It may sound like a slam-dunk, but producing labels that are both readable and comply with customers' requirements can be something of a trick. Here are some tips.
Susan Lacefield has been working for supply chain publications since 1999. Before joining DC VELOCITY, she was an associate editor for Supply Chain Management Review and wrote for Logistics Management magazine. She holds a master's degree in English.
It all seems so simple. Print a label. Peel it off. Slap it on a box, pallet, or container.
But it turns out that effective labeling isn't quite that easy. For one thing, it's not enough just to crank out labels that are reasonably legible and meet your own operation's needs. Your customers will almost certainly want a say in the matter—in fact, many have rigorous requirements regarding the way their incoming shipments are labeled. Fail to meet these requirements and you risk getting hit with penalties and fees or even having your shipments rejected.
And these customer requirements can range all over the map. Some, for example, require information to be printed within precise tolerances to assure the labels can be read by their automated receiving equipment.
Others have special requirements that are driven by government regulations. For example, Marty Johnson, product manager at Zebra Technologies, which makes bar-code and label printing products, tells of a company that ran up against a rather unusual labeling requirement for a product it planned to ship from Puerto Rico to the mainland United States by ocean. The company came to Zebra for help after learning that federal regulations required it to use a label sturdy enough to withstand salt water for an extended period of time so that if the ship sank, salvage crews could determine what was in the container.
"That was a request that when it came in, we said, 'Huh, we never did anything like this before,'" recalls Johnson.
In addition, some customers have special requirements related to specific industries. Pharmaceutical companies, for example, tend to be sticklers about data accuracy—partly because they themselves are subject to stringent data and drug tracking requirements. If a company is required to track products down to the place of manufacture and expiration date, it's going to expect the same attention to detail from its label suppliers, says Perry Cozzone, CIO of Colorcon, a company that makes coatings for pharmaceutical products like tablets and pills.
So what can you do to ensure your labels are both readable and customer compliant? What follows are some tips.
1. Choose the right material
There are many different types of label material out there, including paper, coated paper, and synthetic material. So how do you determine what's the right one for your application?
The first consideration, says Johnson of Zebra, is how long the label has to last. While some labels are intended only for short-term use, others have to be archived for 10 years or more to meet government regulations, he explains. In those cases, you'll need to select a synthetic label or a paper label that has been coated with chemicals to preserve it. "Otherwise, you're going to be disappointed in what happens," says Johnson.
Next, think about the environmental conditions the label will be subjected to. Exposure to water, dust, or light—whether it's direct sunlight or office light—can cause ink to fade and labels to deteriorate. If fading or deterioration is a concern, paper might not be an appropriate choice.
Also consider what type of surface the label has to adhere to, says Michael Shacket of Corner Office Consulting, which provides middleware as well as labeling and printing-related consulting services to distributors and manufacturers. If the surface is greasy, for example, a Mylar or polyester label might be the best choice, he says.
No matter what type of label material you choose, it pays to use high-quality media, says Johnson. Low-quality or inconsistent material can degrade an image's resolution and may hasten fading.
2. Keep your printer in good working order
Print quality also has a big impact on readability. An important part of keeping that quality up is regular printer maintenance. Printheads, in particular, can deteriorate with use and need to be regularly monitored and maintained. "Over time, some of the heat positions within the printer don't fire or get hot enough, and the bar code ends up missing bars or there are spots that are too light to be read," says Shacket.
Temperature can also affect how the bar code prints, especially if the printer is exposed to the outdoors, such as at a dock door. "If [the printer is] set up in the winter, the bar codes will print out nice, but then in the summer, you may see overprinting," Shacket warns. The printer's heat sensitivity may need to be adjusted to accommodate temperature changes.
Experts agree that it's easier to maintain a printer if the company has chosen the right one for its needs in the first place. But companies don't always do that, according to Shacket. Common mistakes include using a low-end printer designed for office use to print a high volume of labels, and using an expensive high-end, heavy-duty printer to produce a small number of labels. "If you're printing 100 labels a day, you probably don't need a $5,000 printer," he says. To avoid these missteps, he urges companies to gather detailed data on their printing needs—how many labels they're printing per day/week/month, the size of those labels, and the amount of data that's going on label—before choosing a printer.
3. Don't overlook label design
It's also important to give some thought to what information must be included on the label and how that information will be presented. Obviously, you have to make sure that you're meeting your customers' requirements regarding the data they want and the format they want it in. If you don't have a full-time labeling specialist on staff, assign someone to stay in regular contact with customers to stay abreast of any changes.
Templates and label management software can simplify the task of keeping up with changing customer requirements. While it may be tempting to skip this step, creating templates will help you avoid extra work in the long run, says Shacket. For instance, if it becomes necessary to make a change to the labels, you only have to change one template instead of potentially thousands of labels. Similarly, compliance label management software can take a lot of the pain out of tracking multiple customers' requirements.
As for readability, there are several simple things you can do to boost the legibility of your labels. Using colored fonts or highlighting can help draw workers' attention to important information, like the ship date. In the case of bar codes, boosting readability may be as simple as leaving enough white space around the code (the so-called "quiet zone") to ensure that the scanning gun can read it.
When it comes to legibility, large labels with large type are better than small ones. Not only are they easier for humans to read, but they're also friendlier to scanners—it's easier to hit a half-inch bar code with a scanning gun than it is to hit a quarter-inch code, says Shacket. For these reasons, Shacket recommends using the biggest label that your product or packaging can reasonably accommodate. The cost difference between a 4- by 4-inch label and a 4- by 6-inch label is negligible, but it can make a big difference in readability, he says.
Finally, keep in mind that the label is only as good as the data that goes on it. Cozzone of Colorcon warns that data quality and accuracy may suffer if there are too many systems—like multiple enterprise resource planning systems or warehouse management systems—feeding information to the label program.
"A label looks so simple," says Cozzone. "But once you start looking at what content you need, where that content comes from, and how it gets there, it becomes clear that some work and effort are involved in the creation of the label on the back end."
Progress in generative AI (GenAI) is poised to impact business procurement processes through advancements in three areas—agentic reasoning, multimodality, and AI agents—according to Gartner Inc.
Those functions will redefine how procurement operates and significantly impact the agendas of chief procurement officers (CPOs). And 72% of procurement leaders are already prioritizing the integration of GenAI into their strategies, thus highlighting the recognition of its potential to drive significant improvements in efficiency and effectiveness, Gartner found in a survey conducted in July, 2024, with 258 global respondents.
Gartner defined the new functions as follows:
Agentic reasoning in GenAI allows for advanced decision-making processes that mimic human-like cognition. This capability will enable procurement functions to leverage GenAI to analyze complex scenarios and make informed decisions with greater accuracy and speed.
Multimodality refers to the ability of GenAI to process and integrate multiple forms of data, such as text, images, and audio. This will make GenAI more intuitively consumable to users and enhance procurement's ability to gather and analyze diverse information sources, leading to more comprehensive insights and better-informed strategies.
AI agents are autonomous systems that can perform tasks and make decisions on behalf of human operators. In procurement, these agents will automate procurement tasks and activities, freeing up human resources to focus on strategic initiatives, complex problem-solving and edge cases.
As CPOs look to maximize the value of GenAI in procurement, the study recommended three starting points: double down on data governance, develop and incorporate privacy standards into contracts, and increase procurement thresholds.
“These advancements will usher procurement into an era where the distance between ideas, insights, and actions will shorten rapidly,” Ryan Polk, senior director analyst in Gartner’s Supply Chain practice, said in a release. "Procurement leaders who build their foundation now through a focus on data quality, privacy and risk management have the potential to reap new levels of productivity and strategic value from the technology."
Businesses are cautiously optimistic as peak holiday shipping season draws near, with many anticipating year-over-year sales increases as they continue to battle challenging supply chain conditions.
That’s according to the DHL 2024 Peak Season Shipping Survey, released today by express shipping service provider DHL Express U.S. The company surveyed small and medium-sized enterprises (SMEs) to gauge their holiday business outlook compared to last year and found that a mix of optimism and “strategic caution” prevail ahead of this year’s peak.
Nearly half (48%) of the SMEs surveyed said they expect higher holiday sales compared to 2023, while 44% said they expect sales to remain on par with last year, and just 8% said they foresee a decline. Respondents said the main challenges to hitting those goals are supply chain problems (35%), inflation and fluctuating consumer demand (34%), staffing (16%), and inventory challenges (14%).
But respondents said they have strategies in place to tackle those issues. Many said they began preparing for holiday season earlier this year—with 45% saying they started planning in Q2 or earlier, up from 39% last year. Other strategies include expanding into international markets (35%) and leveraging holiday discounts (32%).
Sixty percent of respondents said they will prioritize personalized customer service as a way to enhance customer interactions and loyalty this year. Still others said they will invest in enhanced web and mobile experiences (23%) and eco-friendly practices (13%) to draw customers this holiday season.
That challenge is one of the reasons that fewer shoppers overall are satisfied with their shopping experiences lately, Lincolnshire, Illinois-based Zebra said in its “17th Annual Global Shopper Study.”th Annual Global Shopper Study.” While 85% of shoppers last year were satisfied with both the in-store and online experiences, only 81% in 2024 are satisfied with the in-store experience and just 79% with online shopping.
In response, most retailers (78%) say they are investing in technology tools that can help both frontline workers and those watching operations from behind the scenes to minimize theft and loss, Zebra said.
Just 38% of retailers currently use AI-based prescriptive analytics for loss prevention, but a much larger 50% say they plan to use it in the next 1-3 years. That was followed by self-checkout cameras and sensors (45%), computer vision (46%), and RFID tags and readers (42%) that are planned for use within the next three years, specifically for loss prevention.
Those strategies could help improve the brick and mortar shopping experience, since 78% of shoppers say it’s annoying when products are locked up or secured within cases. Adding to that frustration is that it’s hard to find an associate while shopping in stores these days, according to 70% of consumers. In response, some just walk out; one in five shoppers has left a store without getting what they needed because a retail associate wasn’t available to help, an increase over the past two years.
The survey also identified additional frustrations faced by retailers and associates:
challenges with offering easy options for click-and-collect or returns, despite high shopper demand for them
the struggle to confirm current inventory and pricing
lingering labor shortages and increasing loss incidents, even as shoppers return to stores
“Many retailers are laying the groundwork to build a modern store experience,” Matt Guiste, Global Retail Technology Strategist, Zebra Technologies, said in a release. “They are investing in mobile and intelligent automation technologies to help inform operational decisions and enable associates to do the things that keep shoppers happy.”
The survey was administered online by Azure Knowledge Corporation and included 4,200 adult shoppers (age 18+), decision-makers, and associates, who replied to questions about the topics of shopper experience, device and technology usage, and delivery and fulfillment in store and online.
An eight-year veteran of the Georgia company, Hakala will begin his new role on January 1, when the current CEO, Tero Peltomäki, will retire after a long and noteworthy career, continuing as a member of the board of directors, Cimcorp said.
According to Hakala, automation is an inevitable course in Cimcorp’s core sectors, and the company’s end-to-end capabilities will be crucial for clients’ success. In the past, both the tire and grocery retail industries have automated individual machines and parts of their operations. In recent years, automation has spread throughout the facilities, as companies want to be able to see their entire operation with one look, utilize analytics, optimize processes, and lead with data.
“Cimcorp has always grown by starting small in the new business segments. We’ve created one solution first, and as we’ve gained more knowledge of our clients’ challenges, we have been able to expand,” Hakala said in a release. “In every phase, we aim to bring our experience to the table and even challenge the client’s initial perspective. We are interested in what our client does and how it could be done better and more efficiently.”
Although many shoppers will
return to physical stores this holiday season, online shopping remains a driving force behind peak-season shipping challenges, especially when it comes to the last mile. Consumers still want fast, free shipping if they can get it—without any delays or disruptions to their holiday deliveries.
One disruptor that gets a lot of headlines this time of year is package theft—committed by so-called “porch pirates.” These are thieves who snatch parcels from front stairs, side porches, and driveways in neighborhoods across the country. The problem adds up to billions of dollars in stolen merchandise each year—not to mention headaches for shippers, parcel delivery companies, and, of course, consumers.
Given the scope of the problem, it’s no wonder online shoppers are worried about it—especially during holiday season. In its annual report on package theft trends, released in October, the
security-focused research and product review firm Security.org found that:
17% of Americans had a package stolen in the past three months, with the typical stolen parcel worth about $50. Some 44% said they’d had a package taken at some point in their life.
Package thieves poached more than $8 billion in merchandise over the past year.
18% of adults said they’d had a package stolen that contained a gift for someone else.
Ahead of the holiday season, 88% of adults said they were worried about theft of online purchases, with more than a quarter saying they were “extremely” or “very” concerned.
But it doesn’t have to be that way. There are some low-tech steps consumers can take to help guard against porch piracy along with some high-tech logistics-focused innovations in the pipeline that can protect deliveries in the last mile. First, some common-sense advice on avoiding package theft from the Security.org research:
Install a doorbell camera, which is a relatively low-cost deterrent.
Bring packages inside promptly or arrange to have them delivered to a secure location if no one will be at home.
Consider using click-and-collect options when possible.
If the retailer allows you to specify delivery-time windows, consider doing so to avoid having packages sit outside for extended periods.
These steps may sound basic, but they are by no means a given: Fewer than half of Americans consider the timing of deliveries, less than a third have a doorbell camera, and nearly one-fifth take no precautions to prevent package theft, according to the research.
Tech vendors are stepping up to help. One example is
Arrive AI, which develops smart mailboxes for last-mile delivery and pickup. The company says its Mailbox-as-a-Service (MaaS) platform will revolutionize the last mile by building a network of parcel-storage boxes that can be accessed by people, drones, or robots. In a nutshell: Packages are placed into a weatherproof box via drone, robot, driverless carrier, or traditional delivery method—and no one other than the rightful owner can access it.
Although the platform is still in development, the company already offers solutions for business clients looking to secure high-value deliveries and sensitive shipments. The health-care industry is one example: Arrive AI offers secure drone delivery of medical supplies, prescriptions, lab samples, and the like to hospitals and other health-care facilities. The platform provides real-time tracking, chain-of-custody controls, and theft-prevention features. Arrive is conducting short-term deployments between logistics companies and health-care partners now, according to a company spokesperson.
The MaaS solution has a pretty high cool factor. And the common-sense best practices just seem like solid advice. Maybe combining both is the key to a more secure last mile—during peak shipping season and throughout the year as well.