run worldwide with the sap® global trade services application

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SAP Solution in Detail SAP Solutions for Governance, Risk, and Compliance SAP Global Trade Services Run Worldwide with the SAP® Global Trade Services Application © 2014 SAP AG or an SAP affiliate company. All rights reserved.

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SAP Solution in DetailSAP Solutions for Governance, Risk, and Compliance

SAP Global Trade Services

Run Worldwide with the SAP® Global Trade Services Application

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© 2014 SAP AG or an SAP affiliate company. All rights reserved.

Table of Contents3 Quick Facts

4 Quantifying the Costs of Antiquated Global Trade Management

6 Moving to Global Trade Management

8 Running Compliance Worldwide

13 Managing Special Customs Procedures and Regional Processes

14 Optimizing Trade Preference Management

16 Processing Trade in China

17 Managing International Trade and Transportation

18 Deploying SAP Global Trade Services in the Cloud

SummaryWith the SAP® Global Trade Services application, you can centrally manage global trade and have a single repository for all compliance master data and content. Deploy it stand-alone or as part of SAP solutions for governance, risk, and compliance – on premise or in the cloud. And if your goal is to run worldwide compliance from a single platform, integrate SAP Global Trade Services with your supply chain, financial, and engineering systems.

Business Challenges • Improve trade management and reduce compli-ance risks by automating processes and building cohesive, scalable systems

• Increase supply chain velocity with standardized software interfaces and more efficient processes

• Eliminate duplicate efforts with centralized management of master data and content

• Maintain evolving trade sanctions and regulations

Key Features • Export management – Manage most trade regulations and localization for more than 25 countries

• Import management – Streamline manage-ment with self-filing, importer security filing, duty calculation, and more

• Preferential and free trade agreement – Reduce duty and tax payments and manage vendor and customer declarations

• Single data repository – Centralize master, classification, and compliance data

• Regional and industry compliance – Automate compliance with processes like the European Excise Movement and Control System (EMCS)

Business Benefits • Eliminate time-consuming, manual compli-ance tasks and boost productivity using automation

• Accelerate the supply chain with real-time compliance checks

• Validate every order against the same version of regulations to reduce the risk of fines and penalties

• Manage content changes with ease and publish them across the organization

• Reduce cost and effort of global trade compliance, duties, and taxes

For More InformationContact your SAP representative, or visit us online at www.sap.com/gts.

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© 2014 SAP AG or an SAP affiliate company. All rights reserved.

Quick Facts

MANUAL AND LEGACY GLOBAL TRADE SYSTEMS: NO LONGER SUFFICIENT As companies increase participation in global trade, their need for effective global trade manage-ment increases as well. The fact is, the number of trade agreements is nearly tripling every decade – and these agreements are having huge impacts on global trade transactions. Managing global trade in accordance with the ever-evolving labyrinth of regulatory requirements today can make or break the success of your globalization strategy.

The problem is that within many businesses, global trade is managed using antiquated manual processes, legacy global trade systems, and other processes that simply can’t address the complexi-ties of global trade today. For example, fragmented legacy systems break the natural rhythm of infor-mation flow, with cross-border order and shipment data passing through separate systems for trans-actions, screening, and approval. This convoluted information flow results in delays of export orders that must be screened, inbound shipments that need to rapidly clear customs, and reports that decision makers need to monitor landed-cost or free-trade compliance. In addition to delays, having separate systems for managing global trade pre-vents timely visibility into orders and shipments – including those that may be violating regulations.

As companies add new products, move into new markets, or increase trade volume, they are find-ing that their manual and legacy systems can’t keep up, compounding these problems. For example, if customer orders don’t ship on time, businesses can’t take advantage of duty-relief and duty-suspension programs, and compliance risk increases.

THE GOAL: MOVE TO A SINGLE GLOBAL TRADE MANAGEMENT SYSTEMNo doubt these challenges sound familiar, espe-cially since businesses today are operating in real time, around the clock. To run successful global trade operations, you need a real-time global trade management system that provides a cen-tralized trade data repository for storing current legal, regulatory, and compliance-related infor-mation. It also should support real-time global trade processes and reporting functions that can be fully integrated with your core enterprise resource planning (ERP) systems. Using such a system, you can:

• Screen export transactions directly from your ERP system for sanctioned-party-list screening and other local export regulations in real time to avoid delays

• Check inbound shipments against content rules and expedite customs clearance

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© 2014 SAP AG or an SAP affiliate company. All rights reserved.

Quantifying the Costs of Antiquated Global Trade Management

Savvy organizations are globalizing to compete in today’s markets. “Going global” lets companies sell into new markets, diversify their revenue streams, and source from lower-cost suppliers. But globalization also increases the complexity of cross-border trade, bringing both opportunities and risks. The SAP® Global Trade Services application gives you confidence that your business processes are compliant with complex global trade regulations while enabling a high-velocity supply chain.

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© 2014 SAP AG or an SAP affiliate company. All rights reserved.

• Reductions in the cost and effort of global trade compliance

• Greater productivity through the automation of time-consuming, manual tasks

• Fewer fines and penalties from trade compliance violations

• Protection of company brand and image – for example, by avoiding trade with sanctioned or denied parties

• Faster outbound and inbound customs clear-ance by reducing unnecessary delays

The SAP Global Trade Services application offers the integrated, real-time functionality you need to realize these benefits. Now you can reduce compliance risk while boosting supply chain effi-ciency and performance, so you can maintain your commitment to delivering the best possible service to your customers around the world.

• Help ensure full use of – and compliance with – free trade agreements and regional trade initiatives

• More easily implement special customs proce-dures, such as bonded warehouses, outward-processing relief, and inward-processing relief

• Gain better visibility into cross-border orders and shipments that have been flagged for attention – for example, via dashboards

• Identify compliance, performance, and supply chain problems early – before they cost you a client relationship or a huge noncompliance penalty

With this integrated functionality, you can reduce compliance risk and increase supply chain effi-ciency and performance – and by default, maintain your commitment to delivering the best possible service to your customers worldwide. At the same time, you can realize other benefits such as:

With SAP Global Trade Services, you can reduce compliance risk while boosting supply chain efficiency and performance – and maintain your commitment to delivering the best possible service to your customers around the world.

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© 2014 SAP AG or an SAP affiliate company. All rights reserved.

Moving to Global Trade Management

With SAP Global Trade Services, you get a single, comprehensive, and secure solution for centrally managing trade activity worldwide. The application provides:

• A central place to store all trade-related legal, compliance, and regulatory data

• Integration with core business systems for real-time data processing and transactions

• Support for full regulatory export compliance, including the International Traffic in Arms Regula-tions (ITAR), license determination, and the ability to generate and e-file customs documents

• Support for complete regulatory import compli-ance, including functions for calculating and making duty payments, expediting customs clearance, and performing reconciliations

• Process automation and integration for efficient execution of customs warehouse management and inward and outward processing

• The ability to defer or eliminate duty payments within free trade agreements for real cost reductions

• Built-in compliance with a number of regional processes, such as the European Excise Move-ment and Control System (EMCS), Restitution, and Intrastat

• Key country localizations (including processing trade for China)

At the same time, SAP Global Trade Services helps prepare your organization for the future of trade processing by moving toward a “single window” concept. Through this window, you can simplify and streamline the submission of trade data and documents, as well as communicate with trading partners.

Let’s take a closer look at how SAP Global Trade Services can help you execute your globalization strategy safely, efficiently, and profitably. As shown in Figure 1, SAP provides a comprehensive solution for global trade services that supports export and import management, trade preference management, and special procedures for customs and regions. This application runs on the SAP NetWeaver® technology platform, enabling native integration to SAP systems and non-SAP systems alike. You can also run it with the SAP HANA® platform as your database.

KEY FEATURES AND PROCESSES SUPPORTEDThe SAP Global Trade Services application helps you increase the efficiency of your supply chain, manage global trade in a more profitable manner, and improve customer satisfaction. The table summarizes the key features and processes supported, as well as the general benefits you can expect.

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© 2014 SAP AG or an SAP affiliate company. All rights reserved.

Figure 1: Comprehensive Footprint of the SAP® Global Trade Services Application

Export management

Import management

Trade preference management

Special customs procedures

Customs warehouse

Inward processing

Processing under customs control

Entry for prescribed

end use

Outward processing

Special regional procedures

SAP N

etWeaver® technology platform

Export classification Export compliance Outbound customs services

Outbound trade finance services

Import classification Import compliance Inbound customs services

Inbound trade finance services

Vendor declaration handling Preference determination Customer declaration handling

Goods movements subject to excise duties (EMCS) Restitution management Electronic compliance

reporting

EMCS = Excise Movement and Control System

SAP® Global Trade Services Application

Benefits Enabling features

Increased supply chain efficiency

• Automated application of extensive global trade regulations• Comprehensive global trade business process automation • Management by exception through risk thresholds and automated alerts

Maximization of global trade profitability

• Inward and outward processing relief from custom duties and value-added tax (VAT) charges

• Adherence to free trade agreements• Tracking of input and output of goods in bonded warehouses

Improved customer satisfaction

• Rapidly clear inbound and outbound customs to deliver product on time• Enable global supply chain visibility and transparency• Automate free trade agreements for more competitive pricing and

reduced costs

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© 2014 SAP AG or an SAP affiliate company. All rights reserved.

Running Compliance Worldwide

All business partner data, along with the latest and most complete sanctioned-party lists, is main-tained in the application. Product master records contain all necessary classification to automate global trade transactions. These include the Harmonized Commodity Description and Coding System (HS), Harmonized Tariff Schedule (HTS), Integrated Tariff of the European Communities (TARIC), Export Control Classification Numbers (ECCNs), import duty rates, and regional value content calculations and transactions.

Because SAP Global Trade Services integrates directly with SAP Business Suite applications or other business systems, all global trade trans-actions are automatically checked for compli-ance and appropriate import or export controls. At the same time, inbound and outbound com-munication workflows deliver the appropriate transactional content to customs authorities. By performing and recording compliance checks in real time, the trade services application keeps products moving and payments processing.

Global trade is a complex, regulatory-driven business – and getting it right for every order and shipment requires the right technical foundation. SAP Global Trade Services provides you with an ideal foundation for managing all of your global trade activity worldwide.

COMPLIANCE MASTER DATA AND CONTENT MANAGEMENTSAP Global Trade Services lays the foundation for effective trade compliance by acting as the single system of record for all compliance master data and content. The software pulls content from export, import, and free trade agreements, as well as import duty and tax reduction transac-tions, and delivers it to authorized users inside and outside your company.

The application uses standard data models for global trade-related content, including complete sanctioned-party lists, rules of origin require-ments, customs code lists, product master data, country groups, authorizations, licenses, and securities. It also captures master data about business partners, including customers, suppli-ers, banks, customs offices, data providers, the organizational units of employees, and govern-ment agencies.

SAP Global Trade Services supports various classification models including the Harmonized System, Harmonized Tariff Schedule, Integrated Tariff of the European Communities, and export classification numbers.

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and you can extend ad hoc, sanctioned-party-list screening functionality to nontraditional users. As a result, you obtain fast resolution of issues and keep goods moving efficiently along the supply chain.

REAL-TIME COMPLIANCE CHECKS AND RELEASES Without direct and real-time integration between your trade management and enterprise business systems, you have to depend on manual inter-ventions to stop shipments that need further review. It only takes a small slip to create a domino effect of problems, such as errors in cus-toms declarations, additional shipping fees, and other costs resulting from supply chain delays.

Real-time integration between SAP Global Trade Services and SAP Business Suite enables real-time compliance checks, controls, hard stops, and block resolution work lists and workflows. Together, this functionality helps you keep compliance-related data – and your products – moving as quickly as possible. Figure 2 highlights the various points of integration between trade management processes within SAP Global Trade Services and order and shipment processes within SAP Business Suite.

SANCTIONED-PARTY-LIST SCREENING SAP Global Trade Services supports sanctioned-party-list screening by running real-time com- pliance checks across sales, finance, human resources, procurement, and distribution departments. When a transaction fails to pass a compliance check, it is flagged for review before it can proceed. Work lists enable efficient pro-cessing of blocked documents and partners, and user-friendly workflows escalate questionable entries to superusers for final resolution and entry into the audit trail.

SAP Global Trade Services enables sanctioned-party-list screening, which can be up and running in weeks either on premise or in the cloud – com-plete with electronic audit trails and reporting. The sanctioned-party-list screening functionality integrates with SAP Business Suite. Once inte-grated, compliance checks occur in real time.

You can also deploy the SAP Sanctioned-Party List mobile app to provide anywhere, anytime access to compliance transactions and pro-cesses. For example, you can access reviews and resolutions of business partners who are blocked due to one or more “hits”; you can identify and resolve business documents that are blocked;

One of the key strengths of SAP Global Trade Services is its deep integration into core ERP logistics processes, which are essential to efficient export management.

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Figure 2: Integration between SAP® Global Trade Services and SAP Business Suite

Distribution process

Product and business master data (customer) Sales order Delivery Pro forma invoice

Export process

Product classification (including harmonized tariff schedule, export classification number, and Schedule B)

• Export and import compliance check

• Letter-of-credit check

• Export and import compliance check

• Bonded warehouse• Duty calculation

• Customs communication

• Document printing• Letter of credit–

compliant printing

Global trade services

Import process

Product and business master data (supplier) Purchase order Shipping notification Goods receiptProcurement

process

Using flexible analytic models based on real-time and historic business data, the SAP HANA Live offering for SAP GTS lets you analyze even larger volumes of nonaggregated data and application-related information in real time, at unprece-dented speeds. Initially supporting customs and compliance, this technical infrastructure enables SAP HANA to use data from SAP Global Trade Services for analytics processing. Business users can use the infrastructure to generate reports at high speeds, and to more easily visualize

ACCELERATED APPLICATION-RELATED DATA ANALYSIS USING SAP HANA The SAP HANA platform – a high-speed, in- memory database – can serve as the primary database for SAP Global Trade Services. SAP HANA includes tools for data modeling, data and lifecycle management, security, operations, and more. Going forward, SAP Global Trade Services (SAP GTS) is optimized to take advantage of the high-performance functionality delivered by SAP HANA.

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and compliance specialist. Correct product clas-sification helps ensure that you are able to:

• Identify and pay the correct amount of duties and taxes

• Know if duties have been suspended on goods • Stay aware of preferential duty rates • Know if import or export permits or licenses are required

Product classification is also used to determine customs tariffs, collect trade statistics, deter-mine rules of origin, collect international taxes, negotiate trades, determine transport tariffs and statistics, monitor controlled goods, and more.

SAP Global Trade Services supports multiple numbering schemes for the same product based on legal regulations of the various countries and customs regimes. It also supports mass product classification or mass reclassification, which increases user productivity while keeping prod-uct classifications up-to-date.

EXPORT MANAGEMENTOne of the key strengths of SAP Global Trade Ser-vices is its deep integration into core ERP logistics processes, which are essential to efficient export management. For example, the software inte-grates into sales and distribution processes to help ensure compliant and efficient export man-agement, as well as support product classification, sanctioned-party-list screening, export license management and determination, embargo screening, and export customs management.

reports using tools such as SAP Crystal Reports® software or SAP BusinessObjects Explorer® software. Because application-related data can be read directly from the SAP HANA platform’s in-memory database, SAP HANA Live for SAP GTS delivers even faster performance.

SAP HANA also supports the analysis of sanctioned-party-lists. It accelerates analytics performance and efficiency by providing real-time access to massive amounts of screened sanctioned-party-list data, blocked partners, and documents. Using this optional function, you can accelerate access to screened data, includ-ing incomplete documents, audit trails, blocked business partners, and blocked documents, to quickly diagnose and address issues.

PRODUCT CLASSIFICATIONIn order to uniquely identify goods when commu-nicating with regulatory authorities, you need to classify goods according to “official classifica-tions.” Product classification involves assigning a code (a structured number of a specific length) to each product for identification purposes. You may need to maintain many classifications for each product to accommodate various authori-ties; for example, in the European Union, prod-ucts require a TARIC code, which is an import classification scheme for the EU. Supported clas-sifications include HS, HTS, TARIC, and ECCNs.

Accurate product classification is the foundation of global trade best practices, so it should always be done in collaboration with a product engineer

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Services is certified for Importer Security Filing (ISF) and has a certified interface to the U.S. Customs and Border Protection Automated Broker Interface (ABI).

SAP Global Trade Services creates a customs declaration based on the purchase order, inbound delivery, or the carrier bill of lading. The customs declaration serves as the import entry and includes all details regarding what is being imported. The software checks that all imported products are properly classified; determines if any product is subject to import licenses, per-mits, or other government agency requirements; and identifies whether these shipments comply with the terms of the import regulation. All rele-vant data is automatically available for reporting to the appropriate customs authorities. SAP Global Trade Services then determines and accu-rately calculates all import duties, taxes, and fees and makes any adjustments to the transaction value. It generates all necessary forms and files electronic customs entries via certified customs interfaces.

After the goods are imported, the software auto-matically checks the goods receipt against the import entry and reports any variances. At this point in the process, it provides support for postentry reconciliation, allowing importers to correct any entries flagged as inaccurate. It also receives duty statements from customs and the authorization for the settlement of duties via an automated clearing house.

For more complex export transactions (such as those involving ITAR requirements), the applica-tion can integrate bills of materials (BOMs) into the license determination process; this allows you to control relevant components and track the flow of controlled goods throughout procure-ment, production, and distribution processes. The software also integrates with sales order and outbound delivery processes to perform sanctioned-party screening, embargo screening, license determination and management, letter-of-credit checks, and hazardous material checks. It uses the information from pro forma or com-mercial invoices as the basis for generating export documents and sending the export declaration to customs authorities via a certified customs interface (where available or required). The receipt of a confirmation from the customs authorities in SAP Global Trade Services closes the export process.

IMPORT MANAGEMENTSAP Global Trade Services provides one of the most comprehensive import management solu-tions in the industry. SAP Global Trade Services is tightly integrated with the procurement and inbound logistics processes enabled by SAP Business Suite – processes that are critical to effective import management. The solution also supports product classification, sanctioned-party-list screening, import license and permit management, embargo screening, and import customs management. Because the import pro-cess is more data intensive and can require infor-mation from external sources, SAP Global Trade

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Managing Special Customs Procedures and Regional Processes

goods to free circulation. With IPR, you can realize significant savings by minimizing and deferring payment of import duties and value-added taxes (VAT), and by managing customs processes throughout your worldwide manufacturing and distribution facilities.

In addition, SAP Global Trade Services integrates with the European Excise Movement and Control System – a system for monitoring movements of excisable goods under suspension of excise duty within the European Union (in other words, goods for which excise duties have not been paid). This integration enables your organization to defer or eliminate excise taxes in the European Union. It also manages Intrastat reporting and supports restitution; this enables your company to comply with EU regulations and allow the European agri-cultural industry to compete globally. You can also use the software to comply with the EU’s Registration, Evaluation, Authorization, and Restriction of Chemicals (REACH) regulation by proactively managing the content of certain haz-ardous materials entering the European Union.

SAP Global Trade Services supports more than 25 certified interfaces for customs and other gov-ernment agencies. This not only reduces the cost of compliance, but it also enables organizations to rapidly enter into new markets.

SAP Global Trade Services supports special customs procedures that provide substantial savings on duties, taxes, and customs fees. Spe-cial customs procedures and regional processes supported include bonded warehouses, outward- and inward-processing relief, ITAR compliance, and goods movements subject to excise duties (EMCS). In addition, SAP Global Trade Services delivers bonded warehouse functions that track inventory by custom status (for example, duty paid or duty unpaid) as the goods enter, are stored, and are withdrawn from the bonded warehouse; this allows duty payments to be delayed until product is used.

SAP Global Trade Services supports outward pro-cessing relief (OPR) to provide relief from custom duty, allowing you to track the export of materials for processing outside their customs territory. SAP Global Trade Services then links to the reim-port record of the semifinished or finished good so that importers only pay duties on the value-added foreign content. OPR functionality is integrated into the sales process, including repurchase, sub-contracting, and stock transfer scenarios.

The software also supports inward processing relief (IPR) capability, which allows you to track imported components through production to the export of the finished goods, as well as divert

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Optimizing Trade Preference Management

IDENTIFICATION OF GOODS AS ELIGIBLE FOR PREFERENTIAL TREATMENT For most companies, identifying goods as eligible for preferential treatment is usually a manually intensive, error-prone process. Companies oper-ating in a manual or hybrid system environment simply cannot accommodate regulatory require-ments for this area of compliance; and as a result, they miss out on the real cash savings offered by free trade agreements.

SAP Global Trade Services provides comprehen-sive trade preference management functionality that supports free trade agreements, preferential treatments, vendor declarations, and regional value content calculations. The application streamlines and automates the process of prefer-ence determination, including:

• Requesting vendor declarations and managing their collection and maintenance

• Calculating product origin based on agreement rules

• Issuing customer certificates of origin • Managing multiple trade agreements • Calculating imported and domestic inputs used in finished products based on the rules of origin applied

The software automates and tracks all required tasks, generating a complete audit trail at every step.

SAP Global Trade Services offers comprehensive functionality for trade preference management. The application uses content-based rules of origin in preferential trade agreements to determine which products are eligible for reduced import duty rates. When done manually or without the aid of a purpose-built solution, preference determina-tion is costly, error prone, and risky. Typically, it involves manual gathering of vendor declarations, complex analyses of product-content origin, and complicated value calculations using BOM data. That’s why SAP Global Trade Services automates the entire process of determining trade prefer-ences, so your organization can claim duty reduc-tions and comply with each customer’s need for vital product-origin certification.

FREE TRADE AGREEMENTS Preferred or free trade agreements offer lower duty rates to participating countries or customs regimes. The growth of free trade agreements worldwide is anticipated to grow significantly. SAP Global Trade Services automates processes required for your company to take advantage of free trade agreements such as the North American Free Trade Agreement, as well as trade agreements with the European Union, Korea, Latin America, and many others.

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vendor declarations to customers. By automating the entire process, you can not only save signifi-cant time and effort but also minimize the risk of presenting incorrect statements to authorities.

REGIONAL VALUE CONTENT CALCULATIONRunning preferred trade agreements without system automation is manually intensive and challenging. Hence, it keeps many companies from realizing the real cash savings offered by trade agreements. SAP Global Trade Services keeps track of all preference calculations, trans-actions, and goods movements – all captured in an electronic audit trail. In addition, it supports both net value and transaction value valuation methods. Preference management functions enable the collection of vendor declarations, preference processing of BOMs (both fixed and order related), preference eligibility determina-tion, and the generation and distribution of preference declarations to customers.

By automating the entire vendor declaration pro-cess, SAP Global Trade Services not only saves customers significant time and effort, but it also minimizes the risk of presenting incorrect state-ments to authorities.

LONG-TERM VENDOR DECLARATIONSSAP Global Trade Services streamlines the collec-tion and management of required documentation and long-term vendor declarations from suppliers. Tightly integrated with the procurement processes enabled by SAP Business Suite, the application allows you to establish the relationship of materials and the vendors they are purchased from. Using this information, the software determines which vendors are located within the countries included in the different preference zones. It can also gener-ate requests and reminders for long-term vendor declarations of relevant products.

SAP Global Trade Services allows your company’s suppliers to use Web-based supplier self-services so they can quickly and more easily maintain dec-larations online. Their inputs are then aggregated and maintained in the solution. The application also integrates with the production and sales pro-cesses supported by SAP Business Suite, so it automatically receives updated copies of the BOMs. It evaluates product classification and pref-erence status for BOMs, using applicable rules of origin to determine which goods qualify for prefer-ential duty treatment. Real-time integration into SAP Business Suite software’s sales and distribu-tion functionality enables the issuing of long-term

SAP Global Trade Services provides one of the most comprehensive import management solutions in the industry.

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Processing Trade in China

Companies can use the solution to manage classi-fications, including supervision codes, declaration elements, and letters-of-credit management, as well as managing legal control, generating export declaration forms, and claiming VAT refunds. As the first localized processing trade solution for China from SAP, the software can help your com-pany obtain work orders and goods information directly by processing different codes and pro-cesses in your SAP ERP application. As a result, you can save time, lower costs, and improve effi-ciency while efficiently managing your processing trade activities.

Over the last few years, processing trade in China has increased dramatically. Companies face mul-tiple challenges to comply with processing trade regulations, including performing reconciliations, managing customs BOMs, tracking inventory, and managing customs declarations with match-ing business transactions. SAP GTS, processing trade in China, helps companies minimize risk and reduce duties by centralizing processing trade activities. At the same time, it improves efficiency by automating imports, exports, and e-manual management.

SAP Global Trade Services supports more than 25 certified interfaces for customs and other government agencies. This not only reduces the cost of compliance, but it also enables organizations to rapidly enter into new markets.

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Managing International Trade and Transportation

create a forwarding order in SAP TM and send it to SAP Global Trade Services for a compliance check and customs declaration. Once the cus-toms declaration is completed, SAP Global Trade Services sends the customs status to SAP TM indicating that “export is allowed.” At that point, a shipment is allowed to progress.

GLOBAL SUPPLY CHAIN VISIBILITYSupply chain professionals, customer service representatives, and compliance managers require visibility into international trade activities. To meet this need, SAP Global Trade Services extends your global supply chain management solution by integrating with SAP Event Manage-ment to provide visibility into the details of all customs operations – both for imports and exports. This enables you to proactively mitigate the risk of unforeseen customs delays. You can also trigger events from defined fields in almost any SAP Global Trade Services document.

SAP Global Trade Services integrates with the SAP Transportation Management (SAP TM) application and SAP Event Management applica-tion, so your users can manage dock-to-dock supply chain processes with greater visibility and export control.

INTEGRATION WITH SAP TRANSPORTATION MANAGEMENT Exporters must complete an export declaration and, in many cases, file it electronically with sys-tems such as the U.S. Department of Commerce’s Automated Export System (AES). Using SAP Global Trade Services integrated with SAP TM, large exporters and logistics service providers can create a single export for their entire shipment.

For exporters, SAP TM indicates if a shipment is customs relevant; it then sends the freight order to SAP Global Trade Services for a compliance check and to create the customs declaration. Logistics service providers, on the other hand,

SAP Global Trade Services supports the special customs procedures such as bonded warehouses, outward processing relief, and inward processing relief that provide substantial savings on duties, taxes, and customs fees.

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Deploying SAP Global Trade Services in the Cloud

Using SAP Rapid Deployment solutions, you can implement our cloud solution quickly. SAP Global Trade Services in the cloud is always the latest release, and the most current functionality is always available for implementation.

FIND OUT MORETo learn more about how SAP can help streamline your global trade compliance while accelerating your supply chain, call your SAP representative today or visit us on the Web at www.sap.com/gts.

A UNIFIED, ON-DEMAND GLOBAL TRADE SERVICES SOLUTION SAP provides a single unified platform for SAP Global Trade Services in the cloud. Now you can securely connect your company – large or small – to a hosted system managed and maintained in the cloud. You can choose to deploy a wide range of standard global trade scenarios supported by our cloud-based solution. The net result? Lower cost of ownership, reduced maintenance and upgrade costs, and access to the latest features.

Studio SAP | 22470enUS (14/06) © 2014 SAP AG or an SAP affiliate company. All rights reserved.

SAP Global Trade Services provides comprehensive trade preference management functionality such as support for free trade agreements, preferential treatments, vendor declarations, and regional value content calculations.

© 2014 SAP AG or an SAP affi liate company. All rights reserved.

No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG or an SAP affi liate company.

SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG (or an SAP affi liate company) in Germany and other countries. Please see http://www.sap.com/corporate-en/legal/copyright/index.epx#trademark for additional trademark information and notices. Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors.

National product specifi cations may vary.

These materials are provided by SAP AG or an SAP affi liate company for informational purposes only, without representation or warranty of any kind, and SAP AG or its affi liated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP AG or SAP affi liate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty.

In particular, SAP AG or its affi liated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP AG’s or its affi liated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP AG or its affi liated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to diff er materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.