Is Product Traceability Becoming a Need to Survive in the Global Supply Chain Market?

What is the Global Supply Chain?

Global supply chains (GSC) are the network chains spread across multiple continents and countries for sourcing and supplying trade items to minimize overall cost and increase customer satisfaction. They involve government bodies, legal and regulatory intermediaries, local traders, and political parties with the added complexity of different import and tariff duties, custom services, and fiscal systems.

How are they different from the domestic supply chain?

Contrary to the local or domestic supply chain, which has the parties within the national boundaries, the global supply chain has its suppliers, producers, distributors, and customers spread across the globe for cost-effective and responsive deliveries. Compared to the local supply chain, GSCs provide various benefits that include reduced price due to low labour and material cost, better opportunities for innovation, higher market share, better suppliers in the competitive market, and better quality of products and services.

What are the major challenges of GSC?

GSC comes with increased managerial difficulties. The involvement of foreign firms demands a higher degree of mutual coordination. In GSC, information flow, material handling, inventory management, warehouse management, and transportation become more complex because of wider geographic scope, international laws, different languages, higher lead time, different time zones, more number of supply chain partners, quality issues, environmental standards, and socioeconomic issues.

Besides, increased globalisation and competitiveness have changed the nature of customers. Today, they demand more transparency with fast and steady deliveries. This has created an environment of innovation and technological adaptation all over the world. Moreover, supply chains have started to charter deliveries of products which seemed impossible previously. Now, products with smaller shelf life are also being transported from one corner of the world to another. All this has forced GSCs to become more resilient by making smarter investments with organizations like GS1 India for better traceability. 

What is Product Traceability?

Product traceability is the ability to identify, track and trace the items or products throughout the supply chain. As the product moves from one trading partner to another, traceability system captures the information on What (is the product), When (at what time?), Who (With whom), Where (with which trading partner), and Why (why was it scanned?) about the product, and allows authorized users to securely access this information whenever they want.  Product traceability is an important tool to troubleshoot product or logistics-related problems. It offers continuous monitoring, quality control, waste minimisation, systematic information sharing, and increased transparency between different parties. Product traceability also ensures accurate records of product history, which can be used to eliminate internal and external non-value-adding activities. Internal traceability refers to tracing the product within the house. For example, keeping track of products during different stages of production activity or tracing the storage location within warehouse(s). External traceability helps to know where the product is currently located between various supply chain parties. For example, it will tell if the product is being shipped from India to the USA or is received by a warehouse in Texas. 

How GS1 India’s traceability services are contributing to GSC management?

With numerous advantages, the global marketplace also imposes many challenges on its supply chains, and organisations actively seeking support from global standards for tackling these issues. GS1 India is helping organisations to overcome these challenges that include longer delivery time, complexity in handling extensive product portfolio, difficulties in data gathering and drawing significant business insights, imposing security, loss of control over the supply chain, non-compliance with local norms by bringing supply chain visibility. GS1 organisations have gained trust worldwide in providing efficient product traceability services.

International Organisation for Standardization (ISO) has defined Traceability in the ISO 9001 standard, which also complies with the GS1 traceability standard. With its standards-based traceability services, GS1 India helps brand owners comply with governmental regulations, global quality certifications, social and environmental accreditations by keeping track of the product, raw materials, and processes it went through. Currently, all the leading organizations have either made traceability part of their system or working towards it. According to a news article published by Forbes in 2019, Subway has 98% of its products traceable using GS1 barcodes.

GS1 India’s traceability service provides infrastructure that enables MNCs to make data-driven decisions, taking competitive advantages, and building a sustainable business environment. By providing Global Trade Item Number (GTIN), GS1  helps you overcome barriers by ensuring a single code of universal product identification. The unique identification facilitates global chains to trace their products effortlessly. 

Few products such as drugs and medical ingredients are highly expensive. They need a temperature-controlled environment for shipment for which traceability is inevitable. GS1 India’s traceability service offer 24×7 visibility to troubleshoot issues with products and shipments.

With GS1 India’s traceability service, you can manage your business activities and logistics using its efficient dashboard management. You can check the required data in visual and other desirable formats using the cloud-based traceability platform.

Is Investment in RFID (Radio Frequency Identification) Justified Over Standard Barcodes?

What is RFID (Radio Frequency Identification)?

Radio Frequency Identification (RFID) is a wireless communication technology that uses electromagnetic or electrostatic coupling in the radio frequency portion of the electromagnetic spectrum to identify an object, animal, or person uniquely. Tiny tags are attached to products, each containing an antenna and a microchip. The antenna captures radio waves from a reader device, which sends a signal to the microchip. The microchip then transmits its unique identification data back to the reader.

What is Barcoding? 

Barcoding is the process of using a beam of light to scan the black and white lines of a barcode. The scanner detects the reflected light and translates it into text, which is then sent to a computer or database. Barcode scanners need a clear line of sight and can only capture one barcode at a time.

Is RFID Better Than Using Barcodes?

When deciding between Radio Frequency Identification (RFID) and barcodes, it’s essential to consider your specific needs and balance factors such as security, cost, and ease of implementation. Barcodes are cost-effective, easy to use, and widely adopted across various industries, making them accessible for businesses of all sizes. They are ideal for straightforward applications but have limitations in data capacity and require line-of-sight scanning, which can be time-consuming. 

On the other hand, RFID offers high efficiency, with the ability to read tags quickly from a distance without direct line-of-sight, and can store more information with better security features. However, RFID systems are more expensive to implement and require more complex technology and training. 

Ultimately, the choice between RFID and barcodes depends on specific use cases and business requirements. Barcodes remain relevant for their simplicity and cost-effectiveness, while RFID is advantageous for larger operations needing enhanced efficiency and data management. 

A hybrid approach may often be the best solution, leveraging the strengths of both technologies where they are most effective.

How Does RFID Work?

RFID technology operates through the interaction between an RFID reader and an RFID tag. The reader emits Radio Frequency (RF) signals via its antenna, which radiates this RF energy. The RFID tag, attached to an item or material, absorbs the energy to “power up” its embedded chip. Once powered, the tag transmits data back to the reader. The reader’s antenna captures this returned RF signal, and the reader decodes the information. The decoded data is then sent to a connected system for further processing and decision-making.

What are RFID Tags and Smart Labels?

RFID tags are small electronic devices that use radio frequency signals to transmit data about an item to an RFID reader. They consist of a microchip and an antenna. Smart labels, on the other hand, combine traditional barcode labels with RFID tags, offering both visual and electronic tracking capabilities, enhancing inventory management and product authentication.

RFID tag elements

RFID tags consist of two main elements: electronic circuitry and an antenna.

  • Electronic Circuitry: This includes a microchip that stores and processes information. The microchip typically contains a unique identifier and possibly other data pertinent to the item it is attached to. It is responsible for managing the communication between the tag and the RFID reader, including encoding and decoding the transmitted signals.
  • Antenna: The antenna is responsible for transmitting and receiving radio frequency signals. It captures the RF energy emitted by the RFID reader and uses it to power the microchip. Once the chip is activated, the antenna transmits the stored data back to the reader. The design and size of the antenna can vary depending on the frequency and range required for the application. Together, these elements enable RFID tags to efficiently communicate information wirelessly, enhancing tracking and inventory management capabilities.

RFID tag types

RFID tags come in three types: passive, semi-passive, and active.

  1. Passive: Passive RFID tags do not have an internal power source. They rely on the electromagnetic energy transmitted by the RFID reader to power up the microchip and transmit data. These tags are cost-effective and have a long lifespan but have a shorter read range, typically up to a few meters.
  2. Semi-passive: Semi-passive RFID tags contain a small battery to power the microchip but still rely on the RFID reader’s signal for communication. This battery enables better performance and a longer read range than passive tags, making them suitable for applications requiring higher reliability and read accuracy.
  3. Active: Active RFID tags have an internal battery that powers both the microchip and the transmission of data. This allows for continuous signal broadcasting and the longest read ranges, often up to hundreds of meters. Active tags are ideal for tracking high-value assets or in environments where real-time location tracking is crucial. However, they are more expensive and have a limited battery life.

What are the Types of RFID Systems?

RFID systems are categorized based on their operating frequencies: Low Frequency (LF), High Frequency (HF), and Ultra-High Frequency (UHF).

Low Frequency (LF) RFID

Operating between 30 kHz and 300 kHz, LF RFID systems have a short read range of up to 10 cm. They are less sensitive to interference, making them suitable for environments with metal or water. Common applications include animal tracking, access control, and anti-theft systems.

High Frequency (HF) RFID

Operating at 13.56 MHz, HF RFID systems have a read range of up to 1 meter. They are widely used in smart cards, ticketing, and payment systems due to their moderate read range and faster data transfer rates. HF systems can also support Near Field Communication (NFC) technology.

Ultra-High Frequency (UHF) RFID

Operating between 300 MHz and 3 GHz, UHF RFID systems offer the longest read range, up to 12 meters, and can read multiple tags simultaneously. They are ideal for inventory management, supply chain logistics, and asset tracking. UHF systems can be more susceptible to interference from metals and liquids, requiring careful implementation.

RFID Applications and Use Cases

RFID technology has diverse applications across various industries, enhancing efficiency and accuracy.

In retail, RFID tags streamline inventory management by providing real-time tracking of products, reducing stockouts and overstock situations.

In healthcare, RFID ensures the accurate tracking of medical equipment, supplies, and patient identification, improving patient safety and asset utilization. The logistics and supply chain sector uses RFID to monitor the movement of goods, enhancing visibility and reducing losses during transit. Manufacturing industries employ RFID for tracking parts and materials, optimizing production processes, and ensuring quality control.

Additionally, RFID is widely used in access control systems for secure entry to buildings and restricted areas, and in transportation for automated toll collection and vehicle tracking. These varied use cases highlight RFID’s versatility and its ability to drive efficiency across multiple domains.

RFID Security and Privacy

RFID technology, while highly efficient, raises important security and privacy concerns. 

  • Unauthorised Access: RFID tags can be read by unauthorized scanners, leading to potential data breaches and theft of sensitive information. To combat this, encryption and authentication protocols are implemented to secure the communication between tags and readers.
  • Eavesdropping: Hackers can intercept RFID signals, capturing data being transmitted. Strong encryption methods help mitigate this risk.
  • Cloning and Spoofing: Criminals can replicate RFID tags to gain unauthorized access or create counterfeit products. Advanced cryptographic techniques and unique tag identifiers enhance security.
  • Privacy Concerns: Individuals worry about being tracked without their consent through RFID-enabled items. Privacy measures, such as disabling tags after purchase or using protective covers, can alleviate these concerns. Balancing the benefits of RFID with robust security and privacy practices is crucial for its widespread adoption.

Frequently Asked Questions

1. What are the common applications of RFID technology? 

RFID technology is widely used in so many sectors like Retail, Healthcare, transport & logistics, supply chain, and manufacturing industries, etc. In the retail sector, RFID provides real-time product tracking. In Healthcare, it enhances safety and efficiency by tracking medical equipment, supplies, and product identification. The logistics and supply chain sectors use RFID to monitor the movement of goods.  Manufacturing industries use RFID to track parts and materials.

2. How secure is RFID technology?

RFID technology incorporates several security measures, such as encryption and authentication protocols, to protect data from unauthorized access. However, it can still be vulnerable to threats like eavesdropping, cloning, and spoofing. Advanced cryptographic techniques and unique tag identifiers enhance security. Implementing robust security practices is crucial to mitigate these risks and ensure the protection of sensitive information.

3. Are there any health risks associated with RFID technology? 

RFID technology operates at low power levels and uses non-ionizing radio waves, which are generally considered safe for humans. Studies have shown that RFID systems pose no significant health risks under normal usage conditions. However, as with any technology, it is essential to adhere to regulatory guidelines and safety standards to minimize any potential risks.

4. Can RFID tags be deactivated or removed? 

Yes, RFID tags can be deactivated or removed. Some tags are designed to be easily deactivated after their purpose is fulfilled, such as during the checkout process in retail stores. Tags can also be physically removed from items if necessary. Protective measures, like using RFID-blocking sleeves or covers, can prevent unwanted scanning.

5. How does RFID differ from NFC (Near Field Communication)? 

RFID and NFC both use radio frequency technology for wireless communication. However, RFID typically has a longer read range and is used for applications like inventory management and asset tracking. NFC operates at a shorter range, usually within a few centimeters, and is commonly used for secure transactions, such as contactless payments and data transfer between devices. NFC also supports two-way communication, allowing devices to exchange information interactively.

6. Can RFID tags be easily cloned or copied? 

While basic RFID tags can be susceptible to cloning or copying, advanced RFID systems incorporate security features like encryption and unique identifiers to prevent such actions. Implementing robust security protocols and using high-security tags can significantly reduce the risk of cloning and ensure the integrity of the RFID system.

7. What are the costs associated with implementing RFID solutions? 

The costs of implementing RFID solutions vary based on the scale and complexity of the system. Expenses include the cost of RFID tags, readers, software, and infrastructure setup. Passive RFID tags are generally cheaper than active ones. Additionally, ongoing maintenance and security measures contribute to the overall cost. Despite the initial investment, RFID can offer significant cost savings and operational efficiencies in the long run.

8. Are there any environmental considerations with RFID tags?

RFID tags, like other electronic devices, have environmental considerations. The production and disposal of RFID tags can impact the environment. Recycling and proper disposal of RFID components are essential to minimize environmental harm. Additionally, some RFID tags are designed to be environmentally friendly, using biodegradable materials to reduce their ecological footprint.

Ensuring Safety in Food Supply Chain with GS1 India’s Traceability Service

Food traceability is the capability of tracking and tracing the movement of food products and their raw materials throughout their entire journey in the supply chain. It includes step-by-step documentation of the complete product detail under different stages, such as procurement, production, processing, and distribution. Food traceability in the supply chain promotes the visibility of manufactured products and guarantees authentication of the ingredients being used.

What Are Food Traceability Systems?

Business owners or manufacturers of food products can route the journey of their entire product lots in a single system called a food traceability system. These systems provide information on a real-time basis leveraging technologies such as barcodes, Radio Frequency Identification, or Blockchain. Through this system, manufacturers can detect and trace back the manufacturing unit and ingredients of the product, map the whole production journey and ensure food product quality.

If you are a business owner and want to list your products in your food traceability system it is recommended to get barcodes for your food products. GS1 India is the only authority to allocate standardised, structured, interoperable and unique barcodes in India.

Why Are Food Traceability Systems Important?

Food traceability systems play a vital role in automating food product management in the supply chain. Below are some key reasons why organisations must adopt traceability systems – 

1. Traceability Food Safety 

Safety of products is pre-eminent especially when we talk about food articles. When dealing with the production of consumables or procurement of raw materials safety and security is something that cannot be overlooked in any situation. The record-keeping of the food products ensures compliance and that consumers get products of the highest quality. 

The traceability system helps in the easy identification and redressal of any health and safety hazards. Products found contaminated can be recalled as soon as possible once data is read by the product manufacturer using the system. 

2. Real-time food traceability  

Traceability systems record the whole journey of the food products on a real-time basis. The scanning of barcodes on food items facilitates mapping the complete product journey. Wherever the barcodes will be scanned, the details will automatically be received in the product traceability system and be reflected in real-time to manufacturers or sellers. This empowers businesses to ensure that food products are not subjected to any adulteration in their journey to end consumers. 

3. Reducing Corrective Actions    

Recalling food products from the market is not a new concept. Though it is a corrective action it is not the best course of action. Problems must be identified and resolved before they reach a stage where products have to be recalled. Recalling not only reduces customer trust and loyalty but also is very costly to any company. A good traceability system integrated with barcode technology helps in avoiding such circumstances. 

4. Being Compliant with Regulations 

Food traceability helps companies comply with the local and international regulations and safety standards of selling food products in the market. As a result of this, your company will enjoy brand goodwill and increased consumer satisfaction.

What to Look for When Looking into Food Traceability

1. Proper Documentation 

When opting for a product traceability system it is important to provide all your necessary documents such as a raw material list, contact details, complete product information, and batch identification. 

2. Efficient Finished Goods and Raw Material Management  

Your product management system must be easy to use and should be efficient. This will allow businesses to track the movement of food products easily without any disruptions. 

3. Improve Response Times 

A food traceability system will automatically improve your response times. When you are notified about the product journey on a real-time basis you will be able to identify gaps quicker than before and take corrective actions. 

4. Transparency and Honesty 

As a business owner, it is your responsibility at the end to take action when necessary. A food traceability system can only register data at various levels of the supply chain, you will have to be vigilant in identifying any discrepancies and notifying the concerned people and authorities.

Conclusion

Businesses must invest in implementing robust traceability systems to ensure the safety of their products at each stage. The scope and objectives behind traceability for each category of product must be very well defined and the system must be integrated with an advanced technology like barcode or RFD. 

Companies should also train their employees to use the traceability system so that every employee can track food products, promoting the identification of the root causes at the earliest.

Frequently Asked Questions

1. Are there international standards for food traceability?

Yes, there are several international standards to govern food traceability such as – EU Regulations – Regulation (EC) No. 178/2002, requires traceability for food and feed. In the CAC/GL 60-2006 standard, traceability is defined as a necessary tool for inspection.

GS1 Global Traceability Standards can also be analysed to understand and implement traceability by integrating barcode technology.

2. What challenges are associated with implementing food traceability?

Organisations face challenges in ensuring regulatory compliance, achieving interoperability, manual data entry, and unique product identification while implementing food traceability systems.

3. How does food traceability impact food supply chains?

Food traceability directly impacts the food supply chain by providing real-time information to the manufacturers. When details are registered and actions are taken promptly it results in an efficient, transparent and smooth supply chain.

4. What role do governments play in food traceability?

Governments play a critical role in food traceability. They are the sole authorities of introducing and developing standards governing food traceability.

5. Can food traceability prevent food fraud?

Yes, food traceability can indeed prevent food fraud. When the entire journey of the food products is documented and audited on a real-time basis, adulteration or food forgery can be identified and corrective actions can be taken.

6. How does food traceability contribute to sustainability?

Tracking food inventories at retail points helps analyse the stock effectively. It proves instrumental in maintaining efficient inventory levels and preventing situations such as stockouts or overstocking, thus contributing to sustainability.

7. Are small-scale producers required to adhere to food traceability standards?

No matter the scale, every manufacturer or food producer should adhere to food traceability standards to prevent any problems in the future.

Securing Supply Chain for COVID-19 Vaccine

Worldwide demand for vaccine production has escalated exponentially since the vaccines for the ongoing coronavirus pandemic were developed. Multiple stakeholders including government and private organisations, NGOs, healthcare institutions, pharmaceutical companies, and more have come together to supply vaccines to the population. However, the global demand is extremely high and with the need for speedy and large-scale production and administration of vaccines, countries are facing the challenge of securely procuring, storing, and transporting the vaccine to thousands of healthcare facilities.

The two COVID-19 vaccines primarily being administered in India right now are Covishield and Covaxin, and both need to be taken in two doses. The time interval between the two doses varies for both vaccines. A third vaccine, Sputnik, has recently been introduced as well. The logistical complications of safely storing and distributing these vaccines are many, and a system that can identify each unique consignment supplied through various channels is the need of the hour.

Tracking vaccine movement accurately, creating end-to-end visibility at each stage of the supply chain and diligent record-keeping is important as it will help manufacturers and distributors keep track of their consignments in the supply chain. Keeping consistent records will be a great help to all key stakeholders in the vaccine supply chain, from distribution partners to healthcare workers.

To enable this, a standardised process to identify and track vaccines in the supply chain is required because every single consignment of vaccines changes many hands before reaching its final customer/patient, i.e., an individual to whom the dose will be administered. With each new stage of the supply chain, there is a new level of complexity that is added. In the past, vaccines have lost in transit, substandard product entered into the chain, or consignments reaching their destination with damaged or expired vials of the vaccine.

The present high vaccine demand and low supply offers a fertile ground for vaccine counterfeiters to try and make a quick profit. Several fakes have been identified, and even fake versions of drugs like Remdesivir have been found. Present circumstances are such that vaccines are not just prescribed to young children for illnesses dino tube that have already been eradicated – the coronavirus vaccines are one of the most important resources in the world right now. This makes the need for a clear supply chain that is traceable from the point of origin to the final stage in the process, an urgent and crucial one.

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Manufacturers or importers of vaccines should take the necessary steps to ensure that product labels carry standardised markings and utilise an end-to-end traceability system. Each record should also have key information like the batch number and expiry date, to enable validation of vaccines. 

UNICEF has suggested a specification for a minimum basic traceability system to support countries avoid counterfeit or falsified medicines. Barcoding is vital in maintaining traceability, as each barcode is unique and can be identified as such. Unique identification encoded in barcodes is recommended by WHO on all levels of pinay flix vaccine packaging used for transit by manufacturers, except for the primary packaging of the product. A system that can lend ease and convenience to the tracking process, such as simply scanning a barcode, is very much required. It can facilitate efficient tracking of data and provides visibility in the supply chain so that recalling a consignment, for any reason, can be made easily.

GS1 India offers traceability service that meets global requirements, such as UNICEF standards, and has a host of benefits:

  • It can help validate product barcodes, detect fraudulent consignments of vaccines and protect brand image and identity
  • Provides accurate product information and control over product movement
  • Batches in the supply chain can be efficiently tracked
  • Helps reduce operational costs over an extended period of time
  • Manual errors are eliminated and operations can run smoothly
  • Provides better expiry management with First-In, First-Out (FIFO) system
  • Identifies when stocks are low and need to be replenished
  • Provides data insights to gain a better understanding of on-ground problems with the supply chain

Traceability, in the case of vaccines especially, is vital to ensure transparency across the supply chain and to ensure that the end consumers are safe. An end-to-end vaccine traceability helps perform recalls efficiently as and when required, from any stage of the supply chain.

Public Procurement’ to carry barcoding at the primary package level in 2019

With the production of vaccines constantly being accelerated to be able to keep up with global demands, traceability of vaccines and the capability for healthcare stakeholders to validate them at the point of administration is a pressing need. To enable this, each vaccine must be labelled with a 2D barcode and equipped with standardised information capture so as to fast-track logistical processes and track vaccines accurately no matter how far from the point of origin they have to be transported. Covert or forensic technologies can also be introduced on product packaging to add an extra layer of increased security to safeguard important resource from counterfeiters and fraudsters.

Is It Possible to Launch Products Without a Barcode?

In recent decades, barcodes have been leveraged in both the brick-and-mortar and e-commerce industries. The barcode encodes a unique identification number, which is issued and maintained by GS1, a global supply chain standards organization present in 115 countries globally. With Global Trade Identity Number (GTIN), GS1 provides unique product identification that brings efficiency to various supply chain and retail processes.

Barcoding is a fundamental building block for creating an infrastructure that is used across various supply chains, be it warehouse management, quality control, or product tracking till it reaches the final customer. With GTIN becoming a need with the evolving e-commerce system, the database that it creates has upsurged data analytics for gaining business insights. Listing the product with barcode number on an e-commerce website or any other marketplace makes the process much more convenient.

However, if you don’t have a barcode, can you still launch your product in the market? Yes, of course. In this post, we have addressed this question, which has gained prominent traction, especially from local manufacturers selling handicrafts, artifacts, and homemade products, who think barcoding costs are significantly higher owing to their low business turnover.

The necessity of GTINs depends upon the product category. Though many products can be sold through e-commerce platforms without GTINs, there are a few categories for which GTINs are mandatory. Big marketplaces such as Amazon, and Flipkart ask for GTIN to list your product on their platform; however, if you do not have it, they also provide an alternative for launching your products. While it is possible to launch your product without a barcode, the alternatives depend upon the product category and the associated brand. Let us have a look at how you can launch your product without a barcode.

  • If the Product category is already listed on Amazon: If the category for your product already exists on their site, you don’t require a GTIN to launch your product. You can link your product with Amazon Standard Identification Number (ASIN) by using it as your product ID.

    ASIN is a unique identity given by Amazon to almost all the products listed on Amazon for its identification.

  • If the product category does not exist: If your product does not fit into the existing categories, you can apply for a GTIN (EAN/UPC) exemption through their seller central login page. This is ideal when your product is homemade and non-branded and if you are selling products or a combination of products (Bundles) having no GTINs (barcode numbers). GTIN exemption can be done with and without a brand registry.Having a brand registry does not give you a GTIN exemption but having a GTIN exemption can allow you to launch your product without a brand registry. You will be required to choose a product category and name the brand for your product. Further, you will need to produce a brand support letter authorizing your product and confirmation that it does not have a GTIN.GTIN (EAN/UPC) exemption does not offer a lifetime of validity for your product to be listed on the platform, and you have to reapply for it after every month. The process of GTIN (EAN/UPC) exemption itself is very slow, and you can expect a request completion time of 30 days.

Hence, to save yourself from these hassles, it is recommended for every entrepreneur or potential entrepreneur/business while launching their products should have GTINs in place as it saves companies money while improving quality, on-time performance, and other key business factors.

Prevent Incorrect Product Data with DataKart

Product data management can be a huge problem for manufacturers and resellers. It involves capturing and regularly updating the product data in their systems as well as sharing updates and information with their buyers. In today’s competitive world, the stakes are very high and there is no room for error in product delivery across the different stages of the supply chain. At the same time, the amount of data ingested via various business systems such as order management systems, POS systems, warehouse management systems, etc., is immense. The use of legacy software such as Excel is not optimal for managing such voluminous data and frequent changes that need to be updated and shared, leading to many versions of excel files being created with multiple stakeholders.

Most stakeholders in the supply chain realize the challenges and importance of data management. However, despite this knowledge, they are unable to formulate a data management strategy that ensures efficiency and promotes accuracy. 

The Reasons for Product Data Errors

The present-day brand owners, retailers, and aggregators are unable to manage data efficiently at various stages, leading to incorrect product data residing in various disparate systems. Below are some fundamental reasons that instigate bad data management:

  • Rising complexity and frequent changes in product data
  • Mismanagement of barcode numbers
  • Lack of structure and standardization of data
  • Lack of data collaboration in real-time

When errors start creeping in, they start impacting the performance. Moreover, the trust amongst different stakeholders is also impacted. When the trust is compromised, the entire business relationship falls apart. On the contrary, if these errors can be checked by maintaining a centralized repository for master data, this situation can be avoided completely.  

 

The Value of Common Data Management Platform

Majorpart of the problem lies in the fact that retailer or marketplace has to manage data for thousands of products from hundreds of suppliers, big and small alike, in a uniform format, despite the same being supplied in multiple formats. Not only this, at times, retailers also depend on crowd sourced information on the products. This is exactly where DataKart comes into the picture.

 

DataKart is a solution that intuitively fits into the vision of most manufacturers and retailers. For a retailer, it means no capital investment on an elaborate software development project. For manufacturers, it means the information it wants to convey will be communicated without any errors or mistakes, and more importantly, in real-time. It just takes a few clicks in sharing product information with multiple retailers/e-tailers in their native format.

 

GS1 India’s DataKart is a centralized repository that stores attributes of products sold in the Indian market. These attributes include information on but are not limited to – product variant, MRP, size, and weight, dimensions, product name, images, etc. 

 

One of the major USPs of DataKart is how it fits into the scheme of things. A manufacturer always wants his new products launches to be visible to every retailer. Earlier, this used to take weeks through the distributor network and they mostly had to depend on ads in media to popularise their new launches. However, the same could be done within a few clicks with DataKart. Also, the manufacturer is assured that every aspect of data is conveyed in the intended format without any errors. There could be absolutely no ambiguity or doubts about the information that is communicated.

 

In the same way, the retailer receiving the data has absolutely no doubt about the veracity of information it has received since the information is directly populated by brand owners and not received through distributors and wholesalers. . All you have to do is share information with multiple buyers, in their respective formats, at the click of few buttons.

EAN 13 – The Barcode Number

European Article Numbering Code (EAN) is a series of numbers in a unique order that helps identify specific products and is used to list products for retail businesses.

An EAN-13 barcode (originally European Article Number), but now renamed GTIN (Global Trade Item Number) even though the abbreviation EAN has been still used by retailers) is a 13-digit (12 data and 1 check) barcoding standard. The EAN-13 barcode is used worldwide for marking products often sold at retail points of sale. The numbers encoded in EAN-13 barcodes are product identification numbers.

 

What is GTIN (EAN)?

GTIN (Global Trade Item Number) is a system developed by the GS1 and is an internationally recognized system for identifying products. It is a blanket term to describe various GS1 numbering codes – UPC and EAN. It is, hence, safe to term an EAN-13 code as a GTIN-13. GTIN provides the global supply chain solution for the identification of any item that is traded (priced, ordered, and invoiced).

 

Types of GTIN

GTIN includes four types of codes:

UPC-12

The twelve-digit code that North America uses.

EAN-12 Barcode

EAN-8

The eight-digit code used on smaller retail trade items.

EAN-8 Barcode

EAN-13

The thirteen-digit code for all other countries.

EAN-13 Barcode

GTIN-14

The fourteen-digit number used on general distribution trade items, not intended to be sold at the Point-of-Sale.

GTIN-14 Barcode

To create a GTIN, a company needs to be in possession of a GS1 company prefix. The assigned company prefix forms the base for the creation of all GS1 identifiers like GLN, GTIN, and SSCC numbers.

 

Why EAN-13 Barcode?

The advent of the EAN-13 barcode is a data structure stepping-stone toward supply chain control. It is used in global trade to distinguish product type, specification, etc. In other words, it helps the product be uniquely identified. It is a numeric-only barcode system used for the identification of retail products. Unique numbers are allocated to each separate retail product, not just by product brand but by unique numbers. This assists in positing the products with retailers and e-commerce companies. It facilitates a future where intelligent workflows will fuel data-driven smart supply chains.

The future smarter supply chains continue to not just embrace automation with the help of the EAN -13 barcode, but also use AI to make processes more efficient, responsive, and adaptive. Most importantly the visibility and traceability solutions in the supply chain have gained momentum, these are the “twin engines of a sustainable” supply chain.

The EAN-13 barcode has withstood the test of time because it continues to serve a key role in the evolving digital future of retail where the product is identified uniquely and the data it captures will shape decisions affecting customers and retailers.

 

Components of an EAN-13 Barcode Number

The first three digits of the EAN-13 serve as the GS1 Prefix. The GS1 prefix usually identifies the GS1 Member Organization which the manufacturer has joined.

The Manufacturer Code is a unique code assigned to each manufacturer by the numbering authority and all products made by a certain company use the same manufacturer code. The product code is a unique code assigned solely by the manufacturer.

The check digit is the last number used to confirm if a barcode was scanned correctly. This additional number is mathematically determined through an algebraic equation to create a check sum.

 

Barcodes Revolutionising the World

Barcode is worldwide used; its popularity can be attested by its use in all parts of our life. A barcode reader is an optical machine-readable representation of data relating to the object to which it is attached.

The EAN-13 barcodes are used worldwide for marking products often sold at retail points of sale. The numbers encoded in EAN-13 barcodes are product identification numbers. All the numbers encoded in UPC and EAN barcodes are known as Global Trade Item Numbers (GTIN), and they can be encoded in other GS1 barcodes.

EAN-13 is popular, recognizable, and useful for general day-to-day retail transactions since it can be read by any barcode reader. The check number also helps ensure accuracy when entering the code by hand. It combines numbers together mathematically in a certain way to get a specific, one-digit outcome. If the check digit does not match that outcome, then the code has been entered incorrectly.

 

Additional Benefits of GTIN

Barcode numbers play a crucial role in supply chains, including selling products over the counter and listing them on e-commerce websites. Various national and international regulatory bodies have endorsed the use of GS1 barcodes on products. The use of GS1 barcode numbers (GTINs) helps you in complying with various requirements, including those of the Ministry of Consumer Affairs, DGFT, US FDA, Ministry of Health & Family Welfare, Delhi Excise EU Regulations on UDI, and more. GS1 barcode numbers on your products enable you to list your products faster with leading retailers and online shopping portals. GS1 barcode numbers, when used on a product webpage, show a 40% improvement in search results. GS1’s DataKart service enables free and easy barcode number management and the generation of barcode images.

 

Why Buy EAN from GS1 India?

  • GS1 India is the only authorized body in India to issue GS1 barcode numbers.
  • If your label your products with authentic GS1 barcodes (bought from GS1 India), your products will be visible through various GS1 repositories, including Verified by GS1, GEPIR, GS1 DataKart, etc.
  • You will get access to GS1 DataKart, the national repository of product information for retail items.
  • Your product information would be visible to consumers through Smart Consumer mobile app, which is accessed by millions of consumers
  • You would get implementation assistance at every step of the process
  • You would get assistance in uploading information on your old products to DataKart
  • You would get complimentary access to an imaging app, to click retail-ready photos of your products using your phone.

 

The Future

For the last 20 years, barcode technology has been the bastion of bigger businesses that adopted the technology to massively reduce human errors and increase efficiency in business operations.

Today, barcodes are completely integrated into mainstream life—nearly every product in a grocery, department, or mass merchandise store bears a barcode. It’s clear that this technology works, and will continue to do so.

If you already understand the needs of your partners and customers, choosing how to serve those needs most efficiently is where GS1 India can help.

All you need to do is connect with the GS1 India team to learn more about how GS1 standards can support your needs. As it continues to provide leadership, guidance, and support for on-pack solutions that allow businesses to adapt and scale over time, aligning with GS1 India will offer you a plethora of tools and abundant globally aligned guidance to help your business along this journey.

How DataKart is Revolutionising Product Data Exchange Across Sectors

What is DataKart?

DataKart is a cloud-based online service from GS1 India.  GS1 India has launched DataKart service, a repository of retailed products, which has been developed based on industry needs for a single source of trusted, reliable and accurate information on products sold through retail stores and online shopping portals. It empowers users to make decisions based on the complete product information, which is mostly more than what is published on product labels.

DataKart is the national source of information on Indian retailed products with details of each attribute (ingredients, product images, MRP, net content, dimensions, etc.).  It enables brand owners to capture product information in an accurate, trusted, and updated manner, besides sharing the same with retailers in a consistent, structured, and standardised manner, in real time.

Why DataKart?

DataKart helps brand owners by enabling sharing of their products’ information with multiple retailers and online marketplaces in one go, in their respective native formats. Real-time product updates received through DataKart helps retailers and online marketplaces to keep the information updated at all times. This leads to huge savings in terms of time and resources and increased sales by reducing fill rate losses.

The retail sector would greatly benefit through better fill rates, on-shelf product availability, lesser mismatches between purchase orders and supplies receipts, faster product listings, new product introductions, better visual merchandising on retail shelves and consequent higher sales. DataKart helps resolve these issues.

DataKart benefits overeview

  • Product Catalogue Management: It includes 20 variables including but not limited to brand name, product category and description, net and gross weight, FSSAI License Number, MRP, product images, shelf life, and more;
  • Helping Retailers and Marketplaces: Seamless sharing of product data among brand owners and retailers / online marketplaces in native formats and templates for individual retailers. This can also be configured with their ERPs upon request
  • Generate and print barcode labels: Barcodes for labels can be generated and printed for products, cartons, and pallets;
  • Analytics: Generates detailed analytics reports with graphs, itemised lists, mapping, and more. Some of the reports DataKart generates include which retailer has viewed their product information/acted upon it, how many of their product information change notification is viewed, by whom all, etc.

DataKart – Holistic answer to product data challenges in retailing

DataKart would facilitate seamless mapping of harmonised system code of any product. Receiving product information through DataKart has enabled retailers to remove the dependency on third-party crowd sourced information. It helps them gain access to all the information on their products at a centralised location. Retailers and online marketplaces using DataKart have also observed benefits of reduced time and enhanced efficiency in managing master data updates and listing new product introductions.

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