GS1 - The global language of business

Background

GS1 New Zealand is working with four major retailers in the primary retail sector (CRT, PGG Wrightson, Farmlands and Elders) to help drive best practice supply chain principles across the sector. Adoption of GS1 standards (barcodes and barcode quality initially) will bring improved business benefits to both the retailers and suppliers.

Having accurate information about products from our suppliers ensures that:

  • goods for sale are priced correctly.
  • stocked correctly.
  • ordered correctly in the right quantities and in a timely manner.

This will ensure goods are always available for sale which is important for all because items that are out-of-stock means lost profits - for everyone.

On the other hand, inaccurate product information causes customer confusion, dissatisfaction and usually results in loss of sales as well as expensive, time consuming reconciliation procedures where no one benefits.

One way to eliminate/ minimise inaccurate product information is by using good quality, globally standardised barcodes used to international best practice principles.

The current level of understanding and adoption of GS1 barcodes in the primary sector (retail) is varied.

Research

In late 2008, GS1 New Zealand undertook in-depth research in the sector to understand the penetration of barcoding and the implementation practices. Four significant findings were that:

  • 7% of barcodes did not scan at the checkout. This compares with 0.02% for the grocery sector today and 4.1% for the DIY/Hardware sector when the same sector-wide research was undertaken in 2005.
  • 35% of items scanned had some form of pricing discrepancy. This compares with 10% for the DIY/Hardware sector.
  • There is a wide assortment of barcodes being used, in varying sizes, colours, symbologies - if at all.

Industry 'Calls to Action' /Workshops

In early 2009, the four sector retailers distributed a sector letter to suppliers encouraging them to barcode all products using the GS1 global standards - and to have them tested by GS1 (a sort of WOF for barcodes).

The sector letter was followed up in June 2009 with a 'Call To Action' to the supplier community announcing a series of supplier workshops throughout New Zealand.

GS1 New Zealand has been asked to assist the sector in implementing international best practice principles for the standardised identification of products, the use of barcodes, barcode quality and implementation guidelines. A series of workshops have been planned in the following locations.

More Information

Click on the links below for more information.

 

 

 

 

 

 

 

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