Supply Chain Organizations Must Adopt Modernization to Meet Industry Standards: Study

Many companies still face significant operational challenges, ranging from outdated scanning systems to inconsistent labeling practices.

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A new VDC research report commissioned by GS1 US explores how intelligent data capture, powered by two-dimensional (2D) barcodes and global standards, is transforming logistics operations across industries. 

In fact, despite strong momentum toward automation, the findings reveal that many companies still face significant operational challenges, ranging from outdated scanning systems to inconsistent labeling practices, according to the report, "Advancing Logistics Operations Through Intelligent Data Capture.”

"In today's fast-paced, data-driven supply chain environment, outdated logistics systems, fragmented labeling practices and manual processes are no longer sustainable," says Gena Morgan, VP, global standards, GS1 US. "The need for real-time traceability, inventory management and smooth operations calls for more-standardized logistics practices. In order for products to move efficiently through the supply chain in a system that can adapt to potential disruptions, more-automated data capture that builds on the foundation of supply chain standards is paramount."

Key takeaways:

  • 70% of logistics operations experience barcode readability issues weekly due to poor label quality, inconsistent labeling or outdated scanning systems.
  • 43% of companies seek increased transparency in sourcing and traceability.
  • 36% of companies aim to improve inventory management and asset tracking.
  • 47% of companies cite enhanced information exchange for investing in 2D barcodes.
  • The research highlights that to move products efficiently through the supply chain and build resilience against potential disruptions, organizations must adopt more-automated, standards-based data capture.

 

"As pressure builds to strengthen traceability, automate fulfillment and reduce waste, the findings show that businesses across industries – from retail and food to healthcare and apparel –can make meaningful progress by voluntarily adopting 2D barcodes and GS1 Standards. These proven enablers support faster, more accurate product identification and seamless data exchange from source to shelf,” Morgan adds.

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