Data Analytics and Visualisation

In the realm of customs and international trade, data analytics and visualisation have emerged as powerful tools that can mitigate risks and optimize operations. With the increasing complexities of international trade, companies involved in customs activities are turning to these techniques to gain valuable insights and make well informed decisions. On this page, we will explore the intersection of data analytics, visualisation and customs activities, and how they can transform the way businesses navigate through the global trade landscape.

Data Analytics

Data analytics involves the exploration, analysis, and interpretation of large volumes of data to uncover meaningful patterns, trends, and insights. For companies engaged in customs activities, data analytics can bring several advantages:

By analysing historical customs data, companies can identify potential risks. Patterns that may indicate suspicious behaviour or incorrect data being reported, enabling proactive measures to be taken. Like for example commodity codes being used that are not part of the product portfolio, products being shipped to countries that you would not expect, extreme volumes being shipped, or very high or low customs values being used. Spotting this early on will not only safeguards the company's interests but also ensures compliance with regulatory requirements.
Furthermore, data analytics can optimize supply chain and logistics operations including opportunities for potential savings. By analysing data related to import/export, companies can identify bottlenecks, optimize routes, and reduce costs. For example, spotting where possibilities to claim preferential origin (i.e. lower or zero duty rates) are potentially missed or possibilities to combine shipments and save on logistical costs.
And sometimes data analytics is a necessity to recreate what should have been. In case the customs administration was not correctly maintained for example. With the help of data analytics and based on other data sources this can be reconstructed. This type of analytics will help afterwards with supporting the correct amounts of duties to be paid/refunded and can provide a new starting point from which a correct administration can be kept. This is especially relevant when a company has customs licenses and as such holds goods under customs supervision.

Data Visualisation

The power of data analytics is truly unleashed when combined with data visualisation. Data visualisation is the graphical representation of data to present complex information in a visual and easily understandable format. Data visualisation offers several benefits.

Firstly, it enhances decision-making by simplifying for example complex customs data into charts, graphs, and maps. Decision-makers can quickly grasp the information and make faster, more accurate decisions based on real-time insights.
Moreover, data visualisation improves communication by presenting customs-related information in a visually appealing way. This makes it easier to communicate with stakeholders and regulatory authorities. By presenting data visually, companies can effectively convey information.
Data visualisation also enables the identification of trends and patterns that may not be apparent in raw data. By visualizing data, companies can quickly id

Our approach

Data analytics and visualisation requires a systematic approach. It starts with data collection and integration from various sources such as import/export records, logistics systems, ERP systems, regulatory databases etc.

The collected data is then cleaned and pre-processed to ensure accuracy and consistency. Depending on the project a logic is designed to detect the risk, find fields for which optimization is possible or to reconstruct the customs administration and determine the customs duties to be paid/refunded. This design is then applied to analyse the data and extract meaningful insights/conclusions.

Finally, appropriate visualisation techniques such as charts, graphs, and maps are selected to present the analysed data in a visually appealing and easy-to-understand format.

How can PwC help

There are lots of areas where we use data analytics to support clients with issues, for example to detect risks, optimizing supply chains and reconstructing customs administrations as well as the visualisation of the data. We are also familiar with a wide range of tooling that we use for these analytics and visualisation, like for example Alteryx, SQL, Power BI etc. but also Excel can be used if that would be sufficient. With regard to the potential of Alteryx in the field of trade tax and supply chains we refer to this Whitepaper.

The above in combination with the experience we have gained on several of these types of projects ranging from spotting opportunities to reconstructing the entire customs administration will enable us to assist/advise your company in the best possible way on data analytics/visualisation.