international series - oatug

Complexity of European and Middle East Rollouts of the Oracle E-Business Suite

Complexity of European and

Middle East Rollouts of the Oracle

E-Business Suite Release 12.2

Prepared by:

Martin Dvorak

www.martindvorak.com

International Series

Session ID: 10003


• Global and international management challenges

• Changes in HR, digitalization and nature of work

• How to cope with the new challenges

• Project failures - reasons, causes and effects, common pitfalls

• How to deal with multicultural work related context

• Impact on European / Middle East challenges

• Cultural types: linear active, multi active and reactive

• Putting the Lewis Model into context

• Natural similarities (languages, culture, history)

• Different ease of implementation levels (Tier 1 – Tier 5)

• How to deal with cultural shock before and during the project

• Why objectives have different meanings in different cultural patterns

• Localizations - the big picture

• Conclusions, Considerations and Recommendations

Agenda


• Communication and negotiation styles in different countries

• Understanding Oracle EBS Localizations (Doc ID 1478018.1)

• What is a Localization?

• What is a Regional or Shared Localization?

• Globalization

• Globalization Guide for Oracle Applications R12 (Doc ID 393861.1)

• Product Localizations

• Add-on Localizations

• Partner Localizations

• Release 12 Localizations

• Upgrade Advisor: EBS 11i Upgrade to 12.2 (Doc ID 1614508.1)

• E-Business Suite Globalization Center (Doc ID 973912.2)

• Introduction

• Internationalization

• Translation

• Localization• Country Specific Data Sheets

• Add-On Localization

• Legislative Updates Center

Appendix (1/4)


• Country Sheet Sample: Germany

• R12 EMEA Add-on Localizations - Germany [ID 412792.1]

• EBS Financials Legislative Updates Center (Doc ID 871204.2)

• Overview

• Asia Pacific

• Europe, Middle East and Africa

• Americas

• All Countries

• Globalization Center

• R12 Documentation via OTN

• R12.2 Documentation Library

• Oracle Financials Localizations

• Europe User Guide Release 12.2

• HCM Localizations, such as Payroll, Benefits and

Compensations

• E-Business Suite Documentation – Release 12.2.2

• R12+ Add-on Loc. Introduction Note - Doc ID 429042.1

• EBS Localizations Delivery Model

Appendix (2/4)


• Oracle E-Business Suite R12.2 Information Center (Doc ID 1581299.1)

• Where to find Information in My Oracle Support

• Where to find Training for Localizations Doc ID 807319.1

• Recap: The R12 global approach dilemma • Global Financial Management enabled by Multi-Org Access

• Subledger Accounting

• General Ledger: Ledger Sets

• Centralized Global Tax Engine (E-Business Tax)

• European and Middle East Considerations, Ease of

Implementation Level and Ease of Reconciliation Level• General Ledger

• Payables

• Receivables

• Cash Management

• Purchasing

• Assets

• Internet Expenses

• Human Resources

Appendix (3/4)


• Financial Reporting with XML Publisher

• Common European Set ups and Reports

• Norway, Finland, Germany, Austria and Switzerland Specific

Reports

• Belgium and Croatian Specific Reports

• Portugal Specific Reports

• Hungary and Turkey Specific Reports

• France, Czech Republic and Israel Specific Reports

• Spain Specific Reports

• Poland and Italy Specific Reports

• Greece Specific Reports

• Data Protection

Appendix (4/4)


7

International Management Challenges

Competitors & Technology

The Internet eliminated

borders making all markets

global markets.

Industry 4.0

Compliance Mandates

Increased global surveillance

and varying regulatory /

security requirements exert

additional burdens on

businesses

Suppliers

Margin pressures force companies to search forgoods & services anywherein the world resulting incomplex supply networks

Customers & Employees

Manage employees and

customers dispersed across

geographic and cultural

boundaries


8

To Meet These Challenges, Businesses Must…

Think Globally to make the right decisions

Work Globally to be more productive

Manage Systems Globally to lower cost

and increase performance


9

Three Global Challenges we are facing today and in the future

HR Aspects Digital Revolution Nature of Work

Require flexibility and

adaptability

Automation revolutions is

underway (Industry 4.0)

The most profound disrupter of current work

practices is technology itself

New staff has to be brought

and onboarded quickly

50% of existing jobs will

disappear in Europe

Positive impact: the tech-enabled workplace

is freeing us to work from anywhere and

access the latest information in real-time

IT and Business often

disconnected

Global surveillance Negative impact: resulted in an environment

full of distraction

Tsunami of data requires

more people who welcome

change

The business world is heavily

devoted to compliance, not ethics

Employees overwhelmed with instant

messages, alerts and overloaded email

inboxes

Veteran staff needs to be

retrained

Cyber crime, security issues We are facing a productivity crisis

Existing roles need to

change

Increased data volume and Big

Data. Data getting out of control,

i.e. personal data

Organizations have to ensure they have the

right technology in place that streamlines

communication

“…todays employees

want to take part in

decisions and need to see

a sense in what they are

doing…”

….therefore

“if you think you can control

such a complex and global

system centrally, you still

cannot avoid risks…”

….therefore

“remove processes that do not add

value…. simplify the context of work ….

ensure that your workforce devote their

time and energy to the value-adding

activities that really underpin

performance.


10

….and how about Europe? “We just create a template and then we do the roll out…”

How to meet the needs of

complex, struggling and

regulative European

businesses?

Complete

Integrated

Standards-based

Adaptable

Accessible

Secure

Scalable


11

….and the Middle East? “We just manage everything by offshore development…”

How to meet the needs of

dynamic, contradictory and

fast changing Middle East

businesses?

Complete

Integrated

Standards-based

Adaptable

Accessible

Secure

Scalable


12

Large Roll outs – major causes of project failures•These are general failure causes – put this into context of a multinational roll out

Source: http://www.it-cortex.com/Stat_Failure_Cause.htm

http://www.it-cortex.com/Stat_Failure_Cause.htm


13

Large Roll outs – causes and effects of project failures

•“Hardware” techniques: equipment we can use to nail down, screw and

saw the things rationally needed during the project journey.

•“Software” techniques: personal ownership, awareness, trust and

openness, commitment, engagement, a joint culture, a shared vision.

Source courtesy of Calleam Consulting Ltd.: http://calleam.com/wp-content/uploads/components-in-failure1.png

http://calleam.com/wp-content/uploads/components-in-failure1.png


14

Large Roll outs – common pitfalls in ERP rollouts

•European and Middle Easter diversity is underestimated by US companies

•Legal and statutory requirements, mentalities, post M&A’s issues

Area Issue Resolution Sample

Data and

Conversion

Data is corrupt,

uncleansed

Master Data Management

Sequences and Dependencies

ETL, API’s

6 iterations

Responsibilities Too many 1 programme and 1 project

director only

% Benefit recipient

Interfaces Not working Core system (i.e. ERP) Simplify, use standards – no

customizations

Systems Drift apart Consolidate

Centralize IT

Single Server

Distributed DB (Blockchain)

Expectations The green tick in

Powerpoint

Validate local requirements Check legal and statutory first

Organization Subsidiaries lose

power due to

centralization

Empower local subsidiaries Local segment values

Approach Top down Bottom up External people for Change

Management

People network Informal network, 2-

class levels

Mixed team M&A’s


15

Large Roll outs – common pitfalls in cross cultural collaboration

•The following slides and the Appendix will overstate on purpose on the

“pro’s” and “con’s” of different mentalities in Europe and the Middle East.

•A foreign culture has not your cultural mores and morality.

•Every country is very unique and different in Europe / Middle East, even

with common languages.

•Influencers of your interactions in an organizational context:

• National culture

• Ethnic culture

• Belief

• Age / generation

• Gender

• Professional culture

• Organization culture

…. diversity enables companies to solve the hardest problems and stay competitive. ….


16

What do the cultural types mean?

Source: Richard D. Lewis "When Cultures Collide“ www.crossculture.com

Linear Active Multi Active Reactive

Talks half of the time Talks most of the time Listens most of the time

Plans ahead step by step Plans grand outline only Looks at general principles

Does one thing at the time Does several things at once Reacts to partner’s action

Polite and direct Emotional Polite and indirect

Confronts with logic Confronts emotionally Never confronts

Job orientated People orientated Very people orientated

Sticks to the facts Feelings before facts Statements are promises

Result oriented Relationship oriented Harmony oriented

Sticks to the agenda Roams back and forth Often asks for “repeats”

Written word important Spoken word important Face-to-face contact

important

Restrained body language Unrestrained body language Subtle body language


17

Explaining cultures of the world through the Lewis Model



18

Explaining cultures of the world through the Lewis Model

Cultural types are only one

factor in a multinational

rollout.

You must also consider the

legal, statutory and common

business practices in each

country you implement.



19

Natural Similarities of more linear active countries: language, culture, history, political development, etc.

Block Membe

rs

Common aspects Deviations

Anglo

sax

UK, IRL Same language as US.

High productivity.

“hands on and pragmatically”

Currency in UK £, Ireland has the €. Class

distinction.

Benelux NL, BE,

LUX

Core EU countries.

Pushing EU standards.

“open mentality”

Belgium 2 languages, inflexible labour law, people

understand quite well English.

German

speaking

DE, AT,

CH

Same language and similar culture.

“hard working”

Inflexible labour law in Germany and Austria,

strong unions “Betriebsrat”. Low working attitude

in Austria. Switzerland is not part of EU and

different currency such as CHF, flexible labour law

but high costs. Switzerland having 4 official

languages.

Nordic SE, SF,

DK, NO,

ICL

Similar languages, mentalities and

law requirements, high taxes and

labour costs. High level of English

speaking.

“cool approach”

Finnish completely deviates from the other

languages. Currency issues, i.e. only Finland has

the €.

Baltic LIT,

LET,

EST

Same political legacy, large

potential.

“Baltic nearshore tigers”

Estonia more common with Finland, also language

wise. Different stages of transformation, i.e. EST

in better shape than the other 2 Baltic countries.


20

Natural Similarities of more multi active countries: language, culture, history, political development, etc.

Block Members Common aspects Deviations

South FR, SP,

ITA, PT,

GR

Latin legacy. Similar mentalities. Same

currency €

“laid back working approach”

Rigorous legal and statutory requirements. Different

language and character set in Greece.

Large legal requirements in Italy.

Language barrier towards English.

Inflexible labour law, often strikes and strong unions.

Eastern

Europe

and

Russia

PL, CZ,

SK, HU,

RU

Same political legacy, good transformers.

Medium level of English language skills,

still some communist mentality and large

economical problems in Russia.

“fast learners”

High skilled labour, low labour cost. Hungarian completely

deviates from the other languages. Different pace of

transformation, i.e. Slovakia fast, Hungary struggling.

Different working standards. Different mentality and

character mode in Russia.

Balkan SRB,

SLO, BIH,

CRO,

MTN,

ALB, BUL,

RO, TK

Same political legacy, slow transformers,

bad economy, low level of language skills,

small elite, large unemployment, political

instability. Low labour costs.

“challengers”

Large differences between and even in between single

countries. Slovenia has same standards as Western

Europe whereas Serbia needs approx. another 10 years to

achieve European standards. Political issues in Serbia and

Albania. Russian influence in Montenegro. Different

character mode in Serbia and Bulgaria. Romania plays in

IT near shore competition.

Middle

East

IL, BH,

QA, KW,

OM, SA,

AE

Common standards across GCC

countries. Booming economy slowing

down from oil price. Western Education.

Family ruled countries. Political hotspot.

“not predictable”

IL very smart, sophisticated and lively. GCC on one side

very open towards modern western management style and

at the other side executing sharia law (SA, QA). Different

safety levels (QA, AE, and BH).


21

Block Members Explanation

Tier 1 UK, IRL Simple legal and statutory requirements.

Common language to the US.

Pragmatic working approach.

Tier 2 NL, GER, CH, AT,

SE, SF, DK, NO

Medium legal and statutory requirements.

Hard working approach, unemotional and down to earth mentality.

Different Currencies.

Tier 3 BE, FR, ES, PT,

CZ, SK, HU, IL, TK,

CR

GCC countries and

Middle East

Medium to High legal and statutory requirements.

Subledger Accounting replaced Global Accounting Engine.

Complex Payroll and allowance requirements in GCC countries.

Document Sequencing.

Difficult to handle mentalities and languages.

Different Currencies.

Tier 4 ITA, PL High legal and statutory requirements.

Subledger Accounting replaced Global Accounting Engine.

Document Sequencing.

Organizational and mentality issues.

Reports and Solutions have software issues, dependency of Oracle Support

Services.

Tier 5 GR Very complex and rigorous state dictated legal and statutory requirements.

Chart of Accounts dictated by law.

From GAE -> SLA rules required in Greece.

Organizational, language and working approach issues.

Different character mode (Greek alphabet).

Ease of implementation Level: Tier 1 (easy) – Tier 5 (most difficult)


22

Historical resistance towards Oracle EBS in Europe?

Different system landscape in

Europe and the Middle East

• SAP No 1 in Europe and strongest market

share in DACH

• Oracle EBS often forced from US rollouts.

• Large resistance from end users.

• No real local management involvement

and package evaluations.

• Software selection more thorough in the

Middle East.

• Oracle and SAP are equal rivals in the

Middle East – SAP strong in oil and gaz,

Oracle strong in Government.

• Oracle and SAP recognized as inflexible,

complicated and too expensive.

• Raise of more agile or more user friendly

ERP’s such as NetSuite or Infor.

• Middle East more open towards build–

operate–transfer (BOT) models.

Magic Quadrant for single-instance ERP for product-centric mid market companies


23

How does a ERP Rollout kick off meeting begin?



24

How to translate British English…..

•common language but different meaning

and different perception:

•Global Project Manager during kick-off:

“Our target is January 1st go live!”

•Local UK Project Manager responds: “I

hear what you say. With the greatest

respect, January 1st go live date is very

brave!”

•Local UK Project Manager means: “I

disagree and do not want to discuss it

further and yes, I think you are insane

and an idiot.”

•What the kick-off participants

understand: “Great, he accepts his point

of view and is listening to him. He thinks

we have courage with our January 1st go

live date.”


25

How to deal with the cultural shock?

Working in cross cultural teams during a multinational roll out is not about liking every culture and seeking cultural synergy.

It is about understanding the different mores and morality from each country / region in order to execute a smooth transition. Source: Richard D. Lewis "When Cultures Collide“ www.crossculture.com


26

How are objectives negotiated?

USA

(UK, German,

Benelux)

Latin America

(Southern Europe

and Middle East )

Japan

1. Current Deal 1. National “honor” 1. Harmonious

relationships and

“direction taking”

2. Short term profit and

rapid growth

2. Personal prestige

of chief negotiator

2. Securing market

share

3. Consistent profit 3. Long term

relationship

3. Long term profit

4. Relationship with

partner

4. Current deal 4. Current deal


Do not underestimate body language: Be aware of the difference between «how do I appear»

vs. «what do I mean».

Remember: the tongue can lie, but the body cannot.

http://www.crossculture.com/


27

Conclusions and Recommendations for Large Roll Outs

•Some tactics, samples and approaches for selected countries

Country Known Problem Proposed Solution Sample

Scope often not existing

or created during

Development Phase

Inception (OUM)

Scope, Objectives &

Approach (AIM)

CR.010/CR.030

Precise and exhaustive

level of detailed planning

Involve DE in Scope

Involve CH in Training

UPK

Endless discussions and

meetings with little results

Individual interviews RD.020 Current Business Baseline

RD.030 Future Business Model

Hidden problems not

admitted

Dig deeper to find the

dead bodies

Due diligence for critical parts

Other countries resistant

towards Change

ITA for Change

Management Initiative

Change Management Framework

After deliverables agreed

“waiting for instructions”

Personal control

during delivery

Data Conversion Template

You must be able to read

between the lines

Ask questions until

you get the answer

Any meeting

Super busy appearance

but not related to agreed

deliverables

Ensure stakeholder

involvement

Critical deliverables which require

written sign off

Source: www.martindvorak.com


28

European Union – what about Globalizations, Localizations, add-on

Localizations, Translations and Release Notes? •With the increased member states, legal and statutory requirements will be standardized


29

Conclusion

• A combination of following may be needed:• Global Capabilities in E-Business Suite

• Product Localizations

• Add-on Localizations

• Check what’s needed in your project and what’s available.

• Review Country Localization Datasheets• MUST for scope evaluation.

• Do not take legal requirements from Oracle Local Consulting for

granted – they may became standardized or outdated in the

meantime. Check with your local external auditors.

• My Oracle Support:• Review My Oracle Support Notes – MUST for details

• Review the documentation on My Oracle Support

• Support available through My Oracle Support

• Make sure to log an SR using the right product info:• Product Code: 1713

• Product Description: EMEA Add-on Localizations


30

Localizations – where to start in My Oracle SupportLocalization Purpose Doc ID

Understanding Oracle E-Business Suite

Localizations

Explaining Product, Add-on and Partner Localizations 1478018.1

E-Business Suite Globalization Center Introduction, Internationalizations, Translations, Localizations

with Country Data Sheets

973912.2

E-Business Suite Financials Legislative

Updates Center

Overview, Asia Pacific, EMEA, Americas, All Countries. Legal

requirements such as SEPA, DAS2 for France, Irish Tax

Registration Format, UK Reverse Charge, etc.

871204.2

Introduction to Add-On Localizations for

R12

Add-On Localizations are extensions to the standard product

and are released on a country by country basis.

429042.1

EMEA Add-on Localizations -

Implementation considerations

Notes and patches regarding which Oracle EBS Release you

are installing or upgrading

1668516.1

Add-on Localizations - Upgrade

consideration

Features and enhancements in R12.2 1491965.1

Oracle Financials for Europe Release

Notes for Release 12.2.5

Overview of latest European Localizations and changes such

as Section What's New, Documentation Resources, New and

Changed Features, Known Issues, Change Log

2064380.1

EMEA VAT: Oracle Financials Release

12 Setups for 2010 EU VAT Package -

Solution based on Tax Rates

Changes to the European Union Value Added Tax (EU VAT)

provisions, effective January 1, 2010

974979.1

Globalization Guide for Oracle

Applications Release 12

Key information for using Oracle Applications in global

organizations, check also NLS Frequently Asked Questions

and NLS Release Notes, Release 12.2

393861.1

399789.1

1314621.1

Troubleshooting EMEA VAT reporting

issues in Release 12

Assist in diagnosing EMEA VAT reporting issues 1392535.1


31

• Think about your countries & subsidiaries before you start with your roll out.

• Cooperation beats resistance.

• The sum of ideas is better than the single best solution.

• When you add a poorer solution to the best solution, you would expect a worse

result? The opposite is the case.

• Diversity beats the best solution (culture, nationality, job design and working arrangements).

• Collective intelligence.

• Guided self organization.

• Head office only fixes the problem if it cannot be solved locally.

….therefore“ensure professional guidance….define a clear

scope……make clear rules….empower your roll out team…. Build trust….

Conclusion


32

Recommendations

1. Get executive support

2. Keep it simple

3. Start with the processes

4. Become business driven

5. Involve users early

6. Hire real package experts

7. Recruit real business experts

8. Train users well

9. Use reliable technology

10. Plan architecture *

11. Be aware of the organizational and cross cultural impact

12. Outsource with care

* Single Server vs. Regional Hubs, Cloud (Data as a Service (DaaS), Software as a Service (SaaS),

Platform as a Service (PaaS), Infrastructure as a Service (IaaS)), BOT, etc.


33

Appendix


34

A chart to show different communication and negotiation styles

in different countries



35

Starting with the head office…

Characteristics Leadership

Style

Communication Style

Easy to approach

Individualism

Imprudent & Busy

Exaggerated Structures,

individualism, speed,

driveInsensitivity to non-US values

Feel superiority American managers

are assertive,

aggressive, goal and

action oriented,

confident, vigorous,

optimistic, and ready for

change. They are

capable of teamwork

and corporate spirit, but

they value individual

freedom and their first

interest is furthering

their own career.

Expansionism

Do not trust others

Looking at “go live” and not

of a long term sustainable

ERP system

When meeting with Americans, expect

them to lay all their cards on the table, get

upset when there's a disagreement, and

resolve as fast as possible with one or

both sides making concessions.

Not willing to go into details

Time is money

Bottom-line focus



36

UK, IRL: Ease of implementation Level: Tier 1


Style

Communication Style

Polite

Reasonableness

Self control

Good humor Casual Leadership

Hands on and

pragmaticEasy to get on with

Direct British managers are

diplomatic, casual,

helpful, willing to

compromise, and

seeking to be fair,

though they can be

ruthless when

necessary.

Unfortunately, their

adherence to tradition

can result in a failure to

comprehend differing

values in others.

English tend to avoid confrontation in an

understated, mannered, and humorous

style that can be powerful or inefficient.

English speaking countries: easiest

implementations

•common language

•no localizations required

•often first subsidiary from US

Business driven

Tolerant

Best multi ethnic handling in

Europe

Stiff

Other languages barrier

Eccentric

Source: Richard D. Lewis "When Cultures Collide" www.crossculture.com and Martin Dvorak “Complexity of European Roll Outs” www.martindvorak.com


http://www.martindvorak.com/


37

Netherlands: Ease of implementation Level: Tier 2


Style

Communication Style

Multilingual

Open

Tolerant

Transparent Consensus with

tendency to be

unmanageableFriendly

Direct Leadership in the

Netherlands is based

on merit, competence,

and achievement.

Managers are vigorous

and decisive, but

consensus is

mandatory, as there are

many key players in the

decision-making

process.

The Dutch are focused on facts and

figures but "are also great talkers and

rarely make final decisions without a long

'Dutch' debate, sometimes approaching

the danger zone of “over analysis."

Resistant

Informal

Modest

Flat hierarchies

Every opinion considered

Cooperative





38

Benelux: different levels within the countries (Tier 1-3)

•high level of English spoken

•Few localizations required

•Netherlands used to be often chosen as Shared Services for European Countries

Country Overstated Stereotype (pro)

Overstated Stereotype (contra) Ease of impl. level

Consensus drivenOpen mindedSocialFlexibleNon-hierarchicalInventive in proposing IdeasDirectTaking initiativeAssertiveHumour and political incorrect

Not open to changeLike to say NoEveryone involved in decisionsLevel of higher free space requiredStubborn, arrogantToo loud, assertive, too less focused

Dutch openly strive for their goals/deal, and don't want to hear the story about the others first

Higher absence (sickness days) then the rest of European countriesDifficult labour termination right

Tier 2

PragmaticHumour

Relaxed

Disorganized

Level of bureaucracy and irresponsiblyDifficult labour termination law

Tier 3

Small scaleConsensus drivenOpenMulti lingual

Monotonous, golden cageLack of entrepreneurial mindState looks after meLack of work force

Tier 1

Source: Martin Dvorak “Complexity of European Roll Outs” www.martindvorak.com



39

Germany: Ease of implementation Level: Tier 2


Style

Communication Style

In-depth approach

Hierarchy driven

Efficient

Well organized Hierarchy &

ConsensusPrecise and exhaustive level

of detailed planning

Open and direct / tough German managers

strive to create a

perfect system. There

is a clear chain of

command in each

department and

information and

instructions are passed

down from the top.

Nonetheless,

considerable value is

placed on consensus.

Humorless, strict, harsh,

arrogant, aggressive and

vain.

Germans rely on logic but "tend to amass

more evidence and labor their points more

than either the British or the French."Submissive regarding

management

Local work council thinking





40

German Appearance and Reality

Appearance Reality

“on time” all the time Time is central to German culture

Very lengthy explanations Lay a proper foundation

Pace of business life is too slow Complete action chains and wish to be

thorough

Too private Not a melting pot society like the USA

Too much secrecy in German organizations Believe good procedures and process solve

most problems

Make things too complex when developing

ideas

Life is complicated

Disagree with people openly and lack delicacy Frankness is honest

Rarely compliment subordinates on the job Perfectionists - Expect a job to be well done

Heavy, boring, not visual enough advertising Entertainment is an unnecessary distraction



41



In-depth approachHierarchy drivenEfficientWell organizedPreciseOpen and direct

Exhaustive level of detailed planningHumourless, masters in moaningStrict, tough, harsh, arrogant, aggressive, vain, coldSubmissive regarding managementLocal work council thinking

Tier 2

Easy goingCozyComfortableSocialEmployee friendly law

Not open to changeLack of engagement, masters in grumbling and being pessimisticConflict avoidersLack of focusing on businessDeliver on pressure not on deadlineSloppy working attitude

Tier 2

ReliableHard workingDeliver on timeStick to scopePoliteControlled

High significance of money and statusIndirect Lack of humour and imaginationVain

SlowTaking professional criticism often personally

Tier 2

German speaking countries: differences between the German speaking countries

•Common language and high level of English spoken

•Few localizations required (Tier 2)

•Germany often large Subsidiary of US due to economical and geographical power




42

France: Ease of implementation Level: Tier 3


Style

Communication Style

Style and ingenuity

Charming

Positive attitude to life

Amicable working relationship Autocratic

Using logic

Good rhetoric French managers tend

to be autocratic and

paternalistic, with an

impressive grasp of the

many issues facing

their company.

Opinions of

experienced middle

managers and technical

staff may be dismissed.

Love independency

Endless discussions and

meetings with little results

Too self-assertive When meeting with French, be prepared

for a vigorous logical debate.condescending

Level of nationalism / top

down approach

Language barrier –

sometimes on purpose





43

French Appearance and Reality

Appearance Reality

Obstinate, always hold a different

opinion from each other

Stick to what they believe is right

Think themselves are clever than

anyone else

The length and magnificence of their historical

achievements

Don’t like to speak foreign languages,

especially English

French was once the internationally accepted

language of diplomacy and spoken widely in four

continents. However, comeback is predicted due

to demographic evolution.

Overemotional Rarely abandon rationality

Talk too much at meetings Like to consider every aspect of a question

before making decisions

Cannot keep to an agenda Must go back and forth to balance their

decisions

Make poor team members A good education encourages them to go it

alone

Prefer ideas to facts Facts are not always as they seem. What is

wrong with exploring ideas?





44

Latin Countries: the bigger challengers for US implementations

•Different languages

•Medium to heavy localizations required (Tier 3-4)

•Completely underestimated by the US (i.e. Italian legal requirements)



Style and ingenuityCharmingPositive attitude to lifeAmicable working relationship

Endless discussions and meetings with little resultsToo self-assertiveEgocentric, ArrogantLevel of nationalism / top down approach

Tier 3

Warm, FriendlyOpen to changeHigh level of passionPositive attitudeStyle and elegant

Hot-headedMachosCorruption

MafiaMeetings can be misinterpreted as fights

Tier 4

Relaxed and energeticStrong sense of belongingIndividualismHelpfulHigh level of contributionWarm-heartedBuoyant, temperamentalSmart, tolerant

Problems are rather hided then solvedYou need more people to clean the chaos Organizational issuesInefficiency“Manana”

Not punctualMacho attitudeDifficulty to understand what deadlines mean

Tier 3

SensitiveGentle, calm, cozyAmusingCordial, cautiousLike to celebrateSocialLive today, not tomorrow

Cannot take people too seriously – answers are not bindingLack of innovation, unable to make decisionsInconvenient, hypocriticalBureaucratic, cumbersomeSlow, chaoticMelancholic

Tier 3




45

Sweden Ease of implementation Level: Tier 2


Style

Communication Style

Functional team work

preferred

More freedom and more

responsibility

Planning and consensus

High level of self-control Primus inter pares

Reserved and friendly

Modest and conflict avoiders Swedish management

is decentralized and

democratic. The

rationale is that better

informed employees

are more motivated and

perform better. The

drawback is that

decisions can be

delayed.

High level of transparency The Nordic countries often have entrenched

opinions that they have formulated "in the long

dark nights," though they are reasonable

conversationalists. Swedes often have the most

wide-ranging discussions, Finns tend to value

concision, and most Norwegians fall somewhere

in between.

Appointment driven

Facts and statistics

Everyone involved in

decision

There are no mistakes, only

system failures





46

Nordics: similar languages and mentalities

•High level of English spoken

•Few localizations required (Tier 2)

•Often small scale subsidiaries from US companies

Country Overstated Stereotype (pro) Overstated Stereotype (contra) Ease of impl. level

Subtly humourProgressiveLiberalModest

Cannot show emotions neither joy or miseryStiff

SilentRediscuss decisions made (too much consensus)

Tier 2

FriendlyDisciplinedHonestWork independentlyModernWell educatedOpen to technologyMore women in management positionsNo hectic or pressure but in the meantime hard working

Very silentDifficult to approachNot so openSmalltalk does not exist

Tier 2

LikeableRemain cool, regardless of the situationFeel goodComfortable

Lack of politeness (impression only)Get easily offendedLack of communication

Tier 2

FriendlyHelpfulDirect and openSensitiveInterested Polite

Level of distanceSarcasticStrong contrast between tradition and modernismLoose working attitude

Tier 2




47

Eastern Europe: the hidden challengers for US implementations

•Different languages


•Different working attitude



KindHelpfulConfidentDeterminedGood sense of humourHighly educated

Materialistic orientationEnviousDissatisfiedPassiveXenophobicInferiority complexStill some level of corruption

Tier 3

Fast to learnModestIntelligent

Not willing to take responsibilityUnable to work independently To achieve a higher salary is more important then the project success

Tier 3

Fast to learnMerchantsHighly educated

Taking the law as an excuse not to deliverNot solution orientatedKnow-it-all

Tier 4

Good sense of humourHospitableJovialEnjoy lifeProfound

Language barrierCarelessPessimistic

Tier 3

Motivated and hungry for success

Legacy of past impacts Tier 3




48

Middle East: Ease of implementation Level: Tier 3-4


Style

Communication Style

Great greenfield opportunities

Official law, daily law, no law

Curious

Restrained Nepotism

Unpredictable In Latin and Arab

countries, authority

is concentrated in

the chief executive,

and family relations

are very important,

with ubiquitous

nepotism.

Contradictory

Unspoken rules Westerners want to be fair, but just; Arabs want to be

just, but flexible.

The West believes in organizations and institutions;

Arabs believe in people (guided by God).

Westerners in principle wish to modernize. Arabs

strive to find a way of adopting modern modes of

behavior without disrupting the traditions they value.

When negotiating, Westerners try to find logical

conclusions, whereas Arabs use personalized

arguments, appeals and persistent persuasion.

Constant alert

No show up in meetings

Unreliable (deadlines, sign

offs) – things take time

No equality (gender, local,

GCC, expat, labor law, Kafala)





49

The rest of Europe and Middle East: the underestimated challengers for

US implementations

•Different languages and fonts (Greek, Hebrew, Arabic)


•Unknown areas


Overstated Stereotype (contra)

Ease of impl. level

PoliteFamily honourOpen to apply western standardsHelpfulGenerousHospitable

Money drivenCountry of contrastsToo many unspoken rules "ayip" High level of adrenalinAggressiveMachoLack of understanding European mentalities

Tier 4

SmartVery friendly and livelyHigh level of discussion

Special requirementsDifferent from the restLevel of control

Tier 4

Easy goingFriendlyGenerous

Organizational issuesDisciplineCommitment to deliverBeing punctual

Tier 5

Highly educated, mostly in US or UK

High level of collective intelligence due

to large portion of expats.

Open to modern business methods

while keeping the tradition.

Fast change / can do approach

Constant surveillance

Not keeping scope

Constant change of what was agreed

Lack of empowerment for non locals

Status of law

Harsh punishments

Tier 3

Tier 4




50

Understanding Oracle E-Business Suite Localizations (Doc ID 1478018.1)

What is a Localization?Localization is the process of developing application specific functionality designated tocertain regions or countries. It is a functional enhancement to Oracle Applications,developed by an Oracle subsidiary or International Applications Development, to meet alegal or business requirement of most customers in a given country.

An example of localization is the adjustment of the standard financials functionality ofOracle E-Business Suite to suit the legal and tax requirements for each country. Thelocalized functionality is described in the Country-Specific Financials User Guide for eachregion.

There are 3 types of Localizations:• Product Localizations: Delivered in the standard product by Oracle Applications

Development• Add-on Localizations: Delivered by the Regional Field Centers (Add-on Localization

Teams) via My Oracle Support• Partner Localizations: Delivered by partners including ISVs and system integrators

What is a Regional or Shared Localization?A Localization required by two or more countries. They have been called Oracle FamilyPacks. From Oracle R10.6 onwards, direct enhancements to core product were calledGlobalizations in order to meet global requirements.


51

Globalization

Globalization is the process of designing and deploying software that meets the needs of a

global enterprise via Internationalizations, Translations and Localizations. While

Internationalization and Translations involve national language support and UI translation

strategies, Localizations focuses on the business processes to meet the statutory, legal, and

cultural practices of a given locality. In Oracle E-Business Suite, this is achieved through

national and regional extensions called "country-specific functionalities" or "Localizations".

Because localization functionalities are all compatible with each other, installation of all

required country-specific functionalities results in a globalized implementation.

Globalization Guide for Oracle Applications Release 12 (Doc ID 393861.1)Provides more details regarding National Language Support (NLS), Multiple Language

Support (MLS), Unicodes, Date and Number Formatting, lightweight MLS feature, Oracle

Applications Internationalization Architecture, NLS related profile options and values,

Customizing, Translating, Troubleshooting, Appendix B: Oracle Applications Locale Data –

Languages, Client Character Encodings and IANA Encodings, Client Character Sets and

Native Client Encodings, Territories: The asterisk (*) marks territories that are supported in

12.2.2 and later such as Bosnia and Herzegovina*, Iran* and Malta*.

The Oracle Applications Globalization Guide, provides key information for using Oracle

Applications in global organizations.


52

Product Localizations

Product Localizations are standard product features and are installed when you run Rapid

Install. You simply need to license those you wish to use; this can be achieved from Rapid

Install during the initial install, or from License Manager in Oracle Application Manager at a

later stage. Some countries do not have Product Localization features either because the

standard product is able to meet the local requirements, or because those requirements are

beyond the scope of Oracle’s current Product Localizations offering.

Product Localizations are available for Asia Pacific, Europe, Americas, China and India. They

are divided into four main categories:

• Regional Localizations (JG)

• Asia/Pacific Localizations (JA)

• European Localizations (JE)

• Latin America Localizations (JL)

In general, the legal requirements apply to countries located on a particular region. Those

functionalities are included in the localizations available for the region where the country is

located. For example, if you want to install the localization for Argentina, then Latin American

Localizations (JL) will be activated, In addition, there are other legal requirements that are

common for several countries. Those "shared functionalities" are included in the Regional

Localizations (JG). JG is automatically activated for any country that require localizations.

The main sources of information for Oracle E-Business Suite Localizations are:

• Release 11i: 67101.1 -> 1478018.1: Global Financials Product Documentation (11i)

• Release 12: 973912.2: E-Business Suite Globalization Center


53

Add-on Localizations

Add-on Localizations are additional localizations delivered by regional field centers.

They are installed as extensions to the standard product and may require special

configuration instructions. This type of localizations can't be activated from Rapid Install

nor License Manager. Instead, they are installed via special patches and manual steps

posted in My Oracle Support articles. Add-on localizations are available to all

customers at no additional cost and are considered as "Service Deliverables". Add-on

localizations are released on a country by country basis.

Please consult the following document for more information:

• 429042.1: Introduction to Add-On Localizations for R12

Note: If a country is listed in the above note, then it is assumed that Add-On Localizations are

available for that country.

Partner LocalizationsPartner Localizations are delivered by partners including ISVs and system integrators.

This type of localizations are not activated or maintained by the standard products

included in Oracle E-Business Suite. Please contact your local partner for additional

information.


54

Release 12

• The Oracle Release 12 has different localizations manuals grouped in the sectionGlobal Financials. This has been consolidated into guides covering Americas,Asia/Pacific, Europe, India and international public sector financials. The countryspecific installation supplement remained as in Release 11i.

• Since for European countries the core applications in Release 12 manage manyfeatures that were previously managed at the regional and country level, the singlecountry guides have been consolidated into the Oracle Financials for Europe UserGuide and have been made as Country Specific Feature Data Sheets in the E-Business Suite Globalization Center (Doc ID 973912.2)

• The localizations are now visible per applications modules such as General Ledger, Payables, Receivables and Assets. There are separate sections for the Regions such as feature changes between Release 11i and Release 12, VAT and Statutory Reporting. Related Guides such as the Tax Guides show country specific tax requirements.

….so Where do we start…

searching in Oracle Support?”


55

Upgrade Advisor: E-Business Suite (EBS) 11i Upgrade to 12.2 (Doc ID 1614508.1)

• Evaluate -> Globalizations


56

E-Business Suite Globalization Center (Doc ID 973912.2)

• Introduction


57


• Internationalization


58


• Translation


59


• Localization: Country specific data sheets and Add-On Localization at the bottom left corner


60

European R12 Localization – Country Specific Feature Data Sheets

• E-Business Suite Globalization Center (Doc ID 973912.1)

For those countries where

localizations are only available

within Oracle Fusion, you can

use for some legal and

statutory requirements or

business practices DFF’s in

Oracle EBS R12. For example

in Qatar.


61

Country Sheet Sample: Germany


62

Country Sheet Sample: Germany


63

German Localization –with patch sets: Product Short Name is CLE, Product Code is 1713 for EMEA

• R12 EMEA Add-on Localizations - Germany [ID 412792.1]


64

E-Business Suite Financials Legislative Updates Center (Doc ID 871204.2)

• The Legislative Update Center Tab in E-Business Suite Globalization Center (Doc ID 973912.2) opens anew Doc ID 871204.2


65

E-Business Suite Globalization Center (Doc ID 973912.2) European Union

• Legislative Update Center – E-Business Suite Financials Legislative Updates Center (Doc ID 871204.2)


66


• Legislative Update Center – E-Business Suite Financials Legislative Updates Center (Doc ID 871204.2)• Example: France


67

R12 Documentation via OTN

• Latest Oracle Application Documentation -> Web Library


68

R12.2 Documentation Library -> http://docs.oracle.com/cd/E26401_01/index.htm

• For Localizations, select the Financials and HCM Tabs

http://docs.oracle.com/cd/E26401_01/index.htm


69

R12.2 Documentation Library

• Oracle Financials Localizations, i.e. Europe User Guide Release 12.2: Part No. E48767-04 (2015/09)


70

R12.2 Documentation Library

• For HCM Localizations, such as Payroll, Benefits an Compensations.


71

These are not the latest Localization Guides – use the link from OTN within Oracle Support

• Online Documentation – E-Business Suite Documentation – Release 12.2.2 Documentation


72

R12+ Add-on Localization Introduction Note - Doc ID 429042.1


73

EBS Localizations Delivery Model


74

Oracle E-Business Suite Release 12.2 Information Center (Doc ID 1581299.1)• Navigates you to E-Business Suite Globalization Center (Doc ID 973912.2) and the E-Business Suite Financials

Legislative Updates Center (Doc ID 871204.2).


75

Considerations

• Oracle Localization Guides

• Oracle Localization Quality

• Technical Skills to support European Rollouts

• Currencies and SEPA

• New Payment Standard ISO20022 affects payment formats

• Roll out plan (big bang vs. staged roll out)

• Language skills of the delivery team

• GAE in R11i – SLA in R12 replaces Global Accounting Engine

AX

• EBTax (VAT rules not yet harmonized in Europe)

• SAB 101 Revenue Recognition Rule

• VAT Compliance Issues

• Commissionaire Accounting

• Increased Governance, Risk and Control Restrictions


76

Where to find information in My Oracle Support

My Oracle Support Links

Country Add-on Localization Notes• Details on Country Add-on Localization, Links to Patches

and Documentation

Country Localization Datasheets• Comprehensive overview of both Add-on and Product

• Localizations

Product Localization Notes


77

Localizations – where to find Training for Localizations: Doc ID 807319.1

Module Country Subject

Oracle

Internationalization

and Translation

Various 12.2: Implement and Use Internationalization

Oracle Assets UK 12.2: Implement and Use Assets - UK Local Authority Revaluation and Impairment

Oracle Bill

Presentment

Architecture

UK 12.1.1: Oracle Bill Presentment Architecture and European Localizations Functional

Overview: UK Reverse Charge VAT

Oracle Cash

Management

UK 12.2: Implement and Use Cash Management - UK Bank Account Validation

Oracle Financials for

EMEA

IT, SP,

PT, EU

12.1.1: Oracle Financials for Europe Functional Overview: Enhanced Report Extracts

Oracle Financials for Europe Functional Overview: Italian Annual Customer and Supplier

Listing

12.2: Implement and Use Financials for EMEA - Italian Invoices Above Threshold Report

Implement and Use Financials for EMEA - Portuguese Billing Software Certification

12.2.3:Implement and Use Financials for EMEA - Enable EMEA Tax Reports for Reverse

Charge

12.2.4: Implement and Use Financials for EMEA - Italian Polyvalent Declaration

12.2.5: Implement and Use Financials for EMEA - Italian B2G Electronic Invoicing

Implement and Use Financials for EMEA - Spanish B2G Electronic Invoicing


78

Localizations – where to find Training for Localizations: Doc ID 807319.1

Module Country Subject

Oracle Payables South

EU

12.1.1: Oracle Payables Functional Overview: Calculation Points for Withholding Tax

Oracle Payments EU 12.1.1: Oracle Payments Functional Overview: Positive Pay File with Additional Parameters

Oracle Payments Functional Overview: SEPA Credit Transfer Initiation Messages

Oracle HRMS

Localizations

RO 12.2: Implement and Use Human Resources - HRMS EMEA Romania Localizations

Oracle Human

Resources

South

EU

12.1.3: Implement and Use HCM - Separation Certificate and Withholding Tax Report for

Termination

Implement and Use Human Resources and Self-Service Human Resources

Oracle Payroll EU 12.1.2: Implement and Use Oracle Payroll: Enhancements in EMEA Localizations

12.1.3: Implement and Use HCM - Separation Certificate and Withholding Tax Report for

Termination

Implement and Use Payroll - EMEA Localization Enhancements

12.2: Implement and Use Human Resources & Payroll - EMEA Localization Enhancements

Oracle Supply Chain

Globalization

EU 12.1.1: Oracle Supply Chain Globalization Functional Overview


79

Single

Global

Database

Shared

Service

Center

Org 3Org 2Org 1

Examples: Payables, Purchasing, Collections, HR

Centralized architecture, accounting model (SLA), tax engine, bank model and Intercompany

Drive

Shared Services

with R12

Financial

Management

Initiatives

From the original R12 intention to increase the efficiency of shared services and

single database operations with streamlined processing, reporting, and access

across operating units….. , centralization, control and flexibility…..

2004 (11.5.10) – 2016 (12.2.5) Challenges

• European Languages

• European Currencies

• Different Legal, Tax, Compliance, Data Protection and Statutory Requirements


80

Single Responsibility

Holland

Legal Entity

Denmark

Legal Entity

Belgium

Legal Entity

Belgium

Operating Unit

Holland

Operating Unit

Denmark

Operating Unit

Perform multiple

tasks across

operating units (OUs)

without changing

responsibilities

• Define and manage OUs from a central location

• View and manage customers across OUs

• Enter and pay invoices across OUs

• Receive goods across any OU

• Negotiate with suppliers for your enterprise, not just your OU

For Example:

Recap: Global Financial Management enabled by Multi-Org Access

• Increase the efficiency of shared services and single database operations

• Streamline access, processing and reporting across operating units


81

Single subledger

transaction (e.g.

invoice, payment)

can create multiple

accounting entries

• Ensure both corporate visibility and local compliance by automatically creating accounting for all legal entities

• Simplify inter-account reconciliation for key business flows such as procure-to-pay or order-to-cash

• Streamline reporting and inquiries by leveraging a common and consistent data model across all subledger applications

Ledger B

French GAAP/IASPlan ComptableFrench Calendar

EUR

Ledger A

US GAAPUS COAUS Calendar

USD

Subledger

Transaction

Dr Cr

Recap: Subledger Accounting

• Increase the efficiency of shared services and single database operations

• Streamline access, processing, and reporting across operating units


82

Ledger Set

Ledger Set Benefits:

• Cross/Multiple Ledger processing and reporting

• Data and definitions that can be shared and secured

• Native support for multiple accounting representations

French Rules

Plan Comptable

French Calendar

EUR

Ledger B

Must Share:

Chart of Accounts

Calendar

US GAAP

US COA

US Calendar

EUR

Ledger A

US GAAP

US COA

US Calendar

GBP

Ledger D

Defined by 4 C’s:

• Accounting

Convention

• Chart of Accounts

• Calendar

• Currency

Reporting Currency

Ledger C

US GAAP

US COA

US Calendar

USD

Recap: General Ledger: Ledger Sets

Increase the efficiency of shared services and single database operations

Streamline access, processing, and reporting across operating units


83

Recap: Centralized Global Tax Engine (E-Business Tax)

• Less Complex Global Tax Compliance

Tax

Transactions

Taxes,

Rules

Determine

Regimes

Taxable

Basis

Calculate

Tax

Amount

Tax Status

& Rate

Applicable

Taxes

Single Interface for Transactions

Transparent Integration with Tax Partner Services

Parties

Places

Products

Processes

Payables

Receivables

Purchasing

Transactions

Sales Orders

…


84

General Ledger

• Migrations / Re-implementations: Ledger Concept in R12 replaced SOB R11

European and Middle Eastern Considerations Ease of implemen-tation level

Ease of reconci-liation level

-Chart of accounts might be dictated by Government or global chart of accounts is missing local requirements.

-Currency issues, i.e. requirement of foreign exchange daily loader program-Profile Values-Legal and statutory reporting requirements-Payroll interfaces from feeder systems if Oracle HR is not in place-Extracts to Corporate reporting systems such as Hyperion

-Define Consolidations, i.e. requirement to have in addition to USGAAP or IFRS a local set of book, for example HGB-VAT Reports-Customized Trial Balance-Autopost Criteria-Tax Calculation Options-Document Sequencing

Tier 2 Tier 3


85

Payables

• Payment Module in Release 12 – challenge for technical migrations

European and Middle Eastern Considerations Ease of implemen-tation level

Ease of reconcili-ation level

-Payment Formats and Programs-EFT Payment files for local banks

-XML templates need customization – cannot be used out of the box (i.e. SEPA)-ISO20022 standard affects payment formats (i.e. new ESR in Switzerland in 2018)-PPR (name) visible in all organizations -> agree on naming conventions

-Profile Values – required for each operating unit -Bank Accounts (issues with migrated bank accounts – new banking / access rules)-Credit Cards-Complex Payment Terms-VAT and VAT Reports

-Tax codes, assignments and recovery rules (issues with migrated tax regimes. Requires additional manual post migration steps and patches.)-Supplier Conversion Standards-Customized Trial Balance-Localized Remittance Advice (out of the box solutions need enhancements)-Localized aging buckets-Withholding tax and tax calculation options-Special calendars such as recurring calendars-Tax Reporting Entities-Lookups, i.e. different pay groups such as domestic and foreign pay groups-Bank Charges-Work structure locations (HR)-Document Sequencing

Tier 2 (R11i)

Tier 4 (R12)

Tier 2


86

Receivables

• Migrations / Re-implementations: Advanced Collections, iReceivables

European and Middle Eastern Considerations Ease of implementation level


-Tax Codes-Transaction Types and Auto Accounting-Local Invoice Formats-Local Payment Slips for Cash Invoices-Local Dunning letters (out of the box solutions need enhancements)-Customer Data interfaces from feeder systems-Revenue interfaces from feeder systems-Customer Chargebacks customizations-VAT Reports, i.e. in Discoverer-Customized Trial Balance-Customer Statements-Profile Options – required for each operating unit-Address Flexfields – different formats in Europe and Middle East-Quick Codes (customer class, invoice types, etc.)-Payment Terms-Invoicing and Accounting Rules, i.e. 12 month even spreads-Transaction Sources-Receivables Activities, i.e. Accounting Rules for Adjustments-Receipt classes, i.e. cash or direct debit-Aging buckets and statement cycles-Document Sequencing

Tier 4 (Advanced Collections)

Tier 2 (iReceivables)

Tier 4


87

Cash Management

• Migrations / Re-implementations: Banking Concept in Release 12

European and Middle Eastern Considerations

Ease of implementation level

Ease of reconciliation level

-Bank Codes-File Formats-Different electronic bank statements

-Interfaces to 3rd banking software systems, i.e. ELBA-Middle East not SEPA ready and behind standardizations (ISO20022)-Interfaces from Direct Debit payments

-Automatic receipt creation customization-Single bank account shared by organizations / multiple operating units-Advantage when Shared Services-Disadvantage when operated per organization

Tier 1 (re-implementations)

Tier 2 (technical migrations)

Tier 5


88

Purchasing

• Buyer Work Centre

European and Middle Eastern Considerations Ease of implementation level


-Purchase Order lay out and format-Approval workflow

-Minimal Inventory set up required when items are used-Locations-System Profiles required for each operating unit-Categories for Items-Job groups and levels for approval matrix-Approval groups and assignments-Expense charge account rules

Tier 3* Tier 1

* Depending on chosen purchasing approval hierarchy, i.e. Jobs or Position based set up and also if workflow

is customized or AME (Approval Management Engine) is used.


89

Assets

• Few enhancements in Release 12 – low impact on technical

migrations or re-implementations


Ease of imple-mentation level

Ease of reconci-liation level

-Tax books (sometimes multiple tax books used, i.e. one statutory and one internal)-Account generator workflow

-Customized Asset reports such as Asset Movement and enhance Asset Register (“Anlagenspiegel”) still required to customize or to develop

Tier 2 Tier 2


90

Internet Expenses

• Some legal requirements are difficult to implement

• Plan your Expense Report Templates carefully


Ease of imple

mentation level

Ease of recon

ciliation level

-Different Per diem policy schedules

-Different mileage schedule-Different vehicle allowance laws-Different meal policy schedules

-VAT and Tax considerations for Expense Report Templates

Tier 3 Tier 1


91

Human Resources

• Payroll, Allowances, Company Loans

European & Middle Eastern Considerations Ease of implementation level


-Different legal and statutory requirements for payroll process (every European country)-Overtime handling-Middle East: pending on local / GCC / Arab / non Arab, education, family and marital status

-Transportation Allowance-Social Allowance-Housing Allowance (relocation, temporary housing)-Marriage Benefits-Furniture Allowance / Car Loan / Salary Advance Loan-Burdens of Life Company Loan-Water and Electricity Allowance-Nature of Work Allowance-Incentives, Enrollment Incentives-Supervision, Delegation, Shift, Cashier Allowance-Hazard Allowance -Phone Allowance-Leave Allowance-Schooling Allowance-Medical Treatment-Financial Loan-Airline Tickets

Tier 4

Payroll outsourcing options are often considered by US companies for their subsidiaries in Europe and Middle East.

Tier 2


92

Product Formats Product Formats

Assets 22 IT Audit 2

Cash 3 Loans 6

Collections 15 Payables 9

Common

Modules10 Payments 120

Financials

Consolidation

Hub

21 Public Sector 6

General Ledger 14 Receivables 10

Globalizations 92 Subledger Accounting 17

Internal

Controls

Manager

25 Tax 23

Financial Reporting with XML Publisher• Nearly 400 Modifiable Formats

• Enhancements required for SEPA and Direct Debits – out of the box solutions cannot

be deployed without customization


93

Common European Set ups and Reports

Setting up VAT Reporting: Set up legal entities, Set up tax profiles, Set up tax

registrations, Set up tax regimes, Set up tax codes and rates, Define VAT

Transaction Types and assign them to tax codes (define lookup codes for different

transaction types), Define reporting entities, associate the tax calendar, define

allocation rules and record VAT register information. Document Sequences. EMEA

VAT Selection Process, EMEA VAT Allocation Process, EMEA VAT Allocation Listing,

EMEA VAT Allocation Errors Report, EMEA VAT Final Reporting Process, EMEA

VAT: Summary All Extract. ECE Payables VAT Register Unpaid Invoices Annex, ECE

General Ledger VAT register, EMEA VAT: Audit GL Extract, ECE Payables VAT

register, Self Invoices, EU Purchase VAT Register, EU Sales VAT Register, Self

Invoices Purchase Register, EMEA VAT: Audit AP Extract, EMEA VAT: Journal AP

Extract, EMEA VAT: Summary AP Extract, EMEA VAT: Audit AP Non TRL Extract,

EMEA VAT: Turnover AP Non TRL Extract, Self Invoices Sales Register, Customs

Bills, ECE Receivables VAT Register, Regional Dunning letter, EMEA VAT: Audit AR

Extract, EMEA VAT: Journal AR Extract, EMEA VAT: Summary AR Extract, EMEA

VAT: Audit AR Non TRL Extract, EMEA VAT: Turnover AR Non TRL Extract, Regional

Fixed Assets Register Report, Statutory Asset Ledger Report, Statutory Asset Cost

Detail report, Statutory Asset Reserve Detail report


94

Norway, Finland, Germany, Austria and Switzerland Specific Reports

•GL, AP, AR, FA - Tier 1 and Tier 2 Countries

• Norwegian Government EDI reporting (GEI) functionality

• Norwegian VAT Reconciliation

• Finnish Payables Account by Detail report

• Finnish Deferred Depreciation Expense report

• German Payables VAT Reconciliation Detail Report

• German Payables VAT Reconciliation Detail report

• German VAT for on account receipts

• German VAT for On-Account Receipts report

• German Z-Reports (Meldungen für Aussenwirtschaft)

• German Anlagenspiegel

• Austrian HGB Anlagenspiegel

• Austrian VAT Reconciliation Report by Tax Code

• Austrian VAT Reconciliation Report by Tax Account

• Swiss Payables VAT Report


95

Belgium and Croatian Specific Reports

• GL, AP, AR, FA

• Tier 3 Countries

• Belgian VAT Allocation Rule

• Belgian VAT Monthly VAT Preparation report

• Belgian VAT Annual Declaration Process report

• Belgian VAT Annual Return Report

• Belgian VAT Annual Audit Report

• Belgian VAT Purchases Journal

• Belgian VAT Sales Journal

• Croatian Vendor Invoice Tax Report

• Croatia Customer Invoice Tax report


96

• Portuguese General Ledger Detail Trial Balance Report

• Portuguese General Ledger Summary Trial Balance Report

• Portuguese General Ledger Results Trial Balance Report

• Portuguese General Ledger Begin Year Trial Balance Report

• Portuguese General Ledger End Year Trial Balance Report

• Portuguese Periodic VAT report

• Portuguese Annual VAT report

• Portuguese Payables Taxpayer ID Exception report

• Portuguese Suppliers Recapitulative Extract File

• Portuguese Suppliers Recapitulative Report

• Portuguese Suppliers Recapitulative report and Extract File

• VAT Allocation Rule

• DFF for Receipt acknowledgment designation. Valid values are Yes or No.

• Receipt Acknowledgment Letter

• Portuguese Receivables Taxpayer ID Exception report

• Portuguese Customers Recapitulative Report

• Portuguese Customers Recapitulative Extract File

• Portuguese Customers Recapitulative Report and Extract File

Portugal Specific Reports

• GL, AP, AR, FA



97

• ECE* General Ledger VAT register

• ECE* Payables VAT Register Unpaid Invoices Annex

• ECE* Payables VAT register

• Hungarian Payables Invoice Aging report

• Regional Invoice Format

• ECE* Receivables VAT Register

• Hungarian Asset Movement Schedule

• Hungarian Accumulated Depreciation Movement Schedule

• Hungarian Depreciation Analysis report

• Turkish Trial Balance Report

Poland, Hungary, Czech Republic and Turkey Specific Reports

• GL, AP, AR, FA


*ECE: Doc ID 1490178.1 Development decided that the ECE Payables VAT Register, ECE GL VAT Register and ECE

Receivables VAT Register are supported for Poland, Hungary and the Czech Republic.


98

France, Czech Republic and Israel Specific Reports

• GL, AP, AR, FA


• French DAS2 file

• French DAS2 Verification Report

• French DAS2 Type 210 Updates Report

• French DAS2 Consultant Letters

• French Receivables Bank Remittance

• French Deductible VAT Declaration report

• French Deductible VAT Declaration Report

• Czech Regional Invoice Format

• Israeli Withholding Tax Detail/Summary Report

• Israeli Withholding Tax File Form 856

• Israeli Withholding Tax Reconciliation report

• Israeli Withholding Tax Annual Certificate to Vendors report

• Israeli VAT AP Detailed

• Israeli VAT Files - Related to 835 and Not Related to 835

• Israeli VAT Summary Declaration to Tax Authorities

• Israeli VAT AR Detailed Report


99

• Spanish Modelo 190

• Spanish Input VAT Journal report

• Spanish Payables Inter-EU Operations Summary Data Extract (Modelo 349)

• Spanish Payables Operations with Third Parties Data Extract (Modelo 347)

• Spanish Payables Canary Islands Annual Operations Data Extract (Modelo 415)

• Spanish Inter-EU Invoices Journal report

• Spanish Inter-EU Invoice Format (Documento Equivalente)

• Spanish Operations with Third Parties Magnetic Format (Modelo 347)

• Spanish Inter-EU Operations Summary Magnetic Format (Modelo 349)

• AutoInvoice importing invoices. DFF for Rental location.

• AutoInvoice importing invoices. DFF for the correction year and correction period

• AutoInvoice importing invoices. DFF for property location.

• Spanish Periodic Modelo Reports

• Spanish Output VAT Journal report

• Spanish Receivables Inter-EU Operations Summary Data Extract (Modelo 349)

• Spanish Receivables Operations with Third Parties Data Extract (Modelo 347)

• Spanish Receivables Canary Islands Annual Operations Data Extract (Modelo 415)

• Spanish Annual Modelo Magnetic Format Report

• Spanish Canary Islands Annual Operations Magnetic Format (Modelo 415)

Spain Specific Reports

• GL, AP, AR, FA



100

Poland and Italy

Specific Reports

• GL, AP, AR, FA


• Polish General Ledger Journal Entry Report

• Polish General Ledger Trial Balance Reports

• Polish Supplier Statement

• Polish AutoInvoice importing invoices. DFF for Bank Account Number.

• Polish Regional Invoice Format

• Polish ECE Receivables VAT Register

• Italian Payables Withholding Tax Letter

• Italian Remittance EFT Format

• Italian Annual Supplier Listing, Italian Annual Customer Listing

• Italian Exemptions

• Italian Payables Exemption Limit Manager

• Italian Annual Supplier Listing report

• Italian Purchase VAT Register

• Italian Payables Purchase VAT Register Annex

• Italian Payables Sales VAT Register (Self Invoices, EEC, VAT)

• Italian Payables Sales VAT Register Annex (Self Invoices, EEC, VAT)

• Italian Payables Summary VAT Report

• Italian Payables Exemption Letter Process, Italian Payables Exemption Letter Register

• Italian Supplier Exemption Limit Consumption report

• Italian Payables Exemption Limit Declaration report

• Italian Annual Customer Listing report

• Italian Receivables Sales VAT Register report, Italian Receivables Sales VAT Register

Annex

• Italian Receivables Deferred VAT Register report, Italian Receivables Deferred VAT

Register Annex

• Italian Statutory Headings Report

• Sequence Numbering


101

Greece Specific Reports

• GL, AP, AR, FA - Tier 5 Countries – most difficult to implement

• Greek Fiscal Trial Balance Report, Greek Fiscal Trial Balance File

• Greek General Ledger Trial Balance Report, Greek Statutory Trial Balance Report

• Parent Account Structure such as class, sub-class and group

• Cutoff Rules

• Supplier / Customer turnover rules

• Greek Payables Supplier Turnover Listing and Greek Payables Supplier, Turnover File Format

• Greek Receivables Customer Turnover Listing and Greek Receivables Customer, Turnover File Format

• DFF for public sector company Reporting. Valid values are Yes or No.

• DFF for Receipt acknowledgment designation. Valid values are Yes or No.

• Receipt Acknowledgment Letter

• Greek Statutory Headings Report

• The 15-Day Posting Rule, The 15-Day Posting Rule, 15-Day Posting Rule Exceptions

• Accounting Sequence Numbering

• Analytical Accounting

• Investment Law (EPENDYTIKOS NOMOS) and Commitment (DESMEYSEIS) Storage

• Company Statutory Information Storage, Company Statutory Report Headings Report


102

Country Link

EU Directives http://ec.europa.eu/justice/data-protection/index_en.htm

Data Protection Guides per country

http://ec.europa.eu/justice_home/fsj/privacy/guide/index_en.htm

Estonia http://www.aki.ee/en/inspectorate

Greece www.dpa.gr

United Kingdom https://ico.org.uk/

Latvia www.dvi.gov.lv/

Lithuania www.ada.lt//

Austria www.dsb.gv.at/

Poland www.giodo.gov.pl/en/

Slovakia www.dataprotection.gov.sk

Data Protection

• Has becoming an issue for certain branches and countries

http://ec.europa.eu/justice/data-protection/index_en.htm

http://ec.europa.eu/justice_home/fsj/privacy/guide/index_en.htm

http://www.aki.ee/en/inspectorate

http://www.dpa.gr/

https://ico.org.uk/

http://www.dvi.gov.lv/

http://www.ada.lt/

http://www.dsb.gv.at/

http://www.giodo.gov.pl/en/

http://www.dataprotection.gov.sk/

international series - oatug

Documents