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Product ID and bar codes - key to the supply chain

Staff -- Modern Materials Handling, 7/1/2001

Standard product identification and bar codes continue to be a key area of opportunity within the supply chain.

That was the overall message from presenters at the "Making the case for standard product ID and bar codes" session at the recent Efficient Foodservice Response (EFR) (www.efr-central.com) conference.

Case studies showcased companies that have effectively used standard product ID and bar codes to increase efficiency and profits while reducing costs.

Pamela Tann, senior manager, coding and standards for Sysco Corp. (www.sysco.com), says her company is "driven by customer demand." Adding that all 62 of Sysco's facilities are scanning incoming product, and that suppliers are expected to provide the bar codes or pay a penalty for failing to do so.

Tann said that Sysco is part of a significant trend toward the use of bar codes on shipping cases. The EFR bar code committee reported that in 2000, 61% of all cases were coded, up from 54% the year before. An upcoming survey is expected to show that further gains have been made since then.

At Darden Restaurants, Inc. (www.darden.com), the company launched a pilot project last November and applied bar code labels to products at its distribution center. Ken Fowle, director of supply chain management, said 98% of those products were scanned, improving both speed and accuracy in the warehouse.

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