Leveraging QAD TMS to Mitigate Export
Risks and Challenges*
Tim Dennis – Solution Consultant, QAD
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Safe Harbor Statement
The following is intended to outline QAD’s general
product direction. It is intended for information
purposes only, and may not be incorporated into
any contract. It is not a commitment to deliver
any material, code, functional capabilities, and
should not be relied upon in making purchasing
decisions. The development, release, and timing
of any features or functional capabilities
described for QAD’s products remains at the sole
discretion of QAD.
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Export Trade Compliance Importance
■ The Effective Enterprise
 Reduces risk
 Reduces manual effort
 Reduces cost
 Complies with industry best practices
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
What is Export Trade Compliance?
■ Denied / restricted party screening
 Domestic and International
 All parties to the transaction
■ Product classification
 Schedule B, IntraStat, Taric
 HTS (HTSUS, HTSDE, HTSCA, etc, etc…)
 ECCN (ECCN-US, ECCN-EU)
■ Document compliance
 Trade documents
− Commercial Invoice, SED, SLI
■ Electronic customs filing
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
QAD TMS – More than just Shipping
Transportation
Management
Global Trade
Management
Trade
Compliance
Package
Exception
Management
Business
Intelligence
Base
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
QAD TMS – Export Trade Compliance
Global Trade
Management
■ Global Trade Management
 Automated trade document production
 Electronic customs filing
Trade
Compliance
■ Trade Compliance
 Denied / restricted party screening
 Export license determination and management
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Why is Export Trade Compliance Important?
■ Shipping to a denied / restricted party
 Fines
 Incarceration
■ Shipment problems
 “Stuck” in customs
− Incorrect / missing paperwork
− Invalid commodity codes
 Fines
■ Customs
 You don’t want them to know you
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Risk Reduction
■ Shipping to a denied / restricted party
 Fines (up to $250K / violation or 2x value)
 Incarceration
■ Shipment delays
 Incorrect / missing paperwork
 Invalid commodity codes
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Reduced Manual Effort
■ Manual key entry
 Time consuming
 Human errors
 Missing paperwork
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
US Export Customs Classification
■ HTS codes (import and export)





International Trade Commission
6 Primary digits + 2 to 4 additional digits
HTSUS (~17.5K 10-digit codes)
HTSDE (Germany)
HTSCA (Canada)
■ US Schedule B (export only)
 US Census Bureau
 10 digits (~9K 10-digit codes)
 Used to determine AES filing
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
ECCN License Determination
■ Do I need an ECCN?
■ Is this product a dual use item?
Commodity Classification List Categories
0 Nuclear and miscellaneous
1 Materials, chemicals, microorganisms and toxins
2 Electronics
3 Computers
4 Telecommunications
5 Information security
6 Sensors and lasers
7 Navigation and avionics
8 Marine
9 Aerospace and propulsion
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Compliance Best Practices
Partner creation
Order or PO
creation
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Shipment
execution
12
Leveraging QAD TMS to Mitigate Export Risks and
Challenges*
Inside QAD TMS
| Building the Effective Enterprise
Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Demo
■
■
■
■
■
Ad Hoc DPL/EC compliance check
Batch data scrub
Transactional check
Automated document generation
Electronic customs filing (AES)
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Summary
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
In this Session, We Have Covered…
■
■
■
■
What is export trade compliance?
Why is export trade compliance important?
Industry best practices for compliance
QAD TMS export trade compliance
capabilities
■ How does this benefit us?
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Questions & Answers
■ Tim Dennis: t9d@qad.com
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
Next Steps While at Explore
■ Stop by the QAD Solutions Expo
■ Talk to a QAD TMS Solution Expert
■ Grab a white paper
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Leveraging QAD TMS to Mitigate Export Risks and Challenges*
www.qad.com
©QAD Inc. 2013
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