Step 1. Overview

Overview

Business Process Analysis is an instrument for the analysis of a trade transaction with a view to understanding the roles of the parties involved, their activities and to improve the efficiency of its operations and the application of trade regulations. The activities of the different parties that take place in the trade transaction are documented using a standard format, which helps to showcase the issues and facilitates a constructive discussion.

Corporate businesses widely use Business Process Analysis for process management and quality control. It is now also increasingly used in a trade facilitation context. A cross-border trade transaction involves a sequence of business processes. A business process is a collection of related and structured activities or tasks that produce a specific service or product. The Buy-Ship-Pay model describes the main processes involved in an international supply chain, from establishing a sales contract to clearing goods for import or export. A BPA provides a perspective on these processes with a view on locating problems, delays or redundancies, and identifying opportunities for simplification. Its main uses, or usage scenarios, for trade facilitation are to improve procedures, support the implementation of IT solutions, and support decision-making processes.
A Business Process Analysis is conducted in a structured manner. The TFIG presents an overview of the required steps from establishing a project team, leads to the documentation of the current situation in form of diagrams, and the development of recommendations for improvements.

There is now a growing number of BPA studies that have been published in particular from the Asia and Pacific region. Cambodia has conducted a BPA in 2010 to evaluate procedures, times and related costs associated with the expert and import of products of strategic importance. UNESCAP has realized a study on import and export processes(*) using BPA in selected Asian economies. Several country experiences from this study have been published:

ORGANIZATIONSTUDYCOUNTRY
UNESCAP / ArtNetFacilitating Trade through Simplification of Trade Processes and Procedures in BangladeshBangladesh
UNESCAP / UNNExTAn Analysis of Trade Facilitation and Import/Export Processes in CambodiaCambodia
UNESCAP / ArtNetAn Analysis of Import-Export Procedures and Processes in ChinaChina
UNESCAP / ArtNetTrade Facilitation in India: An Analysis of Trade Processes and ProceduresIndia
UNESCAP / ArtNetImproving Regional Trade Procedures and Processes: A Business Process Analysis of Export of Vegetable Ghee from Nepal to India and China and Import of Textile from India to NepalNepal
UNESCAP / ArtNetImproving Import-Export Procedures and Processes in Sri LankaSri Lanka
UNESCAPBusiness Process Analysis of the Export of Jasmine Rice from Thailand to the United StatesThailand
UNESCAP / ArtNetAnalysis of Export and Import Processes of Selected Products in ThailandThailand

(*)UNESCAP/Artnet, “Trade Facilitation in Asia and the Pacific: An Analysis of the Import and Export Processes”, Studies in Trade and Investment, no. 71 (New York, United Nations Publishing, 2011)