How to Improve Product Labeling in the Warehouse

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How to Improve Product Labeling in the Warehouse

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The key to the operation of any logistics company is organization, therefore, each product must be assigned a label. In that sense, the correct signage in the labeling process generally increases the efficiency of the company.

Thanks to the development of this technology, we can identify each item in the warehouse quickly and without errors, which has been a major breakthrough for picking and dispatch operations.

Coding, labeling and location of products or orders in the warehouse 

A WMS (Warehouse Management Software) generates labels for each product or order you want to store. In addition, it provides information such as product description, characteristics, unit quantity, etc. It even marks the real-time location of products within the warehouse, which has completely revolutionized the logistics industry.

Coding of goods in the warehouse

A labeling of these characteristics allows a greater number of orders and a better fluidity in the process, since the software generates barcode labels on all items in the warehouse. With this coding, processes and operations can be accurately verified. In addition to avoiding possible errors and confusion in item handling, this allows for optimized operations.

In turn, a WMS makes it possible to control and optimize movements and processes in warehouse operations, this process consists of specific parameters that allow the basic functionality to be applied. These include item management, product positioning, inventory control and export of goods. A WMS transmits this information to the ERP (Enterprise Resource Planning), allowing management to assist suppliers.

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Advantages of correct product coding

– Fast order preparation.

– Accelerate all marking phases.

– Automated data entry.

– Simpler inventory.

– Quickly identify pallets.

– Inventory updates, always in real time.

– Loading and unloading control.

– Reduced loading and unloading time.

– Reduced material losses.

– This method is easy to implement.

– Save time and resources.

– Optimization of the entire manufacturing and shipping process.

– Improvements to the ERP system.

– Zero manual errors.

Product coding standard

Barcodes make the difference between an organized and efficient warehouse and one that is not. Products with self-adhesive labels can provide a wide variety of data, e.g. manufacturing, warehousing, incoming and outgoing products. We can also generate a code for each worker and identify their workstation.

It is a really effective system of organization and control. The bar code we see on the packaging has an RFID (frequency identification) chip. It is a radio frequency terminal that facilitates the exchange of information through radio waves.

What does an RFID chip with an integrated circuit allow?

Using a laser reader, data such as manufacturer, location, logistical data and other specific characteristics can be obtained. This is an evolution of barcodes, which optimizes time and cost by automating processes, such as order registration and tracking, without the need for verification. Operating them requires minimal effort on the part of personnel.

The evolution of bar coding

Warehousing processes are more streamlined today, thanks to fast barcode scanning. The device does not need to see the label directly. It just needs to get close enough to “click” and read the information.

Impressive progress has been made with this system, which saves a considerable amount of time. In addition, it identifies and locates goods, facilitates work, controls traceability and ensures minimum operator intervention. This approach is dedicated to safety and speed in incoming and outgoing goods.

This technology leaves behind tedious problems such as reading bar codes, making this process faster and more accurate. Previously, their condition made it difficult to see between the reader and the label if the label was wrapped or moving.

In contrast, today’s barcode systems offer a great advantage: identifying information. Even if the location of the storage unit is difficult to access. In addition, it has an added value: you get synchronization by being able to read labels in groups.

The system consists of barcodes with microchips, contacts, capacitors and antennas. It sends waves up to 2 meters (on average). Interestingly, it is highly resistant to environmental influences.

Types of coding

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There are different types of coding for label standardization:

content coding.

It helps to identify the package and understand the product description, features, unit quantity and other information. So there is no need to unpack and waste time trying to find information.

Handling coding

May or may not be mandatory. It informs about the hazards of the products when used or eaten, and how to handle and transport them. This category has different subcategories:


These are mandatory labels on all packaging containing dangerous products. The items are marked with graphic symbols, which is how everyone understands them. And as for the size, color and content of the label, it is regulated in accordance with the United Nations.


Provides information on the product’s date of manufacture, packaging, expiration date and ingredients.


These labels provide information on precautions to be taken when handling, transporting or using the product. Since the product is fragile, it should be kept cool, etc. This symbol is used as a way of communicating these recommendations.

Origin and destination codes

Provides information for transport, such as origin, item number, carrier company and customer data.

Not to mention the importance of the barcode. Remember that this stores a set of product data, so it helps to maintain product traceability. It provides data on suppliers, prices, dates, quotes, locations and more.

In addition, tags can be in one of 3 states: Accepted, Conditionally Accepted or Rejected.

The use of tags facilitates the location of inventory in the warehouse

The warehouse must facilitate the positioning of the merchandise and prepare it in the best possible way. Each product should be marked with an identification code. This code collects different data to locate and manage cells efficiently.

The person in charge of the logistics chain can know the status of the goods because they are labeled. In this sense, it is important to remember that good labeling helps the flow of goods and information: their origin and destination, rotation and expiration dates, batches, EAN codes (European trade names), etc.

That is why it is so important to get it right. Orderly warehouses assign each product a fixed, simple, pre-assigned location.

There are preset locations. Labels play an important role. If a label lacks information, it could generate mistrust in the consumer. That is why it is essential to label products correctly.

Control of your warehouse

The software includes a warehouse map that defines each gap. Take control, relocate goods, check inventories, search for products, etc. This is a way to control warehouses and define and prioritize categories of locations.

The operator thus ensures ideal storage of goods. A clear example is this study. With the work plan, the marking process can be diagnosed. Its aim is to find more effective measures.

This increases efficiency and uncovers problems with order delays. In this way, productivity can be improved. In addition, it pays special attention to safety and good working conditions. Identify operations and risk areas and establish convenient ways of performing the work.

The result of having a complete labeling software makes your processes flow better, be more flexible and productive. In addition, it allows you to keep up in an increasingly competitive market.

In conclusion

The labeling process should be researched and organized internally in the most efficient and optimal way possible. Both for the employees and for the company. At VGS, we are committed to each of our customers. Therefore, through rigorous research, we can provide control and improvement of the labeling process tailored to your specific needs and requirements.

You only need to contact us. We will provide you with the software that best suits your company.


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