Case Studies Rigorous Customs Audit Builds Confidence

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	Rigorous Customs Audit Builds Confidence

Rigorous Customs Audit Builds Confidence

Technology Category	Analytics & Modeling - Data-as-a-Service Functional Applications - Enterprise Resource Planning Systems (ERP)
Applicable Industries	Construction & Infrastructure Consumer Goods
Applicable Functions	Logistics & Transportation Procurement
Use Cases	Regulatory Compliance Monitoring Supply Chain Visibility Track & Trace of Assets
Services	System Integration Training
Challenge	Armstrong World Industries, Inc. faced the challenge of ensuring compliance with new customs legislation that placed the burden of compliance on importers rather than brokers. As a top 5000 U.S. importer, Armstrong needed to avoid fines, penalties, criminal complaints, and the loss of import licenses. The company sought a new provider to perform a customs compliance audit to identify areas for improvement and ensure adherence to regulations. Armstrong chose C.H. Robinson, which had already provided domestic and global freight services to the company for five years. C.H. Robinson's expertise in customs compliance was seen as a key differentiator, and Armstrong believed the company could help strengthen their compliance program. Read More
About Customer	Armstrong World Industries, Inc. (Armstrong) is a global leader in the design and manufacture of floors, ceilings, and cabinets. Based in Lancaster, PA, Armstrong operates 36 plants in nine countries. The company specializes in flooring products such as vinyl, laminate, wood, and ceramic flooring, which make up 95 percent of its imports. Armstrong's exports primarily consist of building products like ceiling tiles, accounting for 95 percent of its exports. Over the last decade, Armstrong has grown from being a minimal importer to becoming a top 5000 U.S. importer, which has brought added responsibilities and the need for stringent customs compliance. Read More
Solution	C.H. Robinson applied the U.S. Customs' audit process to assess Armstrong's compliance program. Using their Trusted Advisor® expertise, C.H. Robinson's team of compliance experts conducted a rigorous assessment, analyzing Free Trade Agreement privileges, tariff numbers, countries of origin, and volumes. They evaluated Armstrong's departments against the company's compliance manual and validated the customs compliance program. C.H. Robinson recommended that Armstrong use the Customs Reconciliation Program to address variations in inter-company trading prices and ensure accurate customs duties assessment. This recommendation went beyond what accounting firms had provided in the past, making Armstrong's operations more efficient and reducing their risk. Additionally, C.H. Robinson's compliance team continues to provide ongoing support through seminars, workshops, white papers, and more to educate Armstrong employees about compliance. Read More Log in to view content
Contents

Technology Category

Analytics & Modeling - Data-as-a-Service

Functional Applications - Enterprise Resource Planning Systems (ERP)

Applicable Industries

Construction & Infrastructure

Consumer Goods

Applicable Functions

Logistics & Transportation

Procurement

Use Cases

Regulatory Compliance Monitoring

Supply Chain Visibility

Track & Trace of Assets

Services

System Integration

Training

Challenge

Armstrong World Industries, Inc. faced the challenge of ensuring compliance with new customs legislation that placed the burden of compliance on importers rather than brokers. As a top 5000 U.S. importer, Armstrong needed to avoid fines, penalties, criminal complaints, and the loss of import licenses. The company sought a new provider to perform a customs compliance audit to identify areas for improvement and ensure adherence to regulations. Armstrong chose C.H. Robinson, which had already provided domestic and global freight services to the company for five years. C.H. Robinson's expertise in customs compliance was seen as a key differentiator, and Armstrong believed the company could help strengthen their compliance program.

About Customer

Armstrong World Industries, Inc. (Armstrong) is a global leader in the design and manufacture of floors, ceilings, and cabinets. Based in Lancaster, PA, Armstrong operates 36 plants in nine countries. The company specializes in flooring products such as vinyl, laminate, wood, and ceramic flooring, which make up 95 percent of its imports. Armstrong's exports primarily consist of building products like ceiling tiles, accounting for 95 percent of its exports. Over the last decade, Armstrong has grown from being a minimal importer to becoming a top 5000 U.S. importer, which has brought added responsibilities and the need for stringent customs compliance.

Solution

C.H. Robinson applied the U.S. Customs' audit process to assess Armstrong's compliance program. Using their Trusted Advisor® expertise, C.H. Robinson's team of compliance experts conducted a rigorous assessment, analyzing Free Trade Agreement privileges, tariff numbers, countries of origin, and volumes. They evaluated Armstrong's departments against the company's compliance manual and validated the customs compliance program. C.H. Robinson recommended that Armstrong use the Customs Reconciliation Program to address variations in inter-company trading prices and ensure accurate customs duties assessment. This recommendation went beyond what accounting firms had provided in the past, making Armstrong's operations more efficient and reducing their risk. Additionally, C.H. Robinson's compliance team continues to provide ongoing support through seminars, workshops, white papers, and more to educate Armstrong employees about compliance.

Impact #1	C.H. Robinson's network of industry and government contacts keeps Armstrong informed about new rulings and proposed regulations, ensuring they are prepared for changes.
Impact #2	The same compliance team works on Armstrong's account, minimizing errors and ensuring familiarity with the company's processes.
Impact #3	Armstrong plans to use C.H. Robinson's Global Trade Reports® software to analyze ITRAC trade data graphically and manage time-sensitive air freight imports.

Impact #1

C.H. Robinson's network of industry and government contacts keeps Armstrong informed about new rulings and proposed regulations, ensuring they are prepared for changes.

Impact #2

The same compliance team works on Armstrong's account, minimizing errors and ensuring familiarity with the company's processes.

Impact #3

Armstrong plans to use C.H. Robinson's Global Trade Reports® software to analyze ITRAC trade data graphically and manage time-sensitive air freight imports.

Benefit #1	Armstrong has become a top 5000 U.S. importer.
Benefit #2	95% of Armstrong's imports are flooring products.
Benefit #3	95% of Armstrong's exports are building products.

Benefit #1

Armstrong has become a top 5000 U.S. importer.

Benefit #2

95% of Armstrong's imports are flooring products.

Benefit #3

95% of Armstrong's exports are building products.

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Overview

Rigorous Customs Audit Builds Confidence

Operational Impact

Quantitative Benefit