The Importance of Trade Compliance Training

with Julie David, Content Lead for TCA and Trade Compliance Expert 

Research indicates that companies that do not invest in training experience reduced productivity, increased turnover rates, and risks associated with regulatory and policy compliance that can expose them to legal liabilities.

The value of money at risk due to non-compliance is hard to fathom… hundreds of billions. That's the amount of money that emerging market entry requirements and continuous change is putting on the line. International trade management is now a strategic imperative.

Growing Complexities

The World Economic Forum's new research, has identified four key challenges currently transforming international trade management:

Geopolitical volatility – leading to tariff changes, expanded export controls and fragmented sanction regimes. Organizations are looking for new methods to manage the risks.

• Sustainability and reporting regulations – this includes regulations such as the EU's Corporate Sustainability Reporting Directive (CSRD), Carbon Border Adjustment Mechanism (CBAM), the EU Deforestation Regulation (EUDR), and the US Uyghur Forced Labour Prevention Act (UFLPA). These regulations require organizations to collect new data for border clearances and ensure compliance is present across supply chains.
• Regulatory complexity – with frequent updates to customs rules, export licensing regimes and enforcement practices, increasing complexity means that more responsibilities are falling on just a few individuals.
• Technology and data demands – tech and data are evolving; at rates we've never seen before. Digital tools bring opportunities, but siloed systems and inconsistent data across processes maintain significant barriers.
• With the mounting need to reassess sourcing and procurement strategies, improve data visibility, and continued capacity changes – fortifying your supply chain with education and awareness is a given.

Regulatory bodies and government agencies are brewing up a complex compliance coffee which only goes down smoothly when companies have visibility end-to-end and can rapidly communicate new insights. Everyone is reliant on accurate data from within, from suppliers, and on customers.

It is increasingly apparent that professionals in the industry must have multidisciplinary skills which cover everything from legal knowledge, geopolitical awareness, technology understanding, and forward-thinking strategy.

It is said that compliance is a moving target, this is why Skill Dynamics moves with it.

The Risks

The risks associated with companies who do not invest in Trade Compliance training are almost as vast as the regulations themselves. They include:

• Financial penalties – especially fines related to detained or seized shipments and export and import regulations violations.
• Supply chain disruptions – detained and seized shipments in customs due to a lack of (or incorrect) import documentation and classifications, or failure to obtain proper export authorizations can delay operations and deliveries to customers, damaging your relationship and reputation within your supply chain.
• Reputational damage – export violations, even unintended violations, are publicly announced by governing agencies. Your company's name on public record can damage your image and brand and decrease your company's competitive advantage within your industry.
• Heightened scrutiny – companies with a history of violations could face extra monitoring from governing bodies regarding their import and export practices, which could result in further delays in inspections and investigations.
• Loss of privileges – in extreme cases, violations can result in the loss of export privileges, which impact a company's ability to increase its market share and customer count as well as contributing to loss of credibility and trust from the supply chain and customers.

These risks in turn all result in legal costs. In some cases, part of the settlement with the government requires the company to invest in its internal compliance program, including, but not limited to, the implementation of a training program as part of the remediation for the violation.

A Good Trade Compliance Training Program

According to the Bureau of Industry and Security (BIS), a good trade compliance training program should have:

• Job-specific knowledge
• Effectively communicate employee responsibilities
• Hold employees accountable for training through assessments

They also recommend regular review and revision of training materials to ensure that information is accurate and current with regulatory changes.

Skill Dynamics takes these principles and offers solutions to meet the best practice recommendations of governing trade compliance authorities, ensuring our customers are covered. Our training uses a three-tiered approach:

• General awareness courses for those with minimal contact with trade compliance requirements.
• Functional courses for marketing, sales, human resources, engineering, and others with a higher likelihood of in-depth regulatory compliance requirements.
• Practitioner-level courses for those directly responsible for making import and export decisions for your company.

We also provide training for leadership that focuses on the importance of establishing and supporting internal compliance programs as well as advanced courses for beyond-the-basics learners.

We take on the monumental task of staying on top of the ever-changing regulatory landscape to keep our content up-to-date and ensure you and your learners are receiving the most current information every time you log into our training.

Personalized Learning Journeys 

Learning journeys with Skill Dynamics are personalized, role-relevant, and consistently reviewed to ensure your learners get the most out of the learning materials.

Unlike using a generic training provider, utilizing the Skill Dynamics Framework means combining advanced technology with proven learning science and deep practitioner expertise to deliver real-world skills that stick – translating directly to better business outcomes.

Our platform doesn't just deliver content – it creates a fully personalized learning journey for every individual, ensuring training is relevant, focused, and aligned to business needs.

Discover how it works, or get in touch to discuss how the platform can help you.