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GS1 standards improve business conditions

Store chains reduce their expenses by 5.69% when scanning barcodes at POS






 

The annual GS1 Global Forum ended in Brussels. Once again the forum gave stage for a meeting of experts, various representatives of the supply chain – manufacturers, suppliers, retailers. Representatives of transport companies, the customs authorities, local and international regulatory bodies, software developers and suppliers of hardware and, last but not least, representatives of the national GS1 organizations worldwide, participated in the discussions. They shared experience in the implementation of solutions based on the GS1 standards, presented initial projects and data from conducted analyses, and helped develop a strategy for expansion of the application of the GS1 standards.


The use of the GS1 standards improves the business conditions and contributes to better coordination and communication. The effects are felt along the entire supply chain for which statistics based on a research of Consumer Goods Forum for 2011 was presented. 


A unique system for automatic identification and barcode marking of products, logistic units, services, locations and others underlies the GS1 standards. A survey of GS1 France held among 10 000 companies from 62 countries established that the barcode scanning at POS reduces the expenses of store chains by 5.69% of their annual revenue. The benefits are direct – reduced time for processing of the goods at the cash-desk (POS), fewer errors arising from manual input of information, more effective use of the work time of cash-desk operators; and indirect – increased sales as a result of improved servicing of customers, better stock control and improved control on the sales made in stores. 


The unified system for automatic identification GS1 provides conditions for electronic data interchange (EDI) and standardization of electronic messages. According to another survey of GS1 France, the implementation of EDI has become a strategic goal for store chains especially after it was established that 87% out of all electronic orders made use the GS1 standards. The use of GS1 standard messages saves 794 million euro each year (see the table below): 


Electronic message Number % Savings (in Euro)
order 24 352 003 87% 449 816 684
invoice 10 318 303 37% 191 301 348
transport data 9 860 295 35% 139 030 159
synchronized product information 320 000 10% 13 440 000
Savings in total by GS1 members 793 588 191


Taking into consideration the above-cited figures, we would like to encourage Bulgarian companies to use the GS1 standards. Intensive purposeful work for implementation of the GS1 standards will guarantee better competitive positions of companies. 

22.02.2012

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