To act more quickly and efficiently in cargo security, government agencies are demanding more information earlier in the supply chain cycle.
The three pillars that currently define global trade compliance include: government advanced cargo security, scrutinizing cargo and parties before they are destined for any host country; trade partners data exchange to facilitate advanced cargo security; and, the need for transparency of processes through automated electronic evidence collection and audit trails to demonstrate those activities have occurred from production to delivery.
The Challenges of Global Trade Compliance
Global trade compliance has historically been addressed through distinct and separate security filings done by a specific legislated party; via carriers who satisfy regional security requirements; or through network-based approach to filing where data for regional filings is collected before being transmitted to the filing party. While these approaches may still work in a limited fashion today, none will satisfy the global trade compliance demands of the future.
The harmonization of advance electronic cargo information requirements on all inbound, outbound and transit shipments is critical to ensuring the secure movement of goods worldwide. The disparity between the mandates outlined by countries around the world and the infrastructure capabilities of global supply chain stakeholders make the exchange of timely and accurate information on a global basis extremely challenging.
The key to managing these challenges is to partner with an organization who offers a cost-efficient and flexible solution that addresses these issues and prepares trading partners to meet global trade compliance mandates published today, and anticipate future compliance requirements.
Feature-Rich Solutions for Addressing Complex Global Trade Compliance Needs
Organizations that provide a range of capabilities and services, including import security, denied parties screening (DPS), import and export declarations, status messaging, auditing and reporting allow trading partners to:
Centralize compliance monitoring –a consolidated dashboard that a global taskforce can use to ensure security filings have been made successfully. It provides a single view to a company’s global security requirements and regulations. With a single user-interface by mode, users can easily correct/augment data in their own ERP systems or directly on screen. This makes compliance easier and eliminates the need to log in to multiple systems, thereby reducing errors and risk.
Convert export data to import data to reduce labor – To date, import and export data has been handled independently through multiple processes, leading to errors, slowdowns and risk. Reusing data to file both export and import declarations eliminates discrepancies and ensures that data is consistent and accurate.
Reduce the cost of filing – Consolidating global filing reduces transactional costs while maintaining scalability for new country mandates as they arise.
Organizations should look for a global filing solution that provides transparency in the filing process and can integrate operational data flow through their network anywhere in the world, regardless of geographic location or mode of transport.