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Services) Questions
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1. What is SAP GTS?
• Answer: SAP GTS, or Global Trade Services, is an integrated solution by SAP that helps
streamline and automate global trade processes. It enables businesses to manage international
trade compliance, import/export processes, and customs regulations efficiently.
10. What are the benefits of implementing SAP GTS for a business?
• Answer: The benefits of implementing SAP GTS include improved compliance with international
trade regulations, streamlined customs processes, reduced risks, enhanced visibility into global
trade activities, and increased efficiency in managing cross-border transactions.
12. What role does SAP GTS play in managing trade licenses and permits?
• Answer: SAP GTS assists in managing trade licenses and permits by tracking and validating the
required licenses for specific transactions. It ensures that businesses have the necessary
documentation to comply with regulatory requirements.
14. How does SAP GTS handle product classification for customs purposes?
• Answer: SAP GTS provides tools for automatic product classification based on customs tariff
codes. It helps in determining the correct classification for goods, ensuring accurate customs
duties and compliance with trade regulations.
17. How does SAP GTS support the determination of customs values for goods?
• Answer: SAP GTS assists in determining customs values by providing tools to calculate the
customs value of goods in accordance with international customs valuation methods, ensuring
accuracy in duty calculations.
18. What role does SAP GTS play in managing preferential trade agreements?
• Answer: SAP GTS helps businesses manage preferential trade agreements by enabling them to
define and maintain rules of origin, ensuring compliance with the specific requirements of each
trade agreement.
20. Explain the relationship between SAP GTS and trade finance.
• Answer: SAP GTS and trade finance are interconnected as GTS helps in managing the risks
associated with international trade, providing valuable data and insights that can be utilized by
trade finance departments to assess and mitigate financial risks.
21. How does SAP GTS assist in managing landed costs for international shipments?
• Answer: SAP GTS includes features for tracking and managing landed costs, which are the
additional costs incurred beyond the product cost, such as customs duties, taxes, and
transportation charges associated with international shipments.
23. What is the purpose of the SAP GTS Trade Preferences Cockpit?
• Answer: The Trade Preferences Cockpit in SAP GTS provides a centralized interface for
managing and monitoring trade preferences. It allows users to analyze preferential trade
agreements and their utilization across different business processes.
24. How does SAP GTS handle product master data for international trade?
• Answer: SAP GTS enables the maintenance of product master data specific to international trade,
including details such as customs tariff codes, export control classifications, and other
information required for compliance with trade regulations.
26. How does SAP GTS support the management of trade preferences in the context of regional trade
blocs?
• Answer: SAP GTS assists in managing trade preferences within regional trade blocs by allowing
businesses to define and apply specific rules of origin for goods traded within those blocs,
ensuring compliance with regional trade agreements.
27. Explain the integration between SAP GTS and transportation management systems (TMS).
• Answer: SAP GTS can integrate with transportation management systems to optimize the
execution of cross-border shipments, ensuring that transportation processes align with customs
and compliance requirements.
28. How does SAP GTS handle the classification of goods based on the Harmonized System (HS)
codes?
• Answer: SAP GTS provides functionality to classify goods based on the Harmonized System (HS)
codes, ensuring consistency and accuracy in the classification of products for customs and trade
compliance purposes.
29. What is the role of SAP GTS in managing the restricted party screening process in real-time?
• Answer: SAP GTS performs real-time restricted party screening during various trade processes,
checking business partners, products, and transactions against updated watchlists to ensure
compliance with export control regulations.
31. Explain the concept of "Denied Party" in the context of SAP GTS.
• Answer: In SAP GTS, a "Denied Party" refers to an individual, organization, or entity that is
prohibited from participating in international trade due to legal restrictions. The system screens
and flags transactions involving denied parties to ensure compliance.
32. What role does SAP GTS play in managing preferential tariff treatment for goods?
• Answer: SAP GTS assists in managing preferential tariff treatment by automating the
determination of eligibility for preferential trade agreements, ensuring that goods receive the
applicable tariff benefits.
33. How does SAP GTS handle the reconciliation of import and export declarations with customs
authorities?
• Answer: SAP GTS supports the reconciliation of import and export declarations with customs
authorities by providing tools for validating and correcting data discrepancies, helping
businesses maintain accurate and compliant records.
34. Can SAP GTS handle multiple legal entities and business units within an organization?
• Answer: Yes, SAP GTS is designed to handle multiple legal entities and business units within an
organization. It supports the configuration of trade processes to accommodate the diverse
structure of global businesses.
35. Explain the role of SAP GTS in managing trade data analytics.
• Answer: SAP GTS includes analytics tools that enable businesses to analyze trade data, identify
trends, and gain insights into their global trade activities. This supports informed decision-
making and helps in optimizing trade processes.
37. What is the SAP GTS Electronic Compliance Reporting Cockpit, and how does it benefit
businesses?
• Answer: The Electronic Compliance Reporting Cockpit in SAP GTS provides a centralized
interface for managing and monitoring electronic compliance reporting activities, ensuring that
businesses can efficiently generate and submit required reports to customs authorities.
39. How does SAP GTS support businesses in managing the complexity of free trade agreements
(FTAs)?
• Answer: SAP GTS simplifies the management of free trade agreements by automating the
verification of goods' eligibility, ensuring compliance with FTA rules of origin, and optimizing
duty rates for qualified transactions.
40. Can SAP GTS help in managing the documentation required for preferential trade agreements?
• Answer: Yes, SAP GTS supports the management of documentation required for preferential
trade agreements by providing tools for generating and storing the necessary certificates of
origin and other supporting documents.
42. How does SAP GTS handle the determination of the country of origin for goods?
• Answer: SAP GTS includes functionality for determining the country of origin for goods based on
the rules specified in trade agreements. Accurate country-of-origin determination is crucial for
complying with rules of origin in international trade.
43. What is the significance of the SAP GTS Customs Management Workbench?
• Answer: The Customs Management Workbench in SAP GTS is a tool that provides a user-friendly
interface for managing customs processes. It allows users to monitor and control customs-related
activities, ensuring efficient customs compliance.
44. How does SAP GTS support the management of transit procedures for cross-border shipments?
• Answer: SAP GTS supports the management of transit procedures by automating the
documentation and processes involved in the movement of goods through multiple customs
territories, ensuring compliance with transit regulations.
46. How does SAP GTS assist businesses in managing preferential trade agreements with non-EU
countries?
• Answer: SAP GTS supports the management of preferential trade agreements with non-EU
countries by allowing businesses to define and apply rules of origin specific to those agreements,
ensuring compliance and tariff benefits.
48. How does SAP GTS handle the integration of trade-related data with third-party systems?
• Answer: SAP GTS provides integration capabilities to connect with third-party systems, such as
customs authorities, brokers, and logistics providers, facilitating the exchange of trade-related
data for a seamless flow of information.
49. Explain the SAP GTS Restricted Party Screening Cockpit and its functionalities.
• Answer: The Restricted Party Screening Cockpit in SAP GTS is a centralized interface for
managing and monitoring the screening process. It allows users to review screening results,
resolve false positives, and ensure compliance with export control regulations.
50. How does SAP GTS handle the management of trade preferences for goods subject to quota
restrictions?
• Answer: SAP GTS assists in managing trade preferences for goods subject to quota restrictions
by allowing businesses to monitor and control the utilization of quota volumes, ensuring
compliance with quota limitations imposed by trade agreements.
51. How does SAP GTS support the management of trade agreements that involve multiple
countries?
• Answer: SAP GTS provides features to handle complex trade agreements involving multiple
countries by allowing businesses to define and manage rules of origin, tariff rates, and other
trade preferences for each participating country.
53. What is the SAP GTS Risk Management Cockpit, and how does it aid in decision-making?
• Answer: The Risk Management Cockpit in SAP GTS is a tool that provides a visual interface for
assessing and managing trade-related risks. It aids decision-making by presenting key risk
indicators and supporting the evaluation of risk mitigation strategies.
54. How does SAP GTS handle the valuation of goods for customs purposes in cases of related-party
transactions?
• Answer: SAP GTS includes functionality for handling the valuation of goods in related-party
transactions by ensuring compliance with customs valuation rules and providing visibility into
the transaction details.
55. Explain the SAP GTS Document Builder and its role in trade documentation.
• Answer: The SAP GTS Document Builder is a tool that allows businesses to create and manage
trade-related documents. It plays a crucial role in ensuring that accurate and compliant
documentation accompanies international shipments.
56. What is the SAP GTS Business Partner Screening Cockpit, and how does it enhance compliance?
• Answer: The Business Partner Screening Cockpit in SAP GTS is a centralized interface for
managing and reviewing screening results related to business partners. It enhances compliance
by allowing users to investigate and resolve screening matches.
58. Explain the SAP GTS Compliance Management Cockpit and its functionalities.
• Answer: The Compliance Management Cockpit in SAP GTS is a tool for monitoring and managing
compliance-related activities. It provides an overview of compliance status, alerts for potential
issues, and tools for corrective actions.
59. How does SAP GTS handle the reconciliation of trade data discrepancies between business
partners?
• Answer: SAP GTS supports the reconciliation of trade data discrepancies between business
partners by providing tools to identify and resolve inconsistencies, ensuring that data exchanged
between trading partners is accurate and aligned.
60. What role does SAP GTS play in managing trade-related audits and assessments?
• Answer: SAP GTS aids in managing trade-related audits and assessments by providing a
centralized repository of trade data, facilitating the retrieval of relevant information for audit
purposes and ensuring compliance with regulations.
61. How does SAP GTS handle the tracking and reporting of non-compliance incidents?
• Answer: SAP GTS includes features for tracking and reporting non-compliance incidents. It
allows businesses to document and analyze instances of non-compliance, facilitating corrective
actions and process improvements.
63. How does SAP GTS assist businesses in managing trade data archiving and retention policies?
• Answer: SAP GTS provides tools for managing trade data archiving and retention policies. It
allows businesses to archive historical trade data while ensuring compliance with legal and
regulatory requirements for data retention.
64. What is the SAP GTS Party Role Determination functionality, and how does it streamline business
partner management?
• Answer: The Party Role Determination functionality in SAP GTS streamlines business partner
management by automatically assigning roles to parties involved in trade transactions, ensuring
accurate and consistent data handling.
65. How does SAP GTS support the monitoring of changes in trade regulations and compliance
requirements?
• Answer: SAP GTS supports the monitoring of changes in trade regulations and compliance
requirements by providing updates and alerts. It allows businesses to stay informed about
regulatory changes that may impact their trade activities.
68. What is the significance of SAP GTS in managing trade compliance in highly regulated industries
such as pharmaceuticals?
• Answer: SAP GTS is crucial in highly regulated industries like pharmaceuticals by ensuring
compliance with complex trade regulations, export controls, and product classification
requirements specific to the pharmaceutical sector.
69. How does SAP GTS support businesses in managing preferential trade agreements with emerging
markets?
• Answer: SAP GTS supports businesses in managing preferential trade agreements with emerging
markets by allowing them to define and apply rules of origin specific to those markets, ensuring
compliance and tariff benefits.
70. Explain the SAP GTS Role-Based Access Control (RBAC) and its role in ensuring data security.
• Answer: The Role-Based Access Control (RBAC) in SAP GTS ensures data security by assigning
specific roles and permissions to users. It controls access to sensitive trade data based on the
user's responsibilities within the organization.
71. How does SAP GTS handle the integration with trade service providers, such as customs brokers
and freight forwarders?
• Answer: SAP GTS integrates with trade service providers by facilitating the exchange of
information, documents, and status updates. This ensures seamless collaboration and
communication between businesses and their service providers.
73. Explain the SAP GTS Post-Importation Control and its significance in trade compliance.
• Answer: The Post-Importation Control in SAP GTS refers to the monitoring of transactions after
importation. It ensures ongoing compliance by checking if actual import conditions align with the
information declared during import processes.
74. How does SAP GTS assist in managing the complexities of cross-border transportation logistics in
global trade?
• Answer: SAP GTS integrates with transportation management systems to streamline cross-
border transportation logistics. It helps businesses optimize routes, comply with customs
requirements, and enhance visibility into shipment movements.
75. What role does SAP GTS play in managing the electronic filing of export declarations with
customs authorities?
• Answer: SAP GTS automates the electronic filing of export declarations with customs authorities,
ensuring accuracy and timely submission. This feature supports compliance with export
regulations and customs procedures.
76. Explain the SAP GTS Trade Risk Management functionality and its impact on mitigating financial
risks.
• Answer: The Trade Risk Management functionality in SAP GTS focuses on mitigating financial
risks associated with international trade. It assesses factors such as credit exposure, currency
fluctuations, and payment risks to support informed decision-making.
78. What is the SAP GTS Legal Control Cockpit, and how does it aid businesses in managing legal
compliance?
• Answer: The Legal Control Cockpit in SAP GTS provides a centralized interface for managing
legal compliance. It aids businesses in monitoring legal control activities, ensuring adherence to
export control regulations and avoiding legal issues.
79. How does SAP GTS handle the determination and management of anti-dumping duties for
imported goods?
• Answer: SAP GTS assists in determining and managing anti-dumping duties by providing tools to
calculate and apply these duties based on international trade regulations. It ensures accurate
duty calculations for imported goods.
80. Explain the SAP GTS Master Data Synchronization and its role in maintaining consistency across
systems.
• Answer: Master Data Synchronization in SAP GTS ensures consistency by synchronizing master
data, such as product information and business partner details, across different systems within
an organization, promoting data integrity.
81. What is the SAP GTS Freight Costing functionality, and how does it impact cost management in
global trade?
• Answer: The Freight Costing functionality in SAP GTS allows businesses to calculate and manage
freight costs associated with international shipments. It impacts cost management by providing
visibility into transportation-related expenses.
83. Explain the SAP GTS Transit Document functionality and its role in facilitating the movement of
goods through multiple customs territories.
• Answer: The Transit Document functionality in SAP GTS facilitates the movement of goods
through multiple customs territories by automating the creation and management of transit
documents, ensuring compliance with transit regulations.
84. How does SAP GTS assist in managing the classification of goods for countries with unique
product categorization systems?
• Answer: SAP GTS provides flexibility in managing the classification of goods for countries with
unique product categorization systems by allowing businesses to adapt the system to specific
country-specific classification requirements.
85. What is the SAP GTS Import Control functionality, and how does it contribute to regulatory
compliance?
• Answer: The Import Control functionality in SAP GTS helps businesses comply with import
regulations by providing tools to monitor and control the importation of goods, ensuring
adherence to customs and regulatory requirements.
86. How does SAP GTS support businesses in managing trade restrictions imposed by countries due
to national security concerns?
• Answer: SAP GTS supports the management of trade restrictions imposed for national security
reasons by providing tools to screen transactions against restricted party lists and ensuring
compliance with export control regulations.
88. How does SAP GTS handle the automatic calculation of customs duties for goods imported into
multiple countries with different duty rates?
• Answer: SAP GTS automatically calculates customs duties for goods imported into multiple
countries by considering the specific duty rates applicable in each country. This ensures accurate
duty calculations for international shipments.
89. What is the SAP GTS Product Classification Cockpit, and how does it streamline the classification
process?
• Answer: The Product Classification Cockpit in SAP GTS provides a user-friendly interface for
managing and reviewing product classifications. It streamlines the classification process by
facilitating accurate and consistent product categorization.
90. How does SAP GTS support businesses in managing trade compliance for goods subject to special
requirements, such as hazardous materials?
• Answer: SAP GTS supports the management of trade compliance for goods with special
requirements, such as hazardous materials, by providing tools to classify and document these
goods according to international regulations.
91. Explain the SAP GTS Embargo Check functionality and its role in preventing transactions with
restricted entities.
• Answer: The Embargo Check functionality in SAP GTS automates the screening of transactions
against embargo lists, preventing businesses from engaging in trade activities with restricted
entities and ensuring compliance with international sanctions.
93. What role does SAP GTS play in managing the traceability of goods for compliance with product
safety regulations?
• Answer: SAP GTS supports the traceability of goods by providing tools for tracking and
managing product-related information. It aids in compliance with product safety regulations by
ensuring accurate and accessible traceability data.
94. Explain the SAP GTS Export Control Cockpit and its functionalities in managing export
compliance.
• Answer: The Export Control Cockpit in SAP GTS is a tool that centralizes export compliance
activities. It provides functionalities for screening, monitoring, and managing export control
processes, ensuring adherence to regulatory requirements.
95. How does SAP GTS handle the management of trade compliance in industries with unique
regulatory requirements, such as aerospace or defense?
• Answer: SAP GTS allows businesses to configure the system to meet the unique regulatory
requirements of industries like aerospace or defense. It provides flexibility in managing
compliance based on industry-specific regulations.
96. What is the SAP GTS Duty Drawback functionality, and how does it assist businesses in
recovering duties?
• Answer: The Duty Drawback functionality in SAP GTS helps businesses recover duties paid on
imported goods that are subsequently exported. It streamlines the duty drawback process,
ensuring compliance and cost savings.
98. Explain the SAP GTS Compliance Management Dashboard and its role in providing insights into
trade compliance.
• Answer: The Compliance Management Dashboard in SAP GTS provides a visual interface for
monitoring and analyzing trade compliance activities. It offers insights into compliance status,
potential risks, and overall performance.
99. How does SAP GTS support businesses in managing trade compliance for goods subject to
specific labeling requirements?
• Answer: SAP GTS supports the management of trade compliance for goods with specific labeling
requirements by providing tools to classify and document products according to labeling
regulations in different markets.
100. What role does SAP GTS play in managing the integration of trade data with enterprise
resource planning (ERP) systems?
• Answer: SAP GTS integrates with ERP systems to ensure a seamless flow of trade-related data
across the organization. This integration enhances the consistency and accuracy of data shared
between global trade and other business processes.