In December 2020, we announced that Smart Directions were AEO Certified – becoming an Authorised Economic Operator (AEO).
Why? Well, besides being another string to our bow, AEO certification demonstrates that our role within the international supply chain is secure and that our customs controls and procedures are efficient and compliant.
Yes, we’re a safe pair of hands.
But what are the benefits to you?
The benefits of working with an AEO certificated company
AEO status means that items pass through customs as quickly as possible on a practical level. It also means:
- There are fewer physical and document checks at borders
- You get priority as an AEO consignment
- Increased transport security
- Fewer delays in despatch
- Greater security between supply chain partners
- Quicker access to other customs authorisations
- Reduced administration
Of course, priority clearance for AEO certified businesses inevitably means that non-certified companies become a secondary concern and are more likely to experience costly delays.
What are the business advantages of working with an AEO Certified company?
AEO status is internationally recognised; therefore, any company that has achieved it will be seen as a preferred supplier.
Secure supply chain
An AEO status business that meets the security and safety criteria is considered a secure and safe partner in the supply chain because it continuously does everything possible to reduce threats in the international supply chain.
Under the Union Customs Code (UCC), a waiver for the new financial guarantee requirement for suspended duty is granted to AEO certified businesses. In contrast, non-AEO businesses must secure financial guarantees, often at a high cost to the company.
As part of the AEO accreditation process, businesses must use ‘best-practice’ processes and procedures. Therefore, indirect business benefits from AEO status could include:
- Incidents of theft and loss are reduced
- Shipments less likely to be delayed
- Greater customer loyalty
- Reduced security and safety incidents
- Reduced inspection costs of suppliers
- Increased co-operation
- More efficient transportation across borders
- Future insurance premiums could be lower
- More efficient import/export systems
All the benefits we’ve spoken about have efficiency, productivity, and profits at their core. Let’s face it, faster customs checks, a global network of improved suppliers and a certificate of reliability and safety carry considerable benefits for any business.
Choosing an AEO certified courier
When opting to work with an AEO certified courier, you know they are a company that meets strict compliance standards set by HMRC.
Accreditation sends out an important message as it signifies a safe and secure pair of hands, quicker access to simplified customs procedures, and reduced physical customs checks.
It’s a win-win for both accredited business and their customers.