Supply chain traceability is the buzzword of 2024. Every brand, despite online or offline presence, is highly preferred to get its supply chain secured. Why? Counterfeiting is reaching the $4 trillion mark globally and every industry is facing the heat. The global supply chain is in turmoil with increased incidents of tampering, pilferage and less visibility. Reminding why implementing a track and trace in the supply chain is becoming the need of the hour.
Enhancing Supply Chain Efficiency with Track and Trace Solutions
Track and trace refer to the ability to follow the journey of a product throughout the supply chain, from its point of origin to the end consumer. This involves the recording and sharing of data at each stage, allowing businesses to monitor products in real time. Advanced technologies such as Non-cloneable QR codes, RFID and Blockchain allow companies to achieve complete visibility, transparency and control over their supply chains.
An effective traceability system requires assigning a unique identifier to each product or batch, often through serialisation. Collecting data at various points in the supply chain, such as manufacturing, shipping and distribution. Ensuring that stakeholders across the supply chain can access relevant information. Using data insights to make informed decisions and improve supply chain processes.
Acviss outlines several ways in which track and trace solutions enhance supply chain efficiency:
- Mitigate Escalations: Monitor to attain real-time location and status of products, allowing businesses to track shipments and anticipate potential delays. This enables companies to be proactive in addressing issues before they escalate.
- Inventory Optimisation: With accurate tracking data, businesses can better manage their inventory levels, reducing the risk of overstocking or stockouts.
- Reduced Operational Costs: Identifying inefficiencies and vulnerabilities allows businesses to take actions to optimize them and this allows brands to reduce operational costs.
Product Serialization: A Key Component of Track and Trace
Product serialization involves assigning a unique identifier to each product unit, rather than just a batch or lot. This unique identifier can be a barcode, QR code, or another form of digital marker that distinguishes one product from another. Serialisation is a critical aspect of modern track and trace systems, as it allows for precise tracking and tracing of products at every stage of the supply chain. This also allows for combatting counterfeiting, improving compliance following regulatory requirements and optimising recall management.
The Role of QR Code Tracking
One of the most accessible and widely used track and trace technologies is the QR code. The two-dimensional codes can store a significant amount of data. They are easy to generate, cost-effective and can be scanned by most smartphones. Combining it with blockchain technology makes them an ideal solution for brands looking to enhance product traceability.
Why Non-Cloneable QR Codes are Best for Tracking
Normal QR codes are highly replicable. However, the non-cloneable QR label could be the best way to ensure safety and security in track and trace. Acviss’s non-cloneable labels ensure it overcomes the limitations of the traditional QR labels. How?
- The advanced non-cloneable labels from Acviss give each product unit a unique identity. This allows consumers to easily verify the authenticity of a product, reducing the risk of encountering a fake by a large margin.
- The tracking process is streamlined and businesses can monitor the products in real-time, optimising inventory levels and reducing the risk of overstocking or stockouts.
- Unique labels are tamper-evident and highly accurate enabling businesses to quickly pinpoint the vulnerabilities to identify and remove affected products from the supply chain mitigating the impact on consumers and the company’s reputation.
Blockchain and QR Code Tracking and Product Origin:
QR codes can be vital in tracking product origin and blockchain ensures no tampering or intervention occurs in the supply chain. Acviss-powered track and trace solution allows verification of the product by scanning the QR code throughout the supply chain. This gives consumers and stakeholders access to the product information related to where the product was made, the materials used and even the journey it took to reach its final destination. This transparency is invaluable in industries where origin and authenticity are critical, especially for food and beverages, pharmaceuticals and luxury industries.
In a real-world scenario, a QR code on a bottle of wine can reveal the vineyard where the grapes were grown, the production process and even tasting notes. This enhances the consumer experience and ensures that the product is genuine. Customers can directly view if the product has been tampered with during its journey through the supply chain. Getting first-hand verification and confidence in the product they purchase.
Combining Track and Trace and Brand Protection
Track and trace not only secure your supply chain but also create a secure ecosystem for your brand to thrive. Improvising supply chain efficiency strengthens product authenticity which results in better brand protection. Effective track and trace systems can help protect brands by ensuring that only genuine products reach the market. Brand protection strategies, including track and trace, will ensure your brand on:
- Detect counterfeit products enabling businesses to quickly detect and remove counterfeit goods from the market.
- Build customer trust by providing them with a measure to verify the product. This trust is important to build a long-term relationship with customers.
- Track and trace solutions help to protect the brand’s intellectual property by ensuring that only authorized products are sold and identifying counterfeits.
Key Factors to Consider to Implement Track and Trace Solutions
The benefits of track-and-trace solutions are clear but implementing these systems requires careful planning and consideration. Brands should prioritise these three factors before implementing a solution:
- Technology Selection: Brands must consider factors such as scalability, compatibility with existing systems, and ease of use. QR codes, RFID, and blockchain are among the most popular technologies used in track and trace systems, each offering distinct advantages.
- Data Management: The efficiency of track and trace solutions depends on the effectiveness of data management. Brands should ensure the data collected is accurate, stored securely and shared appropriately among stakeholders. This is where Blockchain is highly preferred to securely store data in the traceability process.
- Regulatory Compliance: Every industry will have its standard procedures. Ensuring the solution your brand opts for satisfies it. Apart from the industry, make sure the solution fulfils the requirements of the regional supply chain and trade compliances. EUDR is one such compliance that is mandated by the European Union to enter its market.
Towards the Right Path
Track and trace technologies have become indispensable tools for modern supply chains, providing the transparency, control, and efficiency needed to navigate the complexities of global trade. As the world continues to move toward greater digitization and connectivity, the importance of track and trace will only continue to grow, making it a critical investment for businesses looking to thrive in the modern marketplace.
