Facilitating Trade:
Improving Customs Risk Management Systems
In the OIC Member States
77
Jordan, Morocco, Nigeria, Palestine, Suriname, Indonesia, Turkey, Senegal, Albania, Togo, Oman,
and Bahrain).
 The implementation level and CRM Strategy criteria reflect the different stages in a
CRMS. CRMs are long-term developments, and it can take many years to establish a fully
operational IT supported CRMs. The attributes, therefore, describe at what stage of the
process the country is;
 Risk Management Cycle coverage is concerned with the extent to which CRM support
risk identification, customs control, and trade facilitation at the same time. Effective risk
management requires implementation of documented risk management cycle that
enables close cooperation among related entities, including border agencies and other
countries ’ customs authorities. The attributes capture the stages that customs official
undertake in implementation of risk management processes;
 Monitor and Review aim to capture to what extent customs authorities use monitoring
and reviewing processes to support the effectiveness of their risk control management
cycle on a regular basis. The purpose of measuring and reviewing is to use KPIs and
quantitative data analysis to secure continuous improvement process within risk
management system. The attributes capture the analysis process and statistical tools
used to analyse, measure and review key performance indicators decision making
support for each stage of risk management cycle;
 The organization and management criteria cover aspects that describe how customs
authorities have integrated their CRM inside organizational and managerial level in the
organization. This includes attributes such as processes, human resources development,
internal communication processes and exchange of information, customs law
enforcement support, exchange of information and co-operation with other customs
administrations;
 The final criteria, the technology, is a broad criterion that aims to describe in non-
technical language the Risk Management tools (inspection equipment) and IT
Architecture of the Risk management module in the Customs Declaration Processing
Systems, Customs Law Enforcement IT Systems and supportive systems – data
warehouse, business intelligence and data mining. The choice of IT CRM supportive
elements determines to a large extent effectiveness of the Customs in simplifying
transactions. Attributes attempt to capture at a high level the design of the IT
architecture, IT infrastructure, and specific aspects.
The research data and responses on the CRM Survey results for OIC MS are presented in Annex
7.2.2.
4.3 Comparative Findings of this study
4.3.1 Analysis of OIC Member States CRM - Benchmark Indicators and
Summarization Strategy
4.3.1.1 Legal, strategic and other mechanism supporting CRM system
4.3.1.1.1 Customs Code, Implementing Regulation and Strategy
In the past 20 years, OIC MS have adopted legal framework – Customs Law (Code) that defines
the structural rules and provisions regulating the customs matters. The customs law prescribes
the customs powers, defines law enforcement competencies and noncompliance (offense, in
some countries, referred as irregularities).