Benefits of Barcode System (Continued...)

Summary of Company Benefits

Within organizations, barcode has proven its ability to help companies compete better. A few of the documented benefits are listed below:

• improved on-time fill rates
• increased inventory accuracy
• reduced inventory carrying costs
• reduced data entry costs
• accurate and timely reporting of POS information
• reduced picking and shipping errors
• increased material handling productivity
• increased sales
• identification of production bottlenecks
• reduced buffer inventories

When UPC or EAN numbering, barcode and Electronic Data Interchange (EDI) are implemented throughout an industry, individual members of that industry can achieve meaningful gains in all of them and help entire industries remain competitive.

Industry Benefits

Thousands of business transactions every day. Many involve communication of part numbers and quantities.

Most transactions begin as handwritten documents, followed by a phone
conversation or computer generated report which is ultimately FAXed or
mailed to a trading partner.

Trading Partner Material and Information Flow

Retailers, distributors and manufacturers can use standard numbering systems, barcode and/or EDI to record sales, receive merchandise, place orders, count inventories, verify shipments, and record storage locations.

As unnecessary costs are removed from distribution pipeline, entire industries become more competitive.

With improved accuracy and timeliness of data, manufacturers can control their inventory better, increasing sales by stocking the proper products and reducing unplanned mark–downs.

Using barcode to track work in progress helps manufacturers identify
production bottlenecks and improve deliveries while reducing inventory
carrying costs.

Distributors using barcode and UPC/EAN numbers can improve inventory accuracy, on-time fill rates and reduce inventory carrying costs.

Summary: Benefits of Barcode

Improve sales, improve gross margins and reduce overhead. Barcodes widely accepted: simplest, most accurate, cost-effective approach for identifying objects by using reading machines (scanners)

Primary advantage of bar code is low susceptibility to errors in data input.

Other advantages:

• Speed
• Timeliness
• Cost efficiency
  

Improved efficiency by substituting bar code systems in place of manual systems resulting in increased productivity and reduced labor costs.

Manufacturing

• Track batches, jobs and individual products through system. Product ID and Serial Numbers to cartons (may be re-used by customers in their own business operations).
  
  
• Time and Attendance (log in/out, changing job/project numbers,
  or changing locations in factory)
  
  
• Compliance Labeling (chemicals, safety, required tracking tasks)
  
  
• Quality Control - trace back to individual processes or machinery, match components to finished products; manage service and warranty repairs
  
  
• Automatic alerts at low stock levels, and locations of supplies are known/tracked.
  
  
• Production shortfalls or runs immediately noted.
  
  
• QC failures automatically routed to rework, satisfactory
  products to packing.
  
  
• Work-In-Progress (WIP) data can be collected at any
  point in the process, uploaded to the computer, allows
  real-time tracking
  

Warehousing/Distribution

• Log incoming/outgoing shipments more quickly and accurately; provide accurate shipping manifests, packing slips and other management tools.
  
  
• Inventory Control - automatically update inventory database; portable scanning units can be used in warehouses and remote storage areas.
  
  
• Price and Stock Checking - Download to handheld computer for quick checking with higher accuracy and fewer errors.
  
  
• Track location of specific items in warehouse.
  
  
• Track retrieval and issue.
  
  
• Packing shows contents in barcode-encoded label. Label also shows contents in plain language.
  
  
• Automatic routing to/from warehouse, and into storage destination(s). Read barcodes to confirm correct locations.

Offices

• Issues and Receipts.
  
  
• Asset Management - account for tools, books, documents; decreased training time; reduces loss from stolen or misplaced items.
  
  
• File Management - track materials from a central library or repository; barcode-assisted checkout/checkin, with date/time entries in database.
  
  
• Tracking physical assets (desks, computers, office furnishings, etc.) - aid in financial reporting; checked and tracked when borrowed; asset reassignment; on-site verification (building, office, or individual); track location, service dates, configurations.
  
  
• Standard reporting covering valuation, aging, depreciation, location, contract assignment, discrepancies, detailed inventory.
  
  
• Order entry: computer prints out item location, destination, and barcode. Matched against item in warehouse. Shortfalls/discrepancies revealed and corrected quickly, and corrected dispatch can be produced on the spot.
  
  
• Barcode used to track inter-office/inter-company deliveries (i.e. UPS, FedEx), especially important documents.

Basic Structure
Symbologies
Components
Bar Code Solutions
Bar Code - History