Leveraging EPCIS 2.0 and the CBV to Reduce Waste
The current global economy is unsustainable due to the high levels of waste production. It has become imperative for industries to adopt sustainable practices that enable waste reduction. The EPCIS 2.0 and the Common Business Vocabulary (CBV) offer an avenue to reduce waste and conserve the environment.
The Electronic Product Code Information Service (EPCIS) is a universally accepted system for monitoring and exchanging supply chain events. It enables firms to track their supply chain processes and provides a wealth of data on a product's journey from the manufacturing point- through distribution to the retailer or the customer.
On the other hand, the Common Business Vocabulary (CBV) is a standardized format for creating consistent product descriptions. It enhances the communication process between firms by ensuring that they use the same language while describing the product.
When these two technologies are integrated, they create robust mechanisms for supply chain monitoring and product tracking. In the following sections, we'll explore how EPCIS 2.0 and the CBV can reduce waste in supply chains.
Enhanced Supply Chain Visibility
Companies can use EPCIS 2.0 to monitor and track end-to-end supply chain events. The EPCIS creates a record of all product events, including their location, time of arrival, and departure. This data can be retrieved quickly and gives businesses a clear view of their supply chain processes.
Supply chain events can be analyzed using different techniques. Artificial Intelligence (AI) algorithms can be used to identify patterns and anomalies in the data automatically. These insights can be used to improve operational efficiency, reduce waste, and lower the cost of production.
By leveraging EPCIS 2.0, firms can also identify inefficiencies and waste during the production process. The collected data can be analyzed to identify areas where waste is high, leading to corrective measures being taken to reduce waste.
Improved Product Tracking
EPCIS can also be used to track products, providing real-time information on the product's location throughout the supply chain. This tracking is critical in reducing waste as it enables companies to avoid excess inventory and ensure timely delivery.
Predictive analytics can also be used to anticipate consumer demand, improving product placement and reducing the amount of unsold inventory. Realized predictions help businesses allocate resources effectively and streamline their operations, reducing waste.
Moreover, the CBV can be used to provide uniform product descriptions, enhancing communication between suppliers and customers. This consistency helps eliminate errors in order processing, avoiding situations where wrong products get delivered, which would lead to product waste.
Optimized Packaging and Shipping
Packaging is one of the areas where companies can reduce waste. Excessive packaging results in the creation of more waste, which is detrimental to the environment. EPCIS 2.0 can be used by businesses to track the materials used in the packaging of their products. By tracking the raw materials used, companies can identify areas where changes can be made to reduce waste production.
By leveraging the AI technology, companies can use predictive modeling to identify the best packaging method, reducing the amount of wasted materials resulting from trial and error. The CBV plays an essential role in providing standardized descriptions of products, including their size, weight, and dimensions, enabling companies to optimize packaging cut sizes.
Additionally, EPCIS 2.0 can help companies optimize shipping. The platform can assist organizations in identifying the best mode of transportation for their products, reducing the travel distance and time taken. The real-time tracking of products also ensures that the appropriate shipping method is used, avoiding unnecessary delays, order cancellations, and product waste.
Reducing Food Waste
Food waste is one of the biggest concerns for environmentalists worldwide. However, firms can use the EPCIS and the CBV in the food industry to reduce waste resulting from expired or spoiled food products.
The EPCIS can be used to track the shelf-life of perishable goods in real-time. This information can be combined with the data on the product's location and estimated delivery time, providing an informed view of the product's freshness. The CBV, on the other hand, can be used to communicate product freshness data (use-by dates) from the manufacturers to the retailers.
Retailers can optimize their in-house inventory management process using information from the EPCIS, avoiding overstocking and unsold inventory, which leads to wastage. A proper inventory management plan will help ensure that every product is consumed within its shelf-life interval.
Conclusion
Leveraging EPCIS 2.0 and the CBV in supply chains provides firms with an opportunity to increase efficiency, lower costs, and reduce waste. The technology's real-time tracking feature makes it possible to monitor supply chain events, enabling firms to optimize their operations effectively. Predictive analytics algorithms applied to the vast data generated by the system provide insights that can be leveraged to streamline supply chain processes further.
The CBV enhances communication between firms, creating a standardized communication format that eliminates errors, such as wrong product deliveries, which would result in product waste. Adopting these technologies offers businesses a competitive advantage in reducing waste while contributing to environmental sustainability.