Infosys’ blog on industry solutions, trends, business process transformation and global implementation in Oracle.

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Infosys Edge: Plug-Tune-Play Oracle GTM Solution

In today's rapid globalization, most successful organizations operate in more than just one country -- for sourcing raw materials, importing goods, exporting finished products, and more. However, while operating in international markets, organizations need to abide by complex international trade laws that might require them to do some or all of the following:

      1)      Classify their products based on an international system or source / destination country-specific system. For example, Harmonized Tariff Schedule of the United States (HTSUS) for American goods
 2)      Avoid trade with people / companies suspected of being involved in international crimes / terrorism
 3)      Avoid trade with countries that are under embargoes. For example, Sudan, Syria, etc.
 4)      Comply with the trade treaties that the involved countries are a part of. For example, mandates issued by Nuclear Suppliers Group for a member country such as Australia
 5)      Comply with country-specific trade obligations. For example, no Israeli-origin goods are to be allowed for imports in a member country of the Organization of Islamic Cooperation (OIC), such as Saudi Arabia
 6)      Assign license numbers to goods that are controlled / in dual-use --  for example, Export Control Classification Numbers (ECCN) for US exports
 7)      Create and provide regulatory / commercial documents that need to accompany goods -- for example, commercial invoices and bills of lading
 8)      File relevant documents electronically with the local customs authorities -- for example, 'Paperless Customs and Excise' or PaperLess Douane en Accijnzen (PLDA) in Belgium

Country-specific requirements

It is crucial to note that all these requirements vary drastically from one country to another.

For instance, in a member country of the European Council (EC) -- like Germany -- the exporter needs classification codes that are specific to EC (HTSEU), customs filing that is specific to Germany (Automatic Rate and Local Customs Clearance System / ATLAS), and other similar trade compliances specific to the trading bloc or the country. However, when you consider an APAC country -- such as New Zealand -- the exporter needs classification codes specific to the island nation (NZHSC, in this case) and customs filing with electronic cargo information (ECI), which is again country-specific.

Standard Oracle Global Trade Management (GTM) implementation

Any GTM software -- or to be precise, Oracle GTM application -- provides a tool that can be configured and customized to suit the trade-specific requirements of a customer. It comes with absolutely no data of its own. Hence, any system integrator (SI) working for a customer has to first provide country-specific data to Oracle GTM, followed by the industry-specific data, and then the company-specific data. Once the master data is fed into the system, one needs to further build the configuration by writing rules, business flows, and many more complex equations. Once this is done, the SI performs the testing, fine-tunes the system, and finally takes the configuration live for the customer. This activity usually takes months of effort, numerous exchanges of information, and several rounds of testing.

Infosys readymade solutions

At Infosys, we have walked an extra mile in the Oracle GTM space by creating what we refer to as 'Infosys Edge: Plug-Tune-Play Oracle GTM solution.' With a dedicated team of over 150 consultants from the 'supply chain' and 'global trade' spaces, Infosys performed extensive research on certain key geographical pockets and has now come up with pre-loaded and pre-configured solutions for various trading regions / countries of the world.

As a direct result, this set of solutions has drastically reduced the time and effort that it takes to deliver a GTM solution to a customer. Where a routine solution requires loading, configuring, customizing, testing, and fine-tuning before the application goes live; with Infosys, the process simply comes down to testing and fine-tuning. We have already implemented the system readymade for various countries in North America; Europe, the Middle East and Africa (EMEA); and Asia-Pacific (APAC) regions.

Furthermore, if you are a defense equipment-manufacturer based out of Australia, we already have a system prepared for you that does the following:

     1)  Checks classification of your items as per the Australian Harmonized Export Commodity Classification (AHECC)
2) Screens your business processes / transactions as per the list provided by the United Nations Security Council (UNSC) sanctions and additional Australian Autonomous sanctions
3) Checks if any of your exports fall under the Defense and Strategic Goods List (DSGL) and whether licenses like a Restricted Goods Permit (RGP) or Defense Export Permit (DEP) are applicable
4)  Creates shipment data for customs filing with the integrated cargo system (through CI / customs interactive facility or EDI / electronic data interchange)
 5) Flags all transactions that fall under any of the trade agreements that Australia is a part of -- for example, China-Australia Free Trade Agreement (ChAFTA)

Since our readymade solutions already have most (if not all) of the capabilities that a business such as yours might need, it drastically brings down the total time and effort required by us to provide the right solution to you.

 

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Written by: Ravikiran Narayan Khobragade and Mohammad Haider Talat

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