LiNK Magazine - Winter 2012 - Issue 30

Page 1

THE SUPPLY CHAIN MAGAZINE • ISSUE 30 • AUTUMN/winter 12

GS1 AUSTRALIA HOSTED THE 21st Global GS1 Healthcare Conference IN SYDNEY


CONTE NTS

ON THE COVER 13… Advancing healthcare standards, together

GS1 Australia hosted 21st Global GS1 Healthcare

Conference in Sydney

NEWs

04… News Up Front

06… Food Allergy Awareness Week 2012 GS1 Australia sponsored Food Allergy Awareness Week 2012

07… Get behind Extended Labelling Coles, Metcash and Woolworths message to suppliers

08…

Effective Recall Management

New workshops to help businesses plan for the unthinkable

10…

GS1 launches GoScan consumer website. Visit www.goscan.com.au

21

STARTERS

03… Welcome Chairman’s Message CEO Insights

04… Webinars and Online Tutorials 05… Hot Dates

18

Bad data is bad for business

GS1 Australia Data Crunch Report completes the picture

INSIDE THIS ISSUE

Features

GS1 Project: Noah’s Next Stop Brewing up a unique pallet labelling solution Advice: Test early, test often Final Word: Mark Brommeyer, nehta

11… 18… 25… 26…

industry news

THE SUPPLY CHAIN MAGAZINE • ISSUE 30 • AUTUMN/winter 12

GS1 AUSTRALIA HOSTED THE 21st Global GS1 Healthcare Conference IN SYDNEY

GS1 Australia is the only organisation authorised by GS1 Global to allocate and administer GS1 Bar Code numbers in Australia. GS1 Australia adds value to its members’ businesses by promoting and developing the adoption of crosssector, global supply chain standards. GS1 Australia delivers supply chain solutions and services for bar coding, electronic business messaging, global data synchronisation and Radio Frequency Identification technology (RFID).

CONTRIBUTORS

Editor Nicki Letts Design Vetro Design PrintING RA Printing GS1 Australia

Head Office Axxess Corporate Park 100/45 Gilby Road Mount Waverley VIC 3149 Sydney Office

Lakes Business Park Building 4B, 2–4 Lord Street Botany NSW 2019 National Number: 1300 366 033 International Number: +61 3 9558 9559 Fax: +61 3 9558 9551 General Email: gs1aust@gs1au.org LiNK Email: editor@gs1au.org www.gs1au.org

GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 2

17… 20… 21…

Healthcare seminars and webinars deliver Australasian Foodservice joins forces Agribusiness call to action

Alliance Partners

22… Bizcaps enhancements unveiled 22… New partners bring new solutions


WE LC O M E

Welcome to LiNK Autumn/Winter 2012 edition 01 Russell Stucki Chairman gs1 australia 02 maria palazzolo ceo gs1 australia

Chairman’s Message

01

CEO Insights

02

Advancing through connections

Putting trusted product information first

At GS1 Australia, we believe there is always room for new ideas. And new ideas come from making new connections. Why reinvent the wheel when you can meet with peers and find out what they’ve learned through trial and error, and what they have found to be best practice?

Every day, millions of consumers worldwide use social media, shopping websites and mobile applications to search for products and make purchasing decisions. In fact, online sales are growing 29 per cent every year, according to the NAB Online Retail Sales Index (February 2012).

The recent Global GS1 Healthcare Conference hosted by GS1 Australia showed this in action. The Conference brought together representatives from all over the world and Australia, from every part of the healthcare supply chain. Delegates listened to a stellar line-up of practitioners and thinkers presenting their expertise and experiences; and most importantly, they shared their knowledge and generated new ideas together. The spirit of the Conference lay in the belief that together we can improve efficiency in the supply chain and advance patient safety. This thinking can be carried across all industry sectors. Achieving the highest standards in the supply chain is not about individual players – it’s about effortless coordination and orchestration across one’s value chain, optimising the performance of the entire business community. At GS1 Australia, we aim to provide the tools for our members to learn, network and share ideas, no matter where they are located and what their business is. Conferences, training sessions, seminars, user group meetings, webinars and more – we hope you will continue to take advantage of these tools to educate and inspire you with new ideas.

The digital shopping phenomenon is accelerating change in the way businesses communicate to consumers. As a result, the product label, although an important part of consumer communications, is no longer the Holy Grail. The big question facing industry is how can brand owners ensure the product data being accessed by consumers is accurate? Where is the product data being sourced from? And is it trusted data? In the majority of cases the answer to the last question is ‘no’. Mobile application and online developers are sourcing product information from a variety of places – but not from the brand owners. For food allergy sufferers this is a potentially fatal problem. In May, GS1 Australia proudly sponsored Food Allergy Awareness Week, an initiative of Anaphylaxis Australia. One solution to help food allergy sufferers in everyday life is having access to accurate, up-to-date information when choosing food products. GS1 Australia and the Australian Food and Grocery Council (AFGC), alongside retailers, manufacturers, universities, and organisations including Anaphylaxis Australia, have been tackling this issue through the Extended Labelling initiative and the development of a free iPhone app, GS1 GoScan – launching September 2012. These initiatives are important milestones in the journey for both brand owners and consumers, resulting in deeper brand relationships, a better overall shopping experience, and ultimately, stronger consumer trust and loyalty.

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N E W S U P FR O N T

NEWSUPFRONT GS1net Hits Half-Million Milestone GS1net reached a major milestone in December 2011, surpassing a total of over 500,000 Global Trade Item Numbers (GTINs).

Over 112,000 new GTINs were added to the system in 2011 alone. And it just gets better and better. GS1net aims to multiply its GTINs in 2012, with new services launching later in 2012 making it even easier for suppliers to upload and maintain accurate data. Since its launch five years ago, GS1net has become the focal point for trading partners at every step of the supply chain to securely share a wealth of product information across all industry sectors, both in Australia and globally.

WEBINARs &Online Tutorials

Agribusiness Group expands The Agribusiness GS1 Standards Group (AGSG) has kicked off 2012 with new members and new guidelines and documents to deliver best practice supply chains to the sector.

This year the AGSG has welcomed key agribusiness organisations AgVantage, Davey Water Products, Dow AgroSciences, Gallagher Australia, IHD Group, Sipcam, and Titan AG to the Group. Traceability guidelines are currently being drafted and three key eMessaging documents have already been reviewed. The Group has also recently confirmed a communications plan for 2012 and expects to see more members joining and supporting the AGSG initiative in the coming months. The AGSG is calling on companies in the agribusiness sector to participate and support the initiative to improve supply chain efficiencies. For further information please contact GS1 Australia Senior Industry Advisor Joseph Taylor on 02 9695 2227.

Sound Advice GS1 Australia’s Services Support Advisors are here to help members with any questions on our services. Experts on GS1 Recallnet, GS1 Locatenet, GS1net, CMT and GS1 GoScan, they are equipped to answer a variety of queries and provide specialist advice to help you use the services to their full potential. They not only know the services inside out, their experience working with a variety of company types and industries means they understand your business needs. Our Services Support Advisors are a key reason GS1 Australia members continue to use our services with resounding success. If you need to talk to us about our services, email gs1au@gs1au.org or call 1300 227 263

GS1 Australia is pleased to announce the new webinar schedule for autumn and winter 2012. Tune in online to learn and engage with experts from the convenience of your desk. Each topic series is repeated regularly to ensure members don’t miss out.

How does the data measure up?

Topics include:  Introduction to Numbering and Bar Coding – first and second Wednesday of the month  Introduction to GS1 GoScan – every Thursday  GS1 Recallnet introductory series – first and second Thursday of the month  GS1net introductory series – first, second and third Tuesday of the month Register today! For a detailed schedule and agenda of all webinars visit www.gs1au.org/events

Launched in November 2011, this service compares GTINs captured by GS1 Australia in the testing process with the measurements entered by suppliers into GS1net. The resulting Measurement Comparison report contains GTINs where the comparison has identified any differences in data outside the global tolerances. The service is available free to all GS1net members who also use the GS1 Australia Bar code Testing Service. The report is delivered via email every fortnight. To start receiving your Measurement Comparison report now, email measurementcomparison@gs1au.org or call 1300 BAR CODE (1300 227 263).

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GS1net users can now find out with the new GS1net Measurement Comparison Service.


N E W S U P FR O N T

HotDates May 2012

July 2012

30 GS1/RQA Workshop: Effective Recall Management, Sydney

19 GS1 Australia Classroom Training: “Numbering and Bar Coding”, Melbourne 26

June 2012

GS1 Australia Classroom Training: “Numbering and Bar Coding”, Brisbane

5 GS1 Healthcare User Group Leadership Solution Provider Session, Melbourne

August 2012

6 GS1 Healthcare User Group Leadership Solution Provider Session, Sydney

23 GS1 Australia Classroom Training: “Numbering and Bar Coding”, Melbourne 28

GS1 Australia Classroom Training: “Numbering and Bar Coding”, Sydney

Multinational medical device supplier Cook Medical has added its product range information to the National Product Catalogue (NPC).

The NPC, hosted on the GS1net data synchronisation platform by GS1 Australia, is a single repository of product, pricing and healthcare data for the entire health industry, including pharmaceuticals, medical devices, catering and food services, and cleaning products. Cook Medical contracted Bizcaps Software to begin adding its product range in January 2011. There were over 5,000 products to be published with well over 30,000 associated pricing records for the various health authority contracts. The project went live in January 2012. Read more about the NPC on page 26.

$1.035

Billion

over five years…the total cost of bad data in the Australian grocery supply chain (GS1 Data Crunch report 2011)

Over a quarter

To register or for further information on our events, visit www.gs1au.org/events

Cook Medical joins NPC

QUICK FACTS

of companies won’t survive a product recall (Monash University, 2010)

Foodservice Today and Tomorrow

95% of dispensed medicines in Australia use GS1 Bar Codes

91% of mobile bar code scans return incorrect or incomplete product descriptions (GS1/ CapGemini, Beyond the Label report 2011)

Foodservice trends are on the menu at the Foodservice Today and Tomorrow Conference, hosted by the Foodservice Suppliers Association of Australia (FSAA) in Sydney on 28 May 2012.

Don’t miss the fantastic opportunity to hear key industry people deliver their perspectives, including GS1 Australia’s Senior Advisor – Industry Engagement, Michael Barrett, who will speak on the topic, “Foodservice Supply Chain – Change is Happening and It Will Impact You”. The FSAA is a member of the Australasian Foodservice Industry Steering Group (FISG). Read more about the FISG on page 20.

Follow us on Twitter GS1 Australia Healthcare is live and tweeting. Follow us and join the discussion! @GS1au_health Watch this space – GS1 Australia will be tweeting soon.

GS1 Australia LiNK | Issue 30 | Autumn/winter 12 | 5


news up front

Putting food allergy first – GS1 Australia was a proud sponsor of 2012 Food Allergy Awareness Week from May 14 to 18. GS1 Australia called on retailers and suppliers to put food allergy first when it sponsored Food Allergy Awareness Week in May.

With as many as 1 in 10 Australian children and 2 in 100 adults suffering from a food allergy, Food Allergy Awareness Week (14–18 May) is an annual national campaign by Anaphylaxis Australia that helps promote and develop the awareness of food allergy and anaphylactic reactions amongst Australians.

During the launch at the GS1 Sydney office on Monday 14 May, GS1 Australia’s CEO Maria Palazzolo recognised food manufacturers and brand owners have been diligent in updating food labels to provide consumers with greater information, but said now is the time to take the next step in securing food safety. “We implore companies – from brand owners and manufacturers right through to retailers and wholesalers – to get on board the latest initiative to drive better availability of trusted product information for consumers,” she said. “The industry has been proactively working towards the future, developing a free iPhone application that will deliver greater depth of product information to consumers from a trusted source – GS1 GoScan.” Launching in September, GS1 GoScan is the first industryendorsed iPhone application that will provide detailed extended labelling product data to consumers, accurately and in real time. “This week is an important time for us to tell allergy sufferers and their carers about the new tool that will help them select the right products for their needs,” Ms Palazzolo said. “At the same time, brand owners can be sure that consumers

are accessing up-to-date and accurate information about their products, thereby building brand trust and loyalty.” GS1 Australia has worked with Anaphylaxis Australia to ensure GS1 GoScan meets the needs of allergy sufferers. Anaphylaxis Australia was directly involved in the app’s development and research as a member of the industry group, which also included major retailers, international food companies, the Australian Food and Grocery Council, Australian universities and additional national health organisations, working in partnership with GS1 Australia. Maria Said, President of Anaphylaxis Australia, acknowledged the long-standing commitment of GS1 Australia. “GS1 Australia has gone to extreme lengths in working with key groups, including Anaphylaxis Australia, to produce a tool that shares accurate information on food ingredient content and food allergy,” she said. “The many activities and tools launched during the campaign will assist the community with managing food allergy in everyday life and managing an emergency when it happens.” www.goscan.com.au www.foodallergyaware.com.au

Help at your fingertips Did you know there is a whole suite of resources with the sole aim of making it as quick and easy as possible to get started with GS1 GoScan? Take advantage of these free tools:

 Free webinars: At your desk or on the go, you can find out more about GS1 GoScan, its overall functions and benefits, with our highly informative and interactive webinars. Register at www.gs1au.org/services/goscan  Website: Discover everything you need to know about GS1 GoScan on the GS1 Australia website, including downloadable fact sheets, presentations and images. Visit www.gs1au.org/ services/goscan  Contact us: For further information about GS1 GoScan or help at any stage of your implementation process, contact GS1 Australia on 1300 BAR CODE (1300 227 263) or via email GS1GoScan@gs1au.org GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 6


news up front

Coles, Metcash and Woolworths message to suppliers:

“ G et behind Extended Labelling” Australia’s leading retailers fully support the Extended Labelling initiative – and now they’re urging their suppliers to get on board and upload Extended Labelling product data into GS1net.

The Extended Labelling initiative is a whole-of-industry initiative for the delivery of accurate, endorsed and trusted product data to consumers and other stakeholders. The Extended Labelling data developed through this initiative enable retailers to better manage their online and mobile strategies, and are the same data standards used in GS1 GoScan. Brand owners can therefore meet their trading partner requirements and be ready for GS1 GoScan with very little extra effort.

In a recent letter to suppliers, the Australian Food and Grocery Council, Coles, Metcash, Woolworths and GS1 Australia outlined the importance of actively participating in this initiative: “Over the last two years, the Australian Food and Grocery sector has collaborated to define new data standards for communicating Extended Labelling product information to consumers, retailers, government agencies and other key stakeholders. The result of this work is an agreed set of Extended Labelling information

that meets the current and future needs of the industry and its consumers, and has the support of all stakeholders. Coles, Metcash and Woolworths fully support this new data standard and are now calling on suppliers to get behind this initiative and upload their Extended Labelling data into GS1net. This project also has the support of the Australian Food and Grocery Council. Extended Labelling data will be used not only by retailers to support merchandising, stock replenishment, in-store services, online initiatives, and other key retailer processes, but also by the first whole-of-industry endorsed iPhone application, GS1 GoScan, to be launched later this year, which will provide consumers with accurate, real-time product data at their fingertips. All suppliers currently synchronising product data with Coles, Metcash and Woolworths are strongly encouraged to add the Extended Labelling data to their product records in GS1net. For further information and assistance on Extended Labelling contact GS1 Australia Services Support team on 1300 227 263 or servicessupport@gs1au.org

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news up front

EFFECTIVE RECALL MANAGEMENT

New workshops to help businesses plan for the unthinkable

 More than 25% of companies will not survive a recall crisis  Most corporate crises will cost in excess of $10 million* GS1 Australia and the RQA Product Risk Institute have joined forces to help businesses learn how to better prepare for a product recall and avoid the devastating consequences of a recall crisis.

“Product recalls are not a question of ‘if’, but ‘when’. Poorly managed incidences and recalls can quickly become a crisis, the consequences of which can be devastating to a company, potentially impacting its reputation, operations and financial performance,” said Mr Marcel Sieira, General Manager – Business Development, GS1 Australia. The first Effective Recall Management workshop took place in Melbourne on 19 April, providing businesses with the practical skills, plans and processes to manage a recall situation and prevent it from escalating into a crisis. Places are still available for a second workshop in Sydney on 30 May. In a half-day session, participants learn strategies directly from the experts at GS1 Australia and the RQA Product Risk Institute, Asia Pacific’s only specialist product recall and crisis management training company. The workshops also demonstrate a range of tools and resources proven to help manage a recall, including GS1 Australia’s new online recall communication tool, GS1 Recallnet. “Australian companies simply cannot afford to miss this workshop,” said Mr Steve Hather, Managing Director of the RQA Product Risk Institute. “In our experience, companies that go through a recall for the first time are surprised by its intensity.

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Even if they get the mechanics of the recall right, they struggle with managing key stakeholders and communicating effectively. They wish they had a plan that provided more effective guidance, rather than having to find out where the gaps are in the middle of a recall.” The Effective Recall Management workshop is designed for businesses of all sizes and should be attended by anyone who has a role in managing recall situations, including quality and technical managers, corporate affairs managers, consumer contact managers and staff, risk managers, sales and key account executives, marketing managers and operations managers. “Even if you have a recall process in place, our trainers will help you identify areas for improvement, to ensure your systems are working hard for the business,” said Mr Hather. Mr Sieira agreed, “Planning for a product recall is good business; all companies will have incidents and some of these incidents can lead to a product recall. We encourage all members to register for the workshops now and learn from the best in the industry.” *University of Melbourne, 2004

The workshop will cover:  Preventative Systems – a review of quality management, traceability and risk management systems and how they prevent incidents from occurring  Incident Identification – the processes for managing complaints and non-conformances  Incident Assessment – methods and tools for investigating incidents, assessing risk in its broadest sense and making decisions on appropriate actions to take  Strategy – developing an effective strategy for managing incidents and recalls and meeting expectations of key stakeholders  Communication – establishing key messages, identifying audiences, and constructing and delivering clear, concise and timely information Implementation – ensuring you have  the people, processes and systems to implement an effective recall

Don’t wait – book your place today! Registrations are now open for the Sydney workshop on Wednesday 30 May 2012, 9am – 1.30pm. For more information and to register, visit www.gs1au.org/events


news up front

Challengers master the supply chain

Teams participating in The Fresh Connection national challenge can take advantage of the GS1 Supply Chain Masterclasses.

Starting from 16 April 2012, companies have been battling it out to find out who has Australia’s best supply chain team. The Fresh Connection, which has been running since 2010, sees teams compete for seven weeks (six rounds) to make effective business decisions to make the fictional fruit juice company, The Fresh Connection, as successful as possible. In 2012 GS1 Australia joined The Fresh Connection as an Industry Supporter. Participants in the national competition have the opportunity to attend a GS1 Supply Chain Masterclass in Sydney or Melbourne in May. Participants will learn about the principles and the application of GS1 standards in industry. The Fresh Connection competition teaches participants about the importance of collaboration, communication, strategy, and performance measurement in supply chain and logistics. These fundamental principles are supported by both organisations; the GS1 global system of supply chain standards provides the foundation for best practice in numbering and bar coding, data synchronisation, EPC/RFID and business-to-business eCommerce. For more information visit www.thefreshconnection.com.au

2nd Annual

National Hospital Procurement Conference 23–24 July 2012 | Hilton on the Park Melbourne

Save Money – Reduce Workload – Improve Care Designed around your feedback, this year’s conference features updates on national reforms and practical case studies to help address your key operational concerns. Meet and network with your procurement and supply chain colleagues from hospitals and health services across the country.

For the latest program updates or to register, visit: www.iir.com.au/procurement

TO REGISTER CALL NOW! +61 2 9080 4090 VISIT: www.iir.com.au/procurement E: info@iir.com.au

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news up front

Bad data is baD for business Last year, the GS1 Australia Data Crunch Report highlighted the impact of bad data on the Australian grocery industry and found that over five years, Australian grocery retailers and suppliers would experience over AU$350 million in profit erosion and AU$675 million in lost sales as a result of bad data. This is no small change!

GS1 Australia, in partnership with BearingPoint, is now looking to ‘complete the picture’ by examining the time and effort spent by organisations in dealing with and resolving issues caused by poor data, as well as any direct costs such as lost sales due to delayed or incorrect fulfilment. The aim of this new initiative is to ‘complete the picture’ by building on the findings of the GS1 Australia Data Crunch Report, in order to create a compelling case for further action across the industry to improve data management practices. In addition to broader industry statistics, participants will gain an understanding within their own organisations of the overall business landscape in terms of business units and process areas, identify loss events across each process area in respect of poor product data, and for each loss event, identify all costs associated.

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Did you know… Through a Data Quality Audit Service, GS1 Australia can provide direct assistance in identifying processes that lead to poor data quality. We can complete a sample audit of your items and then assist in identifying strategies to help you manage and sustain your internal catalogues, GS1net or National Product Catalogue (NPC) in the long term. An audit can help clarify roles across the business and establish who is accountable for data quality within the business. With the proper data quality systems in place, a business will be able to reduce the amount of time and money spent in managing bad data across multiple areas. Contact GS1 Australia’s Professional Services team on 1300 BAR CODE (227 263) or via email profservices@gs1au.org


G S 1 P r o j ects

NOAH’S NEXT STOP

The cooperative research project that is seeking to identify and quantify the factors influencing the adoption of supply chain technology standards in Australia has reached its first milestone. Codenamed ‘Project Noah’, the joint research between the University of Melbourne and GS1 Australia aims to discover what drives and influences organisations in the decision-making process on whether to adopt supply chain technology measures over and above what is mandated. The research project is backed by a grant from the Federal Government’s Australian Research Council (ARC) Linkage program. The weight of expectations

In the intricate decision-making process that is involved in the adoption and implementation of complex supply chain technology measures, service expectations play a large part. The project team therefore decided to investigate member expectation on service quality, and contrast it with GS1 employee expectation with the objective of aligning the two, as the first stage of the project. The assessment of service quality was based on the ServQual approach, presenting 26 questions that set out to measure five dimensions of GS1 service characteristics: tangibles, reliability, responsiveness, assurance and empathy. From April 2011, upon joining, all new members are asked to rate their expectations

around GS1 service characteristics on a scale from 1 to 7, where 1 represents low expectation of service and 7 represents high expectation of service. Overall expectations for service provision appear to be high. GS1 staff and GS1 members show a similar level of expectation on service tangibility, service reliability and service assurance, however, new members suggested that they have higher levels of expectation around service responsiveness and service empathy. When looking closely at service tangibles, GS1 staff expectations and GS1 member expectations are consistent in the ‘State-ofthe-art systems’, ‘User-friendliness of the systems’, and ‘Appropriateness of service offered’ attributes. Interestingly, GS1 staff, however, have higher expectations that ‘Staff be pleasant and helpful’ than the members. ‘Staff telling customers exactly when services will be performed’ appears to be an important attribute from the member viewpoint. GS1 staff have a similar expectation to those of new members in every measured characteristic of service assurance, including staff, systems, advice, support and GS1 staff knowledge. However, new members appear to have a higher expectation than the employee group on most of the characteristics of the ‘Empathy’ dimension of

service quality. The gap between staff and members’ expectations around ‘Providing individual attention’, ‘Sufficient operating hours’ and “Personal attention” are statistically significant, with staff indicating significantly lower levels. This can be explained by a member wanting to have their particular needs attended to, whilst staff need to balance the needs of the entire GS1 membership base of nearly 17,000 members. Don’t be left out…

It’s not too late to participate! GS1 Australia and University of Melbourne need your assistance to complete this valuable work – over time you may be asked to complete surveys and participate in focus groups, and you will be making a great contribution towards initiatives that will take time and cost out of the supply chain and so directly contribute to your bottom line. This survey is ongoing, not only for prospective new members. Those members who responded over the last 12 months will be contacted in the near future to find out whether their expectations were realised. Look for the next exciting instalment in LiNK magazine where we will feature a 10year view of member eCommerce capability.

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GS1 Australia LiNK | Issue 30 | Autumn/winter 12 | 11


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GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 12

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n Ce Ow V Es Ru Fp E fA r T UR o nE t

Advancing healthcare standards, together Healthcare professionals from every part of the industry and across the globe gathered in Sydney for the 21st Global GS1 Healthcare Conference from 20 to 22 March, to learn from one another, share experiences and forge relationships. Together they aimed towards one common goal: to advance the implementation of global supply chain standards and ultimately raise the bar on patient safety.

A record number of more than 330 delegates from 33 countries attended the event, which was hosted by GS1 Australia in conjunction with the GS1 Global Office from Brussels, with the National E-Health Transition Authority (NEHTA) as the Industry Partner. Since its debut in 2005, this was the first time the conference has been hosted in Australasia. With a three-day program packed full of world-class speaker sessions, panel discussions and case studies on all aspects of patient safety and supply chain efficiency, the conference inspired and motivated healthcare professionals from all areas of the industry. This included governmental bodies and regulators, healthcare providers, pharmacists, manufacturers, distributors and wholesalers, logistics providers, industry associations and global GS1 member organisations.

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C O V E R F E A T UR E

The celebration, the speakers, the whole conference – it is about coming together, about like-minded people listening and learning from each other, enjoying each other’s company and building lasting relationships. And that’s exactly what we did. — Maria Palazzolo, GS1 Australia CEO. The knowledge sharing began on the stage, industry experts from Australia and abroad presenting on a whole range of topics, including traceability, medical device identification, electronic messaging, electronic product catalogues and global data synchronisation. The conference was filled with unique perspectives about healthcare supply chains around the world – New Zealand, Argentina, USA, Hong Kong, Taiwan, Thailand, and more. And it didn’t stop there. Over the three days and nights, attendees took advantage of the wealth of networking events and forums to put their heads together and share ideas with their peers one to one.

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Leading the way

Maria Palazzolo, GS1 Australia CEO, says the record-breaking attendance is testament to the progress that the healthcare sector has made in Australia. GS1 identifiers and bar codes are currently used on 95 per cent of dispensed medicines. The sector has also made significant advancements in the rollout of the National Product Catalogue (NPC) and electronic messaging, and the development of GS1 Recallnet, an online portal for recalls and withdrawals. “As a result of the collaboration between GS1 Australia, healthcare providers, manufacturers, distributors and trading partners, the healthcare industry has achieved great momentum towards the adoption of GS1 standards for supply chain efficiency and improved patient safety,” says Ms Palazzolo.

“The conference provided a forum for us to share these success stories with international healthcare professionals who are looking to improve their supply chain efficiency and patient safety. It also plays an important role in continuing this momentum in Australia too, by bringing together healthcare supply chain leaders from Australia and the world to share their experiences and develop long-lasting, collaborative relationships that will support them as they implement supply chain reform.” World-class speakers

The theme, ‘When Supply Chain meets eHealth – the importance of laying the foundations in Healthcare’, produced some fascinating insights from the speakers, inspiring the audience with new perspectives. Meanwhile the breakaway sessions saw thought-leaders from healthcare organisations worldwide delve deeper into their experiences. The plenary sessions kicked off with Mr Peter Fleming, CEO of the National E-Health Transition Authority (NEHTA), who presented an overview of the NEHTA eHealth agenda, including the NPC. Mr Fleming opened by saying, “The ability to store and share accurate, complete and upto-date data on healthcare products traded between suppliers and healthcare delivery


C O V E R F E A T UR E

organisations is a critical, foundational component for Australia’s transition to an electronic health system.” Dr Mukesh Haikerwal AO, Chair of the World Medical Association and Head of Clinical Engagement in NEHTA, addressed how unique identification and bar coding of healthcare products and services can improve patient safety. He was followed by New Zealand’s Health Information Standards Organisation (HISO) chairman, Dr Richard Medlicott, who discussed why the HISO has endorsed GS1 standards for the country’s healthcare system: to save New Zealanders’ lives and strip the costs out of healthcare delivery. On the global stage, Maximiliano Derecho, Legal Advisor for Argentina’s National Program for the Control of Drugs and Medical Devices (ANMAT), provided insights into the evolution of drugs traceability in Argentina. Jay Crowley, Senior Advisor for Patient Safety at the US Food and Drugs Administration (FDA), and Volker Zeiner from B Braun focused on the implementation of unique device identification (UDI), from the perspective of the FDA and manufacturer, respectively. Day two unveiled some more perspectives. This included, amongst others, Grant Courtney from GlaxoSmithKline exploring the topic of traceability from a supplier’s perspective and Mike Rose,

Vice President of Supply Chain Visibility at Johnson & Johnson, who shared the business case behind the company’s decision to adopt the GS1 standards for identification and product marking across their product range. On the final day participants attended a presentation from Valentino Bulaon, Manager Procurement Information at NSW Health, about the operational application of NPC data within its organisation. This was followed by a visit to the Clifford Hallam Healthcare (CH2) and Metcash sites in Sydney to see global best practice in action. In addition, NEHTA hosted an invitationonly international Government Healthcare Supply Chain ThinkTank. The goal was to examine best practice in electronic healthcare supply chain reform from global public sector agencies. As a surprise for delegates, the conference closed with a powerful speech by Sam Cawthorn, who transfixed the room with his real life story on how to ‘bounce forward’ and overcome challenges. Sharing innovations

Australia’s world-leading National Product Catalogue (NPC) was a highlight on the agenda. The system is one of the first in the world to focus exclusively on the needs of the healthcare industry, while meeting the needs of healthcare purchasers by allowing

for provision of data about products from other sectors, and is endorsed by all state, territory and federal health departments. It is a single repository for product data about medicines, medical equipment and consumables. Aligned with the Global Data Synchronisation Network (GDSN) standards, the NPC uses GS1’s standard identifier, the Global Trade Item Number (GTIN), as the globally unique primary product identifier for every NPC record. The number of NPC users has grown by more than 30 per cent in the past nine months; it currently houses more than 230,000 GTINs for over 370 healthcare suppliers, such as Abbott Australasia and ArjoHuntleigh. State health jurisdictions, NSW Health, Health Purchasing Victoria, WA Health and South Australia Health, spoke on how they are currently using the NPC as a core strategy to improve the speed and accuracy of procuring medical products. Delegates also learned about the development of GS1 Recallnet for the healthcare sector, to improve the speed and accuracy of therapeutic product recall and withdrawal notifications in the Australia market.

GS1 Australia LiNK | Issue 30 | Autumn/winter 12 | 15


C O V E R F E A T UR E

The Global GS1 Healthcare Conference was the ideal platform for us to share information with suppliers and providers as they look to improve and standardise their business processes. We were honoured to be part of the event. — Mr Peter Fleming, CEO, NEHTA GS1 Healthcare on the horizon

GS1 Australia would like to extend its thanks for the outstanding effort made by everyone involved in the event to make it such a huge success. “Of course the conference would not be possible without the support of our industry partner, NEHTA, along with the sponsors, Clifford Hallam Healthcare, Abbott Australasia and B Braun, and supporting organisations, all of whom contributed a great deal to the event. We’d like to thank them for their commitment to making it a success,” said Ms Palazzolo. “We would also like to thank the global Healthcare User Group for the valuable opportunity to host the event and their support,” she continued. The momentum will continue with the Global GS1 Healthcare Conference in Lisbon, Portugal on 23–25 October 2012. To view presentations and video from the Conference visit www.gs1.org/healthcare/news_events/200412 Follow us and join the discussion on Twitter @GS1au_health

What people said  “ The benefit of this conference is that it allows all the

stakeholders in the supply chain and also the hospitals to get together in a neutral forum allowing them to share their experiences on the journey we’re all on, which is to improve patient safety and at the same time accrue any benefits and any savings we can using the GS1 standards.” Feargal McGroarty, Project Manager, NCHCD, St James Hospital, Ireland  “ This conference in particular was very interesting with our focus on supply chain efficiency and really trying to achieve a globally secure supply chain, which is one of FDA’s primary missions. The foundational elements which GS1 provides for us to be able to do that are critical to the success of this project.” Jay Crowley, Senior Advisor for Patient Safety, US FDA  “ It’s very much about the implementation of GTINs and catalogue management tools, and in the future we’ll be doing more on the eCommerce side; so certainly meeting people who are doing the same thing at a different pace all over the world is really valuable.” Richard Bowen, Manager Data, Systems & Reporting, Health Purchasing Victoria  “ You get to meet a whole lot of people from all over the world who are implementing the GS1 standards right through the supply chain, from the manufacturer to the distributor to the patient.” Dianne Prince, Manager Customer Supply Chain & Business Excellence, Abbott Australasia  “ You leave more educated and more motivated to go back and deliver the benefits of following the GS1 standards.” Grant Courtney, Global Serialisation and Logistics Lead, GlaxoSmithKline On Twitter

 “ Motivating speech by Feargal McGroarty, St James Hospital, Ireland. GS1 standards at work saving lives!” @Nathan_Habeck  “ 21st #GS1 Healthcare conf. In Sydney Australia kicks off with Aboriginal dance routine display...It's gonna be a great conf!” @aimconsultinguk GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 16


I N DU S T R Y N E W S

NSW Health / NPC workshops deliver Australia’s health sector is embracing supply chain reform and making significant progress towards an interoperable system that delivers substantial quality, safety and efficiency benefits for providers and consumers.

NSW Health got together with GS1 Australia and the National E-Health Transition Authority (NEHTA) to educate the industry on the National Product Catalogue (NPC) and the importance of data quality via a series of workshops held in Sydney and Melbourne during March. The NPC is increasingly recognised and utilised as the primary source of reliable product data for all healthcarerelated purchasing in Australia, with the number of users growing by more than 30 per cent in the past nine months. Endorsed by all state, territory and federal health departments, it is a single repository for product data about medicines, medical equipment and consumables, and is hosted by GS1 Australia on GS1net, the Global Data Synchronisation Network (GDSN) datapool. The NPC Data Validation & Synchronisation Workshops provided industry with insights on how NSW Health, as an NPC data recipient, utilises published NPC data in its business processes. A system walk-through gave participants the opportunity to view and understand how NPC data is processed within the NSW Health procurement system that is integrated with GS1net. The workshops were tailored for healthcare vendors to NSW Health and GS1net Certified Product Partners. “The key learnings participants took from the workshop were the expectations of NSW Health with respect to NPC data quality, as well as a summary of common data issues, how these impacted the use of NPC data by NSW Health and the tips on how to overcome each with reference to the importance of the NPC Cookbook,” said Valentino Bulaon, NSW Health Manager Procurement Information. “This immensely benefited attendees as it highlighted key areas of caution when publishing NPC data.” It is envisaged that similar workshops will be organised on a regular basis. For further information, contact GS1 Australia’s Healthcare team on 1300 227 263.

Untitled-1 1

Webinar week Healthcare suppliers tuned in for a week of webinars on ‘Realise the Efficiency of the National Product Catalogue (NPC)’ from 16–20 April.

Hosted by GS1 Australia and the National E-Health Transition Authority (NEHTA), the free webinars were designed for healthcare suppliers who want a better understanding of how and why to get started with the NPC. With interactive discussions and case studies, participants learned about the business drivers for NPC population, why the NPC is of benefit to their organisation and current requirements for all healthcare organisations to get involved. As a special offer, all participants of the webinar received an informational video on the benefits of the NPC to share information with key parts of their business.

Seminar series Hot on the heels of the successful Healthcare Webinar series, GS1 Australia and the National E-Health Transition Authority (NEHTA) will host a series of supply chain seminars in May and September 2012.

To be held in Melbourne and Sydney, the information sessions are aimed at the purchasers, suppliers and distributors of medicines, medical equipment and medical consumables. Experts from GS1 Australia and NEHTA will provide the ins and outs of the NPC, giving attendees the information they need to take the next step towards implementation. Attendees will also hear from the local health jurisdiction, as well as a supplier representative who has implemented the NPC. The seminars will be held in Melbourne on Wednesday 23 May and in Sydney on Thursday 24 May, from 7.30am to 9.30am. Registration opens at 7.00am. For more details and to register, visit www.gs1au.org/industry/ healthcare/

GS1 Australia LiNK | Issue 30 | Autumn/winter 12PM | 17 15/12/10 4:12


F E A T UR E

Brewing up a unique pallet labelling solution Carlton & United Breweries (CUB), Australia’s largest brewer, operates five breweries in Australia as well as breweries in Fiji and Samoa. Its Yatala Brewery in Queensland is one of the most state-of-the-art breweries in the world, producing 450 million litres of beer each year – satisfying approximately one quarter of the nation’s thirst for beer.

GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 18

With Yatala’s advanced brewing and packaging technology there is no room for inaccurate, incomplete or illegible pallet labels that slow output and raise production costs. Australia’s major retailers require logistics labels with unique Serial Shipping Container Codes (SSCCs) to be applied to pallets delivered to their distribution centres so they can be scanned on receipt.

To ensure the production line continued to meet industry standards for palletlabelling CUB needed a time-saving and robust solution that could withstand a 24/7 production schedule. The solution also needed to apply labels at multiple heights while complying with trading partner requirements, including the GS1 bar coding standards for pallet labelling. Working closely with CUB, insignia, a strategic alliance partner of GS1 Australia, developed a unique solution – the Domino print-and-apply label applicator system. CUB’s new pallet labelling system has been running like clockwork since installation.

The Domino applicator has reduced system downtime, lowered maintenance costs and increased production throughput for CUB, and met all of its customers’ changing technology requirements. The applicator sits within a sealed cabinet with a pneumatic door that opens only when a label is to be applied. This ensures the printer and the printhead are not degraded by dust and other materials commonly found in warehouse and production environments. A fully functional printhead is vital for printing bar codes to GS1 standards. The Domino M-Series pallet applicator at CUB comes with a standard check-scanner feature mounted to the tamp pad. This unit is protected via a sensor system to ensure it is not damaged during operation. The check scanner scans the bar codes on the label to ensure that it is applied correctly and the bar codes are readable. It then verifies that the correct label and related GTIN and SSCC are applied to the correct pallet and in the correct position.


F E A T UR E

Once a quality, readable SSCC (logistics) label is applied in the right location on the right pallet, products can be traced through the supply chain.

The Domino M-Series print engine operates with a 300dpi printhead. This highresolution printhead provides more options for the maximum magnification of the bar codes within the standards for the specific label size used. The scanner monitors the performance of the printhead. The quality of the printhead and the media management of the print engine ensure a quality bar code is produced even when printing a bar code in ladder format. This has allowed insignia to deploy a 4-inch 300dpi printhead at CUB and print the label in ladder format. Unique tamp-pad and tamp-arm cylinder technology within the system allows the label to be rotated 90 degrees once on the tamp pad and applied in the correct orientation to the pallet. This means that if a pixel in the printhead does blow and a line is created in the print, it will not lead to an unreadable bar code. A key feature of the CUB Domino M-Series SSCC pallet-labelling system is its automatic height adjustment capability. CUB has a core need to meet an industry requirement of applying SSCC labels to

unwrapped pallets. In this case they need to apply the label to the side of one carton only on the pallet i.e. not overlapping another carton. The automatic height-adjustment technology means that once a label is printed onto the tamp pad, the tamp arm will then drop to the requisite height for the specific label size used. As only the lightweight tamp arm is moving to meet these differing height requirements, there is less wear and tear on the system and the arm can move quickly to apply the label in the shortest time possible. With this system in place the label is applied in the correct position according to GS1 standards so the pallet can be scanned on receipt at the retailers’ distribution centres. As a proactive business CUB saw the potential supply chain benefits of implementing this system and the flowon effects through this quality practice throughout their supply chain. Once a quality, readable SSCC label is applied in the right location to the right pallet, products can be traced through the supply chain.

Get your logistics labels right every time GS1 Australia offers an onsite service for suppliers to assess logistics (pallet) label quality and adherence to the Australian industry requirements. Not only will our experienced team ensure your labels meet the technical specifications but they will also assess the business process involved. We will provide an ISO grade and scan rate of all labels assessed. We will then assist you to improve your processes, ensuring your logistics labels scan first time, every time. Contact the GS1 Australia Industry Engagement team on 1300 227 263 or visit www. gs1au.org/services/logistics_ labelling GS1 Australia LiNK | Issue 30 | Autumn/winter 12 | 19


I N DU S T R Y N E W S

AUSTRALASIAN FOODSERVICE JOINS FORCES Australasia’s foodservice players have joined together to improve supply chain processes and standards in the foodservice sector, and are now calling on industry participants to get actively involved.

Did you know… The GS1 Australia Foodservice eCom and Numbering & Bar Coding Guidelines can be found on the GS1 Australia website www.gs1au.org GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 20

Key suppliers, manufacturers and distributors from the foodservice sector have formed the GS1 Australasian Foodservice Industry Steering Group (FISG) with the aim to drive improvements in cost efficiencies, methodologies and traceability in the foodservice supply chain.

A group as diverse as the industry itself, the FISG members include Countrywide Australasia, Bidvest, Food SA, Foodservice Suppliers Association of Australia, GS1 Australia, McCain, NAFDA, National Foods, Nestlé Australia, PFD Food Services, Simplot, and Snap Fresh. Mr Mandeep Sodhi, B2B and Supply Chain Technology Manager for Nestlé, has been formally appointed to the role of Chairman of the FISG. Mr Sodhi said that the adoption of GS1 standards is going to dramatically change the foodservice industry for the better. “Without these standards, our transactional systems and product information differ all across the board. The grocery and retail industries have been successfully using a standardised product identification and data sharing system for years. Now it’s the turn of the foodservice industry. “This is an exciting initiative for the foodservice sector. We look forward to working together with fellow members of the foodservice industry in order to make the supply chain more efficient and visible,” said Mr Sodhi. GS1 Australia CEO, Maria Palazzolo, said there are many cost reductions, efficiency gains and improved traceability available to foodservice businesses through widespread usage of the GS1 System and supply chain best practice. “The business of food is changing fast. But with the industry working together, the GS1 standards will drive measurable improvements in efficiency, product information, and safety for foodservice businesses individually and the industry as a whole,” Ms Palazzolo said. The FISG has set up two working groups to deliver results to all participants: Numbering & Bar Coding and eCom. Richard Cohen, CIO of PFD Food Services, was elected as head of the eCom working group. Steve Johnson, IT Project Manager at Bidvest, also joined the eCom working group. The FISG will also focus on traceability for the foodservice industry. The FISG invites fellow industry professionals to join the Steering Group. If you are interested in learning more or to join, email Mandeep Sodhi at mandeep.sodhi@au.nestle.com


I N DU S T R Y N E W S

agribusiness call to action Key retailers and suppliers to the Australian agribusiness industry are calling on all suppliers to adopt and support the GS1 standards for numbering and bar coding.

If you are a supplier and have not yet applied GS1 numbers to your products or have not physically bar coded your products, we encourage you to talk to your trading partners about how you will meet the requirements. —Joseph Taylor, GS1 Australia Senior Advisor – Industry Engagement

The call to action issued by the Agribusiness GS1 Standards Group (AGSG) outlines new industry numbering and bar coding guidelines set to impact all suppliers to the agribusiness sector. The Group has identified this as the first step in improving supply chain efficiencies in the agribusiness sector.

The Global Trade Item Number (GTIN) will become the single unique product identifier for all parties in the supply chain. The Group recommends suppliers assign GTINs to all levels of product packaging. In addition, it recommends all new products introduced to the market from 1 January 2012 are to be physically bar coded on all levels of packaging with GS1-compliant bar codes, and all existing products in the market must be physically bar coded on all levels of packaging by 31 December 2012. Mr Joseph Taylor, GS1 Australia Senior Advisor – Industry Engagement, says to assist with the implementation, the Group has developed the Agribusiness Sector Numbering and Bar Coding guidelines document. “If you are a supplier and have not yet applied GS1 numbers to your products or have not physically bar coded your products, we encourage you to talk to your trading partners about how you will meet the requirements,” said Mr Taylor. The Agribusiness Sector Numbering and Bar Coding guidelines can be downloaded at www.gs1au.org/industry/agribusiness. For further information on this initiative please contact Joseph Taylor at GS1 Australia on 02 9695 2227.

GS1 Australia LiNK | Issue 30 | Autumn/winter 12 | 21


A L L IA N C E P AR T N E R S

Bizcaps Enhancements Unveiled Bizcaps Software unveiled a new release of their entire business platform along with a timetable for additional enhancements to be added throughout 2012 to include a revolutionary business process design tool and simple integration tools. Over 150 clients, partners and GS1 Australia staff attended the launch events in Melbourne (at GS1 Australia’s premises), Sydney and Auckland in late February and early March.

“It’s the most significant release of products in the company’s history,” says Bizcaps Development Director, Bill Blinco. Bizcaps’ entire range of web-based Master Data Management (MDM) and Business Process Management (BPM) software is even easier to use and includes a range of new features. “Our focus is on delivering products that enable rapid deployment, minimal coding, maximum configuration and the involvement of non-technical people wherever possible,” Mr Blinco says.

New partners bring new solutions GS1 Australia has strengthened its partnerships with exciting new Alliance Partners and a new staff member.

In FY11–12, BearingPoint, MYOB, SPS Commerce and EDIS Technologies have joined GS1’s Alliances Program. GS1’s partnership with these four expert solution providers will allow members to access even more best-in-class partner solutions that are accredited to work with the GS1 System. “These are highly reputable companies with great expertise in the supply chain and relevant technologies," explains Ms Joseli Munive, GS1 Australia’s National Manager – Alliances and Partnerships. The Alliances and Partnerships team has welcomed a new Senior Advisor, Michiel Ruighaver. Michiel joined the team in November 2011 and is based in Melbourne. Providing support for Ms Munive, who is based in Sydney, Michiel is responsible for managing Alliance Partners and assisting in the development of programs and initiatives to continue expanding the partnerships. For more information about becoming an Alliance Partner, please contact Joseli Munive on 1300 227 263 or email joseli.munive@gs1au.org GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 22

Bizcaps contributes to the smooth operation of some of Australia’s largest health, grocery, liquor, office and hardware suppliers by helping create, maintain and synchronise their product data catalogues with their trading partners through the national GS1net and National Product Catalogue (NPC) data pools. It also provides complementary software for their trading partners such as large food and beverage retailers and state health departments. The new release offers an enhanced user interface and far more seamless interactivity with back-end systems such as SAP and Oracle, allowing customers to install Bizcaps as a friendly front-end to existing systems. Food industry MDM customers will have access to ‘FoodTech’, allowing food technicians to securely create, manage, test, evaluate and store multiple versions of recipes, plug them into existing catalogues and workflows, and recalculate critical labelling and compliance data. This is an excellent tool that facilitates GS1 GoScan data support. Healthcare MDM clients will gain access to a tender submission workflow process template, allowing them to more easily respond to state health department tenders, while clients in the grocery sector will be able to incorporate workflows into their product lifecycle processes. “Our new business process design tool, FlowScribe, is revolutionary, allowing users to construct workflows that move dynamically to create readable diagrams,” Mr Blinco says. “Until now only the largest companies could afford to implement detailed workflow processing, but Flowscribe will make easy workflow development and adjustment affordable for smaller organisations.” FlowScribe will be released in the second quarter of 2012. Other planned enhancements include the Liberator product, which allows easy integration of data across platforms, slated for the third quarter of 2012.

Solutions are just a click away Looking for a scanner, reader, software, RFID tags, packaging design, printers, data warehousing, or perhaps a knowledgeable consultant to help you with the reorganisation of logistical processes or eCommerce enablement?

Reduce your risk and work with a solution provider who is trained by GS1 Australia. Solution providers, all members of GS1 Australia’s Alliances Program, have the knowledge and products to assist members in correctly implementing the GS1 System. The online Solution Providers Directory – accessible under ‘Alliance Partners’ on www.gs1au.org – lists 60-plus solution providers with their full contact details. Members can search by company, state or category to find the help they need. All solution providers are also listed on the Alliance Partners flyer, which can be downloaded from the website. www.gs1au.org/membership/spd



AD V E R T O RIA L

Safeguarding your business

AUSTRALIAN CONSUMER LAW THE IMPACT AND IMPLICATIONS OF THE AUSTRALIAN CONSUMER LAW LEGISLATION AND THE ACCC FOR BUSINESSES The impact of a product contamination and possible recall of a product can be far reaching and have a devastating effect on a company’s profitability, brand name and reputation in the marketplace. Years of investment of time and money to create a product and market share can be dramatically impacted overnight.

It does not matter what the industry type, size or location, one single incident and the subsequent media attention could leave a company in ruins if the product recall is not managed effectively. On 1st January, 2011, the new Australian Consumer Law (ACL) was introduced and is being administrated by the Australian Competition & Consumer Commission (ACCC). With the legislation applying to all suppliers of goods and services to consumers, Australian businesses need to be aware of their obligations. The law replaces many of the consumer provisions in the former Trade Practices Act (now called the Competition and Consumer Act) and State Fair Trading Legislation, and will affect all suppliers of Goods and Services to ‘CONSUMERS’ (as they are defined in the ACL). The ACL requires that suppliers notify the ACCC if the supplier becomes aware of a death, serious injury or illness that may have been caused by the use or foreseeable misuse GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 24

of its consumer goods or product-related services. This notification is mandated to be made within two days and provide certain information about the incident and the distribution of the product. The mandatory reporting obligation applies to all parties within a supply chain from manufacturer to retailer. Failure to comply is a strict liability offence and will attract penalties and fines starting at $3,330 (individuals) to $16,500 (corporations) and higher for more serious breaches. In essence there are three triggers to the reporting requirement for a supplier:  the goods in question are ‘consumer goods’  the supplier of the consumer goods, or of services related to those goods, becomes aware of the death, serious injury or illness  the supplier considers (or becomes aware that another person considers) that the death, serious injury or illness was caused, or may have been caused, by the use or foreseeable misuse of the goods. Since the ACL came into effect, the ACCC has received over 900 mandatory reports triggering 40 recalls. Breaches of the legislation have resulted in the ACCC issuing over $3.6 million in fines. These fines ranged from $45,000 to $100,000, for breaches in health safety and a $400,000 fine against a company for mislabelling products.

Any supplier can be faced with the need to instigate a recall despite the best efforts in quality control and management. For many businesses, the ability to respond to a recall within mandatory requirements is beyond the skill set of the business. It is therefore important to consider whether the continuity of the business requires incorporation of new recall notification systems, such as GS1 Recallnet, to be adopted in conjunction with a tailored insurance policy. Willis Australia Ltd has developed a specialised and exclusive insurance solution for GS1 Recallnet registered users involved in the food and beverage industry including:  Manufacturing  Retailing  Wholesaling  Exporting  Distribution This exclusive facility, which is available only to GS1 Recallnet users, covers the following insured events: ■ Accidental Contamination  ■ Alleged Contamination ■ Government Recall  ■ Intentionally Impaired Ingredients  ■ Voluntary Consumer Recall  ■ Malicious Product Tamper  ■ Adverse Publicity  ■ Products Extortion Companies can have the peace of mind that the costs associated with a product recall arising as a result of an Insured Event will be covered, including recall costs, retailer recall costs, fines and penalties as well as consultant and advisory costs. To find out more about the extensive range of features from this exclusive facility and to discuss your individual requirements, please contact: Willis Australia Robert Hale

Stella Pruscino

T: 03 8681 9703 M: 0433 377555 E: halera@willis.com

T: 03 8681 9978 M: 0430 364437 E: pruscinos@willis.com

www.willis.com.au Important Note: This is not legal advice. It is general advice only, and specific professional advice should be sought before applying this to your individual circumstances.


AD V I C E

Test early, test often You have worked hard to develop the right product, invested in eye-catching packaging, and done the legwork to get it onto the retailers’ shelves. But retailers won’t keep stocking it if you fail at the vital hurdle, the point of sale. A bar code that does not read at the check-out is frustrating for both the customer and the retailer, and with minimal staffing these days, retailers cannot afford the time to manually ring up the sale time and time again.

Woolworths, for example, sells over 8 billion consumer items. For every 1 per cent nonscan rate, it will have 82 million failures. In theory, the impact on customers would be 245,000 hours of delay at checkouts – and this calculation does not even include items that take two to three attempts before they scan successfully, or the products where the bar code has to be ‘found’ or unfolded to get a scan. Such examples would equate to a similar impact for customers and stores. Making sure that your bar codes will scan perfectly starts early in the product development process, at the packaging design stage. A software error or other mistake could cause a corrupted bar code being reproduced on your packaging, and it’s too late to discover it once you have printed thousands and thousands of labels or cartons. The best way to ensure your bar codes are just right begins with an assessment of the bar code against GS1 standards and ISO bar code quality standards. This should be done at the artwork or pre-press stage, using a hard copy (print-out) of the bar code at the actual size. The bar codes should be re-tested after the labels or packaging have been printed, to make sure that the printing process is sound and the print quality meets the necessary standards.

Trust the experts

Using a scanner to check the readability of bar codes is inadequate, since no two bar code readers are exactly the same. The trained eye can spot many bar code quality issues, but manual intervention is required for the finer details. Take advantage of GS1 Australia’s Bar Code Testing Service. The bar codes are tested and a conformance report is generated, providing assessment outcomes and recommendations. The service is available to all companies producing or using GS1 bar codes. Bar code verification reports given by the Bar Code Testing Service will make recommendations for improvement if necessary, and provide you with the reassurance that the bar code will scan correctly throughout the supply chain. You can eliminate the cost of reworking bar codes and maintain a good relationship with your trading partners. For more information on the GS1 Australia Bar Code Testing Service please contact GS1 Australia Testing Services on 1300 227 263 or email technical@gs1au.org.

GS1 Australia LiNK | Issue 30 | Autumn/winter 12 | 25


FI N A L W O RD

FINAL WORD How Standardising Healthcare Data Saves Time And Improves Care Consider the scenario. A 70-year-old woman goes to hospital for a hip replacement, the wrong prosthesis turns up and the surgery is delayed. The impact of this is multifaceted. The immediate cost to the patient is increased pain, stress, inconvenience and more financial burden of having to stay in hospital longer. Meanwhile, the hospital faces the costs of repurposing staff time, theatre and bed allocation, additional medication, not to mention the ripple effect onto other patients and families. This is just one instance of the wrong product being ordered or delivered – a scenario that can be avoided with the right data.

Mark Brommeyer Manager Supply Chain, NEHTA

GS1 Australia LiNK | Issue 30 | autumn/winter 12 | 26

The ultimate goal of the healthcare supply chain is to deliver the right materials and information at the right time, in the right quantities and to the right locations so that patients receive quality care. The bottom line is that having the wrong product information, and worse, the wrong product, makes it harder to care for patients. Accurate data is critical. Working with GS1 Australia, the National E-Health Transition Authority (NEHTA) has introduced the National Product Catalogue (NPC), which provides the ability to store and share accurate, complete and up-todate information on healthcare products between suppliers and healthcare delivery organisations. The objective of the NPC is to ensure better overall data integrity

throughout the healthcare supply chain sector. The reality is it delivers many more benefits to its users including: the reduction in order errors and the supply costs associated with invoice reconciliations, credit claims, returns and refused deliveries; the efficient use of clean data for eProcurement; the removal of inefficient paper-based forms and automating the efficient distribution of product information; secure pricing information available only to nominated trading partners; and reliable continuity of supply with minimum inventory investment. The number of NPC users has grown by more than 30 per cent in the past nine months. It currently houses more than 230,000 Global Trade Item Numbers (GTINs) for over 370 healthcare suppliers. We anticipate that full implementation of the NPC will save the public healthcare sector at least $AU200 million per annum by ensuring accurate, valid and up-to-date product data, in addition to improved communications and supply chain operations. It is a foundational component for Australia’s transition to an electronic health system.


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