TRENDS

In Product Identification

By: Neal Magaziner

     Today, business customers are driving a hurricane of change in response to the demands they are facing in their own businesses. This is impacting every aspect of the supply chain, from order taking to materials handling to shipping, packaging, and customer support. And, product identification — the labeling, classification and inventory control of products, packages and containers — is right in the eye of the storm.

     Several trends are driving this change. Each is important to understand, and several are inter-related.

     The Retail Revolution — There’s no question, the Home Depots, Wal-Marts and Best Buys of the world drive retail. And, why not? With low prices and astonishing selection, customers flock to them. And, with the volumes they generate, suppliers line up just for a crack at a few coveted inches of shelf facing. The result? These industry leaders can call the tune — right down to how suppliers present their wares at the receiving dock. They’re demanding labeling that not only identifies contents, but also the date and place of manufacture, materials information and more — all human and machine-readable (using their proprietary back-end systems, of course). Miss a detail, and the entire lot could be shipped back — on the supplier’s dime.

     Food and Pharmaceuticals — Three simple letters strike fear in the heart of any food or drug manufacturer — FDA. The U.S. Food and Drug Administration has and uses wide-ranging powers to audit manufacturing practices, labeling standards and product freshness —comprehensive information must be reflected in the product’s product and shipping labels. And, with ISO-9002, Six Sigma and other quality standards, many other industries feel the ...

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