Everything you always wanted to know about Bar Coding…

Speaker: Robert Waugh National Sales Manager, Maximum Data Solutions

Automatic Identification and Data Collection (AIDC)

“Is the generic term for a number of technologies that help eliminate human error and reduce time and labor costs by replacing manual methods of data entry and collection.”

Some examples of this would be:

•Smart Cards

•Magnetic Stripe

•BAR CODING

•Radio Frequency Identification (RFID)

Why Bar Coding?

Bar Coding is a fast, easy, and accurate way to collect data.

They allow real-time data capture and exchange with:

1 error per every 1,000,000 characters with bar coding VS

1 error per every 300 character with manual key entry

How does Bar Coding work?

Bar codes encode data such as part numbers, serial numbers, lot numbers or other

information into the form of black and white stripes or vertical bars.

A bar code scanner reads the white spaces between the “vertical black bars” in order to decode

the data in the bar code label.

Types of Bar Codes

Bar codes are either linear (1D) or two-dimensional (2D)

A number of bar code standards have been developed and refined into accepted languages referred to as “symbologies”.

Some common symbologies are:•Code 39 (one of the most common standard distribution bar code symbology)•Code 128 (a compact format favored by distribution industries)•UPC•Interleaved 2 of 5 (popular in shipping industry)•PDF 417 (2D symbology. Holds large amounts of information)

2D bar code

1D bar code

What hardware do I need?

Types of Devices• Corded Wedge Scanners ($100-$1,500)• Wireless Wedge Scanner ($1,000-$1,500)• Batch Handheld Terminal ($1,000-$3,000)• RF Handheld Terminal ($1,500-$3,500)• Vehicle Mount Terminal ($3,000-$6,000)

• Symbol• Intermec • Psion Teklogix

Brands

General Hardware Recommendations

•Rugged RF Hand-held (5+ Foot to Concrete Drop)

•Integrated laser scanner (Standard, Long Range, ADV. Long Range)•802.11B or G Radio•The correct keypad layout\•Terminal Emulation or sufficient memory•Extras

(Total Recall)

Cost $2000-$3,500

What Software???

FUNCTIONALITY COST

Basic bar code label printing ($100-$1,000)Basic ADC with bar coding (5-15K)Advanced ADC or Light (WMS) (20-50K)Tier 3 WMS (50-75K)Tier 2 WMS (75-125K)Tier 1 WMS (200+)

How Long Does It Take To Implement???

FUNCTIONALITY Time Factor*

Basic bar code label printing (0-1 Days)Basic ADC with bar coding (1-5 Days)Advanced ADC or Light (WMS) (5-10 Days)Tier 3 WMS (15-20 Days)Tier 2 WMS (30-60 Days)Tier 1 WMS (90Days)

*Time varies significantly due to many factors such as complexity of software, resource allocation, and style of integration to ERP

What Resources Will I Need?

•Warehouse Manager•IT Manager•Operations Manager•ERP Expert•Champion

Is It Worth It?

The Gartner Group States

“Companies that implement Real-Time bar coding and data collection applications into the first phase of their ERP solution will experience a 50% greater return on investment than they would have otherwise.”

In studies Microsoft Business Solutions has found that the average return on investment for their ERP packages has been 2-3 years. Those customers that used Maximum Data’s real-time barcode and data collection solution in conjunction with Dynamics GP had an average return on investment of 12 months or less for the entire package.

Ask our customers if it is worth it!

Super D

• Increase in revenues: 200%• Reduction in warehouse labor costs: 35%• Increase in number of titles in stock: from 35,000 to 145,000• Reduction in cost of physical inventories: more than 50%• Increase in “same-day fill” rate: from 65% to 91%• Increased order accuracy rate: from approximately 93% to 99.7%

Ask our customers if it is worth it!

Emergency Medical Products

• Increased order-processing volume: from 300 per day to 1200 per day• Improved order accuracy rate: from 94% to 99.67%• Growth in product range: from 8,000 SKUs to 20,000 SKUs• Growth in customer base: from 45,000 customers to 100,000 customers• Cycle counts: from 0 to 8 times per year• Reduced time for physical inventory: from up to 3 days to 8 hours

Our Average Solution

•4-6 Handhelds•1-2 Label Printers•40,000 – 80,000 SQFT Warehouse•Implementation in 5-10 days onsite (2 Trips)•Duration of project 2 months (specifications, Installation, Pilot/Testing)

Real-time automation of Receiving, Picking, Physical Inventory, Transfer and adjustments and Label Printing Tasks

Average Total Project Cost 40-60K

Receiving: Manual Environment

1. Receiver visually inspects boxes and compares against the PO or Packing Slip.

2. Marks up the PO with QTY and Serial/Lot numbers

3. Turns paperwork into Admin. Staff or enters the data into the system himself.

Receiving: Automated Process

1. Warehouse staff scan each box at the receiving dock

– Each item and Qty are verified Real-Time (checks for over-receipts under-receipts or Back Ordered Items)

– Updates ERP Real-Time with all items received including all Serials/Lots• Can use MFG, Vendor, or UPC Barcodes• If no barcodes we’ll create them

Thank You

Thank you from your sponsor:

Altico Advisors

www.AlticoAdvisors.comFor more information or to schedule a

one-on-one product demonstration via the Web, please contact Marcia at Altico:

508-485-5588 x107

mdoron@AlticoAdvisors.com