One of the biggest challenges that manufacturers face is supply chain visibility. This refers to tracking the products manufactured and distributed along the supply chain. This can be difficult to set in motion, especially if production operations are outsourced, and the likelihood of supply chain diversions is high. track and trace system concern a process of determining the current and past locations or any information related to a unique item or property.
Unlike product counterfeiting from fake factories, detecting leakages along the supply chain is significantly difficult. Companies typically do not have the necessary option to check the supply chain visibility to track how their products are being distributed beyond their 1st and 2nd layers of main distribution channels partly, this happens due to the limited ability to track and trace manufactured products to the end-consumers
Many companies with their track and system help manufacturers improve their supply chain visibility by combining hardware and software technologies to interlocking innovative tracking software.
Applications and solutions include:
- Heat maps of Product Locations along the Supply chain
- Journey Map of Products
- RFID & NFC Devices
- Internet of Things (IoT) devices with different Sensors and system
How does the track and trace system work?
Track and trace solutions utilize software that produces unique product identification codes, which can be incorporated seamlessly onto the product packaging or applied as a security seal during production.
Distributors and retailers can scan and authenticate their products to ensure they receive the original goods for sales. On the other hand, consumers can also scan and authenticate the products to ensure that their purchase is genuine. Data of products and their locations in the scans are captured during the verification process.
Using unique product identification codes helps disrupt the fake attempts at introducing fake goods and exposing the counterfeit locations, making it easier to identify the source. In addition, verification of the product ID also helps brands to gain insights into industry trends.
The data captured in different stages provides the supply chain with visibility and essential insights, which include:
- Which are the top-selling products, and which are catching up with the market?
- Which distributors are selling what products?
Alerts on the products which are sold outside of the distribution channels
By analyzing such valuable insights, company executives gather product and consumer trends, including insights on the best-selling products in the retail market and a heat map of sales locations. This information helps the company become more agile and allows it to allocate resources better to cater to growing trends. By leveraging the acquired data, brand owners can take a rest and have assured that they will be ahead of their competitors.