The Impact Of Innovative Technologies On Logistics And Supply Chain Management

2018 Words9 Pages
1. Introduction
In recent years, how to manage the supply chain effectively has been seen as one of the most important parts of companies’ strategies. The main objective that supply chain management needs to consider is “maximize the overall value generated” (Sunil & Meindl, 2004). To achieve this aim, some supply chain technologies can be adopted. Dawson (2002) conclude that “Technology offers the potential to change supply chain networks and processes, supporting alternative ways of working (p.196)” Several technologies are used in the supply chain management, such as EDI, ERP and Barcodes. The first part of this essay will critically review the applications of barcodes, especially 2D barcodes in China. Then, the challenges of using 2D
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However, with expanded use of 2D barcodes in China, some Chinese users found these foreign 2D barcodes are optimized for the language in the country of origin and are not able to encode all Chinese characters very carefully. Following this information, the Grid Matrix code was invented by Shenzhen Syscan Technology Co., Ltd, which is also accepted by AIM Global (Business wire, 2007).

Figure 2. Definition of GM code. Source: (AIM Global, 2014)

According to Syscan (2014b), the main competitive advantages of GM codes can be summarized for the following five points:
1. High error correction levels, which means even if the GM code lacks all four corners, it still can be read and recover the damaged code;
2. A wide range of identification distance;
3. Error rates are less than one in a million;
4. Can be locked to protect the information;
5. Allows the label surface maximum bending degree to be 90 degrees, that is to say the GM code can be read whatever right angle, concave or convex deformation. Also, it has strong recognition ability if the label was printed or pasted with waves.

Figure 3. Comparison between Data Matrix, PDF417, QR codes and GM code. Source: (Sysan, 2014a)

Comparing with other 2D barcodes (see figure 3), the GM codes also shows a strong readable direction and good Chinese encoding.

2.2 Unique applications in China
With these
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