EXPORT CONTROL: SUPPORTED ACTION INSTEAD OF TIME-CONSUMING RESEARCH

EXPORT CONTROL OF DUAL-USE GOODS

Whenever a brand-new ATF 70G-4 all-terrain crane with a 52.10-m main boom leaves the production halls of TADANO FAUN GmbH, it demonstrates that the company builds high-quality technology of the highest standard there. Everything is "made in Germany" and ready to lift loads of up to 70 tonnes. The precise loads that will ultimately be lifted by the crane and the location where it will do its work are up to the customer, of course. On the one hand. On the other hand, the responsibility for export control on all deliveries to third countries falls to TADANO FAUN GmbH — a duty that the company takes very seriously. This is because individual components of the cranes are classed as dual-use goods due to their function, size and capacity. Dual-use goods are goods that can be used for both civil and military applications.

CAREFUL CHECKS ARE MANDATORY

As part of the export control process stipulated by the Federal Office for Economic Affairs and Export Control, TADANO FAUN must also carefully examine the end use and final recipient of its products. "We need a secure and sustainable way to evaluate the huge range of components, particularly within our replacement part business," explains Helmut Schmalzl, Manager Order Processing at TADANO FAUN GmbH. It is also important to the company itself that its products are only ever used for civil purposes. As a result, it is regularly confronted with questions such as: Should goods be delivered to a country that is subject to an embargo? Do these components require official authorisation? Is there any evidence of critical end users or applications?

Lots of questions — and answering them often involves time-consuming research and analysis. Unless the company has a software package that automates these processes and supports the screening operation. This is exactly what dbh Logistics IT AG offers with the Export Control module in Advantage Compliance, the compliance and risk management software. The module simplifies checks against export lists, embargoes and dual-use regulations. In order to do this, dedicated item specifications were created in advance by the relevant specialist department using Advantage Compliance. If special regulations need to be adhered to or approvals need to be obtained in individual cases, the Export Control module from dbh Logistics IT AG recognises this automatically. A message also appears if there are any embargoes in existence, or if any special export declarations have to be made. This is achieved through daily updates to the Export Control module using verified content from the Bundesanzeiger (the German federal register).

dbh developed a SAP plug-in for TADANO FAUN in order to facilitate communication between SAP and the Advantage Compliance Export Control module. Implementation was carried out in three phases.

THE THREE PHASES OF IMPLEMENTATION

Phase 1, item transfer: First of all, relevant item data was copied from the SAP material master to Advantage Compliance, and the items were evaluated by the relevant specialist departments in line with the requirements for export control. Other departments can now also use the results of this one-off definition and documentation process e.g. the sales team can use it for order requests.

Phase 2, document checking: Document checks (e.g. for deliveries) were implemented in TADANO FAUN’s SAP system and initial tests were performed.

Phase 3, connection to customs software: TADANO FAUN was already using dbh's Advantage Customs software for customs clearance. In phase three, this customs software was subsequently connected to the Export Control module for the purpose of export declarations. That means that any items stored among the export declarations in Advantage Customs are checked against the items defined in Advantage Compliance prior to being sent to the German ATLAS customs system.

RESULTS DOCUMENTED IN A SUSTAINABLE MANNER

"The replacement part business is complex, and the huge range of components must be securely, sustainably and thoroughly evaluated to check whether goods are involved that are subject to approval. The dbh tool allows the flood of data to be managed in a structured way, and we are always kept fully up-to-date on any changes to regulations. As a result, we are able to work much more efficiently and with greatly reduced costs," says Helmut Schmalzl. "Tasks and responsibilities are more clearly distributed. The workload for our employees is reduced, as they no longer need to carry out detailed research in order to evaluate each individual item. Multiple internal queries relating a single article are also a thing of the past."

And there's another practical benefit: The results can also be documented for other purposes, such as external financial audits. That is handy. At the same time, it is vital that not every employee should have unrestricted access to Advantage Compliance — after all, the system contains sensitive data that must be maintained and managed with the utmost care. Advantage Compliance allows access permissions to be precisely assigned, meaning that only a restricted group of people can use this expert software package. Employees who need the export control results for their work therefore do not submit their queries through Advantage Compliance, but from SAP. This allows them access at all times to any information that is needed before the all-terrain crane components leave the TADANO FAUN factory site. High-quality technology, fully equipped with all the documents and approvals required for export control.

ABOUT TADANO FAUN GmbH

Justus Christian Braun established a foundry in Nuremberg in 1845, whose main function was casting bells. At the start of the 20th century, the company also began to build rubbish trucks and street cleaning vehicles. In 1918, the factories in Ansbach and Nuremberg merged to form "Fahrzeugwerke Ansbach und Nürnberg AG", the first letters of which formed the acronym FAUN. In 1990, the company was acquired by Japanese firm TADANO Ltd., which was founded in 1948. The result was TADANO FAUN GmbH — an enterprise based on the combination of stringent Japanese quality standards and German engineering skill.

Nowadays the company specialises in all-terrain cranes and truck-mounted cranes. The TADANO Group has over 3200 employees, eight production sites and more than 100 subsidiaries and international sales and service centres worldwide, making it a major manufacturer of mobile cranes and lifting technology.

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