Navigating the Complexities of International Trade with SAP and GTMs

Simeon L. Probst
Partner Customs & International Trade, PwC Switzerland

In today's globalised economy, managing international trade is more complex than ever, with new regulations, geopolitical uncertainties and supply chain disruptions creating significant challenges for businesses. Global Trade Management solutions (GTMs) can be the key to unlocking a company's full potential in their daily operations, providing crucial support to navigate the complexities of cross-border trade and thrive in the global marketplace.

Global Trade Management solutions

GTMs cover key regulatory areas such as electronic customs declarations, Free Trade Agreements (FTAs), international sanctions and export controls. These solutions can be deployed nationally, regionally or globally, offering benefits such as trade compliance, automation, collaboration, data visibility, governance, and cost savings. Successful implementations require identifying the right solution(s), creating a realistic roadmap, and budgeting appropriately.

SAP Global Trade Services (SAP GTS) is SAP’s flagship GTM product with broad functional and geographic coverage. Customers can even influence future developments. But before embarking on an SAP-enabled GTM journey, it is crucial to understand the suitability and dynamics of SAP's trade solutions ecosystem.

Get your business needs straight

Before implementing any trade compliance solution, it is vital to get a grasp of your business requirements. Consider your customs and trade footprint, which countries you operate in, as well as the regulations that affect your import and export transactions. Determine whether your business is sensitive to sanctions, whether you handle products requiring import/export licences and whether you rely on Free Trade Agreements. Evaluate your current processes and identify any pain points or priorities.

SAP’s trade compliance offering

Regarding Information Technology, consider your systems environment and the trade compliance solutions you are using today. SAP offers SAP GTS E4H (Edition for HANA) and S/4HANA for international trade, both available on-premise or in the cloud. Choose the best option based on your requirements, available resources, and budget.

SAP GTS and S/4HANA comparison

Source: SAP Blog

Passar por favor

If you are currently using an older version of SAP GTS, it is important to plan for the migration to SAP GTS E4H well before the end of 2025 when support for GTS 11 will end. This move is particularly critical, as new releases of Swiss (Passar) and European Union government systems are on the horizon. SAP GTS development resources will be dedicated to GTS E4H, and "legal change" downports to GTS 11 will only cover some of the initial new systems that become operational.

Current Passar timeline in Switzerland

Source: Federal Office for Customs and Border Security - FOCBS

Join us in September

Navigating the complex landscape of trade regulations and technology can be challenging, but PwC is there to support your transition to a Global Trade Management solution. We are partnering with SAP to host a series of events in September 2023 which are exclusively focused on SAP trade solutions. If you are interested, mark the dates on your calendars and join us for these events.

Monday, 18.9.2023 PwC Zürich (afternoon)
Wednesday, 20.9.2023 PwC Lausanne (afternoon)
Thursday, 21.9.2023 PwC Basel (afternoon)

Sign up here

We can also schedule individual in-person meetings for you between 13:00 and 14:30 at the same locations (subject to availability). Please reach out to us here.

For any immediate support on these topics, please reach out to Simeon L. Probst