EPCIS: The Backbone of Supply Chain Interoperability

In any supply chain process, transparency, traceability and accountability are essential factors that are mandatory to ensure efficiency and effectiveness of the entire business operations. To achieve this, it is important to capture and analyze data related to every transaction, business process, and inventory movement.

In the past, supply chain data was usually managed in silos, with each organization managing its own data independently. This caused difficulty in tracing and tracking the flow of goods from one point to another especially when there are different systems in place.

However, with the rise of technology and growing need for interconnectedness, there is an increasing demand for supply chain interoperability. This is where EPCIS comes in.

What is EPCIS?

EPCIS stands for Electronic Product Code Information Services. It is an open standard for sharing information about supply chain events, namely: who, what, when, where, why and how, in a standardized format. EPCIS is designed to facilitate reliable data communication and enhance interoperability between different supply chain entities.

Why is EPCIS Important in the Supply Chain?

A successful supply chain involves the movement of goods and information through a network of stakeholders. These stakeholders include manufacturers, suppliers, distributors, retailers and end-users. Effective communication and collaboration between these entities are critical in ensuring the delivery of quality products to the final consumer.

EPCIS provides a standardized method for data sharing, making it easier for different supply chain entities to share information and collaborate effectively. It enables stakeholders to track the flow of goods right from production to the final delivery, thus ensuring accountability and traceability throughout the entire supply chain.

How does EPCIS Work?

EPCIS captures data about an object's movement in the supply chain and stores it in a standardized data format. The data is collected using sensors, RFID tags, barcodes or other automatic identification and data capture technologies. The data is transferred to a central hub where it is transformed into a standardized EPCIS format.

The EPCIS data contains information about the following:

1. Object

This refers to the product or item being tracked, it could be a pallet, case, or individual item. EPCIS captures information about the unique identification number of the object, its description, quantity, and other relevant attributes.

2. Event

Events in EPCIS refer to any transaction or activities happening in the supply chain. These include production, shipping, receiving, putaway, picking, packing, and loading. EPCIS captures information about the time, location, and type of event.

3. Location

Locations in EPCIS refer to where an object or event happens. It involves detailed information about storage and movement of objects. This includes the name of the location, the address, the GPS coordinates, and other relevant attributes that describe the location.

4. Business Transaction

This refers to the business transaction involved in the event. The transaction could be a purchase, order, return or a payment. EPCIS captures information about the parties involved in the transaction, the financial terms, and other relevant attributes.

5. Object Type

This describes the type of object being tracked. EPCIS captures this information about the product to ensure that all objects are classified and tracked accordingly.

Benefits of EPCIS

Implementing EPCIS brings significant benefits to the supply chain ecosystem. These benefits include:

1. Improved Supply Chain Visibility

EPCIS enables complete end-to-end visibility of key supply chain events. It helps stakeholders to track the location of objects, their movement, and their status in real-time. This improves the efficiency of supply chain operations, reduces the risk of losses, and enhances customer satisfaction.

2. Increased Interoperability

EPCIS helps to break down the barriers that exist between proprietary systems used by different supply chain participants. It provides a standardized format for data that ensures compatibility and interoperability of systems used by different traders.

3. Enhanced Traceability

EPCIS enables stakeholders to trace the origin of goods and their movement throughout the supply chain. This helps to identify the cause of issues such as product recalls, supplier fraud or counterfeiting, and allows stakeholders to take necessary actions in real-time.

4. Improved Operational Efficiency

EPCIS enables stakeholders to access real-time information about their inventory, resulting in better operational efficiency. It helps to optimize processes, reduce delays, and avoid unnecessary expense thereby decreasing costs.

5. Enhanced Collaboration

EPCIS promotes collaboration and communication between different supply chain partners. It ensures that data is shared and available to all participants in the supply chain, fostering better communication and trust between stakeholders.

EPCIS in Practice

EPCIS is already in use in many industries such as healthcare, retail, logistics, and transportation. The healthcare industry, for instance, is implementing EPCIS to track and trace medical devices, pharmaceuticals, and other supplies throughout the supply chain.

The retail industry also uses EPCIS to ensure accountability throughout the supply chain. The entire product supply chain from the production plant to the retail shelf is tracked, managed, and audited in real-time, enhancing transparency in the movement of products.

Conclusion

The supply chain is a complex network of stakeholders involved in the movement of goods across different regions and countries. Supply chain interoperability is essential in ensuring that all stakeholders collaborate effectively, and goods are delivered to customers on time.

EPCIS provides a standardized method for data sharing, ensuring that everyone in the supply chain can collaborate efficiently, enhancing visibility, traceability, and accountability. Adoption of EPCIS will ensure interoperability in your supply chain, improve efficiency, and reduce operational costs.