SAP AG announced that it has enhanced its solution designed to help companies manage the complex business processes of cross-border global trade. SAP Global Trade Services (SAP GTS) was first introduced in 2002 and is now used by more than 250 global companies  to help standardize and streamline end-to-end import and export processes to speed their global supply chains and ensure trade compliance.

Functionalities in the new version of this SOA composite application allow companies to automate the letter of credit process and management of customs warehousing procedures to achieve enhanced trade efficiencies. This announcement was made at the American Association of Exporters and Importers annual conference, being held in New York, June 11 - 13.

A recently published report by ARC Advisory Group titled “Global Trade Management Solutions Worldwide Outlook” ranks SAP as the new market leader exhibiting strong growth since entering this space in November 2002. The report also states that global trade management is directly related to compliance with the Sarbanes-Oxley Act of 2002.

“At the highest level, achieving compliance with SOX is dependent on having access to timely, accurate and complete information, as well as establishing process controls – the same success factors required to create more secure and efficient global trade operations,” said report author Adrian Gonzalez, ARC Advisory Group. “Leading companies today are looking for a comprehensive and integrated trade management solution to gain competitive advantage. SAP, with its GRC focus, growing customer base and continued innovation, is the new leader in the global trade management market.”

The latest version of SAP GTS helps companies mitigate the risk of cross-border trade by providing added functionality to automate the creation and maintenance of letters of credit. SAP GTS customers can now also take advantage of automated customs warehousing procedures, helping them to defer or eliminate duty payments. In addition, the upgraded application supports compliance with the upcoming mandatory Automated Export System filing requirements that will affect exporting companies in the US as well as in Europe.

The benefits of these enhancements are reduced risk of non-compliance and increased control over financial risk, as well as more efficient and accelerated cross-border transactions, according to SAP. Additionally, SAP GTS helps reduce costs as it allows all processes related to international trade be managed within one enterprise-wide application.