Export Compliance Check for Contract Deliverables

The Global Trade Compliance functionality can be used to check if specific items can be exported to a specific country or a specific business partner. It is a process that verifies if specific export requirements are met. For this purpose, this process performs various checks on the contract deliverables. It is possible to execute internal and external checks. The authorized users can overwrite compliance check errors generated by the application, in which case the export block is overruled.

Prerequisites

The global trade compliance functionality is enabled, only if:

The Trade Management check box is selected in the Concepts (Logistics) tab, in the Implemented Software Components (tccom0100s000) session.
The Export check box is selected in the Trade Management Parameters (tcgtc0100m000) session.

Compliance Check

A contract deliverable is subject to an export compliance check if:

The deliverable is of the type, Hardware and is processed in Warehousing.
The cost item deliverables are of the type, Non Hardware and are released to Warehousing.
The Subject to Trade Compliance check box is selected in the Items (tcibd0501m000) session.
The deliverables are shipped to another country, that is, the Ship-from address (based on the value specified in Warehousing) and the Ship-to Address specified in the Contract Deliverables (tppdm7100m100) session, are located in different countries.

Note:

The Subject to Trade Compliance indicator in the Contract Deliverables (tppdm7100m100) session indicates if the Subject to Trade Compliance check box is selected in the Items (tcibd0501m000) session. If this indicator is not selected, by default, the Document Compliance Status is set to Not Applicable, and the Check Compliance option is disabled.
If the deliverable for which the trade compliance check is already executed is modified, the check is executed again. This is applicable even if the planned delivery date, or confirmed delivery date, the quantity, or sales amount data for the deliverable is modified.
During the internal check, the application verifies if the Outbound Trade Compliance and Restricted by Components check boxes are selected in the Items (tcibd0501m000) session. A license is required for certain countries based on the item and the export restrictions.

Following are the two scenarios for the export compliance check:

Scenario 1

Create a deliverable in the Contract Deliverables (tppdm7100m100) session.
Click Activate. After you activate the deliverable, the export compliance check is executed.
If validated (the Document Compliance Status is set to Validated), the status of the deliverable is set to Active.
If a validation error occurs (the Document Compliance Status field is set to Validation Error), the deliverable status is set to Free