How to implement a traceability system in your company?

People talk a lot about "traceability" in the business environment lately, and it has recently been acknowledged as a word. But what do we mean by traceability or how can we understand this concept more simply? Suffice it to say that it alludes to the tracking of a product.

The International Organization for Standardization (ISO) defines traceability as “the property of a measurement result or standard value where it can be related to specified references, usually national or international standards, through a continuous chain of comparisons with specified uncertainties.

<<< Business 2025: technological revolution in your company or extinction >>>

In a few words, it is the set of disciplines of a different nature that, when used correctly, allow the monitoring of products throughout the entire production process.

Why should you implement a traceability system?

Today, the market and consumers demand a greater commitment to quality control and production processes, the management, and control of products have become a permanent need for companies and industries.

For this purpose, a traceability system allows you to obtain a global vision of each of the parties that participate in the flow of raw material during the production process. Although the traceability system was initially implemented for the food sector, its monitoring effectiveness made it an indispensable tool for all sectors of the industry.

<<< Advantages of implementing the use of software in your commercial area >>>

Before implementing a traceability system, it is necessary to prepare a plan describing the actions to be carried out. Through a traceability plan, you must define the objectives, strategies, and scope that it will have.

Before using a traceability system, it is also advisable to carry out a study of the systems that suppliers and customers run for the same purpose. Finally, it is advisable to carry out a prior diagnosis of the situation to avoid unnecessary efforts and optimize the use of the information that will be obtained from the implementation of the system.

Although each traceability system must be adapted to the particular company that is going to implement it, we explain each of the fundamental components that make up a traceability system and that could guide you in the planning of this system:

1. Identification system

Identification systems are one of the basic components of any traceability system in the business world. Through these systems, you can identify the products, either individually or grouped in batches. Likewise, they allow the identification of packaging and boxes related to warehouse and distribution logistics.

The usual way is to use identification codes that are attached to products and packaging. This procedure ensures the control of the trajectory until the end of the production process.

Of course, each company is free to choose the identification system that best suits its needs. So feel free to select the standard type of encoding that best suits your industrial production.

However, for the identification system to work properly, it is imperative that you use the relevant management tools. The new information technologies (IT) greatly speed up the task, since they are usually linked to the different automatisms that the company is using.

2. Data capture system

An important aspect to take into account to implement a good traceability system is to use a data capture tool. This must obtain and record the information on the raw materials used, the data of the plant in which it is manufactured, and the data of the warehouse management.

The right technology will allow each collaborator involved in the supply chain to add the necessary data or perform quality control operations in real-time on the products that require it.

3. Digital tool for data management.

In addition to the two systems described above, all the data obtained during planning would be of little use if we do not later resort to the tools to analyze them and give them adequate use. For this reason, the use of specialized software that allows the correct management of all the stored information and its subsequent administration is essential.

The software involved in the traceability systems must contain functionalities such as the printing of labels or bar codes, as well as the option of recording RFID chips, which allows remote identification, using a radio signal, of the object in which is placed.

In the same way, it is necessary that the software allows hosting the information that has been collected, as well as being able to interact with the business management systems.

4. Data register.

Once you have all the data, it is time to record it, analyze it, and assign it an appropriate use. The traceability information will be very different depending on the type of product, the sector to which the company belongs, and what the requirements of the user or customer are.

Nor should we lose sight of what current legislation establishes in terms of product traceability and safety. This is doubly important if you intend to export part of the production since you have to study the laws of the country of origin and those of origin.

How to implement a reliable traceability system?

You already know the parts of a traceability system, now we tell you what to do with them when implementing a system for your company.

1. Quality obtained through a traceable system.

The most important data that a traceability system must include must answer general questions that provide relevant information on the identification of the product, who participates in the supply chain and participates in the process, where the location was, when and the details of the event or process involved.

2. Unique identification of products and logistic units through international identification standards.

It is recommended that all products and logistic units be registered through international identification standards.

3. Efficient recording of information at each traceable point.

The efficient recording of information allows you to feed the traceability system, that is, each event that occurs is recorded at the precise moment of its execution, answering the questions: what? whose? where? when?

4. Protection of information.

Safeguarding the information helps you consolidate the database of all traceable events. A backup of quality information will provide quality reports and queries as a result.

5. Sharing relevant information with employees in the supply chain.

Sharing important information with employees in a supply chain generates added value to any traceability system because having complete information on the progress of the production process ensures optimal monitoring of each of the units.

In conclusion, if you implement an adequate traceability system, you will obtain a great tool to improve the productivity and efficiency of all types of companies, and, in addition, it is essential to respond to one of the demands of current users: real-time response.