Brexit — Change and the Need for Agility
As the dust settles after the referendum in the UK last week, companies are facing the challenge of sifting through the uncertainty and concerns surrounding the impact of the result that the UK will leave the European Union (EU). "Brexit" is now a reality and the global markets have already felt the impact of the vote. Many businesses are wondering how this decision will alter the way they conduct business with partners, suppliers and customers at home and abroad.
The process of exiting the EU will take time. The UK will remain a member of the EU while it negotiates its exit and enters into other trade deals with the process expected to take up to two years to complete. During this time the UK remains a member of the EU and businesses will need to continue to comply with EU regulations and existing reporting requirements. As the process of exiting the EU progresses, companies in the UK will need to be able to adapt to the changing landscape with the potential arising for a period where both new and old reporting requirements will need to be supported.
The long-term impact of the vote is not yet known and predicting what will happen to the economy in six, twelve or 60 months is extremely difficult. As with any major macroeconomic change, the full scope of this event will become clearer over time. The only certainty is that there will be changes to business regulations, compliance regulations and taxation. Although the changes are likely to be complex and implemented over time, Epicor is already working with recognized bodies and organizations so we are at the forefront of understanding and preparing for changes to ensure continued success for our customers.
Change is nothing new – changes to reporting and compliance regulations are one of the only constants we can trust. Epicor solutions have been designed to operate across the world with flexibility and ease of use at the forefront of our product philosophy. When changes occur, Epicor software helps relieve our customers of the complexities of managing changes, allowing businesses to adapt to the changing landscape focusing on opportunities and continued growth.
"Brexit" is just one macro factor that most UK companies have to address within an environment of manufacturing uncertainty. In addition, globalization is impacting many companies presenting both opportunities and threats to manufacturers. Martin Hill, Vice President, Marketing International for Epicor, commented, "Whilst contemplating the impact of ‘Brexit’ on UK manufacturing, perhaps business leaders should be pausing to take advantage of the more sophisticated systems now available to assist in growth further afield than Europe. With ERP (enterprise resource planning) systems designed to support both local and global requirements, international expansion is far more realistic than may have previously been thought and can open the door to companies who would like to take their business global."
Going forward, our team of global experts and our broad network of partners, will be keeping an eye on the changes related to "Brexit" as well as changes in other countries such as the proposed introduction of GST in India and adjustments to electronic reporting and invoicing in Latin America.
Posted by Robert Sinfield, Epicor Product Director, Globalization and Localization