Europe's largest software house, SAP AG, has unveiled a new version of its Global Trade Services (GTS) software, which is aimed at large global companies involved in international trade.

The latest version incorporates several new functionalities, including one to allow companies to automate the letter of credit (L/C) process.

Global client base

The first version of GTS was released in 2002, and SAP says that over 250 global companies now use this software to facilitate international trades.

Users of GTS according to SAP include life sciences research giant, Applied Biosystems, global chemical and pharmaceutical company, Bayer, and one of the world's largest oil field services providers, Halliburton Energy Services.

Purchasing rationale

Halliburton says it opted for GTS to manage compliance with increasing trade regulations and improve supply chain transparency. The implementation of GTS helped it establish an automated internal control programme for trade compliance, according to a SAP statement.

"With SAP GTS, 99.9 percent of our export compliance is now automated, including denied parties screens, significantly reducing the effort to administer our internal control programme," said Halliburton's director of international trade compliance, Terry Soderstrom.

L/C automation

The automated creation and maintenance of L/Cs built into the latest version of GTS helps companies mitigate cross-border trade risks, according to SAP.

The company says users can now also access automated customs warehousing procedures, which helps companies defer or eliminate duty payments.

According to SAP, the benefits of the GTS enhancements are reduced risk of non-compliance and increased control over financial risk, as well as more efficient and accelerated cross-border transactions.

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