Benefits of GLN Codes
Utilizing GLN codes can offer several advantages for businesses, including:
- Enhances identification, monitoring, and traceability of entities involved in business processes
- Saves time in document presentation and data entry
- Improves efficiency of order and invoice processes
- Simplifies communication throughout the supply chain
- Eliminates the need for proprietary identification codes that are not interoperable with partner systems
- Consolidates details and attributes related to a business entity or location
- Enhances trust with business partners and consumers
Furthermore, it is important to note that GLN is fully compatible with the ISO 6523 or ISO/IEC 6523 standard.
The Relationship between GTIN and GLN Codes
GTIN (Global Trade Item Number) and GLN (Global Location Number) codes are two identification tools used worldwide by businesses to manage the procurement, logistics, and distribution of their products. Although they are two different tools, they are closely related, and their combined use optimizes supply chain management processes.
GTIN is a numerical barcode used to uniquely identify a product. GTIN is used to identify an individual product, a package of products, or a box, depending on the company’s needs. GTIN consists of a numerical prefix that identifies the manufacturing company and a serial number that identifies the specific product.
GLN, on the other hand, is used to uniquely identify a physical or digital location within a company’s organization. GLN is used to identify places where business activities take place, such as warehouses, factories, or branch offices.
The relationship between GTIN and GLN codes is that GTIN is used to identify the product, and GLN is used to identify the location where the product is located. This relationship allows companies to track their products along the entire supply chain, from production to final delivery to the customer.
For example, if a company produces a product in a specific location and distributes it to different warehouses in different parts of the world, each warehouse will have a unique GLN code to identify the physical location. The product itself will be identified by a unique GTIN code, which will be associated with each corresponding GLN code for the location where the product was received and stored.
In summary, the relationship between GTIN and GLN codes enables businesses to uniquely identify their products and the physical locations where they are located. This allows for effective supply chain management and better product traceability.