Promoting Trade in Agriculture through Improved Supply

Chains

Geneva, 12 May 2004

Bolivar Pereira pereira@ean-int.org

Myths about EAN InternationalMyths about EAN International

EAN is a bar code label vendor

EAN is an RF tag vendor

EAN stands for the European Article Numbering

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Mission StatementMission Statement

The mission of EAN International and the Member Organizations is to take a leading role in establishing a global multi-industry system of identification and communication for products, services, locations based on internationally accepted and business led standards.

The focus of EAN is to provide solutions and standards that add value to the relationship AMONG TRADING PARTNERS.

FOCUS OF EAN

The focus is not to optimize internal enterprise systems.

The global EAN MembershipThe global EAN Membership

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000

1994 1995 1996 1997 1998 1999 2000 2001

EUROPE AMERICA ASIA-PACIFIC AFRICA UCC

EAN International - World MapEAN International - World Map

99 local EAN Organizations 1 million member companies worldwide 5 billon scanning transactions per day

EAN International member countries

Manufacturer numbers are allocated ona direct basis by EAN International

EAN member companiescome from a large variety of industries

EAN member companiescome from a large variety of industries

Manufacturing39%

Wholesale8%

Other Community14%

Not Otherwise classified35%

Other2%

Agriculture, Hunting and Forestry (01-05)

2%Other:

•Fishing

•Electricity

•Construction

•Hotels

•Education

•Health & social work

•Mining

•Real estate

•Transport

EAN MilestonesEAN Milestones

1974 – Ad-hoc council of manufacturers & distributors look at developing UPC compatible product numbering standard for Europe

1977 – Establishment of EAN system & association. 12 founder members

1991 – Adoption of current “global” Mission

EAN Milestones (cont’d)EAN Milestones (cont’d)

1995 – Creation of EAN.UCC Global Policy Committee

1996 – With UCC, adoption of “Global Policy Principles Guiding UCC/EAN Standards”

1998 – EAN and UCC agree joint strategic plan and

common committee structure

EAN Milestones (cont’d)EAN Milestones (cont’d)

2000 – EAN and UCC agree to use a project approach in decision-making related to the maintenance and development of the EAN.UCC system

2002 – UCC and ECCC join EAN International as Member Organizations

Today network of 101 Member Organizations covering 103 countries

30 staff in Brussels and >1,400 world-wide

EAN StructureEAN Structure

User-driven organization

Two-thirds of the EAN Management Board are from trade and industry

Users are represented on the Boards of the Member Organizations

Member Organizations and users participate at theEAN General Assembly

Users’ demands are submitted by the Member Organizations to EAN Head office

EAN International ExplainedEAN International Explained

The Global EAN.UCC system:

Delivers a multi industry identification standard based on a structured, non significant numbering system

Endorsed set of symbologies (bar codes) and other data carriers (RFId) as well as messaging standards

System identifies: products and product attributes, services, shipments, assets, locations, etc.

Is a recognized ISO standard and uses UN/EDIFACT

EPCglobal…EPCglobal…

EPCglobal is leading the development and

adoption of industry-driven technology standards for the

revolutionary Electronic Product Code (EPC)

Network to support the use of radio frequency identification (RFID) in today’s fast-moving,

information rich trading networks.

What makes RFID different compared to barcodes?

What makes RFID different compared to barcodes?

RFID - Where It FitsRFID - Where It Fits

Cost

Fun

ctio

nalit

y

• R/W Memory • Non-Line-of-Sight• Simultaneous ID• Very Rugged

• Long Range• Location Finding• Larger R/W Memory• Non-Line-of-Sight• Simultaneous ID

But ...• Most Expensive• Limited Life• Less Rugged

2D Bar Code• Larger Data Capacity• Greater Data Integrity

Linear Bar Code• Lowest Cost

Passive Tag

Active Tag

1234 5670

Why RFID?Why RFID?

Eliminates human error

No line of sight required

Performs in rugged, harsh environments

Dynamic multi-block Read/Write capability

Simultaneous reading & identification of multiple tags in field

Why Bar code?Why Bar code?

Very inexpensive

Eliminates human error

Performs in some

rugged, harsh

environments

Line of sight required

EAN.UCC LOGISTICS LABEL

EAN International rue Royale 145 B-1000 Brussels

UNIFORM CODE COUNCILTo

8136 Old Yankee Road Dayton, Ohio 45459 U.S.A.

SSCC

3 5412345 123456789 2CONSIGNMENT SHIP TO POST

541234550127501

(40 1)5 4 1 2 3 4 5 5 0 1 2 7 5 0 1 (4 2 1)8 4 0 4 5 4 5 9

(0 0 )3 5 4 1 2 3 4 5 1 2 3 4 5 6 7 8 9 2

From

840 45459

5 4 1 2 3 4 5 6 7 8 9 0 8 >

What future for bar codes?What future for bar codes?

RFID offers some important advantages:

Non line of sight

Read/write

‘Near simultaneous’ multiple detection

But there are drawbacks - not least cost!The future will be a hybrid world -

The right technology for each different application

EAN.UCC Standards for TraceabilityEAN.UCC Standards for Traceability

Standard Identification of items

Standard data carriers for representing data

Standard Electronic Commerce messages

Dat

a C

arrie

rsE-C

omm

erce

ID Numbers

Principles of TraceabilityPrinciples of Traceability

The ability to find the history, use or localisation of an item by:

Recording, and storing, every movement of an item in the supply chain

Registering the source of the item

Maintaining the database information for the life-cycle of the product

Traceability in actionTraceability in action

Product traceability

to identify defective lots

to recall concerned products

Logistic traceability

to follow the logistic unit through the supply chain

to enable the capture of detailed information

to allow a response in case of problem

00334531200004563580

UCC/EAN-128 Symbol

00334531200004563580

For tracing your products

Log unit / 01 01 / 22

The SSCCThe SSCC

The Serial Shipping Container Code is a standard for the individual identification of logistic units (pallets, barrels, crates, containers,...)

The SSCC can be used by all parties in the supply chain as a “KEY” to the relevant information held in computer files

The Serial Shipping Container Code (SSCC)The Serial Shipping Container Code (SSCC)

It is a non-significant, fixed length, 18 digits number which contains no classifying elements. The whole number identifies the logistic unit.

N2 N3 N4 N5 N6 N7 N8 N9 N10 N11 N12 N13 N14 N15 N16 N17

Extensiondigit

Extensiondigit

Check Digit

Check Digit

EAN.UCC Company Prefix Serial reference

N1N1 N18 N18

EAN International is registered issuing agency (allocated IAC 0 to 9)

Structure of License Plate Number - Structure of License Plate Number - Serial Shipping Container CodeSerial Shipping Container Code

Structure of License Plate Number - Structure of License Plate Number - Serial Shipping Container CodeSerial Shipping Container Code

unique Issuing Agency Code (IAC) allocated to administering body

3 4054321 123456789 5

ISO/IEC 15459-2ISO/IEC 15459-1

General Registration Procedures

Unique Identification of Transport Units

unique code allocated from administering body to user

unique code allocated to transport unit by user

check digit

EAN•UCC KeysEAN•UCC Keys

AI 401: Consignment Number - Identifies a logical grouping of goods (one or more physical entities) that has been consigned to a freight forwarder and is intended to be transported as a whole.

Company Prefix Consignment information

N1 ... Ni Xi+1 ... variable length Xj (j<=30)

EAN•UCC KeysEAN•UCC Keys

AI 402: Shipment Identification Number (Bill of Lading) - A number assigned by a consignor. It provides a globally unique number that identifies a logical grouping of physical units for the purpose of a transport shipment.

Company Prefix Shipper Reference Check digit

N1 N2 N3 N4 N5 N6 N7 N8 N9 N10 N11 N12 N13 N14 N15 N16 N17

Industry Endorsements

What Logistics Users Are Saying about EAN.UCC System

FIATA – International Federation of Freight Forwarders

FIATA – International Federation of Freight Forwarders

Memorandum of Understanding Signed in August 2001

“FIATA will participate in the standards development work of EAN International related to the transport sector”

“FIATA will promote the use of the existing EANUCC standards within the transport and freight forwarding environment”

“FIATA will encourage its national and direct members to become members of national EAN organisations”

Australian Logistics CouncilAustralian Logistics Council

Barcoding the Logistics Industry (1/4/03)

Compatible along the supply chain

Faster delivery of goods, fewer handling and shipping errors, better inventory management and a reduction of ordering and replenishing times

Will make it easier for Australian exporters to meet the tightened security requirements

Swedish International Freight AssociationSwedish International Freight Association

Issued a recommendation last year, based on EAN•UCC standards for Shipment ID

Builds upon best practice in international trade and industry

“SSCC is the most widespread concept for tracking of individual packages, recommended by FIATA”

EAN•UCC organization stands as a guarantee for long lasting stability

EAN Standard’s Role in Trade FacilitationEAN Standard’s Role in Trade Facilitation

“Trader id” concept via the GLN (Global Location Number) which can be validated through internet

Can be applied to all international goods movements, unique at both national and international level

Facilitation of trade-customs partnership

Minimize bottlenecks in the global supply chain

Questions?

Bolivar Pereirapereira@ean-int.org

Questions?

Bolivar Pereirapereira@ean-int.org