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
The View from the New “Single Window”
The single window, officially known as the "International Trade Data System," operates via the Customs and Border Protection (CBP) agency's Automated Commercial Environment (ACE) platform, and serves as a single point of contact for all trade filings.
Download Today!
From the March 2017 Issue
WMS vendors are stepping up to the plate and developing functionalities and solutions that meet the complex needs of today’s companies. Our top analysts take a peek into these developments and discuss the DC of the future and the software that will support it.
5 Supply Chain Trends Happening Now
2017 Warehouse/DC Equipment Survey: Investment up as service pressures rise
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!
Latest Webcast
2017 Trucking Regulations & Infrastructure Update
In this session our panel brings shippers up to date on the state of transportation regulations. Discussion will revolve around regulatory reform, aspects of the federal highway bill and what the transportation landscape looks like in the early days of the Trump administration.
Register Today!
EDITORS' PICKS
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...
Logistics Management’s Top Logistics News Stories 2016
From mergers and acquisitions to regulation changes, Logistics Management has compiled the most...