Volume 2 — Governance and ControlsGovernance and Controls © Copyright 2002, All rights reserved 23 • Once a deal is executed, dealmakers should ensure that deals are entered into the system immediately so the terms can be accessed by the front, middle, and back offices. • The deal should be assigned a unique identification number in the system so it can be cross-referenced with downstream systems. • If deal tickets are used, they should be numbered sequentially, entered into the system within one hour of deal execution, and stored in a safe location for the life of the deal. • If the deal is a hedge, it should be designated as such in the system. Key Reports • Deal summary report by trader. • Position report. • P&L report. • Log of tape recordings. 1.1.6 Logistics Process Overview The logistics process comprises of scheduling the movement of a physical commodity from point A to point B. To do so, the scheduler reviews current position in the system by commodity, delivery/supply point, and time period in order to understand the quantities and location that need to be scheduled. Demand is reforecast if applicable, and positions are netted out where possible to minimize delivery risk. The scheduler then performs an analysis of the transportation means, ensuring that the product can be moved efficiently. If there are constraints, the scheduler contacts the deal owner for resolution. The delivery/supply schedule is then developed, and the scheduler nominates the quantities with the transportation provider according to industry guidelines and regulations. The scheduler then obtains actual flow from the transportation provider and compares it to expected flow. Any variance (imbalance) is communicated immediately to the deal owner and documented in the system. Objectives • Coordinate the physical movement of the commodity as dictated by the terms of the deal with the transportation provider. • Track and monitor physical imbalance for proper management. • Maximize transportation opportunities. Best Practices and Controls • Scheduled quantities should be made available in the system in a time frame as close to real-time as feasible. • Nominations should be submitted following industry-standard regulations and deadlines.