IT Inventory Analysis

Facts

In accordance with the applicable regulations, companies using customs facilities, specifically Bonded Zone, Bonded Warehouse, Bonded Logistics Center, and Ease of Import for Export purposes (KITE) are required to utilize information technology for managing the incoming and outgoing of goods (“IT Inventory”).

The fact is that eventhough the company has utilized a sophisticated IT Inventory, there are still a number of audit findings which at the end result in customs claims and/or administrative penalities in large amounts, when a customs audit is carried out.

Why? Our analysis proves that the main cause is data. There are discrepancies and asynchronous data in the company’s IT Inventory system.

How does PCC analyze this?

Our team of consultants will visit your company and conduct interviews with related departments, including IT, to get an idea of the flow of goods in and out and their records.

Next, we will deepen and trace the flow of goods recorded in the company’s ERP system to ensure the accuracy of the data reported in the IT Inventory.

We will also conduct an in-depth investigation of the relationship among the reports keyed-in in the IT Inventory, and their relationship with the import and export customs documents that have been submitted and approved by the Customs.

What are the benefits?

The IT Inventory analysis that we carry out is a preventive measure (pre-emptive action) to avoid and/or reduce the occurrence of potential findings during a customs audit in the future. So, it is clear that our analysis is not a reactive measure that is very less effective.

These preventive measures, in return, will minimize the risks for companies from exposed to customs claims and/or administrative penalties as implications of customs audits. This will directly contribute to the company’s liquidity and cash flow.