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Getting started with bar code … LITE (an introductory primer on bar coding)
by Rick Bushnell, President of Quad II

Introduction

Many companies just beginning to explore bar code don't know where to begin. For just that reason, Getting Started with Bar Code …LITE was created.

Getting Started … Lite is a condensed version of the book, Getting Started with Bar Code and is intended as a nuts and bolts introduction to the world of bar coding. The complete Getting Started With Bar Code contains dozens of helpful tables, checklists, illustrations and photos in its 200+ pages, and it is recommended reading for bar code project team members. But, for now, we’ll stick to LITE reading.

This LITE version is divided into the following sections:

  1. What is a Bar Code?
  2. Benefits of Bar Code
  3. Bar Code Applications
  4. Different Types of Bar Code
  5. Compatibility with Existing Systems
  6. Components of a Bar Code System
  7. Bar Code Standards
  8. Getting Bar Codes On Your Products
  9. Printing Bar Codes
  10. Initial Implementation Action Steps

What is a Bar Code?

A bar code is a way of encoding numbers and letters in a sequence of varying width bars and spaces so the information can be read quickly and accurately by a computer.

Any part number or any type of information can be encoded and printed in a bar code. Purchase order numbers, lot numbers, any information can be encoded in a bar code.

Scanning a bar code initiates the same actions as keying the number below the bar code into a computer.

This is important. Whether the data is entered with a keyboard or bar coded, the data is the same.

Bar codes work like Morse Code. Instead of using a series of dots and dashes to encode information, wide and narrow bars and spaces are used. The bar code scanner decodes the bars and spaces the same way that a Morse Code operator decodes the dots and dashes.

Bar code symbols can be read quickly and accurately by a piece of equipment called a bar code scanner / decoder. The scanner / decoder sends the part number (or other information) to a computer where it is used just as if it had been entered by a keyboard.

Benefits of Bar Code

Companies use bar code because scanning is easier and more accurate than key entering data with a keyboard.

Keyboard data entry creates a lot of problems. Inaccuracies and delays in updating the computer contribute to lower inventory turns, missed delivery dates, lower sales, lower productivity and a host of other important problems.

Bar code can be used for much more than inventory accuracy but to illustrate why it is being used so often today, take out a sheet of paper and make a list of the "Benefits of Inaccurate Inventories."

You won't need much paper! Conversely, make a list of the adverse consequences of an inaccurate inventory. Like a pebble tossed into a pond, the negative affects ripple throughout your entire business.

More accurate and more timely information is needed to improve inventory control but keyboards aren't the right tool. Bar code is the right tool because it is fast and accurate … about 15 times faster and 10,000 times more accurate than keyboard data entry.

Bar Code Applications

Bar Code is used almost everywhere data is manually entered into a computer.

Manufacturers, distributors, retailers, financial services, public utilities, phone companies, government agencies, health care providers, transportation companies and virtually every other type of industry is using bar code to replace keyboard data entry. Consider the following partial list of applications:

Counting raw materials and finished goods inventory.
Automatic sortation of cartons and luggage on conveyor belts and palletizers.
Lot tracking.
Fixed asset tracking.
Production reporting.
Time and attendance and labor reporting.
Automating warehouse operations including receiving, put away, picking and shipping.
Identifying production bottlenecks.
Document tracking.
Package tracking.
Access control.
Tool crib and spare parts issuance.
Controlled substance tracking.
Patient billing.
Retail POS (Point of Sale) price look up.

One of the most reassuring facts about bar code is that virtually every company that has installed a bar code system is looking for other places to use it.

Many people attend our seminars because their first system worked so well that their management sends them to find more applications.

Different types of bar code

As the use of bar code became more common, different types of bar code were invented.

The original bar codes were shaped like a bullseye so they could be read from any angle. Later, bar codes went "straight" but the early forms of bar code were not capable of encoding letters. To meet the needs of companies that wanted to encode alphanumeric data, new bar codes were invented that were capable of encoding letters and numbers and punctuation marks.

Different types of bar codes are called "symbologies." If you've done any investigating on bar code, you may have heard some of the different names for bar code symbologies such as:

U.P.C.
Code 128
Code 39
Interleaved 2 of 5

These different symbologies are differentiated by their character sets (numeric only versus alphanumeric), by their print density (how many characters they can encode per lineal inch), by how easy they are to print using low resolution printers and by several other attributes.

Modern bar code scanner / decoders can read all of these symbologies automatically and most bar code printing packages can print all of these symbologies and many more.

Compatibility with Existing Systems

Your computer and computer software are already capable of reading bar code.

The host computer does not need to be modified (hardware or software) to be able to read bar codes. This is handled by the bar code scanner / decoder. By the time the data gets to the computer, it has already been decoded and the computer didn't even know it was bar coded in the first place.

However, your existing software may not be able to print bar codes without modifications. If your present system cannot print bar codes you have several choices:

Upgrade your system to a version that can print shipping labels, pick tickets, work orders, employee badges, etc. with a bar code on them.
Purchase a stand alone system consisting of a PC, printing software and a bar code printer. This stand alone system will accept data transmitted to it from the host system or allow you to key enter the data.
Buy pre-printed labels from a service bureau.

Components of a Bar Code System

The components of a bar code system can be broken into two groups … (1) Basic Components and, (2) Optional Components.

 

Basic Components

Optional Components

Bar Code Symbol
Dedicated Bar Code Printers
Scanner
Printer Applicators
Decoder
Bar Code Verifiers

 

On line data collection terminals

 

Portable, battery operated data collection terminals

 

Radio Linked data collection terminals

Note: Optional Components are not needed for every application but most applications will use one or more of these components.

A brief explanation of each of these components follows.

The symbol is the bar code. A bar code symbol is a set of bars and spaces encoding information such as the part number, location code, employee identification number, quantity, purchase order number, etc. Pre-printed bar code symbols can be purchased from a service bureau or bar code symbols can be printed in house using virtually any printer that is computer controlled.

The scanner is the "eyes" of the system. There are several different types of scanners including contact scanners and non-contact scanners. Scanning wands and badge readers require contact while CCD’s (Charged Coupled Device) and lasers do not.

All scanners perform the function of "seeing" the bar code and sending what it sees to the decoder.

Different types of scanners can be mixed in the same system to reduce overall cost and meet different scanning requirements. Depending on the size of the bar code, modern laser scanners have a range of 10 feet or more in special situations.

A decoder receives signals representing the wide and narrow bars and spaces from a scanner and converts them to the characters they represent. Then it sends the decoded message to a computer in a format that the computer understands.

Decoders can be stand alone units or integrated into the handle of a scanner or a portable, battery operated data collection terminal. Stand alone units are sometimes called "wedges" because they are installed (wedged) between the keyboard and the computer.

Keyboard wedges decode the bar code and send the decoded message to the keyboard input port on the computer. The application thinks it was key entered. This allows the user to add bar code to an existing application without modifying the application.

Dedicated Bar Code Printers are designed to produce bar code labels or documents with bar codes on them.

Thermal printers are extremely popular for printing labels in small and medium size batches because they produce very high quality symbols and the price has come down significantly.

Continuous form laser printers specially designed to print bar codes on labels and forms are also available at surprisingly affordable prices.

Printer Applicators are essentially robots that print and apply bar code labels automatically. These are commonly used on conveyor lines.

Bar code verifiers analyze a bar code to determine if the bar code has been printed properly. Since many large retailers are assessing penalties and charge backs to suppliers that provide "bad" bar codes, a verifier is a good investment.

On line data collection terminals are used in applications where interaction with the host computer is needed but portability is not needed. This type of product is commonly used for time and attendance, access control and Work in Process tracking.

Portable, battery operated data collection terminals operate like "electronic clipboards," storing data in memory until they are plugged into another computer. These devices are used wherever portability is needed but real time interaction with the host computer is not needed.

Federal Express drivers carry this type of device. They are programmable computers with displays and keyboards. Frequently weighing less than one pound, they have enough memory to store thousands of transactions before they need to "upload" their data to another computer.

In addition to package tracking, these devices are used to take inventory, track documents, check out tools or spare parts, count fixed assets, etc.

Radio linked data collection terminals are used in applications requiring portability AND real time interaction with the host computer.

Rental car agencies use them to speed check-in procedures. They can be battery operated and easily carried or vehicle mounted on fork lifts or other material handling equipment.

This type of terminal is commonly used in warehouses for order picking, receiving and a variety of other material handling transactions.

Bar Code Standards

Standards are the most confusing part of the bar code industry but they are necessary and very useful. Without them, different companies would be forced to develop their own standards and the resulting wide variety of standards would create more problems than they would solve. As it is, many different standards have already been developed by various industries.

One way to look at standards is to compare them to the standards that we use every day to measure length, volume, weight, etc. As we all know, there are at least two different standards, the US system of inches, feet, pounds, miles, etc. and the metric system of millimeters, meters, kilos, kilometers, etc. Without giving it much thought, independent trading partners agree to use one system or the other for all communications between them. When it comes to measurement, we all agree that standards are needed to prevent chaos.

However, when it comes to part numbering, most companies have developed their own system and they don't want to change. But change is on the way. The use of standard numbering systems, bar code and EDI (Electronic Data Interchange) is an inevitable consequence of increased competition and the proven competitive advantages obtained by companies that pioneer their use. Large companies and small are reducing their costs and improving their service by using standard numbering systems, bar code and EDI and their competitors will have to follow their lead or go out of business.

Standards usually define a method of identifying an individual product or a shipping container that will be scanned by an independent trading partner. The standard defines a way to identify the product, the contents of a shipping container and sometimes other pertinent information about the shipment such as lot number, purchase order number, ship to address, etc.

One example of a bar code standard is the U.P.C. (Universal Product Code). This internationally accepted standard defines a method of uniquely identifying (numbering) products and a standard bar code to encode that number.

The U.P.C. standard defines a different method of numbering and bar coding intermediate packs and shipping containers and another method to communicate that a bar code contains a purchase order number, expiration date or other information.

The familiar symbol below is the U.P.C. standard number and bar code for identifying individual items. It is normally not used on shipping containers.

The first six digits of the number shown above (6 3 7 1 8 7) are assigned to individual companies by the Uniform Code Council in Dayton, OH. The next five digits (9 8 0 1 3) are assigned by companies to their products. The last digit (1) is calculated using a formula based on the first 11 digits.

The U.P.C. standard is not the only standard but it is commonly used to mark general trade items. Suppliers of custom made items or items made to customer specifications that are not sold to the general public are frequently asked to follow a different specification.

The automobile industry is a good example. Many of the suppliers in the automobile industry supply custom made products that they don't sell to any other customers. The automobile industry uses a family of standards developed by the AIAG (Automotive Industry Action Group).

Other industries including health care and telecommunications have developed standards to meet the special requirements of their industry.

Generally speaking, all specifications define the following:

A method of marking a specific item. Different rules are defined to mark shipping containers and individual items.
The data that is needed. Some items are marked with a single bar code while shipping containers may be marked with multiple symbols containing different information.
The layout of the label defining what data goes where.
The numbering system that will be used. For example, industries following the U.P.C. standard identify companies using the 6 digits assigned to individual manufactures by the UCC. Industries following the AIAG standard identify companies using the DUNS number.
The symbology (or symbologies) that are acceptable. In the U.P.C. system, items are marked with the U.P.C. symbology but cartons are marked with either Interleaved 2 of 5 or UCC/EAN 128.
The size, placement and range of allowable dimensions of the bar code.

Using bar code standards does not mean abandoning your existing part numbering system. To avoid the problems this would cause, companies develop a cross reference of the old number to the new number in their computer.

If you are just getting started with bar code, do you need to worry about standards? That depends on how you are planning to use bar code.

If you want to scan a bar code placed on an item by your vendors or if you are being asked to bar code for your customers, bar code standards are definitely involved. You should get a copy of the standard (or standards) in your industry and study them until you understand them thoroughly.

However, if you are planning to use bar code internally and no one outside your company will be scanning the bar code, you can "do your own thing." For example, if you want to use bar code for time and attendance, you can make up your own employee number and use any bar code symbology you want.

Getting a Bar Code on Your Products

If you are being asked by your customer to apply a bar code to your finished goods, the customer will also tell you what part number they want you to use and what symbology or symbologies they want you to use. Many companies that purchase general trade items are accepting (or insisting on) the U.P.C. number because it is becoming an international standard for marking many different types of merchandise … not just retail.

If the customer is asking you to use the U.P.C. number, you should call the Uniform Code Council in Dayton, OH and apply for a manufacturer's ID number. (Their phone number is 937-435-3870.)

Printing Bar Codes

Bar Codes can be printed directly on product packaging, on corrugated boxes, on paper, metallic and synthetic labels, on metal cans and virtually any surface that can hold a graphic image.

Bar code labels and bar coded documents can be printed by virtually any printer that is computer controlled. If your company already owns a dot matrix impact printer or a desktop laser printer, you can start printing bar codes immediately by purchasing a bar code printing package.

Initial Implementation Action Steps

Assign a person inside your company as the company bar code coordinator. It takes time to learn bar code and your company will ultimately benefit the most if one person is the company bar code coordinator.
Get management interested and involved. Experience shows that successful company or industry-wide implementation of bar code is normally supported by a mandate from the top. There are many reasons for this but the evidence is very clear. Mandates drive the change from manual systems to bar code assisted systems.
Talk to people in your industry that are using bar code; get opinions and learn from their mistakes.
Get a copy of your industry specifications and study them until you understand them.
Find out how much of your incoming merchandise is already marked with a bar code and find out if the number encoded in the bar code is in your computer.
Pick an application to get started and structure the implementation so you can test it thoroughly.
Talk to your vendors about their plans and encourage them to adopt an industry standard.
Fund programs that will educate as many people in your company as you can afford. A fundamental understanding of bar code among a cross section of users, middle and senior managers will accelerate implementation. Ignorance leads to unrealistic expectations and unfounded fears … both delay implementation. Consider attending public seminars or sponsoring in-house programs.
Find out if your computer system can print bar codes or if the vendor plans to the capability.

To implement bar code, you are going to need some help. We don't sell hardware and software but through our seminars and telephone support we've helped thousands of companies implement bar code. As vendor-independent experts in the industry, we can guide you objectively and provide technical backup and support as you implement bar code.

The alternative to joining Insight is hours or days of time spent researching questions, locating vendors and generally not knowing what to do next. Instead of reinventing the wheel, why not let the experts at Insight show you the bar code ropes? For your convenience, a summary of our services is included at the end of this primer.

You have just completed the first step toward successful bar code system implementation. We know that the project may seem overwhelming at this stage, but don’t be discouraged. Many, many companies have been right where you are right now. If you do what they did – organize your project into manageable segments, involve senior management, assign your best people to the project – you too will reach your bar coding and subsequently your business goals.

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