Today, as the global economic landscape is undergoing a profound restructuring, Chinese companies’ “going global” has become an irreversible trend. However, data shows that more than 60% of companies are hindered in the process of internationalization and face many challenges such as market, politics, and culture. It is crucial for companies to effectively utilize resources and advantages to achieve low-risk and low-cost overseas expansion.
 

 

The company in the case shared this time is a multinational corporation specializing in motorcycles and power products. Its products include two-wheeled motorcycles, three-wheeled motorcycles, accessories, general and agricultural machinery, etc. It has multiple localized independent brands and is the first official motorcycle industry partner in the history of the African Cup.

 

Implementation Scope

Organization Scope

• The project was implemented in 11 countries (China, Chad, Burkina Faso, Togo, Ghana, Guinea, Kenya, Benin, Mali, Côte d'Ivoire, and Ghana Tema), 31 legal entities, and 3 regions. The above business objectives were achieved through a 5+2 month implementation period.

Implementation Modules

• Materials Management (MM), Sales and Distribution (SD), Financial Accounting (FI), Controlling (CO), Consolidated Financial Statements

Implementation Highlights

• Export several months of the group's historical data from the original system and migrate it to the new SAP system

Project Challenges

• The group had been using the SAP ECC system for over a decade. With the expansion and deepening of its overseas business, financial requirements were becoming increasingly stringent, and the system was no longer able to meet these demands.
• With the increase in domestic and overseas companies, the group's consolidated financial statements were becoming increasingly complex, and multi-currency and exchange rate management was a challenge in consolidated financials.
• To comply with regulations and listing requirements, the group reorganized and streamlined existing non-standard business operations, and established a new architecture to accommodate future development.
• The group's original system contained a large amount of historical data, and the project required a smooth migration of all this historical data to the SAP system.

 

Project Goal

• Drawing on Decision's extensive experience in global expansion services, we provide a one-stop, comprehensive global expansion solution, helping the group develop a comprehensive and meticulous global expansion strategy and implementation plan, encompassing the entire process from architecture design to operational, supply chain, tax, and HR implementation.
• Drawing on Decision's years of experience in the trade industry, we led the streamlining of various business compliance processes, implementing a unified management system for business, document, data, and capital flows, meeting both immediate enterprise architecture requirements and the future needs of new business system development.
• Leveraging Decision's expertise in big data restoration, we successfully migrated several months of the group's historical data from its legacy system to SAP. From period opening to procurement, receipt, transfer, and shipment, from invoice verification to sales invoicing, and from individual companies to affiliated businesses, we meticulously sorted, cleaned, and proofread each data item before importing it into the new business system, ensuring monthly business data compliance and financial legitimacy.
• Drawing on Decision's experience in group consolidated reporting, we provided a comprehensive solution for consolidating legal entities, consolidating legal entities and non-legal entities, and consolidating reports across different countries, currencies, and exchange rates.

 

Project benefits

 

• Group-level Global Unified Management: We have established a globally unified digital operations foundation, streamlined global financial and operational processes, and implemented standardized and lean management. This ensures the company can quickly replicate its financial, human resources, and other operational systems in new overseas regions, facilitating the group's rapid international expansion.
• Group Financial Control: We have established a unified financial accounting system, including both statutory consolidation and full-business consolidation. We have also built a globally unified reporting system, enabling the integration of business and financial data across all entities worldwide, significantly improving the speed of report issuance.
• Global Supply Chain Management: We have built a global logistics supply network that meets the accounting standards of various countries and the needs of multi-party agencies and procurement. This shortens procurement and customs clearance cycles, significantly enhancing industry scalability and collaboration.
• Optimizing the Sales Control System: We have established a comprehensive sales control system that adapts to market changes, standardized customer identification and uniqueness management, implemented credit control across different business lines, established cross-system inter-company business processes, streamlined the company's sales processes, improved after-sales management, and enhanced user experience.

 

Decision Global Service Capabilities

Although the road to going overseas is full of challenges, as long as you find the right partner, choose the best overseas model, and master the overseas response strategy, you can effectively avoid potential risks, reasonably avoid pitfalls, and achieve high-quality overseas.

 

As a global leader in digital professional services, Decision always adheres to high industry standards and supports Chinese companies in achieving global operations based on business capabilities, operational capabilities, digital transformation capabilities, and governance capabilities:

• Experienced global operations delivery capabilities

Currently, Decision's global operations delivery has covered more than 40 countries and regions in the Americas, Europe, Asia, Africa, etc., with more than 1,000 successful cases, enabling global companies to go global with high quality.

• Global solution packages focusing on industries

Global solution packages covering all walks of life support the implementation of Chinese companies' global operations from strategic design, business operations, financial and tax management, compliance control, brand marketing, talent management, sustainable development and other aspects.

• Enterprise global operations capability model

Decision has independently developed an enterprise global operations capability model, providing a one-stop service of "strategy - operation - business support", helping companies accelerate global development by evaluating and clarifying their future goals and planning corresponding routes accordingly.

In the future, Decision will provide more and better solutions and services for going global, helping Chinese companies to stand on the international competition stage and truly achieve global operations.

【Service Guide】
For more information on SAP courses, project consultation and operation and maintenance, please call Decision's official consultation hotline: 400-600-8756

【About Decision】
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