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ERP System: Paraguayan vs Foreign

It is clear that, for effective business management, it is necessary to have an ERP system, since it facilitates control, supervision, analysis, and process optimization.

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It is clear that, for effective business management, it is necessary to have an ERP system, since it facilitates control, supervision, analysis, and process optimization.

Thus, if the goal is business growth, it is necessary to have a business management system that adapts to the needs, weaknesses, and projection defined for your business.

The question could be: which option is the most ideal?

In previous articles, we talked about the advantages and even offered some parameters that could help choose an ERP system suited to the company’s objectives. However, another question arises: should you buy a Paraguayan or foreign ERP system?

Keep reading to learn more.

Foreign ERP systems

We will begin by talking about foreign ERP systems, which, although they may be an attractive option for some Paraguayan companies, their conditions can represent many disadvantages for local companies.

First, it is necessary to take into account that a foreign ERP system means high licensing or implementation costs.

This happens because, since it was developed in other contexts, you need to be prepared for additional payments beyond the purchase of the system, such as permits, among other things.

On the other hand, there is also the quality of the ERP system. To buy foreign systems, it is necessary to do so through intermediaries, so there is no direct access to the manufacturers. Thus, the partner is responsible for managing and responding with its specialists.

Unless the intermediary has a large team of professionals specialized in the ERP system’s own development, it is likely that they will not be able to provide immediate responses to problems that arise with the system.

This condition undoubtedly reduces the quality and effectiveness of the IT solution.

Because they are foreign systems, the cost of development and adaptation increases, and this influences the cost of the product itself. Thus, when buying a foreign ERP system, you may be paying a higher cost with less benefit.

Finally, and related to the previous point, there is the fact that payment must be made in dollars and not in local currency, which generates cost variation and may even affect tax regulations, delaying certain financial processes.

Great advantages of a Paraguayan ERP system

Now, when it comes to a Paraguayan ERP system, business management will be more effective due to the following conditions:

First, acquiring a Paraguayan ERP system has a much lower cost than acquiring a foreign system.

The price is more accessible because it is a system developed in the country, which does not require additional costs and whose implementation is also much easier because it is contextualized to local conditions.

Second, there will always be access to the manufacturer, since it is in the country, and intermediaries are not needed for market entry. This means that the entire technical support and customer service team is immediate and direct.

An ERP system developed in the country is designed according to the most common practices and the rules of local businesses. Since the manufacturer knows the country’s context, there is no need to pay extra for adaptation and implementation.

On the other hand, at the administration and finance level, when it comes to a Paraguayan ERP system, it complies with the country’s tax regulations and their proper handling, in addition to being completely flexible and fast in response to tax changes.

Updating a Paraguayan ERP system guarantees its constant adaptation to the country’s conditions, local rules, and taxes. There is also the advantage that inputs are sold in local currency or under the local financial dynamics.

Choose a local ERP system and guarantee your company’s success

What is sought with an ERP system is to achieve an effective solution for processes within business management.

An IT solution that accelerates processes and provides greater efficiency.

Thus, if a system is complicated to implement and requires additional processes for staff training, then the objective for which it was acquired is not being achieved.

This situation can be avoided if you decide to consume a local ERP system, since it will allow you to implement a management system designed for the local market and in a language your company can easily assimilate.

In addition, local ERP systems have technical training teams within reach. Thus, if the system is not completely intuitive for the team’s capabilities, it will be possible to have in-person or online technical assistance in the ideal language, schedule, and conditions so that training is fast and effective.

So, evaluate based on this information and make the most convenient decision for your company’s development.

Below, we will leave the catalog of our modules so you can see which one is best suited for your company and start changing its processes today.

Click here and complete a short form to access the ebook.

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Written by Inventiva

Inventiva is a software development company specializing in innovative technology solutions. We develop a fully integrated Enterprise Resource Planning (ERP) system, as well as smartphone applications (apps), and have extensive experience serving international markets.

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