ECR Barcode Sub-Committee Tom McAllister Senior Manager, Graphics , Promotions & Packaging Quaker Oats Company of Canada Co-Chair ECR Barcode Sub-Committee Universal Product Code 7 12345 12345 9 Shipping Container Code 14 in Interleaved 2 of 5 Shipping Container Code 14 in UCC/EAN-128 ( 01) 90614141000418 ( 15) 991230 ( 00) 0 0413245 123456789 4 Serialized Shipping Container Code 18 in UCC/EAN-128 ECR Sub-committees ECR Steering Committee ECR Collaborative Forecsting Committee ECR Unexplained Deductions Committee ECR Unsaleable Products Committee ECR Education & Communications Committee Unsaleable Advisory Sub-Committee Standards (Group 1) ECR Scorecard & Benchmarking Committee EDI Sub-Committee Small Company Solutions (Group 2) ECR Technology (Executive) Committee Barcode / Scandata Sub-Committee ECR DSD Committee Furture Tech & Trends Sub-Committee ECR Case Sizing Committee Education & Communications Sub-Committee Cost Benefit Analysis (Group 3) Mandated to address Barcode Issues Committee Membership Bradley Jardine - Sobeys Tom McAllister - Quaker Oats Karon Darbyson - AC Nielsen Jeannie Jarvie - A&P John Herzig - Barcode Graphics Pierre Veilleux - CSDF Derrick Jones - Cadbury Ratna Jani - ECCC Sally-Ann Hinton - Effem Food Christine Hade - H.J. Heinz Gerard Ladouceur - Hudon Deaudelin Hokan Wallenius - Intermec Systems Rich Mondoux - JM Schneider Gottfried Hasse - Kraft Canada Inc. Lilian McGrath - Loblaws Co. Ltd. John Gallo - Longo Bros. Serge Viau - Metro-Richelieu Frank Scali - Nestle Bud Babcock - Procter & Gamble Michel Provencher - Provigo Ed Teague - Overwaitea Rick Zeller - Shoppers Drug Mart Elaine Zablotny - Shoppers Drug Mart Lesley Rodenhiser - Smithkline Beechum Bob Crawford - McCormick Canada Steve Loveday - TGB Issues Resolved •SCC-14 (Shipping Container Code) Implementation Timeline •76% U.P.C. resolution •U.P.C. Compliance Timelines and Certification Process •Industry Recommendations for the Barcoding for Floor Ready Display Pallets. •Broad Industry Representation. •Interim Compliance Certification Process. And More….. Other Accomplishments •Education Sub-Group Formed. •Coast to Coast Communication/Education Seminar Series. •Uniform Code Council Linkage and with Europe. •Position Paper on EAN 13/U.P.C 12 Digit Codes. •Resolution of U.P.C./SCC-14 Codes on Resale Cases. ECR Barcode Successes • 50% rise in first Pass Scan Rate resulting in tens of millions of dollars of savings. UPC POS First Pass Scan Rates 1995-1998 120% FPSR 100% 80% 60% 40% 20% 0% 1995 1996 1997 1998 % FPSR Year 99% Target Rate SCC-14 • Defined deadline and implementation momentum of SCC-14 moving toward critical mass. % SCC-14 Implementation in the Grocery Industry 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 1995 1996 1997 Year 1998 Benefits of SCC-14 • • • • • Simplifying Case Identification Better Inventory Control Significant Error Reduction Speeds up Receiving Process Simplifies Database Management What's Coming Next to a Store Near You!!! • • SSCC-18 Pallet License Plates Agreement of Understanding to Listing-Fee Issue. —What’s New/What’s Admin/What’s Switch • • • • • Policy on DSD Codes Variable Weight Code Guidelines Produce Barcode Guidelines Returnable Container Policy and Guidelines SCC-14 Compliance Process Standards for Shipping Container Codes Ratna Jani Director, Industry Relations Electronic Commerce Council of Canada The Learnings About ECCC Industry Implementation timetable Standards Issues & compliance Number structures & Packaging Indicators Obtaining Resources Electronic Commerce Council Mission Statement The Mission of ECCC is to take a Leadership Role in Establishing and Promoting Multi-Industry Standards for Product Identification and related Electronic Commerce Communications Other Industry timelines for suppliers GROCERY INDUSTRY SCC-14 on Cartons Pallet license plate September 1998 To be established FOODSERVICE INDUSTRY Assignment of U.P.C./SCC-14 numbers Apply scannable barcodes on cases October 1998 October 1999 ECRx TIMELINES Will be announced shortly for OTC, Cosmetics and Pharmaceutical products Objective of the Strategies are to build partnerships Having the right product At the right time At the best possible price Result is improved trading partner relationship Business concepts built on Movement of product, information and funds through the supply chain: rapidly, accurately, efficiently U.P.C. standards are globally compatible and harmonized Uniform Code Council (UCC) and International Article Numbering Association (EAN) establish the standards jointly Canada adopts the established standards The standards are endorsed by ISO and IEC Standards vs Guidelines Standards are established by the American National Standards in the U.S. and adopted by the UCC and ECCC Standards undergo a six year review process and cannot be changed. Guidelines are established based on the business needs and within the confines of the standards. Inconsistencies identified in standards application Lack of understanding the standards Ignorance to compliance factors Poor quality compliance Technology unable to meet the symbol quality demands Internal resources lacked expertise Lack of information integrity Data unusable to monitor industry performance 14 Digit Global Structure & Data base alignment 14 13 12 11 10 9 8 7 6 5 4 3 2 1 0 N2 N3 N4 N5 N6 N7 N8 N9 N10 N11 N12 C U.P.C. 0 EAN-13 0 N1 N2 N3 N4 N5 N6 N7 N8 N9 N10 N11 N12 C SCC-14 PI N1 N2 N3 N4 N5 N6 N7 N8 N9 N10 N11 N12 C Global migration to an expanded number structure Need identified to increase number capacity to fulfill rate of growth New industry sectors coming on board Unlimited use of application: – Returnable asset number – Individual asset number – Location number – Service relation number ECR Committee set mandate & timelines – ECR Steering committee endorsed September 1998 for case barcoding – CCGD Survey shows across Canada by1998/1999: 47 grocery 18 frozen 14 produce 10 meat Warehouses will be ready to scan cases There are two types of shipping cases A STANDARD CASE CONTAINS LIKE UNITS (SCC-14) Units share the same attributes; product description, size weight and price Variable case A VARIABLE CASE CONTAINS AN ASSORTMENT OF UNITS (SSCC-18) Attributes vary from unit to unit SCC-14 is created from the item ITEM U.P.C. SCC-14 PACKAGING INDICATOR 012345 P 0 012345 FILLER ZERO SUPPLIER ID. # 67890 C 67890 C ITEM # CHECK DIGIT PACKAGING INDICATOR (PI) RULES FOR SCC-14 APPLY PI: 0 1 2-8 9 Where shipping container holds one consumer product or Shipping container holds multiple U.P.C’s Only one shipping container size For the first level of case configurations For additional case configurations Where additional information on variable weight or quantity follows There are two approaches to applying packing indicator rules Item Packed in different case sizes ITEM 0 67123 55555 CD CASE OF 8 0 00 67123 55556 CD CASE OF 15 0 00 67123 55557 CD CASE OF 24 0 00 67123 55558 CD Item packed in inner packs, intermediate packs and shippers ITEM 0 67123 55555 CD INNERPACK (ITEM X 12) 1 00 67123 55555 CD INTERMEDIATE PACK (2 x INNERPACKS) 2 00 67123 55555 CD MASTERPACK (4 X INTERMEDIATE PACK) 3 00 67123 55555 CD SCC-14 can be represented in two symbologies •INTERLEAVED 2 OF 5 ( ITF or, I 2 OF 5) •UCC/EAN - 128 NOMINAL SIZE OF SCC-14 IN I 2 OF 5 6.0” 1.25”* * 1.25” = Bar height excluding bear bars Minimum allowable size 70% for direct print 62.5% for labels SCC-14 PRINTED IN UCC/EAN-128 AI (01) =SCC-14 ENCODED NUMBER Cases sold at point of sale should be marked with a U.P.C. symbol ITEM U.P.C = 0 55000 00001 C X 12 CASE U.P.C. = 0 55000 00002 C Numbering the hierarchical levels For POS Scanning & shipping For POS & Shipping Item 0-55000-00001-CD 12 pack 0-55000-00002-CD 24 pack case 0-55000-00003-CD For Shipping only 48 pack case 100-55000-00003*-CD * Item number built into the SCC-14 should be for the pack size most frequently shipped and largest volume sold. Specifications for Case markings Cases sold at Point-of-sale require a 12 digit U.P.C code: – the Case item number will be different from the unit item number – the U.P.C. code should be printed at a 160% - 200% magnification factor – the U.P.C. code should have bearer bars – the U.P.C. code should be placed in the same location as a Shipping container code Scanning systems at POS can read U.P.C. symbology only Scanning Systems at D.C. can scan all symbologies Brand X Information Systems UPC Code Brand X Weight UCC Case Code or UPC/EAN 128 (SCC-14) Date etc. UPC/EAN 128 w/ AI’s UPC/EAN 128 Serial Shipping Container Code (SSCC-18) Implications Scanning Systems at the distribution level can read all symbologies ~ – U.P.C., Interleaved 2 of 5, UCC-EAN/128 Scanning systems at POS can read U.P.C. only – Having both symbologies on the case will confuse the scanner at POS SCC-14 is created from the item ITEM U.P.C. SCC-14 PACKAGING INDICATOR 012345 P 0 012345 FILLER ZERO SUPPLIER ID. # 67890 C 67890 C ITEM # CHECK DIGIT Location Specifications for case markings Symbol Location: Symbol must be placed on any side panel One symbol is sufficient SYMBOL LOCATION 0.75” 1.25” 1.25” (NOT TO SCALE) Two adjacent sides preferred ANSI Specifications for case marking Minimum allowable grades are: Symbols printed using contact based process requires an ANSI D grade Symbols printed with non contact process must meet an ANSI C grade Validation on shipping cases will be conducted at Distribution centers Recommend internal verification of symbols Size Specifications for case marking Minimum allowable size when printing using non-contact process or on labels is 62.5% Minimum allowable size when printing directly onto corrugate is 70% ECR requirements - next steps Target to achieve a 99% scan accuracy at distribution facility To ensure compliance to Standards audit procedures will be established 3rd party validation companies Measure Industry Performance Data will be gathered and compiled to ensure quality compliance and set performance targets Developing validation procedures Objective: To establish an industry endorsed validation process to evaluate and monitor the accuracy of symbol quality on cases. Developing validation procedures Purpose: – to raise the awareness for quality compliance – to encourage suppliers to comply with the dates for SCC-14 implementation – to introduce a comprehensive audit process – to monitor: industry progression quality performance Developing validation procedures Issues & concerns Mix of print technologies: – online, pre-printed, print on demand Wear and tear associated during package handling leading to symbol degradation at DC Number of codes on the cases Non-technical manual – Barcoding Basics for Shipping Containers Technical Manual – Application Standards for shipping Containers Electronic Commerce User Knowledge Network Provide accessibility through website to: – EDI and Product ID Standards – Implementation Guidelines – Participate in User Committees – Education Programs – Industry Supply Chain Updates – UCC/EAN Activities Web site address: www.eccc.org ECCC continues to service all Industries Offering interactive workshops in-house Providing consultation on site to companies Publish newsletters Information on latest trends contained on web site ECCC Can be reached at: Call 1-800-567-7084 Web sites: www.eccc.org – ECR : – EFR : – ECRx : www.ecr.ca www.efrcanada.org www.eccc.org/ecrx/ E-mail RatnaJ@eccc.org Application Considerations for Shipping Container Codes Rich Mondoux Director, Customer Service and ECR J. M. Schneider Inc. BARCODING CARTONS: WHY DO IT? No choice if you supply the major retail distributors… Food Service is about one year away. BENEFITS: – Data Collection in Manufacturing – Supports Auto-palletizing – Warehouse Management Systems…. Receiving Pick Verification Weight Capture Tracking Information Enhanced, Faster Cycle Counting BARCODING CARTONS: WHY DO IT? Can reduce labor: – Manufacturing Staff: stamping / marking cartons – Much faster and more accurate picking of variable weight items. Simplifies Creation of SSCC-18’s and ASN’s, particularly for mixed pallets. When the SCC-14 is not enough…... Encoding additional data: – Required information – Application-related additional information – Limitations APPENDING OTHER DATA TO THE SCC-14 THE SCC-14 MAY NOT BE ENOUGH TO FULLY IDENTIFY A CARTON: – Necessary qualifiers YOU MAY WANT TO INCLUDE OTHER INFORMATION, EITHER FOR INTERNAL USE OR FOR YOUR CUSTOMERS: – Optional qualifiers THE PERISHABLE VARIABLE WEIGHT MEAT BAR CODE FOUR DATA ITEMS ARE ENCODED (01) 90062000530584 The SCC-14 (3102) 000887 Its Weight (15) 970804 Its Best Before Date (21) 003535 A Carton Serial Number APPENDING OTHER DATA TO THE SCC-14 OTHER USAGES: Product Variant…. e.g. couponing Count:…. Variable number of inner items Batch or Lot Number… internal / external tracking Limitations Maximum number of characters: 48 Maximum bar code length: 6.5 inches All-numeric data results in a shorter barcode Pre-Print vs. Print on Demand Print at point of carton manufacture: – Interleaved 2 of 5 symbology: no additional data needed – Product-specific carton – Very inexpensive; as many panels as desired Label vs. direct carton printing: – – – – UCC-128 Symbology? Other concurrent printing needs? Operating environment? Equipment availability and costs? When to print and apply? Use engineering and production staff to link the business needs to the process needs As simple as possible! – At point of carton manufacture – During carton assembly process – On the production line…. upstream at point of fill downstream pre-palletizer GETTING HELP On-demand / online printer suppliers will come in to your plant and test their equipment in your environment and application… – You don’t need to make decisions in a vacuum! Packaging design people have also developed much knowledge… link them to your QA and Production team to develop layouts & processes – Caveat: You will find that biases and misinformation abound, so look for second opinions if you’re not convinced. WATCH-OUTS! How many carton panels? As many as is costefficient…. – except for pre-printed, cost per extra panel is high – Minimum standard is 1 side only – Allow for 2-side printing in any production line changes Placement and accuracy: – rules are geared to conveyorized scanning…. – consider your customer base as you decide how accurately you apply a bar code, both location and orientation. WATCH-OUTS! The X-dimension… – generally, the larger the bars and spaces, the better it reads. UCC-128 bar codes are inherently more difficult to read than I 2/5…. require crisp transitions. – You will likely be trying to read the bar code in a warehouse environment, and often many weeks after the label was first printed. – In UCC-128, the minimum X-dimension of 10 mils will work only in ideal conditions; a good rule of thumb is a minimum of 15 mils. Additional factors affecting implementation TIMING: – Planning: Can be several months…. Need to assess fixed vs. variable data; information required; other concurrent print needs; where in the production process to apply barcodes Team can include production managers, work teams, maintenance, engineering, your label specialist Select an outside supplier early (who will end up as part of your planning team). Additional factors affecting implementation – Implementing: Database creation and maintenance Physical production line changes, installation, and testing Training: operators, supervision, maintenance Testing and Tuning – While simple applications can be developed and implemented over a few weeks, anything involving production line modifications will often take 90 days per application… after the first one! Additional factors affecting implementation Budgets: – Varies a great deal with the application – Some Rules of Thumb…. very easy to exceed $50,000 per application; equipment such as scales are additional. a carton can be ink jet sprayed for 1 to 2 cents, including equipment lease and consumables; when printing on labels, expect about 3 times the cost. Additional factors affecting implementation Confirmation and Verification: – in any automated environment, include a simple scanner to confirm the presence of a readable correct bar code… they are inexpensive and very worthwhile. – shipping container bar codes must meet an ANSI grade of ‘D’ on corrugate and ‘C’ on labels when scanned… set standards high enough to ensure a ‘C’ at the end of the carton’s useful life. – develop a verification program which tests samples of bar codes regularly during the production day… and empower your production workers to shut down the line if they fail. Verification procedures Our Verification Program: – Scan completed cartons (online) to confirm that a bar code is indeed there, and that its content is correct. – Team leader or QA person verifies a sample at least twice per shift, and after each change in label roll; maintains a QA log. – Weekly samples from every line at every plant are randomly selected and sent to central QA for verification and logging. – Spot checks are done in the warehouse in addition to scanning during the receiving process. BAR CODE QUALITY DETERIORATES AT A SURPRISING RATE! Training and Maintenance: – cleaning and tuning print heads and mechanisms must be part of daily Standard Operating Procedures – lead hand or maintenance person must understand print quality issues, know how to spot a problem, measure and adjust equipment – all labels are not created equal! Find a label stock which works with the particular printer in the operating environment… and stick to it. The 1/4 cent per label your buyer can save will be wasted many times over in the plant! GOOD LUCK WITH YOUR IMPLEMENTATION!