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ECR Barcode Sub-Committee
Tom McAllister Senior Manager, Graphics ,
Promotions Packaging Quaker Oats Company of
Canada Co-Chair ECR Barcode Sub-Committee
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Universal Product Code
Shipping Container Code 14 in Interleaved 2 of
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Shipping Container Code 14 in UCC/EAN-128
Serialized Shipping Container Code 18 in
UCC/EAN-128
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ECR Sub-committees
Mandated to address Barcode Issues
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Committee Membership
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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..

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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.

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ECR Barcode Successes

• 50 rise in first Pass Scan Rate resulting in
  tens of millions of dollars of savings.

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SCC-14

• Defined deadline and implementation
• momentum of SCC-14 moving
• toward critical mass.

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Benefits of SCC-14

• Simplifying Case Identification
• Better Inventory Control
• Significant Error Reduction
• Speeds up Receiving Process
• Simplifies Database Management

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What's Coming Next to a Store Near You!!!

• SSCC-18 Pallet License Plates
• Agreement of Understanding to Listing-Fee Issue.
• Whats New/Whats Admin/Whats Switch
• Policy on DSD Codes
• Variable Weight Code Guidelines
• Produce Barcode Guidelines
• Returnable Container Policy and Guidelines
• SCC-14 Compliance Process

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Standards for Shipping Container Codes

• Ratna Jani
• Director, Industry Relations
• Electronic Commerce Council of Canada

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The Learnings

• About ECCC
• Industry Implementation timetable
• Standards Issues compliance
• Number structures Packaging Indicators
• Obtaining Resources

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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
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Other Industry timelines for suppliers

• GROCERY INDUSTRY
• SCC-14 on Cartons September 1998
• Pallet license plate To be established

FOODSERVICE INDUSTRY Assignment of U.P.C./SCC-14
numbers October 1998 Apply scannable barcodes
on cases October 1999 ECRx TIMELINES Will be
announced shortly for OTC, Cosmetics and
Pharmaceutical products
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Objective of the Strategies areto build
partnerships

• Having the right product
• At the right time
• At the best possible price
• Result is improved trading
• partner relationship

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Business concepts built on

• Movement of product, information and funds
  through the supply chain
• rapidly, accurately, efficiently

information
product
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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

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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.

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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

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14 Digit Global Structure Data base alignment
14 13 12 11 10 9 8 7 6
5 4 3 2 1
C
N3
N4
N5
N6
N7
N8
N9
N10
N11
N12
U.P.C.
N2
0
0
N2
N3
N5
N11
N12
C
N4
N1
N6
N7
N8
N9
N10
0
EAN-13
N9
N11
N12
C
PI
N1
N2
N3
N4
N5
N6
N7
N8
N10
SCC-14
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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

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ECR Committee set mandate timelines

• ECR Steering committee endorsed September 1998
  for case barcoding
• CCGD Survey shows across Canada by1998/1999
• 47 grocery 14 produce
• 18 frozen 10 meat
• Warehouses will be ready to scan
• cases

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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

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Variable case

• A VARIABLE CASE CONTAINS AN ASSORTMENT OF UNITS
  (SSCC-18)
• Attributes vary from unit to unit

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SCC-14 is created from the item
ITEM U.P.C.
012345 67890
C
012345 67890
P 0
C
SCC-14
CHECK DIGIT
FILLER ZERO
ITEM
PACKAGING INDICATOR
SUPPLIER ID.
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PACKAGING INDICATOR (PI) RULES FOR SCC-14

• APPLY PI
• 0 Where shipping container holds one consumer
  product or
• Shipping container holds multiple U.P.Cs
• 1 Only one shipping container size
• For the first level of case configurations
• 2-8 For additional case configurations
• 9 Where additional information on variable
• weight or quantity follows

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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

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Item packed in inner packs, intermediate packs
and shippers
ITEM 0 67123 55555
CD INNERPACK 1 00 67123 55555
CD (ITEM X 12) INTERMEDIATE PACK 2 00 67123
55555 CD (2 x INNERPACKS) MASTERPACK 3 00
67123 55555 CD (4 X INTERMEDIATE PACK)
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SCC-14 can be represented in two symbologies

• INTERLEAVED 2 OF 5 ( ITF or, I 2 OF 5)
• UCC/EAN - 128

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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
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SCC-14 PRINTED IN UCC/EAN-128
AI (01) SCC-14
ENCODED NUMBER
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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
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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.

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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

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Scanning systems at POS can read U.P.C.
symbology only

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Scanning Systems at D.C. can scan all
symbologies
InformationSystems
UPC Code
Weight Date etc.
UCC Case Code or UPC/EAN 128 (SCC-14)
UPC/EAN 128 Serial Shipping Container Code
(SSCC-18)
UPC/EAN 128 w/ AIs
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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

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SCC-14 is created from the item
ITEM U.P.C.
012345 67890
C
012345 67890
P 0
C
SCC-14
CHECK DIGIT
FILLER ZERO
ITEM
PACKAGING INDICATOR
SUPPLIER ID.
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Location Specifications for case markings

• Symbol Location
• Symbol must be placed on any side panel
• One symbol is sufficient

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SYMBOL LOCATION
(NOT TO SCALE)
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Two adjacent sides preferred
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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

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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

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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

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Developing validation procedures

• Objective
• To establish an industry endorsed validation
  process to evaluate and monitor the accuracy of
  symbol quality on cases.

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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

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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

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• Non-technical manual
• Barcoding Basics for Shipping Containers
• Technical Manual
• Application Standards for shipping Containers

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Electronic Commerce UserKnowledge 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

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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

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ECCC Can be reached at

• Call 1-800-567-7084
• Web sites www.eccc.org
• ECR www.ecr.ca
• EFR www.efrcanada.org
• ECRx www.eccc.org/ecrx/
• E-mail RatnaJ_at_eccc.org

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Application Considerations for Shipping Container
Codes

• Rich Mondoux
• Director, Customer Service and ECR
• J. M. Schneider Inc.

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BARCODING CARTONSWHY 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

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BARCODING CARTONSWHY DO IT?

• Can reduce labor
• Manufacturing Staff stamping / marking cartons
• Much faster and more accurate picking of variable
  weight items.
• Simplifies Creation of SSCC-18s and ASNs,
  particularly for mixed pallets.

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When the SCC-14 is not enough...

• Encoding additional data
• Required information
• Application-related additional information
• Limitations

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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

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THE PERISHABLE VARIABLE WEIGHT MEAT BAR CODE
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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

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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

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Limitations

• Maximum number of characters 48
• Maximum bar code length 6.5 inches
• All-numeric data results in a shorter barcode

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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?

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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

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GETTING HELP

• On-demand / online printer suppliers will come in
  to your plant and test their equipment in your
  environment and application
• You dont 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
  mis-information abound, so look for second
  opinions if youre not convinced.

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WATCH-OUTS!

• How many carton panels? As many as is
  cost-efficient.
• 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.

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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.

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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).

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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!

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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.

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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 cartons 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.

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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.

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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!

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GOOD LUCK WITH YOUR IMPLEMENTATION!