C-TPAT Phase 3 – Factory Enhancements Kickoff Meeting June 03, 2013 Vendor Portal Team

1. C-TPAT Phase 3 – Factory EnhancementsKickoff MeetingJune 03, 2013Vendor Portal Team

2. Team Introduction Objective of the Project Timelines , Milestones and Deliverables Proposed Process Flow Key Screen Shots to Explain the Requirements Questions Agenda

3. Team Introduction

4. Objective Objective To enhance vendor setup process in order to get the C-TPAT information of the vendor at factory level. Features • Vendor Representative will provide the list of factories and the contact details for each factory during the new vendor setup process • If Vendor does not have C-TPAT valid certification number, system will send the C-TPAT links to factory contacts to capture the C-TPAT details.. • System will send the C-TPAT links to factory contacts to capture the C-TPAT details. There should be a mechanism to capture the CPAT details of the factories without creating the authenticator id for the factory contacts. • Factory representatives will be able to provide C-TPAT information for their respective factories. • Custom Compliance group will be able to have a consolidated view of the C-TPAT details status of the vendor provided at the factory level. There should be a mechanism to follow-up on C-TPAT information for each factory.

5. Overview continued… • There will be a functionality for the vendor to track the CTPAT status details of individual factory. Vendor will be having READ ONLY access to factories C-TPAT. • Vendor will communicate with the factory contacts using their own communication channels. • Custom Compliance group should be follow up with factory contacts to have the CTPAT details filled . • Appropriate notifications will be sent to Factory representatives • Vendor details reports and exception reports will be enhanced to have the CTPAT information details. • There will be a mechanism to show factories for which Purchase Orders (PO) have been issued. Suggestions are required to provide filter criteria to narrow down such factories in all possible locations/screens.

6. Timelines and Milestone Dates • Deliverables

7. Process Flow Vendor has SVI#? Vendor Representative Vendor submits preliminary info Vendor provides factory Information and factory contact for each factory as part of detail info Factory Representative Factory Rep provides C-TPAT at factory level Yes CM queue is updated with C-TPAT approval status of the vendor CM approves the vendor CM No CCG reviews the status of C-TPAT info of each factory and have the capability to approve/reject the C-TPAT details of vendor Custom Compliance Vendor is available in CCG queue System Email sent to Factory Contact to provide C-TPAT Info C-TPAT status of vendor updates based on CCG action Vendor is removed from CCG queue Sends one-time email to all existing vendors to provide factory contact details and C-TPAT information Sends regular reminders to Factory Rep to provide C-TPAT details in case of rejection , or if it is pending for more information or if it is not yet filled MSR Vendor appears in MSR queue with C-TPAT status MSR approves the vendor

8. Vendor Provides Factory Details • Vendor provides the factory information and contact details for each factory • System sends an email notification with the CTPAT questionnaire link and pass code. • Factory representative will be using this link to login and answer the CTPAT questionnaire. 7

9. Vendor Provides Factory Details - Factory Information • Vendor provides the factory information for a factory for adding a new factory. 8

10. Vendor Provides Factory Details – Factory Contact Details • Vendor provides the factory contact information for each factory added. • Email will be sent to the factory contact email to fill the CTPAT details. 9

11. Email Notification Sent to Factory Contact • Factory contact receives an email notification to provide the CTPAT detail • Application link and passcode to access the application is provided in the email 10

12. Factory Representative Accesses the CTPAT link • Factory Rep clicks on the link provided in the email • Key in the passcode details and continue to fill the CPAT questionnaire • If the Factory Rep does not provide the correct passcode, the system will not allow the user to access the application 11

13. Factory Rep Filling the CTPAT Questionnaire • Factory representative answers the CTPAT questionnaire. • CTPAT questionnaire can be partially saved or can be submitted. Factory representative will not be able to change the answers once submitted. 12

14. Vendor View – CTPAT Status of Each Factory • Vendor will be able to view the CTPAT questionnaire completion status and the approval status • There will be summary view and the detailed view of CTPAT details of the factory. 13

15. Vendor Detailed View - CTPAT Questionnaire Provided by Factory Contact • Vendor can view the CTPAT questionnaire filled by factory representative in read only mode. • Vendor will have to select a factory on the summary screen to see the questionnaire details 14

16. CCG View – Consolidated View of CTPAT Questionnaire of Factories • Custom Compliance manager will be able to see the consolidated and the detailed view of the CTPAT questionnaire submitted by Factory Rep • User will have to click on the factory name/factory id link to see the CTPAT details. 15

17. CCG View – Reviewing CTPAT Details and Follow-up • Custom compliance group can view the details of questionnaire filled by Factory Rep and ask for clarification of any of the questions from the Factory Rep 16

18. CCG View – Reviewing CTPAT Details and Follow-up continued… • Custom compliance group can follow-up on one or more questions by providing the comments in the text box provided in the screenshot below. 17

19. Factory Rep replying to questions raised by Custom Compliance Group • Follow-up question will be editable and highlighted for the Factory Rep • Factory Rep can reply to follow-up and change the answer to follow-up questions. • Once the Factory Rep provide answers to the questions raised by custom compliance group, the question will become none-editable . 18

20. Follow-up Details • Factory representative and custom compliance group can see all the communication for each question. 19

21. CCG – Approving /Rejecting the CTPAT details for factory • Custom compliance group can approve/reject the CTPAT details provided by the factory contact. • On approving/rejecting the vendor CTPAT status will be updated in CM and MSR queue. 20

22. Enhance Exception Reports • Exception Report Screen will be enhanced to add factory name and CTPAT status for that particular factory. 21

23. Vendor - Factory - Item - PO Relationship • A functionality will be provided to show the factory details , associated Purchase order details and the CTPAT status of the factories. 22

24. Questions • If Factory does not provide response to C-TPAT questionnaire in X (30) number of days, does the system need to automatically reject the vendor? • Can CM approve / reject the vendor even if C-TPAT information for all the factories is not provided? • If status of at least one factory is rejected, does the vendor case is to be considered as rejected? • Will the vendor be allowed to submit the detailed information to Walgreens even if C-TPAT information for all the factories is not provided by respective factory representatives? • When MSR sets-up an import vendor, MSR will not provide CTPAT questionnaire on behalf of Factories . MSR may or may not provide the factory information of the vendor. If MSR provides the factory information, does the factory contact need to be notified to provide CTPAT details once the vendor is approved.