Tuesday, March 9, 2010

Companies Seek Ways Out of the Regulatory Compliance Money Pit

(Logistics Today)

Nearly half (45%) of supply chain professionals recently surveyed by global logistics firm BDP International and its Centrx consulting unit say they are supporting their internal regulatory compliance departments with external resources, especially those with under $1 billion in annual revenues and those doing business in emerging markets.

Growing global concern over environmental and safety issues is spinning a global web of trade and security programs that impact both importers and exporters, and both products and their movement. Compliance with new regulations such as the EU REACH and U.S. Importer’s Security Filing 10+2 programs can be complex and costly. To better understand how companies are dealing with these issues, BDP and Centrx surveyed 184 logistics executives from a range of industries. […]

When queried about where they expect to secure compliance support in the future, nearly 80% (77%) indicate in-house resources, but fully 65% note they will also work with freight forwarding/customs brokerage firms.

“Today more than ever it is critical for global traders to understand the vagaries of the regulatory landscape and the speed with which it is changing,” Ford notes. “Going forward, the challenge will be staying ahead of the regulatory curve with its growing trade, security and environmental rules.”

Read more here.