1. Thermo Fisher Scientific Technology Controls to Minimize Risk
Presented by:
Barb Secor,
Director Global Trade Compliance (GTC)
December 9, 2014

2. We are the World Leader in Serving Science
We are the leading provider of analytical instruments, equipment, reagents and consumables, software and service for research, analysis, discovery and specialty diagnostics
Serving more than 500,000 customers
Global Scale
50,000 employees in 50 countries
$17 billion in annual revenues
Unparalleled commercial reach
Leading Brands
Pharmaceutical companies
Research Institutions
Biotech companies
Government agencies
Hospitals
Environmental
Clinical diagnostic labs
Industrial quality
Universities
Process control settings ™ 2 2

3. Meeting the world’s increasingly complex challenges
First Draft for Team Member's feedback
Our Company Mission
Enable Our Customers to Make the World…
Healthier
Cleaner
Safer
Meeting the world’s increasingly complex challenges

4. 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?

5. Intranet Site

6. Global Trade Compliance Management System (GTCMS)

7. 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)

8. 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)

10. Set rules for intranet postings/working groups
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

11. 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

12. LCR Sourcing/Manufacturing Checklist

13. 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

14. 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

15. 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.

16. 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

18. 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

19. Questions???