Introduc)on to Global Trade Management Asli Yimenicioglu Principal Product Strategy Manager October 27, 2014
Program Agenda 1 2 3 4 Strategy & Overview Product CapabiliIes Future Plans Open Q&A Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal/Restricted/Highly Restricted 3
Strategy & Overview Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal/Restricted/Highly Restricted 4
Oracle Global Trade Management Solu)on Global Trade Management Distributed Order Orchestration OpImizes and executes the customs and compliance aciviies across all orders and shipments CapabiliIes Denied Party Screening SancIon & Embargo Screening Product ClassificaIon Trade Control DeterminaIon & License Management Customs Management Warehouse Management Transportation Intelligence Supply Chain & Order Mgmt Intelligence Transportation Management Order Management Fleet Management
Typical Supply Chain Today 1) Import to US from China Product ClassificaIon Embargo Check DRPL Screening Import License Management PrinIng of Import Documents 3) Export from US to EU Product ClassificaIon Embargo Check/ DRPL Screening Export License Management PrinIng of Export Documents Electronic CommunicaIon (AES) 1 2) Import to US from Mexico Product ClassificaIon Embargo Check DRPL Screening Import License Management NAFTA 2 3 4 5 4) Import to EU from US Product ClassificaIon Embargo Check DRPL Screening Import License Management Free CirculaIon Transit Procedures Duty & VAT CalculaIons PrinIng of Import Documents Electronic CommunicaIon (NCTS, ATLAS, etc.) 5) Export from EU to Other Countries Product ClassificaIon Embargo Check DRPL Screening Export License Mgmt PrinIng of Export Docs Electronic CommunicaIon (NCTS, ATLAS, etc.) Trade Preference Processing ResItuIon Handling 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 6
Global Trade Remains Manual Process In many key areas, most companies have no automated capability Forty percent of respondents uilized manual/spreadsheet- based processes to manage their import operaions and compliance Import Opera+ons and Compliance Benchmark Study (2011), American Shipper
Oracle Global Trade Management Go- to- Market Strategy Delivers GTM 6.1 High Tech Exports Industrial Mfg/Life Sciences Replace Vastera GTM 6.3 Complex Global Exports Basic Imports Aerospace & Defense GTM 6.4.x ELC (Import/ Export) Trade Agreements Duty Relief Release Strategy 6.1 6.2 6.3 6.3.3 6.4 Early Adopter Support 6.4.x Oracle Customers wanted GTM GTM 6.2 Oracle/Sun Rollout ERP Integration GTM 6.3.3 Expanded Trade Content Complex Import Classification Global Trade Analytics
Oracle GTM Strategy Council Established in 2007
Oracle GTM DifferenIators Na)ve Trade & Transporta)on PlaQorm Oracle GTM is built on the same plaqorm as Oracle Transporta)on Management (OTM) providing customers with a holis)c global logis)cs plaqorm to manage their trade and transporta)on requirements. Adapt Quickly No hard- coded regulaions Company- specific, configured trade rules Changes to regulaions made by business user vs. custom coding Adapt quickly to new markets, products, mergers, regulaions, etc. Global Design Automate and manage the trade compliance and import/export challenges encountered in global cross- border transacions. Single source of truth for global trade 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 10
ERP IntegraIon ERP agnostic SAP, Oracle, etc Multiple sources integrated to single GTM instance MulIple order types Sales order Purchase order Service order Shipments Master Data TransacIon al Data Engine Calls XML / Web Services Manua l TransacIons Received Global Trade Manageme nt 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 11
Enterprise- Wide Global Trade Management Mul)- domain architecture Top Level Full Visibility Parent Compan y Business 1 Business 2 Business n Domains Par++oned Visibility & Func+onalit y Configure Sonware for Specific Divisions / Lines of Business Business Logic: User interface, workflow, reports, integraions Security: Segmented data and funcional security CustomizaIon via configuraion Expand without having to buy another system 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 12
Architecture: Configure vs. Customize Create Order Screen Monitor & Audit Configurable Rules Engines, Workflow, and User Interfaces Ship Hold Assign License Declare Export Create Docs Flexibility to model your unique processes without customizaion Reduces implementaion Ime Easy to change and evolve Automate funcions Benefits Increases long- term flexibility & responsiveness Improves return on investment Lowers total cost of ownership 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 13
Value of OTM+GTM Plaporm Reduced IntegraIon 1 set of internal integraions for orders, shipments, items, paries, etc. 1 set of external party integraions for suppliers, brokers, carriers, etc. No integraion between TransportaIon & Global Trade systems Unified InformaIon Single, global repository of master data & transacions (items, orders, shipments, documents) ReporIng & business intelligence Shared Processes & Workflow Integrated & synchronized transportaion and trade processes no silos, no latency Trade driven transportaion decisions and vice versa Visibility & Event Management End- to- end order- shipment status & milestone tracking ProacIve resoluion & alering (e.g., compliance hold à updated delivery ETA à impact on shipments)
Oracle GTM DifferenIators NaIve Trade & TransportaIon Plaporm Oracle GTM is built on the same plaporm as Oracle TransportaIon Management (OTM) providing customers with a holisic global logisics plaporm to manage their trade and transportaion requirements. Adapt Quickly No hard- coded regula)ons Company- specific, configured trade rules Changes to regula)ons made by business user vs. custom coding Adapt quickly to new markets, products, mergers, regula)ons, etc. Global Design Automate and manage the trade compliance and import/export challenges encountered in global cross- border transacions. Single source of truth for global trade 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 15
Oracle GTM DifferenIators NaIve Trade & TransportaIon Plaporm Oracle GTM is built on the same plaporm as Oracle TransportaIon Management (OTM) providing customers with a holisic global logisics plaporm to manage their trade and transportaion requirements. Adapt Quickly No hard- coded regulaions Company- specific, configured trade rules Changes to regulaions made by business user vs. custom coding Adapt quickly to new markets, products, mergers, regulaions, etc. Global Design Automate and manage the trade compliance and import/export challenges encountered in global cross- border transac)ons. Single source of truth for global trade 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 16
Oracle Global Trade Management Single Global PlaQorm Control Globally Classify, screen, monitor, & file for all orders / shipments - - - All divisions All product flows (inbound, outbound, internal) All modes of transportaion Visibility across the global network Execute Locally Accommodate line of business, geographic region, and supply chain flow- specific business pracices - Workflows, business logic, reports, etc. Using muliple languages and currencies - User interface configuraion by region / country, user groups Manage Centrally All operaional informaion in one locaion - - Centralized visibility Centralized reporing Single set of integraion points for customers, brokers, & other partners Single informaion technology infrastructure to support 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 17
A Few of Our Customers... High Technology Industrial Aerospace & Defense Manufacturing Life Sciences Oil & Gas Retail 5/29/14 LogisIcs & Services Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle C onfidenial Internal 18
Product CapabiliIes Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal/Restricted/Highly Restricted 19
Oracle Global Trade Management Product Family Classify Screen Execute File / Report Audit Global Trade Management Global Trade Management Trade Compliance Customs Management Global Trade Intelligence Content Management Trade Control DeterminaIon Customs Policy Management Trade AnalyIcs Master Data Management Policy Management Shipment ConsolidaIon Global Trade KPI Library Product ClassificaIon License Management Customs Filing + AES Import & Export Dashboards Restricted/SancIon Screening ITAR Compliance Customs Documents Mobile BI Plaporm 5/29/14 Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal 20
Oracle Global Trade Management Product Overview CHALLENGE Provide a centralized, global solu)on to manage worldwide trade compliance processes, collabora)on, and connec)vity Centrally manage master trade data for global operaions Items, ParIes, & Bill of Materials synchronized with your ERP(s) RegistraIons required for customs and compliance Product ClassificaIon for all countries and classificaion types Visibility of DuIes, Taxes, OGA Codes, and ADD/CVD flags Screen master data and transacions Missing Product ClassificaIons; Denied/Restricted Party Lists; SancIons & Embargoes System Infrastructure Workflow, Messaging, Business Monitor, Security, User Management, Advanced Layout, Work Queues, Documents
Centralized Trade Data Repository Global Approach As many classifica)ons as you want!! Trade Item (as shown) Bill of Materials Trade Party Customers, Suppliers, Brokers, etc RegulaIon Management Government regulaions Process specific business rules Company specific policies
Bill of Materials (BOM) Trade Item Structure Product ClassificaIon Compliance Screening Regulatory Controls License Requirements DocumentaIon Required InspecIon Requirements What does my Bill of Material look like?
Product ClassificaIon Trade Item Data What classifica)on is appropriate for my item? ClassificaIon Lookup ClassificaIon TranslaIon ClassificaIon Templates Detect Invalid ClassificaIon Mass Update Integrate with Product Data Hub
Duty & Tax Analysis What du)es and taxes apply?
Tariff Details OGA, CVD, ADD and UOMs Do Other Government Agencies restrict this item on import? Are there any du)es and taxes?
Export Control Regulations Sample from Export Administration Regulations Is my item subject to any controls? What else do I need to know?
Munitions Lists Example Data from US Munitions List Which items are covered on the list? What else do I need to know?
Trade TransacIon Management Trade TransacIon creaion Trade TransacIon models purchase order, sales order, shipment, etc. Integrate with any external source (ERP systems) NaIve integraion with OTM Trade Compliance processing Restricted ParIes Controls: licenses, documents, filings, etc AutomaIcally hold/release Which transac)ons are on hold? Poten)al restricted par)es on this order?
Restricted Party Screening Screen any type of party Customers, suppliers, banks, employees, etc. Screen any type of transacion Purchase order, sales order, service parts Screen against muliple lists Government agencies, internal lists Support muliple processes QuoIng, booking, shipping, service, hiring, front desk How conserva)ve do I want my screening to be? Which par)es need to be reviewed? Who are my poten)al matches? Which list are they on?
Oracle Trade Compliance Product Overview CHALLENGE Provide a centralized, global solu)on to manage worldwide compliance regula)ons, trade controls, and licenses Trade Control Management Screen at the Item or Component Level for Trade Controls requiring Licenses or ExcepIons on Imports & Exports Screen for OGA, ADD, CVD, and Quota flags on Imports Flexible business rules engine allows modeling customer process to respond toany global regulaions, corporate policies, or other applicable trade controls and processes License Management Repository to store licenses, permits, or other import/export authorizaions AutomaIcally assign matching licenses to shipments Manage and monitor licenses during their lifecycle Party Created & Product Classified Sales Order Creation Party Screening Export Control Screening License Assignment Assign Licenses at either the Item or Component Level based on regulatory controls Ship Goods Pick & Pack Export Declaration Tender to Carrier Create Export Documents
Trade Control DeterminaIon Anywhere- to- Anywhere Trade Control Examples Licenses License ExcepIons Documents Compliance Rules Engine Auribute based Product classificaions, ship- from, ship- to, quaniies, end- use, jurisdicions, etc, Model and enforce regulatory and corporate policies Screen Items & Components 1 1 What type of control? US export license Which agributes trigger this control
License Management Which licenses do I have available? Which licenses can I use for this transac)on? When does this license expire? What is the remaining balance
Oracle Customs Management Product Overview Authority CHALLENGE Provide a centralized, global solu)on to manage worldwide customs processes, collabora)on, and connec)vity Importer / Exporter with Oracle Global Trade Management Customs Brokers Delivered as a new module of Oracle Global Trade Management Centrally manage worldwide customs operaions Determine electronic filing & documentaion requirements Virtually consolidate shipments if needed Prepare & validate data including currency & UoM conversion Transmit filings & documents to regulatory bodies or trading partners Standardize global processes, communicaion, and error resoluion Filing Vendors Reduce spend & reliance on trading partners CerIfied with US Census/Customs for AES Filing
Customs Filing Capabili)es in Oracle Customs Management Determine Filings Required Review Criteria Determine Required Data Generate Filing Monitor Status Store Response Determine Documents Required Ensure Data Availability Consolidate Shipments UoM Conversion Validate Data Format Data Generate Documents Transmit to Partners & AuthoriIes Audit Filings Generate Appropriate Workflow
Create Shipment Consolidate from MulIple TransacIons Both Lines from Original Shipments Copied in EnIrety QuanIIes & Values Summed to Reflect New Totals Matching Data AutomaIcally Copied Over
Managing a Document s Lifecycle Where do I manage revisions? Can I preview a document? Easily review documents or electronic filings associated with a shipment
Document Management Shipment Document DeterminaIon Document Statuses Define Reviewers, Subscribers, etc Manage Revisions Include Text Templates based on TransacIon Barcode support
Oracle Global Trade Intelligence Product Overview CHALLENGE Leverage global trade data in order to op)mize processes in support of both strategic and tac)cal corporate ini)a)ves Configurable dashboards with user-defined global trade performance metrics Ability to monitor metrics against business targets, benchmarks, and forecasts Role-based alerting to ensure the right personnel are notified of exceptions and deviations from plan Drill down from a metric into supporting shipment data to pinpoint trouble spots Ad-hoc querying and reporting of your customs and compliance information Single platform for trade and transportation analytics and visibility* Delivered as a new module of Oracle Global Trade Management * Also requires Fusion Transportation Intelligence
Oracle Global Trade Intelligence GTI Default Dashboard
Oracle Global Trade Management Cloud Service Connec)ng Your Business Globally XML Web Services Product Classifica) on ITM Adapter for EBS Sanc)ons and Embargoes Restricted Party List Screening Customs Procedures Global Trade Content Regulatory Compliance Metrics and Analy)cs CustomsInfo Content Interface Content Management Interoperability Service File Sharing via Email Scalable Extendable Secure Copyright 2014 Oracle and/or its affiliates. All rights reserved. 41
Roadmap & Future Plans Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal/Restricted/Highly Restricted 42
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Oracle GTM Proposed Roadmap Phase 4 Special Duty Programs Free Trade Agreement Support Phase 5 Complex Retail & Trade Finance Phase 6 Supply Chain Security & IntegraIon Customs Management Customs ValuaIon Duty & Tax CalculaIon Landed Cost Sımulator Entry Management Duty Relief Programs Expanded Filing Partnerships (US/EU) Trade Agreements Eligibility Screening Campaign Management / Supplier SolicitaIon Document Management Single AdministraIve Document (SAD) [EU] ISF [US] Trade Agreements FTA QualificaIon Rules of Origin CerIficates of Origin Trade Finance Leuers of Credit/Open Accounts Wire Transfers Bank Payment ObligaIons (BPO) Invoice Matching/ReconciliaIon Document Management Intrastat [EU] Packıng Slıp Other Customer Drıven Documents Global Trade Management IntegraIons: Tax, LCM, Procurement, Supply Chain Security AEO (EU) C- TPAT (US) Other Security Program Support Reporlng & Analy)cs Carrier Broker Scorecards
Q&A Q&A
Copyright 2014 Oracle and/or its affiliates. All rights reserved. Oracle ConfidenIal Internal/Restricted/Highly Restricted 46