2D or not 2D
Does the entire supply chain need this two dimensional symbol or will it lead to information overload? Ed Bedington reports
The word in the aisles is, the barcode is dead, gunned down by the new kid on the block, the 2D symbol. Depending on who you listen to, the traditional linear barcode is either currently in intensive care, not expected to pull through or in full health.
But are rumours of its demise greatly exaggerated? Or is it the expected impact of two dimensional coding that's being exaggerated?
South African company IDCorp claims to have created the only effective software on the market to safely encrypt and read 2D symbols, and believes the barcode is on its way out. At the moment each barcode works as a licence plate, containing an EAN/UCC number which can be transmitted to a database, containing information such as product price and stock levels.
But according to companies like IDCorp, there is a need for considerably more data to be carried on products something current codes would struggle to accommodate. Vice chairman Herman Haasbroek says his company has the ability to encode 7,000 characters into one 2D symbol, enabling a wealth of information to be placed in a very small space.
"We can give each individual product a unique identification number, as well as include all kinds of other information, from ingredients through to best before dates."
He says the combination of unique identification numbers and other information could pay big dividends to manufacturers, for instance with product recalls.
"With the use of information stored in 2D symbols they would be able to trace the faults back to individual products or batches, rather than recall a whole range."
From a retailer's point of view, Haasbroek says the inclusion of best before dates in the codes means any out of date products would be spotted and stopped at point of sale.
"We have had retailers interested because that means they can then state that anything bought in store is never anything less than fresh."
Haasbroek says the potential is enormous, from managing stock inventory down to an individual level, to greater visibility in the supply chain.
"Manufacturers can include as much information as they want. On things like meat you could potentially be able to trace the steak you are buying right back to the cow it came from, even including a picture!"
He adds that the codes are also effective in battling theft and counterfeiting, with companies able to use the codes to establish ownership of individual products.
This, he says, can be accomplished by using the companies' encryption software, allowing them to place sensitive information inside a symbol that should be read only by the correct audience.
But Andrew Osborne, director of research and policy at E Centre UK, the former Article Numbering Association, dismisses 2D symbols, arguing that there is plenty of life left in linear barcodes.
"I don't believe symbols will replace linear codes, I believe they will grow in use and become supplementary, and there may be a need for them in niche areas. The most important thing is that the standard data will need to be compatible."
Paul O'Donnell of data capture solutions provider Peak Technologies agrees that 2D symbols will not replace linear barcodes. He says the main use of the symbols will be in areas of supply, where more data is needed. "In areas where you need more information, like where the product was produced and where it has come from, the 2D symbol will be more prevalent. I don't think it will replace the 1D code, although it could be useful for high value items. It's more useful in supporting the business operations."
Osborne adds that many of the suggested 2D functions could also be carried out by linear barcodes. "It is possible to put a unique identification number on a product using existing barcodes. But it doesn't happen because the cost benefits don't stack up."
But Haasbroek points out that generating a unique number would require the size of the barcode to be increased. "When you consider adding in more and more information the code would become larger and larger. However with 2D symbology all kinds of information, expiry date, recipes, ingredients, source, can all be carried in a symbol less than the size of the existing barcode."
Haasbroek remains convinced the existing barcode has had its day: "Over time, 1D will be phased out. When barcodes came in it was a gradual adoption by retail and we expect 2D to follow the same path."
He says there are a lot of both retailers and manufacturers looking for the benefits of having more information on packages, and believes this will push the new system through. He is confident mass use of 2D symbols is just around the corner: "We anticipate a five year transition phase, but we should start to see the symbols appearing on products in the next few months."
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