assess process maturity by country to determine priority areas for improvement.
Finally, define the target vision for your project. Clarify the strategic objectives, define the desired level of harmonization between the different entities, and establish the guiding principles that will direct the entire project and guide future decisions.
Developing the requirements specification
The structure of the requirements specification must reflect the complexity of the international project. Include a general section presenting the context, objectives, and scope; a section by functional area detailing international specificities; a technical section covering architecture, interfaces, and security; and a deployment section describing the strategy, timeline, and organization.
Specific international requirements must be clearly defined. Detail multi-language and multi-currency requirements, regulatory and tax requirements by country, global and local reporting requirements, as well as integration requirements with existing local systems to ensure a smooth transition.
The deployment strategy deserves special attention. Specify your choice between big bang, rollout, or a hybrid approach, establish a deployment timeline by country or region, define the project organization and governance, and develop a change management strategy adapted to the different cultural contexts.
Validation and finalization
The multicultural review of the requirements specification is a crucial step. Have the document reviewed by representatives from each country, verify that local specificities are taken into account, and ensure a shared understanding of requirements to prevent later misunderstandings.
Validation by executive bodies ensures strategic alignment. Present the requirements specification to group and subsidiary leadership, secure the commitment of key stakeholders, and validate the allocation of the resources needed to successfully complete the project.
Preparing the consultation of potential suppliers requires a specific approach. Identify software vendors and integrators with relevant international experience, define evaluation criteria specific to the international context, and prepare demonstration scenarios that include international use cases representative of your challenges.
At TVH Consulting, we also recommend including in your requirements specification the completion of a POC (Proof of Concept) specifically focused on the most critical international aspects for your organization. This approach makes it possible to concretely validate the solution’s ability to meet your multi-country needs before committing to a full deployment.
Conclusion: toward a successful international ERP deployment
Developing a rigorous international ERP requirements specification is a fundamental step in the success of your project. This document should not be considered a mere administrative formality, but rather a true strategic tool that will guide your entire approach.
Key success factors
Our experience at TVH Consulting in supporting international ERP projects has enabled us to identify several key success factors. A clear and shared vision is the first pillar of success: precisely define the project’s strategic objectives, communicate this vision to all stakeholders, and stay the course throughout the project despite inevitable difficulties.
The balance between global and local represents an ongoing challenge: standardize what brings real added value, respect essential local specificities, and adapt your approach to different cultural contexts to encourage buy-in from all users.
Appropriate governance is essential to orchestrate a project of international scope: set up an international governance structure, clearly define roles and responsibilities at all levels, and establish effective decision-making processes to maintain project momentum.
Proactive risk management makes it possible to anticipate difficulties: identify risks specific to the international context, define appropriate mitigation strategies, and implement regular monitoring to quickly detect any deviation from objectives.
Pitfalls to avoid
At the same time, certain pitfalls must be carefully avoided. Underestimating local differences is a common mistake: do not overlook regulatory specificities, do not ignore cultural differences, and avoid imposing standardized processes that are not suited to the local context.
A lack of involvement from local teams can compromise system adoption: do not design the project solely from headquarters, systematically consult local experts, and maintain constant communication with subsidiaries to involve them in the approach.
An overly rigid approach harms the project’s adaptability: plan mechanisms for adapting to local specificities, objectively assess requests from subsidiaries, and incorporate feedback from the first deployments to continually improve your approach.
Neglecting human aspects represents a major risk: do not focus solely on technical aspects, pay particular attention to change management, and invest in training and user support to facilitate ownership of the new system.
Support from an expert
The complexity of an international ERP project fully justifies relying on an experienced partner. TVH Consulting stands out for its in-depth expertise in the two market leaders, Microsoft Dynamics 365 and SAP S/4HANA, its experience deploying ERPs in more than 30 countries, its agnostic approach that prioritizes the solution best suited to your context, its proven methodology for international projects, and its multicultural teams capable of understanding local specificities.
Ready to take on the challenge of an international ERP project?
Contact our experts to benefit from personalized support in developing your international ERP requirements specification. Our pragmatic approach and experience will help you avoid common pitfalls and maximize your chances of success.