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CHAPTER 1
INTRODUCTION
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CHAPTER 1: INTRODUCTION

1.1 PRODUCT STANDARDISATION

Standardization means implementing and developing the technical standards based upon
the agreement of different parties. Standardization helps in maximizing the compatibility,
interoperability, safety, repeatability or quality. It also facilitates commoditization of
formal custom process. The ideal of standardization is closely related to the solution for
the coordination problem, in which all party realize mutual gains but only by making
mutual consent. Standard weights and measures were developed were developed by the
Indus Valley Civilization. This system serves the commercial interest of the merchants.
International marketing is becoming a major trend in modern business. The concept of
product standardization and adaptation are not new ones with regards to global marketing
strategies. Product standardization refers to a uniformity in the representation of all the
aspects of the product such as quality, material used in manufacturing, packaging
irrespective of the location around the world. This process is intended to help customers
prepare their minds more easily and create informed decisions. It also meant to make
customers safer by creating technical standards and guidelines for manufacturers to create
in order to qualify for sale. It creates general practices and standards that all products on
the market must meet. It helps lower prices by encouraging a broad range of different
resources for customers that all offers different benefits to the customers but should still
meet a generally accepted idea of what a specific product should be. This avoids the
confusion or mislabelling of specific items. Consumers are guaranteed protection from
manufacturers and these businesses are liable for their actions. Product can be either
standardized or customized to a targeted customer base. The features of the products are
kept identical as far as possible. On the other hand, product adaptation refers to the
modifications made in order to settle the product to each market.
In the last decades, business in general have increased and most companies have
extended their product offerings across national borders and cultures respectively.
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1.2 FACTORS FAVORING PRODUCT STANDARDISATION

 Economies of scale: When a set of guidelines are being laid down in order to
produce identical goods or services, the cost of raw materials goes down. It
ensures that both production and maintenance cost are kept low. Since there
is no requirement to introduce the product with different benefits i.e. iteration
of the product, the expense of the product is automatically reduced.
 Product Efficiency: The process of production becomes more efficient, when
there is a need to maintain uniformity of products. Efforts required are less
on production.
 Building brand Image: When the product is available across the different
markets, including international markets, with the uniform features, it
establishes brand with customer base and trust. Irrespective of the location,
the product with same quality is delivered to the customer, this reinforces the
branding of the product.
 Economies in Marketing: When the product with same quality is launched in
different markets, economies of scale can be achieved in terms of inventory
management, advertising and after sales service requirements.
 Product Innovation: Different organizations in a particular industry that
offers standardized goods build upon the standardized product to produce
more unique good/ service that is consistent with the standards of the
industry yet improved in nature.
 Forming a Global Standardization Strategy: As more and more companies
sell their products globally; the standardization matters even more.
Customers in one country know that the product will be of equal quality
because both are made according to the same standards. This helps an
organization in marketing products globally much easily and less
expensively.
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1.3 BARCODES

A barcode is an optical machine-readable representation of data relating to the object to

which it is attached. Barcode contains information about product like price, weight,
manufacturing data, Expiry date etc. Every product has a unique barcode all over the
world. There are several types of barcodes.
 1 Dimensional (1D):
“1D” barcode is used for the normal products like groceries, pen and electronic
equipments.
Figure 1.1: 1 Dimensional Barcode

 2

Dimensional (2D):
“2D” is similar to “1D” barcode, but the only difference is that it can store more data per
unit area as compared to the 1D. 2D barcode in used in Paytm App.
Figure 1.2: 2 Dimensional Barcode

 Code 39
Various – international standard ISO/IEC 1638.
Figure 1.3: Code 39

 EAN 2
Addon code (magazines), GS1-approved – not an own symbology – to be used
only with an EAN/UPC according to ISO/IEC 15420.

Figure 1.4: EAN 2

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 EAN-8, EAN-13
Addon code (magazines), GS1-approved – not an own symbology – to be used only
with an EAN/UPC according to ISO/IEC 15420. Worldwide retail, GS1-approved –
International Standard ISO/IEC 15420
Figure 1.5: EAN 8, EAN-13

 ITF-14
Non-retail packaging levels, GS1-approved – is just an Interleaved 2/5 Code
(ISO/IEC 16390) with a few additional specifications, according to the GS1 General
Specifications.
Figure 1.6: ITF-14

1.4 HISTORY OF BARCODES

The necessity of the inventory tracking system led to the invention of barcodes. It’s the
innovation which have forged a way for a billion-dollar industry. The idea of barcode
traced in 1948 when Norman joe Woodland and Bernie silver from Drexel Institute in
Philadelphia created the first prototype for a linear barcode using combination of Morse
code represented by extending the lines to write first linear barcode and movie sound
track technologies to read the barcode (Gavin Weightman 2015).
Woodland converted lines into circles, to get the code readable which was known as
“Bull-eye” Code and they were granted patent in 1952. But the code became useless,
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because the main problem wasn’t resolved- to capture the data quickly and accurately at
the checkout counter.
Then, the UPC was introduced in 1973. The code was split into halves of 6 digit each
wherein each digit described the details of the product and can be scanned. It was
developed by IBM engineer George Laurer providing input on the project of Joe
Woodland. In June, 1974 the first UPC scanner was installed in troy, Ohio. The first
product to have a barcode was Wrigley’s Gum.

1.5 GENERATION OF BARCODE

i. COMPANY PREFIX
The first step is to assign the numbers that go inside the barcode, called Identification
Keys. For assigning identification keys, obtain company prefix from GS1 member
organisation. This prefix provides a way for companies to create identification keys for
trade items, logistic units, parties etc which are unique all over the world.
Figure 1.7: Identification Keys
.

ii. ASSIGNING NUMBERS

After receiving a company prefix, a company is ready to begin assigning identification
numbers to their trade items or service relationships.
Figure 1.8: Assigning Numbers
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iii. BARCODE PRINTING PROCESS

To begin, first decide what you are barcoding and type of information barcode will carry
static or dynamic.
If the information is Static, the barcode can be printed using traditional printing presses
directly on the package.
If the information is dynamic, either digital or a combination of digital and traditional
printing will be required.

iv. “PRIMARY” SCANNING ENVIRONMENT

By knowing the scanning environment of the barcode, the right specifications for its
production can be established. Barcodes to be scanned at retail-point of sale will need to
support omni-directional scanning. If the barcode to be scanned at retail-point of sale and
in warehouse, their point of sale will work but printed in larger size to accommodate
scanning in the distribution process. Barcodes on healthcare products to be scanned in
hospitals and pharmacies don’t require omni-directional scanning, unless the items are
also scanned at retail-point of sale.

v. TYPES OF BARCODE
Selecting the right barcode is critical to the success of barcode implementation plan
keeping in mind some tips:
 For retail-point of sale, first symbol is the EAN/UPC symbol.
 For a barcode containing variable information, then use GS1-128, GS1 data bar
or 2D symbols.
 For encoding URL into barcode, then use GS1 2D symbol.
 For an outer case scanning, then use ITF-14.

Figure 1.9: Types of Barcode

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vi. BARCODE SIZE

After the correct barcode is specified together with information to encode in it, then
design stage begins. The design depends upon symbol specified, used and printed.
The final major consideration for symbol size is the capability of the selected printing
process. Printing companies should establish a minimum symbol size and BWR to
achieve acceptable and repeatable quality results.

vii. BARCODE TEXT

The text beneath a barcode is called Human Readable Interpretation (HRI), is important
because if the barcode is damaged or of poor quality to begin with, then the text is used as
a back-up.
Figure 1.10: Barcode Text

viii. BARCODE COLOUR

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The optimum colour combination for a barcode symbol is black bars with a white
background but if you want to use other colours, following may help in choosing
satisfactory ones:
 Required dark colours for bars
 Should always consist of a single line colour and never be printed by multiple
imaging tools.
 If using multiple layers of ink, each layer should be printed as a solid colour.
Figure 1.11: Colours of Barcode

ix. AREA FOR BARCODE PLACEMENT

Symbol location refers to the symbol placement on the design. After determining the
proper placement, the printing company should be consulted because many printing
processes require barcodes to be printed in a specific orientation to the feed direction of
the web. If using flexographic printing, the bars should run parallel to the press direction.

x. BARCODE QUALITY PLAN

ISO/IEC 15416 Barcode Print Quality Test Specifications for linear symbols describes a
method for assessing the quality of barcode symbols after they are printed. An ISO- based
verifier looks at the symbol in the way a scanner does, but goes further by grading the
symbol’s quality.

1.6 OVERVIEW OF THE COMPANY- GS1 INDIA

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GS1 India was earlier known as EAN (EUROPEAN ARTICLE NUMBER). This name
was used all over the world but United States did not adopt it. They adopted the concept
but did not adopt the name EAN, so they made a different system named UPC. So,
because of the two systems existing, in 2005 EAN changed to GS1.
GS1 began with a barcode. On 26 June 1974, a packet of chewing gum became the first
barcoded product to be scanned in store. Today, barcodes play a crucial supply chain role,
ensuring products hit retail shelves at the right times. We manage the barcode standard
used by retailers, manufacturers and suppliers. They boost efficiency in all sectors, from
retail and health to transport and logistics. Open standards in general enable
interoperability, flexibility and vendor independence which in turn result in reduction in
end product costs to businesses and consumers. Flow of information also became faster,
accurate and seamless among multiple users/ trading partners. GS1 is known for the
development and implementation of universal, interoperable and user-friendly standards
in supply chain management. These standards provide unique and universal identification
of products, data capture and seamless sharing of supply chain information between
trading partners including retailers, logistics providers and also consumers.

1.7 GENERATE AND SHARE INFORMATION

No matter where a business is based or what language it uses, trading partners can always
understand one another with the help of GS1 standards.

Figure 1.12: Generate and Share Information

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 IDENTIFY
GS1 Identifies provide unique, unambiguous and universal identification of products,
assets, service relationships, locations/ entities etc.

 CAPTURE
GS1 Barcodes- Standards for encoding GS1 Identifiers in barcodes
GS1 EPC/RFID- Standards for encoding Electronic Product Code (EPC) in Radio
Frequency Identification (RFID) tags. Also includes standards for reader management
and middleware.

 SHARE
GS1 e -Com- Standards for electronic business messaging for standardized electronic
business data transmission between trading partners.
GS1 GDSN - Standards which enable synchronization of master data between trading
partners using the Global Data Synchronization Network.
GS1 EPCIS– Standards for sharing EPC related information between trading partners,
safely and securely on the What, Where, When, and Why of events occurring at any point
in supply chains.
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1.8 EVOLUTION OF GS1 STANDARDS

Figure 1.13: Evolution of Standards

1973
Single standard for product
identification known as GS1
Barcode
1974
1976
Uniform Code Council
established in US. Identification system to go
global
First barcode scanned in Ohio

1989 1983 1977

Expanded to logistics units with Expanded beyond point of sale Launches GS1 identification
GS1-128 with ITF-14 barcodes system

1990
1995 1996
Signing a cooperative
Expanded GS1 standards in Standardisation Committe is
Agreement between GS1 US
healthcare with collaboration launched
and GS1

1999
2002
2000 Auto-ID Centre is launched
GSMP is launched to discuss
GS1 presence in 90 countries leading to the development of
new standards
Electronic Product Code.

2004
2003 2005
GDSN is launched to efficiently
GS1 Data Matrix is approved GS1 is launched worldwide
exchange master data

2013
Celebrates 40 Years of the
Global Language of Business
2007
2011
World Customs Organisation
Expands its offerings with
and GS1 sign a memorandum
publication of GS1 QR code
of Understanding

1.9 COMPANY’S OBJECTIVES

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A not-for-profit, industry-led global standards body headquartered at Brussels, Belgium,

with a global network of over 110 member organizations around the world, has been
dedicated to design and implement the global standards to improve efficiency and
visibility of supply and demand chain for more than 40 years. Approximately two million
companies across 20 industries such as Retail & Consumer Packaged Goods, Food,
Healthcare, Transport & Logistics (including Customs), Government etc. worldwide are
using the GS1 System of standards.
GS1 India was set up by Ministry of Commerce and Industry, Government of India
along with leading Chambers of Commerce and Industry, BIS etc. in 1996 as a not-for-
profit, independent standards body. Its founder members include:
 Ministry of Commerce and Industry, Government of India
 Spices Board
 APEDA (Agricultural & Processed Food products Export Development
Authority)
 CII (Confederation of Indian Industry)
 FICCI (Federation of Indian Chambers of Commerce and Industry)
 ASSOCHAM (Associated Chambers of Commerce and Industry of India)
 IMC (Indian Merchants’ Chamber)
 FIEO (Federation of Indian Export Organizations)
 BIS (Bureau of Indian Standards)
 IIP (Indian Institute of Packaging)
As an affiliate of GS1 Global, GS1 India administers and allocates GS1 product
identifiers used in barcoding for unique and universal identification of supply chain
objects, i.e. - products, logistic items, trading partners, locations, documents, assets etc.
and other GS1 Standards.
GS1 standards include GS1 Identifiers, GS1 Bar Codes, GS1 e-Com (for electronic
business messaging), GS1 GDSN (for data synchronization) and GS1 EPC
global standards (for RFID technology).These standards provide a global language of
business that helps organizations identify, capture and share information throughout the
global value chain in a uniform, structured, seamless and consistent manner.
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These widely implemented standards enable unique and universal identification of

products, assets, services, entities/locations, data capture and seamless sharing of supply
chain information between trading partners including manufacturers/ suppliers etc.
In particular in healthcare for enhancing patient safety through detection of spurious drug
and fake medical devices, in the event of food crises to limit unsafe food supply through
effective recall, in e-Governance for bringing transparency in procurement etc. In
consideration of growing importance by sharing trusted product information in
multichannel retail environment, GS1 launched GS1 Source- a platform for sharing the
information in consumer-facing digitals channels.

GS1 believes in the power of standards to transform the way they work and live.

 Create a common foundation for business by uniquely identifying, accurately

capturing and automatically sharing vital information about products, locations
and assets.
 Enable visibility through the exchange of authentic data.
 Empower business to expand with operational efficiency and database.

1.10 GS1 VISION AND MISSION

At GS1, Our VISION is a world where things and related information move efficiently
and securely for the benefit of businesses and improvement of people's lives, every day,
everywhere.
At GS1, Our MISSION is to be the neutral leader enabling communities to develop and
implement global standards providing the tools, trust and confidence needed to achieve
our vision.

1.11 PRODUCTS AND SERVICES

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 PRODUCTS /SOLUTIONS AVAILABLE TO CUSTOMER

Figure 1.14: Products/ Solutions to customer

MOBILE
BARCODE
UPSTREAM
INTEGRATION

TRACEABILITY

1. Traceability
The ability to track and trace goods across multiple trading partners with real-time
visibility and quickly respond to market needs is the key to a successful and efficiently
managed supply chain. In this context, businesses such as manufacturers, logistics
providers and retailers are facing a multitude of challenges, which include:
Higher than ever expectations of quality and safety from consumers.
Increased demand of quick and efficient response to questions regarding product
ingredient from regulators
Need for immediate and effective product withdrawals/recalls in the event of a crisis.
Increased demand for product authentication and counterfeit detection to protect brand
integrity and consumer safety.
GS1 standards provide the framework for unique and universal identification of products,
data capture and seamless sharing of supply chain information. GS1 Global Traceability
Standard (GTS), developed in 2005 with active participation of global industry defines
the globally-accepted method for uniquely identifying and sharing information on -
trading partners, trading locations, trading items, logistics units, Inbound and outbound
shipments.
GS1 Traceability standards enable compliance with all major global regulations such as
ISO standards on traceability and recall, GAP (Good Agricultural Practice), EU Food
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Law, U.S. Bioterrorism Act and HACCP, among others. These have been endorsed by
major food trade bodies, which include the British Retail Consortium (BRC) and IFS.

2. Upstream Integration
Today’s economy is consumer driven. There are more products available for consumers
to choose from leading to stiff competition between brands and need for greater speed to
market. This puts pressure on upstream partners, necessitates greater visibility of product
and information flow and creates a more responsive supply chain. GS1 Upstream
Integration (GUSI) is the GS1 Solution that addresses the challenges companies face in
their attempt for integration as shown below.
Figure 1.15: Upstream Integration

Benefits of GUSI
3. Faster integration: up to 75% reduction in the time taken to connect to new
partners.
4. Reduced IT costs for:
1. Set-up: reduced development and training costs (both IT and business staff)
2. Maintenance: due to phasing out of multiple non-standard interfaces
 Increased scope: Increased ROI
Consumer pressures and the importance of quicker speed to market are more important
for Consumer Goods companies. Bearing this in mind, the GUSI working group
supported by GS1 has successfully designed a business model known as the Upstream
Integration Model (UIM), and decided to adopt the GS1 XML message standards to
exchange information between the trading partners in support of these supply chain
processes. The UIM creates a uniform approach and language for the business process
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and data sharing between manufacturers and suppliers. Currently, the GUSI is working to
address the following issues for Consumer Goods companies:
Tailoring the GS1 standards for item identification and electronic communication
Supporting the development of implementation guides
Providing assistance for implementations

3. Mobile Barcode
More than 4 billion people – over half the planet –are equipped with mobile phones.
Mobile devices have turned out to be the largest business ‘Impactor’ since the ‘world
wide web’ took the world by storm. Smart phones have drastically changed the lifestyle.
Now, they are also poised to change the way we shop. This has led to the convergence of
retail operations with mobile communication.
Currently the mobile ecosystem is not fully interoperable that is services are not
compatible across all mobile devices and operators. This makes it prohibitively costly and
complex to launch scalable global services. As use of mobile services in business
continues to grow, the need of global standards and open and neutral infrastructure
trusted by both businesses as well as consumers becomes acute. Without a neutral, not-
for-profit and global organization it would be difficult to make such diverse companies
and organizations to agree on a common universal standard.
The GS1 Mobile Com group is a collaborative, neutral, global forum for all stakeholders
interested in mobile commerce and mobile communications: brand owners, retailers,
mobile operators, mobile phone manufacturers, service providers, government
organization and regulatory bodies and a variety of industry associations.
The goal of the GS1 Mobile Com initiative is to provide consumers access to trusted
product information and related services through their mobile phones.
One of the key applications for standards-based mobile barcode is ‘extended packaging’.
It enables consumers to access product information by scanning the product barcode
through their mobile phones.GS1 has also published a whitepaper titled “Mobile in
Retail: getting your in-store environment ready for mobile”.

Applications of GS1 Mobile Barcode

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 providing store location details

 making promotional offers to shoppers on the go
 offering specially designed mobile-shopping websites
 enabling loyalty programs
 displaying discount coupons
 making payments for show tickets, parking or transportation.

1.12 RATIONALE OF THE STUDY

This study throws light on the benefits of the barcodes for the company and consumers.
The main benefit of barcode for the customer and company is to provide easy access to
product information with respect to inventory management software. The study includes
various parameters on which the customer and company takes their decision towards the
requirement of barcodes on products. The study also aims at studying the awareness level
of customers towards barcodes.
Findings of this study will add to the existing body of knowledge on this subject and may
be used by the company to design product/service offerings.
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CHAPTER 2
REVIEW OF LITERATURE
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CHAPTER 2: REVIEW OF LITERATURE

A small number of studies have been conducted on the customer perception about the
benefits of using barcodes. A brief literature review would help in gaining the insight into
the selected problem.

2.1 PRODUCT STANDARDISATION

Shinyi chin and Bradley Wilson (2011) stated that it posts a classificatory structure that
incorporates both new and old-style media formats of product standardisation.
Understanding the frameworks for advertisers considering different product
standardisation which may facilitate brand planning. Studying the customer aspects and
analysing the aspects.
Bergersen, Zierfuss (2004) stated that internal validity can be protected by using
theoretical propositions against the empirical study. The means for conducting an
evaluation of the study includes the process of construct validity, internal validity,
external validity and reliability.
Vrontis (2003) identified that both adaption and standardisation are used the same time
when the multinational corporation cross geographical borders and expand their
operations to foreign markets. The level of integration depends upon consideration of the
relationship between the reasons and elements identified. The research proposes a new
modelling approach, the Adapt Stand Process outlining the level of integration across
marketing mix elements.

2.2 ADVANTAGES OF PRODUCT STANDARDISATION

Madar (2010) concluded that the producer should concentrate more on product
standardisation in order to preserve the costs and prices at a low level and to consolidate
the global market position. Different companies have different levels of standardisation.
The study was concluded by using methodical analysis.
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Dr. Jungmittag, Dr. Blind and Dr. Mangelsdorf (2012) studied the micro- and
macroeconomic benefits of standardisation. The study was followed by further analysis
which not only used similar methodological approaches and covered similar time frames
but also led to comparable studies. The study demonstrate that standards have a positive
influence on economic growth due to the resulting improved diffusion of knowledge. The
contribution of standards to the growth rate in each country is equivalent to 0.9% in
Germany, 0.8% in France.
Angana (2014) in her study wraps up that more customers perceive product quality
through the various cues like price, brand image, superior product features significantly
influence consumer perception of quality of their favourite brand of durable. The results
revealed that majority of the respondents believed that their favourite brand of durable
was better than other competing brands. The study is conducted on primarily source of
data from the inhabitants of Guwahati city. Descriptive analysis has been extensively
used to test the relationship between the variables.

2.3 THE APPLICATION OF BARCODE TECHNOLOGY

Singh (2003) concluded that the application of barcode technology in the library and
information centres are most successful due to its speed, accuracy and reliability. Since
then, this technology of automatic identification has found wide acceptance in the
libraries and information centres worldwide. In India, barcodes were used by some
courier companies and All India Radio as an automatic method of identification. Many
manufacturing industries and companies have been using barcodes for their products,
inventory control and shares.
Weng (2012) studies the design and implementation system of barcode management
information system.
Hassan (2013) stated that information management covers whole spectrum of
information handling activities, technology, covering methods of inputting, storing,
retrieving and distributing information. The present-day information society has
witnessed the widespread transition of knowledge. Statistical tools and techniques used
are Anova, Independent t test etc. and the sample size was forty where all state and
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deemed universities of Tamil Nadu was taken into consideration and information was
obtained through questionnaire.
Zhang (2012) evaluated aiming at the disadvantages of the traditional positioning
technology, Barcode positioning system is introduced. The study exposed that
binarization processed with the dynamic threshold method has satisfactory performance.
Jeevan (2000) studied the utility of barcoding for faster library transactions is time tested
and more and more computerized libraries in our country are using this technology.
Barcode data transfer the works in perfect harmony with library databases and can be
used for faster and efficient library transactions.
Islam and Shuva (2010) explores a survey of overall barcode technology, its uses,
applications, merits, demerits in the 8 libraries in Dhaka.
Singh (2014) illustrates the present status of barcode technology in Central Library,
Ludhiana.
Boissy, Jacobs and Roy (2006) concluded that the responsiveness of the scanning
system, expressed as first scan success rate was less than perfect, with one-third of first
scans requiring a rescan to successfully capture the data entry. The responsiveness of the
system can be explained by a combination of factors such as location of the scanning
errors and optical characteristics of the barcode scanner. The study was conducted on a
sample size of 25 respondents who averagely filled the questionnaire in less than 3 min.

2.4 QR CODES
Pones (2011) describes how to promote QR code for using library resources, websites,
links etc. to both user and librarians. This paper explains application of QR Code in
library resource and service awareness activities.
Coleman (2011) shows the various use and application in various devices through QR
codes. This paper explains about the exploring concept of QR Code and its benefits in
digital education system. Matrix Point Size 1 are the best to generate quality QR code.
The goal of the research paper was to explore and analyse under the testing of error
correction level by calculating the PSNR and MSE values.
Zhihai (2011) The Barcode technology has become important in the field of information
input and identify automatically. But with the outstanding features of big storage capacity,
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secure, rich encoding character set and fast decoding, the two dimensional (2D) Quick
Response code (QR Barcode) has become an important choice of commerce barcode. The
wireless communications technology and the application of mobile device has set the
foundation of 2D barcode in business. In this research paper, the system framework is
analysed and established.
Farashbandi & Najafi (2014) highlights on history, culture, benefits, application and
challenges of QR codes in libraries. This paper records the use of QR codes as part of
focused, methodical and evaluative approach to emerging technologies in libraries.

2.5 RFID TECHNOLOGY

Yu (2007) defines the purpose, design, methodology and approach of RFID in library
systems in Turkey City library and discussed about the key role played by RFID and it
can effectively improve the self -service and the collection management which
correspondingly leads to improving the satisfaction.
Kaur (2011) stated the principles, advantages, limitations and applications of RFID. The
technology is useful for database and also suggested some ways for maximising the
efficiency.
Nagalakshmi (2010) studied about the implementation of RFID Technology in academic
libraries of India located at Delhi which highlights that the efficiency of library services
has increased after the implementation of RFID Technology in libraries.
Pandey (2010) describes the role of librarians in RFID libraries. RFID is linked to an LM
software by which issue-return of a document can be done by self and also for security
purpose to avoid stealing materials.
Singh and Mahajan (2014) illustrated the present status of RFID and implementing it in
various libraries in India and also some suggestion for implementing RFID.
Ghosh (2010) illustrated the RFID technology as a latest technology which has been used
in different industries for security and theft detection. He stated about the technology with
special reference to SVNIT library. The author mentioned about the cost effectiveness of
RFID technology for modernisation of libraries which involves accurate, cost saving and
minimize the manpower.
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Engel (2006), Kotecha (2008) has stated the implementation of RFID technology in
Australian academic libraries and highlights the barriers in implementing it in libraries
and using RFID automation respectively.

2.6 BARCODE, QR CODES, RFID TECHNOLOGY

Rahaman (2016) studies the three modern technology initiatives in the library i.e.
Barcode, QR Code, RFID. These technologies are beneficial not only for users but for
security as well. In the end, case study has been done to use these technologies and
accomplish their users’ satisfaction. Qualitative methods have been used because of some
technology initiative through some modern software. It’s a case study of the implement,
applies, and issues of same technologies.
McCathie (2004) studies the advantages and disadvantages of barcodes and RFID in
supply chain management. This thesis aid stakeholders in understanding the advantages
and disadvantages of each respective technology in SCM.

2.7 GAPS IN LITERATURE REVIEW

In the available literature cited above, from the customer point of view, no study seems to
have covered all the advantages that customers derived from barcodes as well as the
company is having for using barcodes. In India, a very smaller number of libraries have
implemented RFID Technology. Most of the studies are based on theoretical concepts
about RFID technology and its applications in Libraries.
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CHAPTER 3
RESEARCH METHODOLOGY
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CHAPTER 3: RESEARCH METHODOLOGY

3.1 RESEARCH PROBLEM

Barcodes have become the integral part of the organization and it is impossible to do
inventory on a large-scale retail operation without barcodes. In the modern era,
maintaining manual inventory records is almost next to impossible task. Barcodes
provide a method to track and store information about goods, from individual items to
large stocks of thousands or even millions of items. Therefore, the research problem that
this project will endeavour to address is- what are the benefits of using barcodes on
products for the company and customers. This research project studies the perception of
the customers regarding the benefits of using barcodes.

3.2 OBJECTIVES
1. To study the information provided by the barcodes.
2. To study the benefits of the barcodes for the company and consumers.
3. To study the perception of consumers about the benefits from barcodes on the products.

3.3 RESEARCH DESIGN

Research Design is broadly classified as Exploratory Research Design and Conclusive
Research Design. Conclusive can be further classified into Descriptive Research and
Casual Research.
Descriptive and exploratory research designs have been used for this research.
Exploratory research was used to study the existing available research work on this
subject which helped me to define the objectives and scope of this study. After that,
descriptive research design was used for collecting the feedback from the customers
about benefits of using barcodes by the company in the present and future scenario.
 27

3.4 RESEARCH INSTRUMENT

In this project disguised questionnaire with close ended questions has been used
consisting of dichotomous questions, multiple choice questions.

3.5 SAMPLING PLAN

3.5.1 SAMPLE SELECTION

Non-probability convenience sampling was used to collect the data for the study. This
technique was chosen because of the larger size of the population size.

3.5.2 SAMPLE SIZE AND COMPOSITION

The sample size of the study comprised of 200 respondents. The sample population
belongs to the age group of 18- above 60 years, out of which maximum lied between 18-
25 years.

3.5.3 SAMPLING AREA

The area of research covered has been NCR.

3.5.4 FIELD WORK

Online questionaire was circulated amongst the population sample to collect the primary
data for research.

3.5.5 DATA COLLECTION TECHNIQUE

The data type for the research is a combination of both primary and secondary data.
Primary data for the purpose of research is collected in a structured questionnaire from
the customers and channel partners. Secondary data has been used to study and analyse
the specific information from respondents. Respondents are asked a variety of questions
regarding their behaviour, intentions, attitudes, awareness, motivations etc. The
Secondary data were collected from:
 Research Papers
 28

 Articles and Journals available

 Websites
 Blogs

3.6 ANALYSIS AND INTERPRETATION

In the current study, after collection of the data the same has been arranged and managed
on Microsoft Office (Excel) and analysed using Frequency distribution, Bar graphs and
Pie-charts.
IBM SPSS version (25.0) software is also used to do the analysis like Cross tabulation.
 29

CHAPTER 4
DATA ANALYSIS
&
INTERPRETATION
 30

CHAPTER 4: DATA ANALYSIS & INTERPRETATION

To analyse and interpret the data, descriptive and inferential analysis techniques have
been used.
1. DESCRIPTIVE ANALYSIS
Descriptive analysis is used to summarize the data and draw basic inferences. It also
shows the demographics of the population.

CONSUMERS PERSPECTIVE ON BARCODES

Figure 4.1: Consumers awareness about barcodes

More than 10 years 25

5 - 10 years 34

2 - 3 yea rs 40

Less than a year 51

0 10 20 30 40 50 60
count

INTERPRETATION- Figure 4.1 shows that majority (51.34%) of consumers don’t

know barcodes for more than a year followed by (40.26%) know barcodes from 2-3
years, (34.23%) know barcodes from 5-10 years and (25.17%) know about barcodes for
more than 10 years.
 31

Figure 4.2: Consumer’s views for making Barcode Mandatory

6.67%

93.33%

Yes No

INTERPRETATION- Figure 4.2 shows that majority (93%) consumers agreed towards
making the barcodes mandatory followed by (7%) consumers who denied to this
perception.
 32

Figure 4.3: Barcodes helps in building Consumer’s trust and confidence

11.33%

88.67%

Yes No

INTERPRETATION- Figure 4.3 shows that majority (89%) of consumers agreed

towards helping barcodes in building trust and confidence followed by only (11%)
consumers who denied to this perception.
 33

Figure 4.4: Benefits of using barcodes on products to Customers

18; 12.00%

58; 38.67%
30; 20.00%
Ea sy acces s to product
i nformation by s ca nni ng
barcode.
Fa ci l i tates qui ck and correct
bi l l i ng
Standa rdization of product
Vers atil e

44; 29.33%

INTERPRETATION- Figure 4.4 shows that majority (58.39%) of respondents are

attracted towards easy access to product information by scanning the barcodes followed
by quick and correct billing, maintaining the standard of the product in the market and
versatile.
 34

Figure 4.5: Gender of the respondents

42.67%

57.33%

Fema l e Ma l e

INTERPRETATION- Figure 4.5 shows that majority (57%) of respondents belongs to

the female gender followed by male respondents.
 35

Figure 4.6: Age of the respondents

100

90 92

80

70

60

50

40 39

30

20
17
10

0
1 1
18 - 25 years 26 - 35 years 36 - 45 years 46 - 59 years Above 60 years
Count of Age

INTERPRETATION- Figure 4.6 shows that the majority (61%) of respondents lie
between 18 - 25 years of age followed by (26%) respondents aged between 26 - 35 years,
(11%) respondents aged between 36 - 45 years, (1%) respondents aged between 46 - 59
years and (1%) respondents above the age of 60 years.
 36

Figure 4.7: Occupation of the respondents

3.33%
2.67%

12.00%

Student
Pri vate Employee
Bus i nes s
Govt. Empl oyee
56.00%
Homemaker
26.00%

INTERPRETATION- Figure 4.7 shows that the majority (56%) of the respondents are
students followed by (26%) respondents as private employees, (12%) respondents as
doing business, (3%) respondents as government employees and (3%) respondents as
homemaker.
 37

Figure 4.8: Annual income of the respondents

8.00%

20.00%

50.00%

22.00%

Upto 3 l a khs 3 - 5 l akhs 5 - 10 l a khs Above 10 l a khs

INTERPRETATION- Figure 4.8 shows that majority (50%) of respondents are earning
up to 3 lakhs annually or between 3 – 5 lakhs annually followed by (22%) respondents
earning between 3 – 5 lakhs annually, (20%) respondents earning between 5 – 10 lakhs
annually and (8%) respondents earning above 10 lakhs annually.
 38

BENEFITS OF BARCODES TO THE COMPANY

Figure 4.9: State of the Operations of the Companies Surveyed

16
14
14
12
10
8
6
6
4 5 Count of Addres s
4 4
2 3 3
2 2 2
0 1 1 1 1 1
t hi l
tra ka n a l a d u ra ja b s h a n n d l s h n a n d ga
a s h ata rya Ke ra Na u ja u n a d e sth k h a D e a d e ga k h a e n
a r Ka rn Ha il G P Pr ja a r Pr l a n a r t B
ah Tam ya Ra utt a l Te Jh e s
M h h W
ad ac
M i m
H

INTERPRETATION- Figure 4.9 shows that the majority (28%) of companies’ state of
operation is Maharashtra followed by (12%) companies operation in Karnataka, 10%
companies operation in Haryana, (8%) companies operation in Tamil Nadu, Kerala, (6%)
companies operation in Punjab, Gujarat, (4%) companies operation in Madhya Pradesh,
Rajasthan, Uttarakhand and (1%) companies operation in Delhi, Himachal Pradesh,
Telangana, Jharkhand, West Bengal.
 39

Figure 4.10: Business/ Product of the Surveyed Company’s

m
r Ar
we n g
S ho a gi
f ck s
e r o pa ong
a l Te a S cts
l es du
ho p ro e l
W c te
a ni o f s nt
g r
o r te me
l & por i p or
ra Ex q u u t
a tu & n E tri b rs Count of Bus i nes s/ Product of
N u re ch e i s to Company
ct i t t D i ca
u fa o f k u c a b r tics
d F e
a n e r ro s m cts
M o rt d P o
p o C du
I m Fo o
Pr gs
d i c So n
ve at
yur rb r
A a
Ag rte
& xp o 0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
s e E
n
ce
In

INTERPRETATION- Figure 4.10 shows that majority of companies are dealing in

personal care, exporting business. Most of the companies are dealing in manufacturing of
chocolates, beverages. The rest of the respondents are dealing in songs, manufacturer of
steel, home textiles, E-pharmacy, Flexible packing, technology, wholesaler of Shower
Arm.
 40

Figure 4.11: Duration of Usage of Barcodes by Surveyed Companies

12.00%

16.00%

48.00%

24.00%

Less tha n 2 yea rs 2 - 5 yea rs 5 - 10 years More tha n 10 yea rs

INTERPRETATION- Figure 4.11 shows that majority (48%) of the companies are using
barcodes from more than 10 years followed by (24%) companies using barcodes between
5 – 10 years, (16%) companies using barcodes between 2 – 5 years and (12%) companies
using barcodes from less than 2 years.
 41

Figure 4.12: Started Using Barcodes to meet Statutory Requirements

46.00%

54.00%

No Yes

INTERPRETATION- Figure 4.12 shows that majority (54%) of companies started using
barcodes because of statutory requirements followed by (46%) companies using barcodes
by their own requirements.
 42

Figure 4.13: Expansion of Surveyed Company’s be attributed to usage of barcodes

26.00%

74.00%

No Yes

INTERPRETATION- Figure 4.13 shows that the use of barcodes by majority (74%) of
companies has resulted in the business expansion and increase in turnover followed by
(26%) companies who didn’t attribute the reason for expansion to barcodes.
 43

Figure 4.14: Percentage of Business Expanded by using barcodes

Not affected the bus i nes s

41% - 50% 4 13
31% - 40%

21% - 30% 11
8
10% - 20%

0
2 14
4
6
8
10
12
14

Count of How much of the bus i nes s expans i on do you attri bute to the barcodes ?

INTERPRETATION- Figure 4.14 shows that the barcodes have resulted in expansion
and increased turnover of majority of companies but at different level of percentage. As
per the responses, (28%) companies expansion is below the level of 20%, (16%)
companies expansion lies between 21% - 30%, (22%) companies expansion lies between
31% - 40%, (8%) companies have attributed their percentage of expansion between 41%
- 50% i.e. barcodes have significantly expanded the turnover of the business and (22%)
companies did not attribute the reason for expansion to barcodes.
 44

Figure 4.15: Benefits of barcodes to the Company’s

20
18 18
16
14 13
12
10
8 7
6
4 4 4
2 2 2
0

Count of What a re the benefits

of us i ng ba rcodes ?

INTERPRETATION- Figure 4.15 shows that the barcodes have benefitted the most in
inventory management of the companies. (36%) companies have benefitted in inventory
management followed by (26%) companies have benefitted because it improves
operational efficiency with database connectivity, (14%) companies have benefitted by
scanning of barcodes, (8% )companies have benefitted due to the error free data entry,
helps in building customer confidence, (4%) companies have benefitted because it
eliminates the chance of error in billing.
 45

Figure 4.16: Most benefitted Party by the usage of barcodes

INTERPRETATION- Figure 4.16 shows that the retailer (38%) and manufacturers
(34%) are benefitted the most by the use of barcodes followed by consumers (20%) and
buyers (8%).
 46

CROSS TABULATION BETWEEN BENEFITS OF BARCODES TO

CONSUMERS BY THEIR AGE
Table 4.1
18-25 26-35 36- 45 46-60 Above 60 Total
Age years years years years years
Standardization of product 14 11 5 0 0 30
Facilitates quick and correct 23 14 6 0 1 44

billing
Easy access to product 41 11 6 0 0 58

information by scanning barcode.

Versatile 14 3 0 1 0 18
Total 92 39 17 1 1 150

Vers atil e

Easy a cces s to product i nformation by s ca nni ng barcode.

Age 18-25 years
Age 26-35 years
Age 36- 45 yea rs
Age 46-60 years
Fa ci l i tates qui ck and correct bi l l i ng Age Above 60 years

Standardi zation of product

0 5 10 15 20 25 30 35 4045

Customers of age between 18-25 years prefers barcodes the most due to easy access to
product information, quick & accurate billing whereas customers of age between 26-35
years and 36-45 years prefers barcodes the most due to quick & accurate billing followed
by standardization of product, access to product information. Customers of age group
between 46-60 years prefers barcodes the most due to the versatile nature of barcodes.
Customers of age above 60 years prefers barcodes the most due to quick & accurate
billing.
 47

CHAPTER 5
CONCLUSIONS,
RECOMMENDATIONS
AND
LIMITATIONS
 48

CHAPTER 5: CONCLUSIONS, RECOMMENDATIONS &

LIMITATIONS

5.1 OBJECTIVE WISE CONCLUSIONS

Objective 1: To study the information provided by the barcodes.

Following are the information provided by the barcodes:
 The first thing the laser will hit is known as “Left Guard”. This section is
broken into three smaller bars, each read as a 1 or 0. This is the start of
barcode and that it can keep reading along. It represents the manufacturer’s
code. Each company has its own unique five numbers.
 Next comes another checkpoint called the “centre guard” that marks the
middle point of the reading frame. It’s represented by two black lines with a
white line in the middle. Once the laser has passed the last point, it starts
reading the code for next five digits. These five numbers are the product code,
with each set of five indicating a unique item.
 After the product code is scanned, one last number is known as the “modulo
check character”. This is the last chance for ensuring everything is as it should
be. The number is calculated using mathematical equation.
 Lastly comes the “right guard” which has the same three numbers as the left
guard and signals the final checkpoint of barcode.
 The entire barcode has been read, identifying the scanned item to the
computer as a particular product, displaying its price and notifying the
company. The number at the very start of the barcode that is not read,
identifies the type of barcode it is using like 0 denotes normal item, 2 denotes
weighted item, 3 is for pharmacy and 5 is for a coupon.
 49

Objective 2: To study the benefits of the barcodes to companies.

 Following are the benefits of the barcodes to the companies:
 Improve operational efficiency with database connectivity.
 Eliminate data entry errors
 Inexpensive to design
 Inventory management software
 Generates confidence in customers about quality
 Results of the study shows that out of the above benefits Inventory
management, operational efficiency with database connectivity is the most
important benefit considered for using barcodes.

Objective 3: To study the benefits of the barcodes to consumers.

 Following are the benefits of the barcodes:
 Standardization of product
 Facilitates quick and correct billing
 Easy access to product information by scanning barcode
 Versatile
 Results of the study shows that out of the above benefits Access to product
information, quick and correct billing is the most important benefit.

5.2 OTHER CONCLUSIONS

 50

 It is found that the retailers preferred barcodes which were widely used and
followed by the manufacturers. Retailers and wholesalers are benefitted the most
by the barcodes whereas the consumers get moderately benefitted by it.
 It is found that more than 50% companies use barcodes because of statutory
requirements. Also, the use of barcodes by more than 70% companies has lead to
expansion of business.

5.3 RECOMMENDATIONS
 Barcode verifiers should comply with the international standards. This standard
defines the measuring accuracy of a barcode verifier.
 The Barcode should be designed in a way that it doesn’t get distorted easily so
that the data cannot get destroyed.
 The armband barcode should be printed in code 128 in order to provide successful
barcoding solutions.

5.4 LIMITATIONS AND FUTURE SCOPE

 The Geographic area of study was limited to NCR only. Therefore, the results
cannot be generalized for the entire country. Further research may be conducted
covering a wider geographical area.
 Due to the constraints of time and resources, the data could only be collected from
150 consumers and 50 companies. Further research may be conducted covering a
larger sample size.
 Market situations change over a period of time and with the change in the market
situations, preferences, needs and patterns of the company.