Solution overview

Markets have changed in recent years: more and more products are available for consumers, yet they are often required in smaller quantities. Moreover, the time between manufacture and delivery to the final consumer is expected to be shorter and shorter.

This puts enormous pressure on the upstream supply chain, between the manufacturers and their suppliers of parts, ingredients and raw materials. This is especially true in the Consumer Packaged Goods (CPG) industry.

For many years, retailers and their suppliers – the CPG manufacturers – have been using GS1 standards to improve the efficiency and effectiveness of their supply chains. Upstream Supply Chain Integration aims to bring these same benefits to the manufacturers and their suppliers, one step up the supply chain. It does this by improving supply chain processes through information sharing and improving visibility of demand, demand changes and inventory.

Using GS1 standards for Upstream Supply Chain Integration enables:

• Tighter integration of supply chains without the need for costly and time-consuming IT integration projects with every trading partner
• Increased visibility and traceability of goods and their ingredients and materials
• Automated receiving of goods and improved warehouse management through consistent product coding and labelling
• Easier financial settlement due to the upfront alignment of order, delivery and payment data
• Improved product availability by sharing production and demand forecasts
• Faster new product introduction leading to greater sales opportunities
• Reduced inventory levels through shorter lead times

Source:GCI