Business Benefits of SAP GTS :

Business Benefits of SAP GTS Reduce Risks of Noncompliance To keep Business exports in line with statutory
regulations, SAP GRC Global Trade Services lets Business screen business partners against official sanctioned-
party lists Easily Classify Products With SAP GRC Global Trade Services, Business can automate and streamline
product classification Meet Complex Documentation Requirements With SAP GRC Global Trade Services, Business
can identify all documents needed for a specific transaction, including those required by the EAR and by government
agencies such as the U.S. Department of State Handle Electronic Communication SAP GRC Global Trade Services
delivers the AES-certified functionality needed by Business Make the Most of International Agreements With SAP
GRC Global Trade Services, Business can effectively handle trade-preference processing within the scope of free
trade agreements of the Americas, such as NAFTA (North American Free Trade Agreement ) Mitigate Financial Risk
SAP GRC Global Trade Services also provides support for commonly used types of international payment (such as
letters of credit), helping make sure invoices are paid. facilitate global trade in meeting all the complexities Automates
global trade process to communicate with Customs authorities Helps to avoid from costly delays & hefty penalties in
import and export process

How SAP GTS be different from SAP-FT:
How SAP GTS be different from SAP-FT In SAP - Foreign Trade is an inbuilt functionality but it has limited
advantages compared with GTS system. SAP Global Trade Services (GTS) provides the tools you need to compete
effectively in todays market. This enables you to: 1) Manage import and export processes, integrating them
effectively into the Supply Chain. 2) Automatically identify licensing requirements for importing and exporting goods
based on current regulations. 3) Simplify reporting with automatic procedures for creating, printing and submitting
declarations to the customs authorities. 4) Determine which of your products qualify for Preference handling. 5)
Provide an active interface for sending data via internationally available EDI systems and other electronic media. 6)
Update or change data in all relevant foreign trade documents at any time prior to the final goods issue.

Evolution of SAP GTS:
Evolution of SAP GTS After September 11, 2001 incident SAP GTS 1.0 SAP GTS 2.0 SAP GTS 3.0 SAP GTS 7.0
SAP GTS 7.1 SAP GTS 7.2 SAP GTS 10.1 ( Latest Version )

Overview of SAP GTS:
Overview of SAP GTS SAP GLOBAL TRADE SERVICES GTS stands for Global Trade Services and is a standalone
SAP application that replaces the existing foreign trade functionality in R/3 SAP. To conduct business in other
countries, Business must comply with local laws, meet documentation requirements and understand complicated
tariffs and duties. Failure to do so can be costly so and GTS helps automate these processes to ensure compliances.
In todays global markets, outbound shipments have to clear customs fast. That means ensuring that products are
correctly classified and have the required complete and accurate documentation. Plus theres the challenge of
mandatory electronic filing via the Automated Export System (AES) directly to U.S. Customs. Also, with the spread of
global terrorism, export processes are subject to closer scrutiny than ever before. For business with partners
overseas, its essential to ensure that theyre dealing with the right people, countries, and products. Business has to
identify restrictions on specific items, countries of destination, and business partners, and there are host of
regulations to comply with and severe penalties for noncompliance. In addition, to survive in todays fiercely
contested global markets, Business cannot afford to pass up the opportunities offered by trade preference
agreements such as the North American Free Trade Agreement (NAFTA). To do so, Business needs to provide
detailed certification of the origin of their goods to their overseas customers .

SAP Global Trade Services:
SAP Global Trade Services

Sub-Modules of SAP GTS:
Sub-Modules of SAP GT S

SAP GTS Compliance Management:
SAP GTS Compliance Management

Compliance management :
Compliance management 1. Sanctioned Party List Screening ( SPL or DPL ) SPL helps business to comply with gov
laws that prohibits dealing with parties (individual and organization) which are sanctioned by gov agencies. The detail
we get from gov agencies and time to time there is addition and deletion to the same and same is uploaded to GTS
SPL allows screening of all customer, vendor. When ever order or delivery gets created in feeder system they goes to
GTS and their partner are screened against the already uploaded DPL denied party list we also call it DPl.If a partner
is one from the DPL the order get blocked for further processing. This screening can be synchronous or
asynchronous. Synchronous means in real time means as soon as the order is created it goes to GTS and get
screened for any we can do the screening at later time. 2. Embargo check: This functionality helps in complying with
the restriction to doing business with certain Countries. Gov agencies and united nation can prohibit doing business
with certain countries. 3. License determination: For many products valid license is required for export and import
process, so the determination of valid license either for export or Import is taken care by this module. In license
determination for export departure company comes into picture and for import destination country come into picture/
This module allows maintaining the valid licenses and if while in the process of license determination the license in
missing for a product it puts the sales order on the block.

Custom Management Custom mgmt has got following sub-modules: :
Custom Management Custom mgmt has got following sub-modules:

Custom Management Custom mgmt has got following sub-modules :
Custom Management Custom mgmt has got following sub- modules 1. Product classification: This functionality
facilitates the assignments of certain codes to products such As commodity codes: this helps in identifying the
product by the custom authority on the declaration. Tariff codes for calculation duties. Export control classification
number for license determination These codes can be maintained manually or can be uploaded by third party vendor.
2. Transit Process This drives the transit business process, gives the provision of e communication with custom
system such as NCTS (European Union New computerized transit system.)Transit is a facility available to operators
that allows the movement of goods across international borders under customs control while ensuring that any
charges due on those goods in their country of destination are secured 3. Custom processing: This module assists in
making declaration of exports and imports to customs An authority using electronic message and calculation of
customs duties on imports one example is SED shipper export declaration which is required: When a shipment is
over $2,500 when an export license is required any shipment going to an embargoed country. 4. Trade service
processing: Takes care of printing documents required for custom clearance. like shipper letter of instruction ,
Commercial invoice ,We can configure system for different message which can give us desired print , we can have
smart form , PDF .Once Billing document comes to GTS it creates custom shipment document in GTS where we can
have our configured messages of different prints.

Risk Management :
Risk Management It is the module that enables the trade process that deal with the financial risk to the company 1.
Preference processing Gives the flexibility to put duty as per different preference. As for EU and NAFTA countries
product if it contains higher local contents the duties on such product is less. This requires up to date maintenance of
declaration from the suppliers to find out the local contents. System allows Supplier declaration on the system,
Preference calculation rules from data providers Notification to supplier to update their declaration Detail log to
determine the origin of product. 2. Letter of credit Provides support for commonly used types of international payment
A letter of credit is a document typically issued by a bank or financial institution, which authorizes the recipient of the
letter (the "customer" of the bank) to draw amounts of money up to a specified total 3. Restitution Enables business
to seek refunds from gov authorities for exports that qualifies for subsidies especially relevant for agricultural products
from EU to non EU countries Allows to calculate refunds on export department, Allows to file refunds.

Electronic Compliance Reporting :
Electronic Compliance Reporting SAP Electronic Compliance Reporting (SAP ECR) helps to record the necessary
statistics data from a declaration period in Intrastat declarations for the following transactions: Shipments that your
company receives from other member states of the European Union Shipments that your company sends to other
member states in the European Union

Integration of SAP ECC and GTS :
Integration of SAP ECC and GTS

Basics of GTS Data Flow:
Basics of GTS Data Flow

SAP GTS Master Data:
SAP GTS Master Da ta

Data Exchange Between SAP ERP and SAP GTS This is the basic GTS architecture how it talk to Feeder
System , all the master data like Material , customer vendor and all the transaction data like sales order
delivery billing doc get pushed to GTS through RFC Call. And any message back to Feeder system flows
through RFC call.:
Data Exchange Between SAP ERP and SAP GTS This is the basic GTS architecture how it talk to Feeder System ,
all the master data like Material , customer vendor and all the transaction data like sales order delivery billing doc get
pushed to GTS through RFC Call. And any message back to Feeder system flows through RFC call.