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GS1 DataBar 2010 Program BarCodes & Identification Business Unit August 2007
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Introduce GS1 DataBar™ [formerly called Reduced Space Symbology (RSS)]
Presentation Agenda Introduce GS1 DataBar™ [formerly called Reduced Space Symbology (RSS)] GS1 Decision on GS1 DataBar GS1 DataBar comparisons to EAN/UPC and EPC Business Case for GS1 Adoption GS1 DataBar 2010 Program Last Oct the GS1 Board commissioned a Task Force to summarize the Business Case for RSS Adoption as an open standard for trade item identification. The TF created a 40 page report based on the outline you provided and is made its recommendation in May 2006. In this presentation, we will cover who supported the TF, introduce RSS, review the case for adoption, review retail readiness to adopt, explore where data beyond the current data will be used, and how and when to make RSS an open standard.
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Introducing the GS1 DataBar Family
POS Symbols GS1 DataBar Truncated Limited Stacked GS1 DataBar Omnidirectional GS1 DataBar Stacked Omnidirectional RSS is like EAN/UPC in that it contains more than one type of symbol, but is different because it has three types that cannot be scanned at POS. RSS-14 and RSS-14 Stacked Omnidirectional can be scanned by high-volume Point-of-Sale scanners and can carry GTIN. RSS Expanded and RSS Expanded Stacked Omnidirectional can be scanned by high-volume Point-of-Sale scanners and can carry GTIN plus additional attributes like Serial Number or Expiry Date. RSS-14 Truncated, RSS Limited, and RSS Stacked are very small symbols that carry GTIN but in a very small space. They are not designed for high-volume Point-of-Sale scanning and RSS Limited can only carry GTIN Indicator digit 0 or 1. GS1 DataBar Expanded GS1 DataBar Expanded Stacked
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Make GS1 DataBar a Global, Open Standard
GS1 Board and General Assembly agreed: “The GS1 DataBar and *GS1 Application Identifiers shall be available in all trade item scanning systems beginning Jan 1, 2010.” The TF Business Case Report goes into more detail about the proposal such as placing restrictions and providing adoption plans, but this slide summarizes the proposal the TF recommendation. With the Board’s endorsement, the action plans in the Business Case document can proceed and a clear decision of GS1 can be communicated to the market. The proposal states that we expect scanners of GS1 trade items to be capable of scanning a new bar code called RSS and to process the data that GS1 defines (called Application Identifiers) for use in bar codes. * GS1 Application Identifiers are the collection of around 100 data elements defined for use by GS1 for use inside bar codes and EPC tags
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Task Force Companies and GS1 DataBar Application Areas
Small Products 2010 Fresh Foods Variable Measure Retailers: Dorothy Lane Market, Carrefour, Metro, Loblaws, Target, Wal-Mart, and Woolworths CPG Manufacturers: Kraft, Nestle, P&G, RB, and Tyson Kraft & Tyson Kraft & Tyson for mpXML, NCA, & NPB Healthcare Manufacturers: B.Braun, Baxter, J&J, Metronics, and Pfizer NA While RSS was identified for use in other areas, the primary areas of focus for the development of global application standards were: Small or hard to mark products Fresh foods Variable measure product categories (product identification). It was also viewed as a traceability and product authentication solution for specific product categories like pharmaceutical, alcohol, food, tobacco, etc. Traceability/Authentication at POS and for Global Patient Safety To be Determined by Product Type (e.g., alcoholic beverages, tobacco)
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Who Supported the GS1 DataBar Task Force?
Retailer CPG MFG Healthcare MFG GS1 Trade Assoc Aeon Company GS1 Japan Nestle B.Braun GS1 US P&G Baxter J&J Pfizer Dorothy Lane Market Kao Corporation Reckitt-Benckiser FMI Kraft Target GS1 Brazil Loblaws Tyson Foods GS1 France (Carrefour representative) Metronics Wal-Mart GS1 Germany (Metro representative) National Cattlemen’s Beef Association Woolworths GS1 Global Office National Pork Board VICS The TF had a balance of retailer, manufacturer, and Member Organization representation. There were six retailers directly involved and two asked MOs to represent them. Five CPG Manufacturers served as active members on all calls. Five healthcare manufacturers from the GS1 Healthcare User Group Leadership were consulted once a proposal had reached maturity within the Task Force. Because of the impact of RSS on fresh foods, Tyson Foods joined the Task Force as the representative for mpXML members. Beyond support from mpXML, FMI, VICS, and two Trade Associations representing the meat and poultry also participated.
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How does GS1 DataBar compare to EAN/UPC?
Our first generation bar code (EAN/UPC)… Retailers: “EAN/UPC only carries GTIN” GS1 DataBar, the next-generation bar code, carries over 100 different bar code data elements like serial or lot numbers, expiration dates, & measurements EAN/UPC has been used across all trade item scanning environments (open standard) for 35 years and is very successful but it can only carry identification for trade items to the stock keeping unit level. RSS, the next generation trade item bar code, can carry the 100+ GS1 data elements called Application Identifiers used in bar codes or RFID. The Application Identifiers include attributes like Serial Numbers, Lot Numbers, Expiration Dates, Weight and Measurement Attributes, Date Codes, and more.
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EAN/UPC and GS1 DataBar Point-of-Sale Symbols: Data - Size Comparisons
Same Data, Less Space Manufacturers: “It’s too large for many packages” GS1 DataBar Omnidirectional GS1 DataBar Stacked Omnidirectional GTIN GTIN/Price/Weight EAN-13 Symbol Area More Data, Same Space GS1 DataBar Expanded EAN/UPC is too large to fit on many product packages especially with the demands for other consumer communications. RSS can carry GTIN in less than half the space of EAN/UPC and can replace poor performing EAN/UPC symbols whose height are below specifications (truncated). In slightly less space than EAN/UPC carrying a GTIN, RSS can carry a GTIN + Serial #. In less than half the space or EAN/UPC, RSS can carry GTIN and it can be printed tall and skinny or short and wide. GS1 DataBar Expanded Stacked GTIN + Serial # GS1 DataBar Expanded GS1 DataBar Expanded Stacked
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How does GS1 DataBar compare to EPC?
Standards Exist Yes – Mature Yes - Evolving Support for full GTIN Yes Support for serialization Cost Relatively Low Still High Line of Sight Required No Maturity of Technology High Low Rewriteable Availability of Technology Low - Growing GS1 DataBar RFID Many have asked, “With EPC coming in the future, why adopt RSS now?” This slide provides the top level comparison of performance and readiness. Before covering this slide, it is important to note that there was a unanimous consensus among the Task Force that bar code and RFID, as technologies, would co-exist and compliment one another for as far into the future as anyone can predict. The key to RSS and EPC is that they are the only carriers that are capable of performance in high-volume Point-of-Sale applications (when scanners/readers are installed of course) and that can carry information beyond GTIN that is needed for the future. The comparisons above will change rapidly as EPC evolves but point to macro differences in The major difference in considering adoption timelines is that RSS is supported today in the majority of installed trade items scanners, where pervasive EPC reading of trade items is some number of years away. The consensus of the industry is GS1 members will need both because bar code and RFID technology will co-exist for many, many years to come.
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GS1 DataBar Adoption Business Case
Utilizing GS1 DataBar labels generates an annual operating savings at retail of over $2.32 million in produce and $2.33 million in meats for an average 100-store chain. GS1 DataBar accuracy generates an annual reduction in shrink dollars of over $7.3 million for an average 100-store chain. A 100-store chain that upgrades to GS1 DataBar will gain over $4.2 million in savings during the first year. Source: GS1 US Study Benefit Areas Enable category management and control of a number of products not able to support a standard bar code due to size of packaging. Better control of inventories, shrinkage, and product recalls. Better control over products exceeding their expiry dates Enable scanning of fresh food products (i.e. produce) reducing key punch errors, allowing for self check out options, and supplier identification. This slide repeats the GS1 US 2001 findings related to RSS. Major cost reduction were due to shrink reduction and data accuracy improvements. Shrink reduction was decreased by almost 2% on produce and 1% on meat. This complete study is available as well as a 2005 study by the Joint Industry Coupon Committee. Finally a BarCodes & Identification Technology Group (formerly Global Symbology Committee) study, conducted to support the Task Force, found RSS performance equals or exceeds EAN/UPC in every instance.
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Business Case Application Considerations
Meat, produce, deli, bakery Shrink management, category management More data, small symbols Global identification migration Retail pharmacy Dual inventory reduction Consumer products Small or hard to mark products Replace low performing, truncated symbols Increase consumer communication Coupon Issue (USA) Other (books, periodicals) The RSS Business Case document details adoption rationale across a broad range of product categories. An Executive Summary is also available. For more information, visit:
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Business Case Macro Considerations
Implementation Divergence Avoided Retail Point-of-Sale Systems (all categories) Manufacturer dual inventories for different markets Category management (fresh food) Timing Compromise Needed Now: Early adopters need scanner performance return Later: Late adopters need scanner life cycle return Compromise: 2010 Scanner versus Back Office Systems Application standards changes (new data, new key) will be justified through individual business case and standards WGs (Global-Fresh Foods, US-Coupons) GTIN-8, GTIN-12, & GTIN-13 supported at this stage Beyond shrink and category management tools and the associated Business Case, there were macro considerations for RSS adoption, that began with the question, “What happens if the retail industry does not move forward together?” This slide summarizes the three primary considerations. The first underscores the fundamental benefit of GS1 standards. 35 years ago, GS1 was formed by a group of retailers and manufacturers who decided it was in their collective interest to standardize on one automatic identification solution. Before this visionary decision, the lack of standards produced greater inventory levels, greater waste, and less information. RSS is a fundamental automatic identification tool and without an industry consensus about whether to and how to deploy it, these fundamental benefits would begin to erode. In addition, advances in information management would become regionalized and the 40+ systems for fresh foods would be cemented for the next 35 years. The second shows the different dilemmas for those who have been specifying RSS capable scanners in their purchasing cycles for many years (they need a return on their investment) and those who have not (they need to protect their current investment). The early adopters wanted to see 2008, later adopters wanted to see 2010 to In the end after studying scanner readiness and considering the result of early adopters not waiting for a global adoption date, GS1 decided 2010 was the correct balance. The third key compromise of the adoption decision was to separate the timeline for scanner readiness adoption from standards changes that would require applications (back-end systems) changes. To be clear, the RSS 2010 means all trade item scanners will be capable of reading all RSS symbols and presenting GS1 Application Identifiers according to GS1 definitions/rules to applications. This does not mean GS1 has decided to begin using the additional data carrier capacity of RSS yet. It will establish standards WGs to look into the best solutions, document the business case, then recommend adoption dates. For example, in the RSS 2010 Program, GS1 is sponsoring a Fresh Foods Identification WG that will be looking to create a global standard for all to migrate to over time.
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GS1 DataBar Capable Scanner Projection
Most scanners shipped for the last 4 years are GS1 DataBar capable 85% 60% Most scanners shipped in the last 7 years are upgradeable for GS1 DataBar Between the GSC and GS1 Japan, we polled in excess of 95% of the scanner market OEMs to produce these findings. 85% was considered by the Task Force as an appropriate “Tipping Point” as early adopters will have been waiting for several years by 2010. GS1 Europe’s recommendation and GS1 Japan’s scanner readiness studies helped the Task Force understand the difference in early and late adopter readiness. Because of this, the original dates for RSS adoption were pushed back by two years. GS1 Japan feels GS1 Member Organizations should monitor implementation in retail systems conversions each year to ensure manufacturers have a good assessment of market conditions. GS1 Japan also recommends a clear signal be sent to the marketplace by the Board so that retailers know the direction and will not continue purchasing systems that are not capable of scanning RSS or processing Application Identifiers. 2006 2010 Source: GS1 Global Symbology Committee & GS1 Japan Surveys. Estimates +/-5%
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When Will Retailers Be Ready?
Retailer Readiness GS1 DataBar Capable Scanners 2007 (%) GS1 DataBar Capable Scanners 2010 (%) Aeon 0% Ahold US 95% 100% Carrefour 80% 98% Daiei 1-2% DLM Foodstuffs TBD Karstadt Loblaws Metro Seiyu Target 88% Uny 67% Wal-Mart Wegmans Woolworths 75% Again this slide depicts the Tipping Point. Today, while early adopters are significant, in 2010 we begin to pervasive implementation readiness.
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GS1 to support five development areas
Next Steps GS1 to support five development areas Marketing, education, and communication Fresh Foods Identification Work Group GS1 MO, Retailer, & Manufacturer implementation Measure scanner readiness for Top 100 retailers Serialized bar code printing research RSS represents a new bar code that will touch the lives of consumers. We must focus adequate marketing and education resources on ensuring a successful roll-out. This was a critical factor for the retailers and MOs on the Task Force. With pilot activities already in progress regionally, the need to organize for global results is paramount. The objective for global standards development would be to ensure retailers systems consolidation to reduce costs and elimination of multiple inventory carrying costs for manufacturers. To support evolving applications, the GS1 set of 100+ Application Identifiers used in bar codes need to be versioned inside scanning systems. The TF supports a GS1 feasibility study to determine how GS1 Standards and retailer systems can be kept in synch at the least possible cost and effort. Over the next 3 ½ years we will work with MOS and industry groups to establish Top 100 retailer readiness. This will show us how successful our efforts are and where to concentrate more focus. Finally, the group to study variable bar code printing must be supported.
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GS1 DataBar 2010 Program Overview by Project September 2006 Updated February 2007 for new name
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GS1 DataBar Program 2010 The Big Picture
GS1 Board Decision Announced Jan 2007 2010 2009 2008 2006 Planning & Development We begin with… We Are Here! 39 months until 2010 Deployment & Measurement We proceed with… RSS represents a new bar code that will touch the lives of consumers. It is critical that GS1 and industry leaders manage the rollout of RSS professionally and consistently. The decision was announced in June During July and August, the RSS 2010 Program was designed, reviewed, and approved. In the later months of 2006 and early months of 2007, GS1 will work with industry to develop the deployment and measurement tools under the RSS 2010 Program. The slides that follow detail initial communication and the RSS 2010 Program.
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GS1 DataBar Homepage http://www.gs1.org/databar
The RSS Web site contains many of the communications expected early in a Program like: RSS Press Release Frequently Asked Questions Basic information on RSS and GS1 Application Identifiers
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GS1 DataBar Starter Kits
The RSS 2010 Getting Started site provides the next level of detail by providing: RSS Business Case document Executive Summary Current RSS 2010 presentation Related business case documents
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GS1 DataBar Buyers Guides
The RSS 2010 Getting Started site provides the next level of detail by providing: RSS Business Case document Executive Summary Current RSS 2010 presentation Related business case documents
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GS1 DataBar Program 2010 Roadmap
Project Now to Forum 2007 Forum 2007 to GA 2007 GA 2007 to Forum 2008 Forum 2008 to GA 2008 Renaming Starter Kits Fresh Foods ID WG Buyer’s Guide Scorecard GS1 Inside Serialized Printing WG Global Forum occurs in Feb each year General Assembly (GA) occurs in May each year The GS1 BarCodes & Identification Business focuses on two major communication dates each year. The RSS 2010 Program Slides will detail deliverables for these events for each of the seven RSS 2010 Projects.
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GS1 DataBar Program 2010 Roadmap
Join This Team Project Now to Forum 2007 Forum 2007 to GA 2007 GA 2007 to Forum 2008 Forum 2008 to GA 2008 Renaming Recommend then approve Starter Kits CEO, MO, & Retailer Kits Manufacturer Kits Implementation & Tools (TBD) Fresh Foods ID WG Organize & build case Board reviews the case Application Standards Implementation Tools Buyer’s Guide Scanners & Printers Design Software Scorecard Retailer Test Kit Ready Top 100 Retailer 70% Top 100 Retailer 80% GS1 Inside Project Approval TBD Serialized Printing WG Organize WG Conduct Research Complete Work To join this GS1 DataBar 2010 Project, send a mail to: or GS1 DataBar Program Manager: Greg Rowe – Problem Statement GS1 DataBar Implementation Steps are different for different groups For each group, we need sound advice step-by-step We want advice to be consistent across GS1 MOs and retailers Objectives Address audience specific impact of GS1 DataBar 2010 Industry Executives & GS1 MO Retailers Manufacturers Harmonize MO and retailer approaches to adoption Build momentum for adoption Problem Statement RSS, Reduced Space Symbology, is a development name for a symbol destined to become a household word. RSS is a term for Web document transfer There is no deliberate GS1 relationship in the name The current name tells ½ the story. Objectives Make name a household word like EAN or UPC Ensure availability of term for GS1 use Help users reach GS1 by building GS1 name recognition Ensure name is not associated with one benefit of the symbol (small size) while ignoring the other (more data)
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GS1 DataBar Program 2010 Roadmap
Project Now to Forum 2007 Forum 2007 to GA 2007 GA 2007 to Forum 2008 Forum 2008 to GA 2008 Renaming Recommend then approve Starter Kits CEO, MO, & Retailer Kits Manufacturer Kits Implementation & Tools (TBD) Fresh Foods ID WG Organize & build case Board reviews the case Application Standards Implementation Tools Buyer’s Guide Scanners & Printers Design Software Scorecard Retailer Test Kit Ready Top 100 Retailer 70% Top 100 Retailer 80% GS1 Inside Project Approval TBD Serialized Printing WG Organize WG Conduct Research Complete Work Join This Team To join this GS1 DataBar 2010 Project, send a mail to: or GS1 DataBar Program Manager: Greg Rowe, Objective: We see a world where fresh food product ID: Provides shrink reduction & category management tools used in the “center store” Allows manufacturers to mark once, ship to all Allows grocers to have compatible systems across borders Allows backward compatibility with PLU for seamless migration Scope Unite regional/national product identification initiatives Present the Board with the business case for global adoption Approve standards and roadmap for deployment
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GS1 DataBar Program 2010 Roadmap
Project Now to Forum 2007 Forum 2007 to GA 2007 GA 2007 to Forum 2008 Forum 2008 to GA 2008 Renaming Recommend then approve Starter Kits CEO, MO, & Retailer Kits Manufacturer Kits Implementation & Tools (TBD) Fresh Foods ID WG Organize & build case Board reviews the case Application Standards Implementation Tools Buyer’s Guide Scanners & Printers Design Software Scorecard Retailer Test Kit Ready Top 100 Retailer 70% Top 100 Retailer 80% GS1 Inside Project Approval TBD Serialized Printing WG Organize WG Conduct Research Complete Work Join This Team To join this GS1 DataBar 2010 Project, send a mail to: or GS1 DataBar Program Manager: Greg Rowe, Problem Statement Users do not know what software and hardware works GS1 MOs do not know what to recommend Vendors do not want delayed purchasing decisions Objectives Determine approach to showing what works Publicize the results and speed adoption
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GS1 DataBar Program 2010 Roadmap
Project Now to Forum 2007 Forum 2007 to GA 2007 GA 2007 to Forum 2008 Forum 2008 to GA 2008 Renaming Recommend then approve Starter Kits CEO, MO, & Retailer Kits Manufacturer Kits Implementation & Tools (TBD) Fresh Foods ID WG Organize & build case Board reviews the case Application Standards Implementation Tools Buyer’s Guide Scanners & Printers Design Software Scorecard Retailer Test Kit Ready Top 100 Retailer 70% Top 100 Retailer 80% GS1 Inside Project Approval TBD Serialized Printing WG Organize WG Conduct Research Complete Work Problem Statement GS1 and its users now have a clear direction from the Board Need a way to measure industry readiness Many retailers have GS1 DataBar-ready scanners but do not know it GS1 has no tools to show them how to determine readiness Objectives Assess retailer scanner system readiness 70% of Top 100 retailers scanners ready (May 2007) 80% (May 2008) 90% (May 2010) Join This Team To join this GS1 DataBar 2010 Project, send a mail to: or GS1 DataBar Program Manager: Greg Rowe,
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GS1 DataBar Program 2010 Roadmap
Project Now to Forum 2007 Forum 2007 to GA 2007 GA 2007 to Forum 2008 Forum 2008 to GA 2008 Renaming Recommend then approve Starter Kits CEO, MO, & Retailer Kits Manufacturer Kits Implementation & Tools (TBD) Fresh Foods ID WG Organize & build case Board reviews the case Application Standards Implementation Tools Buyer’s Guide Scanners & Printers Design Software Scorecard Retailer Test Kit Ready Top 100 Retailer 70% Top 100 Retailer 80% GS1 Inside Project Approval TBD Serialized Printing WG Organize WG Conduct Research Complete Work Problem Statement Application Identifiers not implemented broadly yet Need mechanism to ensure scanners/readers Process AIs according to GS1 rules Change when the standards change Objectives Test the plausibility of developing reference software for scanning and reading systems to make them compliant and keep them that way
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GS1 DataBar Program 2010 Roadmap
Project Now to Forum 2007 Forum 2007 to GA 2007 GA 2007 to Forum 2008 Forum 2008 to GA 2008 Renaming Recommend then approve Starter Kits CEO, MO, & Retailer Kits Manufacturer Kits Implementation & Tools (TBD) Fresh Foods ID WG Organize & build case Board reviews the case Application Standards Implementation Tools Buyer’s Guide Scanners & Printers Design Software Scorecard Retailer Test Kit Ready Top 100 Retailer 70% Top 100 Retailer 80% GS1 Inside Project Approval TBD Serialized Printing WG Organize WG Conduct Research Complete Work Problem Statement Worst case scenario for bar code printing Potential cost increase for marking Need improved solution provider links Objectives Develop a list of industry stakeholders Understand the technology Understand the pros and cons Join This Team To join this GS1 DataBar 2010 Project, send a mail to: or GS1 DataBar Program Manager:
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GS1 Member Organization and Retailer Summary
Now - Jan 2008: Appoint a Project Lead Engage each other Share information with leadership Support GS1 DataBar Starter Kit (early adopters) Integrate GS1 DataBar 2010 into HW/SW buying criteria January Dec 2007: Assess and report scanner readiness Develop retailer specific GS1 DataBar 2010 project This slide provides a high level and near term engagement model for GS1 MOs and retailers. Because the first phase ( ) RSS 2010 Marketing Strategy is focused on direct MO to retail contact, the slide highlights the need for organization and information sharing in the initial months and project planning early in the 2007 Business Cycle. Finally, the industry needs to engage our solution provider community about their products to ensure the scanners, printer/scales, printers, bar code verifiers, and bar code design software packages can support RSS 2010.
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Manufacturer Summary Now - December 2007: Now - 2009
Engage Serialized Bar Code Printing WG Engage Fresh Foods ID WG (Fresh Food suppliers) Integrate GS1 DataBar 2010 into HW/SW buying criteria Now Assess product packaging where panel space for consumer communications is an issue Identify all products where EAN/UPC symbols have been printed below specifications Assess, by market, when design changes are planned and make decisions about using GS1 DataBar For manufacturers the impact of RSS differs from retailers and is specific to manufacturer type. For a consumer product where EAN/UPC works well and panel space for consumer communication is not an issue, EAN/UPC will continue to work well, but if these are issues then assessments must be completed and design plans made. For fresh food manufacturers, they should engage their GS1 MO to follow the progress or directly participate in the progress of the Fresh Foods ID WG at a global level. Finally, the industry needs to engage our solution provider community about their products to ensure the scanners, printer/scales, printers, bar code verifiers, and bar code design software packages can support RSS 2010.
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Contact Details Greg Rowe GS1 DataBar Program Manager
GS1 BarCodes & Identification P +1 (609) (US) F (BE) E Address Avenue Louise, 326 BE 1050 Brussels, Belgium GS1 BarCode Helpdesk E W
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