Chapter 1.2 Flashcards

1
Q

Why is it important for organisations in a supply chain to use product codes?

A

So that the risk of ordering or delivering the wrong item is reduced

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2
Q

Name an advantage of using your own product coding system

A

The organisation can construct a code that is effective and fits with its software and the variety of items covered

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3
Q

Name an advantage of using a manufacturers product code systems

A

The same code can be shared, this can avoid potential errors and it will save time as there will be no need to interpret the manufacturers code against the organisations own code

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4
Q

Why may using a manufacture codes and them being recognised in the supply chain be an advantage?

A

It adds traceability and customer acceptability

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5
Q

Why may using a manufacture codes and them being recognised in the supply chain be a disadvantage?

A

It reveals origins allowing customers to ‘shop around’

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6
Q

When is a manufacturers product code important?

A

When spare parts are being supplied

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7
Q

Name an advantage of using a customer product code system

A

The same code can be shared

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8
Q

Name an disadvantage of using a customer product code system

A

Using the same code for other customers might be unacceptable to the customer who ‘owns’ the system

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9
Q

Name an advantage of using industry standard coding system

A

The supply chain can standardise part numbering and the same system is used by different customers and suppliers

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10
Q

Name a disadvantage of using industry standard coding system

A

Additional features of a product that could be added might not be permitted by the published structure and variants

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11
Q

Explain how an organisation may use multiple codes

A

An organisation may have a product code given to customers for ordering, and additional codes that might signify the country of origin, year, month or date of production, use-by date, supplier, quantity in a pack, storage requirements, storage location or country of use

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12
Q

Name 6 types of codes

A
  1. Numerical
  2. Alphabetical
  3. Alpha-numeric
  4. Random generated or created
  5. Sequential
  6. Structured
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13
Q

Stock Keeping Units (SKUs)

A

An identifiable item from stock. organisations may assign individual SKU numbers of their own design or use industry or company standard. Although an SKU relates to a single item, the item could be a box or a pallet load rather than an individual item

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14
Q

Who can the structure of product codes be designed by?

A

Suppliers or buyers

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15
Q

Can organisations create their own stock keep unit numbering system

A

Yes

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16
Q

What codes do online catalogues list?

A

Both - the retailer product may help the customer to determine the match to the retailers website, the Amazon code instantly identifies the unique reference used and is their SKU

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17
Q

Name 5 items that appear on an online search for SKU414676

A
  1. A UK wholesalers six-pack of branded cola
  2. Australian snack food
  3. UK flower seeds
  4. Italian desk sold in Japan
  5. Brazilian light fitting
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18
Q

What can structured codes be designed to do

A

To incorporate meaningful information if arranged in specific ways

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19
Q

Check digits

A

Numbers added to product codes which allow computer-based validation. These are usually created using specific number sequences and are designed to reduce the probability of errors

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20
Q

What do many codes have?

A

Integrated check digits

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21
Q

What is the intention of check digits

A

To reduce the likelihood of mis-keying an item and hitting an alternative live item

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22
Q

Why is it difficult to detect check digits

A

Because there are a large number of variations possible

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23
Q

When can any user create product codes in a format that is useful for itself and/or its customers

A

When there is not an industry format

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24
Q

Original equipment manufacturer (OEM)

A

Generally perceived as the producer of own branded parts or equipment which are sold to other manufacturers for production and retail

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25
Q

Who do having industry standard codes have origins with?

A

The original equipment manufatcurer

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26
Q

Name another reason industry standard codes may have been created

A

As part of a quality, performance or conformance standards and documentation

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27
Q

Name 7 examples of items that use industry standard codes

A
  1. Car light bulbs
  2. Batteries for small devices
  3. Military use
  4. Health service use
  5. Books
  6. Import and export
  7. Specific dangerous substances
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28
Q

Who is the Harmonized Item description and coding system (international standard) governed by?

A

World Customs Organisation (WCO)

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29
Q

Explain the harmonized item description and coding system numbers

A

6 digit numbers, although countries may add either two or four digits to create further subdivisions

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30
Q

Is the harmonized item description and coding system recognised by nearly all countries of the world?

A

Yes

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31
Q

What do the European Union member states do with the harmonized item description codes

A

They incorporate the HS code into its own system - the additions being subdivisions and classifications used to determine any special duty payable, special arrangements or restrictions on entry

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32
Q

What are product codes used for?

A

To avoid errors

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32
Q

What must the buyer ensure when using product codes?

A

That the code chosen matches the dimensions, characteristics and quality required

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32
Q

What type of code is there a decline in?

A

Structured codes

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33
Q

What is the decline in structured codes linked to?

A

Much wider use of databases which can allocate different codes instantly and link these to specific orders but are transparent to the customer

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34
Q

What are organisations in B2B supply chains likely to use?

A

Product codes - sometimes these are shared, but often each is designed to fit the specific business requirements and systems used

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35
Q

What is the product code often key to?

A

Obtaining documentation relating to products

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36
Q

Name 9 types of product documentation that could be available by entering a product code into a manufacturers website

A
  1. Installation instructions
  2. Operational instructions
  3. Guarantee and warranty
  4. Technical specifications including temperature tolerances
  5. Safety instructions including safe disposal
  6. Electrical certification documents
  7. Packaging certification documentation
  8. Spare parts list, servicing requirements
  9. Product recall notices
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37
Q

What are product codes often used to link?

A

To link to internal processes

38
Q

What do some computerised inventory systems trigger?

A

Alerts when specific items or volumes are ordered - this could be an out-of-stock warning or potential volume errors

39
Q

What are product codes used to generate?

A

“picking lists’ in the warehouse

40
Q

Explain what a picking list is

A

Instructions to collect specific items from specific locations in the warehouse ready for despatch

41
Q

What will more sophisticated picking list systems do?

A

Link the product code and quantity to the size and weight of the requirement and any special handling requirements. Many systems will also plot a route for the operator to follow within the warehouse which allows more efficient warehouse operations

42
Q

What 4 things are product codes used to link

A
  1. safety
  2. Handling requirements
  3. Technical documentation
  4. Despatch information
43
Q

What are product codes a means of?

A

Identifying specific products - but they often support the use of internal and external systems which help the efficiency and effectiveness

44
Q

Barcode

A

An optical, machine readable representation of data. Bars and spaces of different widths are used interchangeably to represent numbers and letters. These bars and spaces representing data are printed on a label, affixed to an item and the data can be decoded by a scanner. Decoded data is sent to a computer system where it is stored and reported on. Each code corresponds to a specific item

45
Q

What do product barcodes that are used by multiple organisations require?

A

The use of agreed standards

46
Q

What is the principle of barcodes

A

Readable characters are converted into lines of different widths and gaps that can be read by scanning equipment. The equipment uses either lase or digital camera-type technology to ‘read’ the pattern and convert it back to characters. The character code is also provided next to the barcode lines, so that it can be manually entered if required

47
Q

Is it possible to create one-off scanner-readable labels for lots of different business situations

A

yes

48
Q

What is the most common barcode format in use?

A

13-digit European Article Number (EAN-13)

49
Q

What is the EAN-13 systems now incorporated into?

A

The formats for the International Article Number (IAN) and Global Trade Item number (GTIN)

50
Q

Who is the GTIN controlled by?

A

By a ‘not-for-profit’ organisation known as GS1

51
Q

What does GS1 specialise in?

A

Standards for specific industries and membership is required to use the standards

52
Q

What is EAN-13 compatible with?

A

Electronic Product Codes used in Radio Frequency Identification

53
Q

Does the EAN-13 have a format for 8 digit versions?

A

Yes

54
Q

What is the EAN-13 8 digit version usually used for?

A

Small items

55
Q

What can be provided in addition to EAN-13?

A

Supplementary information barcodes

56
Q

What does the EAN-13 number allocation vary according to?

A

The manufacturer or retailer

57
Q

What can the content of EAN-13 numbers relate to? (4)

A
  1. GS1 member organisation registration
  2. Manufacturer code
  3. Product code
  4. Whether the product is ‘store packaged’
58
Q

What are specific numbers allocated to in EAN-13?

A

Specific product types

59
Q

What is the final number is EAN-13?

A

Check digit - uses modulus 10 calculations

60
Q

What is the appeal of barcodes enhanced by?

A

Their flexibility and common usage

61
Q

Where are multiple barcodes commonly seen?

A

On products being delivered by couriers

62
Q

QR Code

A

A QR or quick response code is a matrix-orientated barcode which holds more information and is less prone to errors than a traditional barcode

63
Q

Name 10 supply chain operations that barcodes can be used for

A
  1. Identifying individual products
  2. Identifying groups of products
  3. Identifying the content of a purchase order or delivery
  4. Identifying the batch that items come from
  5. Identifying the original producer
  6. Identifying the routing of a delivery
  7. Identifying a production date, delivery date, use-by date
  8. Identifying a specific item being produced to a one-off specification
  9. Identifying the arrival and/or departure of a product at a location
  10. Allowing effective return and/or refund of products
64
Q

How do public libraries use barcodes

A

For book issue - the stock is controlled by scanning books in and out by use of the barcode

64
Q

How can you use barcodes to speed data entry

A

Add a barcode label to documentation

65
Q

Fixed assets

A

An accounting term used to describe items acquired by an organisation which are not routinely sold but used within the organisation. Typical examples are land and buildings, fixtures and fittings, office and warehouse equipment. Fixed assets are also known as non-current assets

66
Q

Other than inventory control what else can barcodes be used for?

A

To identify and locate fixed assets

67
Q

What is good practise in an organisation?

A

To maintain a register of all fixed assets - in many cases this is a legal requirement linked to accounting and tax regulations

68
Q

What else can barcodes be used for?

A

To label equipment used in an organisation

69
Q

What does the creation of the barcode require?

A

Software that can meet the standard being used

70
Q

Is barcode creation software readily available at a low cost?

A

Yes

71
Q

Name 2 ways barcode readers can be

A

Static and in a fixed position or portable

72
Q

What do fixed position barcode readers require?

A

The item to be placed or passed over the reader

73
Q

How do some barcode readers have the capability of reading at multiple angles?

A

Lasers are positioned so that they can read part using one laser and part using another laser

74
Q

What type of function can portable readers be?

A

single-function or multi-function

75
Q

What does a single-function barcode reader collect?

A

Barcodes

76
Q

What does a multi-function barcode reader collect?

A

It can input information for example quantities

77
Q

What is an expectation of business and consumer transactions?

A

Order tracking

78
Q

How does tracking work nowadays?

A

It is usually geared through internet-based technology and can incorporate order processing updates, payment systems and delivery tracking

79
Q

RFID (radio frequency identification)

A

A wireless method of communication that uses digital tags to identify and locate specific items to identify and track goods by means of tags that transmit a radio signal. The tags contain electronically stored information. Items of inventory can be tagged and tracked in this way

80
Q

What is the concept of RFID

A

Small devices can be embedded in labels or attached to tags which work with radio transmitters and/or receivers to identify themselves

81
Q

What are the two main types of RFID tags

A

Active and passive

82
Q

Explain an active RFID tag

A

It periodically announces what it is and therefore can be tracked to where it is

83
Q

Explain a passive RFID tag

A

It does nothing until asked, then can announce what it is and therefore can be tracked to where it is

84
Q

What is integrated into RFID tags

A

Very small integrated circuit incorporating a small memory capability - many are smaller than 2 mm square and 2 mm thick

85
Q

How much data can RFID tags hold

A

Depending on its size they can hold up to 2000 characters of data (one full page of text)

86
Q

How do many retailers use RFID tags

A

As a thick label and print both sides with product information and perhaps a barcode - it is sometimes difficult to detect the device inside

87
Q

What is an RFID likely to vary in size according to?

A

The very thin integrated antenna - a small antenna has a limited range, so a small antenna RFID would need to be close to the source of a signal or a base station

88
Q

What does the operating range of an RFID tag depend on? (3)

A

The radio frequency used, receiver capability and the environment

89
Q

Where can you fit larger RFID devices

A

Into plastic enclosures some of which have external batteries

90
Q

What else has been adapted to include an RFID tag?

A

Tote box plastic seals - this would make the tote box traceable inside a warehouse or confirm the departure or arrival of the box at different locations

91
Q

Name 5 things RFID tags can be used for

A
  1. Track individual items
  2. Track boxes of products, cages of products and pallets
  3. Track containers with multiple loads
  4. Locate equipment within a building
  5. Trigger alarms should equipment or stock be removed without authorisation
92
Q

What can be done with RFID tags to reduce the volume of messages being transmitted and received, reducing tagging costs?

A

Use one RFID in a single product in a consignment rather than tracking all items

93
Q

What kind of RFID readers do organisations with large volume movements use?

A

A gateway - an arch equipped with the reading equipment often positioned across doorways or at the entry/exit of storage areas

94
Q

Are there multiple standards in use for RFID?

A

Yes - some of these are standardised for industries but there are also national standards in operation