thermo fisher scientific technology controls to minimize risk presented by: barb secor, director...

Thermo Fisher ScientificTechnology Controls to Minimize Risk

Presented by:

Barb Secor,

Director Global Trade Compliance (GTC)

December 9, 2014

2 Proprietary & Confidential

We are the World Leader in Serving Science

We are the leading provider We are the leading provider of analytical instruments, equipment, reagents of analytical instruments, equipment, reagents

and consumables, software and service for and consumables, software and service for

research, analysis, discovery research, analysis, discovery

and specialty diagnosticsand specialty diagnostics

Global Scale• 50,000 employees in 50 countries

• $17 billion in annual revenues

• Unparalleled commercial reach

Leading Brands

™

Serving more than 500,000 customers


Meeting the world’s increasingly complex challenges

Our Company Mission

Enable Our Customers to Make the World…

Healthier Cleaner Safer


Thermo Fisher Scientific Global Trade Compliance (GTC) Program

• More than 115 active US business units

• More than 400 active global business units• All business units required to have Export/Import Coordinator and backup

• Four corporate level team members reporting to General Counsel

• More than 66% of our employees are considered Foreign Nationals per Export Administration Regulations (EAR) and International Traffic in Arms Regulations (ITAR)

• Approximately 98% of Thermo Fisher’s products are classified EAR99• Microscope slides to explosives detectors

• Very small number of ITAR products

• Challenge: Since such a small number of our products are export controlled, how do we manage to identify and control deemed exports and technology transfers?


Intranet Site


Global Trade Compliance Management System (GTCMS)


Where to Start?

• Identify export controlled products, technology, software and services (classify)

• Identify key areas of possible risk for controlled technology transfer

• Training, more training, and then even more training

• Everyone plays a role (some more than others so make appropriate)

• Reminder that regulations address nationality of individual-not the company they work for

• Ensure Foreign National employees understand the reason behind policies and that they are in place to protect Company AND the employees and customers themselves individually

• Ensure that employees understand the definition of a Foreign National (e.g. excludes U.S. citizens, green card holders, asylees)


Train Everyone Involved

• R & D, Intellectual Property, Outsourcing of low level engineering, Contract Managers, Government Contracts, Sourcing, Supply Chain, HR, Receptionists, Commercial staff, Customer Service, etc.

• Annual ethics training, in person training/workshops, webinars, online trainings at every opportunity• Train functions, especially R & D teams, IP attorneys, Sourcing teams

• Find out when their meetings are and ask for some time

• Customize

• Ensure they all know who they need to go to with questions (Export Coordinator, Corporate team, Manager, someone)


Set Up Processes

• Identify potential products, review further development (show examples of where a product could cross from EAR99 to controlled, Commerce to DDTC), classification process for new products and components

• Identify industries sold to with potential for export controlled products and prohibited End Uses

• Set rules for intranet postings/working groups• Data storage/cloud/servers

• Password protection

• Structured/automated

• Written procedures

• Non-Disclosure Agreements with export control language for vendors and employees

• Screen every step of the way


Processes

• Be sure to get the buy in of everyone involved

• Have them be part of the solution/SOP

• Try to get imbedded in to THEIR process

• Keep it simple

• Write what you do, not what you want to do


LCR Sourcing/Manufacturing Checklist


Visits by Customers/Foreign National Employees to Sites

• Visitors must come through main reception area-all other entrances should be locked• Train shipping and receiving staff at warehouse doors

• Visitor sign in process which asks/documents whether visitor is a US citizen or asks citizenship

• One size does not fit all• If no export controlled products/technology, standard visitor

and/or employee badge may be sufficient• Non-employee visitors should be escorted

• Employee badges only work at individuals’ place of employment unless added as separate step/review for appropriateness


Visits by Customers/Foreign National Employees to Sites

• If export controlled products/technology then a much stricter policy to be put in place

• Technology Control Plan must/should be in place

• Foreign National visitors must/should be escorted

• Color coded Foreign National badges

• Color coded resident employee versus non-resident employee badges

• Products/technology segregated in locked area with limited badge access by trained employees only


Visitor Visa Sponsorship

• Providing an incorrect or inaccurate visa sponsorship letter used in a visa application is a felony

• Policy that regulates the review process and letter creation process (intranet visa sponsorship tool)

• All visa sponsorships must/should be reviewed by management, Export Coordinator and a member of the Corporate GTC team

• Export Coordinators and Management must ensure that all employees are aware of and follow this procedure• Communicate via Town Hall meetings, other business mass

communications, new employee onboard training, other internal trainings

• “Dos and Don’ts” to provide guidelines• There are specific actions and guidelines required for any expenses paid for

foreign officials and other visitors, dates must reflect actual visit, no sponsorship for non-business purposes, suspicious activities and deviations must be reported to corporate, etc.


U.S. Hiring

• Form I-129 petition• Used for various types of visa petitions for foreign national workers

• Some visa types subject to new certification requirement• H-1B, H-1B1, L-1, O-1A

• Export control certification mandatory as of February 20, 2011


THERMO FISHER SCIENTIFIC INC.

EXPORT CONTROL CERTIFICATION FOR H, L & O VISA PEITIONS

The person listed below is being sponsored by Thermo Fisher Scientific Inc. (“Thermo Fisher”) for an H, L or O Visa Petition (the “Petition”) in connection with his/her employment at Thermo Fisher. As part of the Petition, Thermo Fisher is required to certify to the Department of Homeland Security, U.S. Citizenship and Immigration Services, whether in connection with the person’s employment at Thermo Fisher, he/she will be exposed to technology or technical data that would be considered “controlled technology” under Export Administration Regulations (EAR) or International Traffic in Arms Regulations (ITAR). Accordingly, you are hereby being asked to certify as set forth below: Name of Employee:________________________________ (First, Middle Initial, Last) Position at Thermo Fisher:___________________________ (Job Title) Thermo Fisher Location:____________________________ (City and State) I, the undersigned site leader/manager/export coordinator, hereby certify that I have reviewed the Export Administration Regulations and International Traffic in Arms Regulations with respect to the technology and technical data that will be released to the employee referenced above in connection with his/her employment at Thermo Fisher and determined that a license is not/is (please circle either “is not” or “is”, as applicable) required from either the U.S. Department of Commerce or the U.S. Department of State to release such technology or technical data to the above-referenced employee. I further certify that if a license is required, the employee will be prevented from accessing the technology or technical data until the required license or other authorization has been obtained. __________________________________________________ Site Leader Signature (Please print name and title after signature) __________________________________________________ Manager Signature (Please print name and title after signature) __________________________________________________ Export Coordinator Signature (Please print name and title after signature)


Last Steps

• Keep your training and processes up to date

• Communicate, cooperate and be approachable

• Test controls that are in place

• Implement corrective actions when needed

• Test again


Questions???

thermo fisher scientific technology controls to minimize risk presented by: barb secor, director...

Documents

export controlled products

proprietary confidentialtrain

proprietary confidentialwhere

proprietary confidentialwe

proprietary confidentialset

new products

thermo fishers products

questions export coordinator