“FOODSERVICE GS1 US STANDARDS INITIATIVE”

NATIONAL ASSOCIATION OF COLLEGE AND UNIVERSITY

FOOD SERVICES (NACUFS) PRESENTATION

July 12, 2013

Dennis Harrison

Sr. VP GS1 US, Foodservice

AGENDA

• Who is GS1 US?

• What are GS1 Standards?

• What is the Foodservice GS1 US Standards Initiative?

• What are the Benefits of Using GS1 Standards in Foodservice?

• What is the Status of the Initiative?

2

WHO IS GS1 US™?

• Founded in August, 1970

• 250 Employees

• Pioneered the U.P.C barcode – the foundation for

today’s global GS1 standards

• Neutral, not-for-profit, user-driven, organization serving more than 200,000

member companies

• Supports over 25 major sectors including apparel, consumer goods,

foodservice, healthcare, and retail industries

• US-based Member Organization of “Global” GS1

• More than 6 billion U.P.C. scans every day

3

GS1 is the Most Widely Used Supply Chain

Standards System in the World

( 01) 00312345678906

GS1 GLOBAL SCOPE

4

111 Member Organizations

150 Countries Served

WHAT ARE GS1 STANDARDS?

5

GS1 STANDARDS IN FOODSERVICE

6

• GTIN = Global Trade Item Number

(Product Identifier – e.g., U.P.C. – used in all retail/grocery)

• GLN = Global Location Number

(Identifier for all trading entities: Manufacturers, Distributors,

Operators)

• GDSN® = Global Data Synchronization Network

(Electronic, continuous, real-time single source of truth database)

GTIN (Global Trade Item Number)

Expiry Date Lot Number

GS1 STANDARDS NOMENCLATURE

7

GTIN EXAMPLE

8

Pactiv Two Tab

Conventional

00016194050691

Globally Unique Numbers

Simplify & Align

GLN EXAMPLE

9

SAINT JOHN'S QUEENS HOSPITAL

1100004570208

ST JOHN'S QUEENS HOSPITAL

100084547

SAINT JOHNS QUEENS HOSPITAL

JAOE

SAINT JOHN'S QUEEN HOSPITAL

50003000431

SAINT JOHN'S QUEEN’S HOSPITAL

CA2053

ST. JOHN'S QUEENS HOSPITAL

OM 12345

Many different names and

different location numbers

for 1 hospital

Too many identifiers for the same location - causes confusion, finger pointing

and inefficiency

GLOBAL DATA SYNCHRONIZATION

NETWORK (SIMPLE MODEL)

10

GS1

Global

Registry

Data Pool

A

(Source)

Manufacturer Distributor

Data Pool

B (Recipient)

Operator

#2

Operator

#1

FOODSERVICE GDSN ATTRIBUTES

Phase 1: Transactional Phase 2: Marketing &

Nutritionals

GTINs Preparation Instructions

GLNs Nutrition Label

Weights Serving Information

Measurements Allergens

New: Cube, Ingredients

Etc. Etc.

11

A full list of Phase 1 and Phase 2 attributes can be found at

www.gs1us.org/foodservice

© GS1 US 2011

• Gluten-free

• Pack Size Text

• Is Item the Base Unit (Lowest Packaging Level)

• Is Packaging marked as Returnable?

• Is the Item marked with a Batch/Lot Number?

• Are non-sold items returnable?

• Is the Item marked as recyclable?

• Item Availability Date

• Target Market

• Functional Name

• Global Product Classification (GPC)

• GTIN of Next Higher Package Level

• GTIN of Next Lower Package Level

• Number of Next Lower Level GTINs

• Quantity of Next Lower Package Level

• Is Trade Item Consumer Unit?

• Is Trade Item Shipping Unit?

• Is Trade Item Invoice Unit?

• Country of Origin

• Inner Pack Quantity (No GTIN Assigned)

• Item in Inner Pack Quantity (No GTIN Assigned)

• Individual Unit Measures

FOODSERVICE ATTRIBUTES (43): PHASE 1

12

• Brand Name

• GTIN

• Unit Descriptor

• Is Trade Item Orderable?

• Company Name

• Information Provider GLN

• Manufacturer Product Number

• Manufacturer Short Product Description

• Product Name

• Storage Temperature Min. with UoM

• Storage Temperature Max. with UoM

• Gross Weight with UoM

• Net Weight with UoM

• Net Content with UoM

• Catch Weight

• Height with UoM

• Width with UoM

• Depth with UoM

• Cube with UoM

• Pallet Ti and Pallet Hi

• Shelf Life from Production

• Effective Date of Change

• Kosher, Organic, Vegan, Halal, etc.

FOODSERVICE ATTRIBUTES (16): PHASE 2

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• Storage & Usage

• Manufacturer Expanded Product Description

• Benefits

• Preparation & Cooking Instructions

• Serving Suggestions

• For More Information (Contact Information)

• Allergens

• Nutrition Fact Serving Size & UOM

• Serving Size Text

• Nutrient Label contents and measures (Calories, Proteins, Fats, Sugars, etc.)

• Child nutrition label

• Ingredients English (& Spanish optional)

• Links to websites, Images, Documents, Video, Audio Files

• Kosher Certification

• Servings of the Trade Item Unit

WHAT IS THE FOODSERVICE

INITIATIVE?

14

FOODSERVICE INITIATIVE

Achieve 75% GS1 Standards Adoption* by 2015

*Based on Revenue

15

FOODSERVICE GS1 US STANDARDS

INITIATIVE MEMBERS (121)

• Academic Institutions (5)

• Brokers (2)

• Distributors (27)

• Government Agencies (1)

• Manufacturers (48)

• Operators (13)

• Solution Providers (13)

• Associations (12)

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FOODSERVICE GS1 US STANDARDS

INITIATIVE STRUCTURE

Executive Leadership Committee

Technical Advisory

Committee

GTIN WG - GTIN Allocation Rules

- GTIN Implementation

GLN WG - GLN use in FS

-FS GLN Registry

GDSN WG - Product Images

- Nutritional Attributes

User WG - Implementation Issues

- Data Pool Discussions

Marketing WG - Promotion Programs

- Stds. Communication

Industry Sponsor Group

17

(81) (55) (127) (70) (26)

(13) (121)

(14)

Initiative Initiated October 10, 2009

WHAT ARE THE BENEFITS OF USING GS1

STANDARDS IN FOODSERVICE?

• Improves Data Alignment with Trading Partners

– Standardizes product and location identification

– Delivers one source of truth concerning product/location information

• Increases Supply Chain Efficiency

– Yields fuller trucks, correct weights, less waste, etc.

– Cross references will no longer be necessary

• Enhances Business processes

– Reduces time for new item setups

– Provides one point of update, improving accuracy throughout the supply

chain

– Leverages existing technologies

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WHAT ARE THE BENEFITS OF USING GS1

STANDARDS IN FOODSERVICE?

• Enhances Inventory Management

– Reduces receiving mistakes, credits and improves inventory turns

• Provides Accurate Product Information

– Provides nutritional and allergen data

– Provides more robust, up-to-date, product information to help sell products

– Reduces sales time spent on updating item information. Cleaner catalogs

= more time with customers

• Addresses Food Safety Concerns

– Establishes a common foundation for improving product tracing

– Improves product recalls

19

WHAT IS THE STATUS OF THE

INITIATIVE?

20

189

872

1,507

2,181

2,437

2

11

23

41

50

0100200300400500600700800900

1,0001,1001,2001,3001,4001,5001,6001,7001,8001,9002,0002,1002,2002,3002,4002,5002,600

Dec 2009

Dec 2010

Dec 2011

Dec2012

YTD* 2013

Cu

mu

lati

ve N

um

ber

of

Su

bscri

bers

Recipients

Sources

883

191

1,530

2,222

2,487

FOODSERVICE GDSN DATA POOL

SUBSCRIBERS (AS OF MAY 31, 2013*)

* Based on GDSN subscriber revenues (December 2011)

1 Total revenue for all foodservice subscribers in GDSN 2 2011 full year data based on Technomic’s January 2012 Wall Chart

PERCENT FOODSERVICE INDUSTRY

ADOPTION OF GS1 STANDARDS*

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Manufacturers Distributors

Total Revenue of GDSN Subscribers1 128.3B 116.4B

Total Foodservice Revenue

(excluding Alcohol) 2 155.4B 179.6B

% of Total Foodservice Revenue

Represented by GDSN Subscribers 82.6% 64.8%

1,9642,148 2,184

2,340

2,680 2,715

0

500

1,000

1,500

2,000

2,500

3,000

Jul 2012

Sep 2012

Nov 2012

Jan 2013

Mar 2013

May2013

Nu

mb

er

of

GD

SN

Co

nn

ecti

on

s

FOODSERVICE GDSN CONNECTIONS

23

178K

219K 226K

267K290K

306K

0K

25K

50K

75K

100K

125K

150K

175K

200K

225K

250K

275K

300K

325K

Jul 2012

Sep 2012

Nov 2012

Jan2013

Mar2013

May2013

Nu

mb

er

of

GT

INs S

yn

c'd

FOODSERVICE GTINS “SYNC’D” IN GDSN

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FOODSERVICE PHASE II ATTRIBUTES –

FOOD GTINS (AS OF MAY 2013)

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Total Food GTINs – 223,970

Percent of Food GTINs w/ Images 16.8%

Percent of Food GTINs w/ Marketing Information 29.6%

Percent of Food GTINs w/ Big 8 Allergens 24.6%

Percent of Food GTINs w/ Ingredient Information 31.8%

GS1 Compliant Barcode

79%

N=1327

Non GS1 Compliant Barcode

7%

N=116

Poor Print Quality6%

N=112

No Barcode8%

N=132

2013 FOODSERVICE WAREHOUSE

BARCODE RESULTS*

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N = 1687

*2 Warehouse Audits (2013)

1. Dot Foods, Inc.

2. Glazier Foods Company

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NEXT STEPS – 2013

• Continue implementation of:

1. GTINs and barcodes on cartons

2. Population of product attributes in GDSN

3. Identification of locations with GLNs

4. Use of GS1 Standards in EDI transactions

• Increase operator involvement

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FOODSERVICE WEBSITE

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http://www.gs1us.org/industries/foodservice

JOIN THE CONVERSATION!

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CONTACT INFORMATION

Dennis Harrison

Senior Vice President, Foodservice

GS1 US

TEL +1 609 620 4522

EMAIL dharrison@GS1US.org

W EB www.GS1US.org/foodservice

Connect with the GS1 US community on

APPENDIX

• What is a GTIN?

• Global Location Number

• FDA: Food Safety Modernization Act (FSMA)

• Workgroup Definitions

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WHAT IS A GTIN?

• “GTIN” is a Global Trade Item Number

• A globally unique 8, 12, 13, or 14-digit number that uniquely identifies products

and services

• An identification number of the GS1 System, therefore unique and

unambiguous

• A global standard for collaborative commerce

Examples of a 14-digit GTIN encoded in a GS1-128, DataMatrix, and Databar

GS1 DataMatrix (14-digit GTIN) GS1 Databar (14-digit GTIN) GS1 -128 (14-digit GTIN)

33

GLOBAL LOCATION NUMBER (GLN)

• 13-digit number

• Components:

– GS1 Company Prefix

• Varies in length

– Location Reference number

• Assigned by the company

– Check Digit

Combined length is

always 13 digits

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FDA FOOD SAFETY MODERNIZATION ACT (FSMA) LAW PASSED JANUARY 4, 2011

• Mandatory recall authority (if company refuses to recall)

• Responsibility to develop a 3rd party audit system for imported foods

• Increasing the frequency of mandatory inspections

• Developing regulations for preventive control plans

• Establishing a product tracing system

• Companies will be required to maintain more detailed records

• Companies will be required to register their food facilities biennially

• Mandates additional recordkeeping requirements for high risk foods

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LAW REQUIRES FDA TO:

• Ultimately establish a product tracing system (U.S. and imported)

• Develop tracing pilots with processed food industry and produce industry

within 9 months

• Report pilot findings (one up and one back) and recommendations to

Congress within 18 months

• Define high risk food products within 1 year

• Determine within 2 years recordkeeping requirements for facilities that

manufacture, process, pack or hold high risk products

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Workgroups Purpose Current Projects

GTIN Manages product identification and product listing

recommendations for the foodservice supply chain,

including the assignment of Global Trade Item Numbers

(GTINs). Reviews issues and resolves any confusion

related to item identification.

Defining recommendations for when a new Global Trade

Item Number (GTIN) should be assigned to foodservice

products, including what changes in a product’s attributes

drive the need to assign a new GTIN. Creating a GTIN

Allocation Guideline for foodservice.

GLN Explores the need for standardized location information

throughout the foodservice supply chain, including the

use of Global Location Numbers (GLNs), standardized

location data, and the exchange of that information.

Mapping out work flow for foodservice processes and

identifying where location identification and location

information is necessary. Reviewing current GLN Registry

formats and use as a mechanism to share information

related to a GLN. Collecting and resolving any GLN issues.

Published the GLN white paper in June 2012.

GDSN Manages and provides guidance for product information

and product attributes used for the exchange of product

data through the Global Data Synchronization Network

(GDSN) in the foodservice supply chain. Resolves any

issues related to implementation and use of the GDSN for

foodservice. Also monitors GS1 GSMP for changes that

could affect implementation and use of the GDSN in

foodservice.

Managing issues, defining attributes, and providing

guidance for implementation of GDSN for foodservice. Task

Groups currently include Product Images and Nutritionals,

who are reviewing the current GS1 Standards and creating

guidelines and documentation for foodservice

implementation.

FOODSERVICE INITIATIVE WORKGROUPS

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Workgroups Purpose Current Projects

User A forum to discuss ways to accelerate the

voluntary adoption and implementation of

Global Location Numbers (GLNs), Global Trade

Item Numbers (GTINs) and the Global Data

Synchronization Network (GDSN) in the

foodservice supply chain.

Addressing community implementation issues and

sharing experiences regarding the implementation

of GS1 Standards for foodservice, including

development of implementation tools such as the

GDSN Attribute Implementation Manual for

foodservice.

Marketing Creates awareness of the Foodservice GS1 US

Standards Initiative within the foodservice

community. Engages membership, industry

stakeholders and associations.

Growing community use and adoption through

marketing campaigns, including educational

programs and webinars. Also collaborating on

member outreach programs with IFDA, IFMA, and

the National Restaurant Association.

Technical

Advisory

Committee

(TAC)

Comprised of co-chairs from the Foodservice

Workgroups. Provides strategic direction to the

WG’s, and also manages, directs, and

prioritizes the technical issues which ultimately

affect implementation of the Foodservice

Roadmap.

Reviewing materials from workgroups and assisting

with projects and guidelines as necessary.

FOODSERVICE INITIATIVE WORKGROUPS

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