Solid systems are key to compliance

Without solid systems in place, operating in the logistics industry has become near impossible, especially in the light of the global economical turmoil. According to J-L Koekemoer, general manager and systems architect of Ship-Shape Software in Johannesburg, an emerging trend in recent times has been the large drive by many smaller entities to tighten up financial controls and put more stringent processes in place in terms of credit limits, collection and the management of costs. “This is in contrast to their traditional concerns that were focused on the actual operations part of their business.” Koekemoer attributes this to multiple factors, most notably the tougher economic climate in which business is finding itself compared to two years ago, as well as some significant positive growth amongst some companies, which now forces them to be more diligent on the financial side. “Through all of this, solid systems are key not only to operational efficiency but also to being legally and Sars-compliant as well as competitive in the marketplace,” said Koekemoer. “Systems for their own sake do not work. Many electronic solutions tend to be inherently complex and have the opposite effect to what they set out to achieve. We strive to always fully understand the environment in which our systems are deployed in order to advise on best practices.” According to Koekemoer, it is about implementing solutions that are tailormade, but also streamlined and optimised for highvolume processing, avoiding duplication of effort. “It is about developing and offering “out-ofthe- box” interfaces into mainstream accounting systems – such as the various versions of Pastel and AccPac, as well as building custom integration solutions for our corporate customers into systems like SAGE as well as other ERP or in-house systems they may be operating.” According to Koekemoer, the Customs Modernisation Programme has also gone a long way to ensuring “compliance awareness” throughout the entire industry, and though there is much work still to be done, the message has become clear that illicit trade will not be tolerated. “Through the systems in place, these trade deals will also come to the fore more readily. It is therefore important for companies to look at their systems and ensure they have the right package for their needs.” He said in terms of the Customs Modernisation Programme, the implementation of electronic submission of supporting documents in June this year had brought immediate benefits to both trade and Sars. “There have been huge savings in terms of time and fuel when considering the traditional messenger-delivery method of supporting documents,” said Koekemoer.