Key Strategies for Automating the Import Supply Chain

US corporations import nearly $2 trillion worth of products from more than 150 countries, a number that is expected to triple by 2015, according to US Customs and Border Protection (CBP).

By · February 7, 2012

US corporations import nearly $2 trillion worth of products from more than 150 countries, a number that is expected to triple by 2015, according to US Customs and Border Protection (CBP). Companies involved in the importation process need to consider several key factors that will shape their strategy:

  • Sourcing behavior – Product cost reductions accrue when source materials are obtained from the lowest cost

  • provider, while also factoring in landed costs.

  • Voluntary and required reporting – Customs organizations around the world are establishing programs and

  • creating rules that focus on security, reporting and compliance.

  • Preferential trade agreements – Many countries have negotiated preferential trade agreements that provide significant incentives to importers.

  • Transportation costs – There is increased pressure to reduce overall transportation costs even as fuel prices
    are rising.

According to an April 2011 study by the AberdeenGroup, 60% of companies surveyed cited the need to gain control over shipment status and cost of inbound volume as a key requirement for their business.1 In the same study, 56% of companies surveyed indicated that internal, top-management pressure to reduce transportation costs was their major concern.

Global trade management (GTM) technologies, including software and comprehensive trade content, are increasingly important to automate global operations and manage complex government regulations. A GTM platform can effectively streamline the procure-to-pay to process, track and automate dynamic preferential trade agreements and increase regulatory compliance.

 


Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.
Start your FREE subscription today!

Latest Whitepaper
Private Fleet vs. Dedicated: Which one is right for you?
Having the right fleet for your business can give you an advantage over the competition and lower transportation costs.
Download Today!
From the April 2017 Issue
While adoption rates have remained relatively flat, yard management systems (YMS) are helping logistics operations turn that important space between the loading dock and the gate into a vital link in the supply chain.
Information Management: Wearables come in for a refit
2017 Air Cargo Roundtable: Positive Outlook Driven by New Demand
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
Maximize Your LTL Driver Adherence with Real-time Feedback
This webinar shows how companies are using real-time performance data to optimize the scheduling of their city fleets, as well as the routing of their standard, accelerated and time-critical shipments.
Register Today!
EDITORS' PICKS
2017 Salary Survey: Fresh Voices Express Optimism
Our “33rd Annual Salary Survey” reflects more diversity entering the logistics management...
LM Exclusive: Major Modes Join E-commerce Mix
While last mile carriers receive much of the attention, the traditional modal heavyweights are in...

ASEAN Logistics: Building Collectively
While most of the world withdraws inward, Southeast Asia is practicing effective cooperation between...
2017 Rate Outlook: Will the pieces fall into place?
Trade and transport analysts see a turnaround in last year’s negative market outlook, but as...