To carry out their task of getting finished vehicles from the vehicle manufacturer to the final customer, logistics service providers, compound operators and shipping companies need to be able to identify individual vehicles and their destination. This is typically done by reading the labels, commonly known as VIN (Vehicle Identification Number) labels, that manufacturers attach to their cars before they leave the factory. Although the labels carry information that is human readable, reading in the finished vehicle distribution chain is usually done by scanning the barcodes that are also included.
There are, however, many inefficiencies in the scanning process due to the variety of labels used by the different manufacturers, the variety of information they contain, the lack of a common fixing position and, in certain cases, poor quality materials.
ECG carried out extensive testing of VIN label scanning in a compound in 2019 and as a result were able to recommend an optimum position for fixing the label on the vehicle. In 2021 ECG then decided to work together with Odette to develop their first recommendation into a more prescriptive standard for the label itself by leveraging the experience of Odette in developing label standards for the inbound supply of parts to the vehicle manufacturers.
The standard, updated in July 2024, besides addressing all the issues identified above, breaks new ground by recommending the use of the more robust 2D QR code rather than the traditional 1D barcode and also by taking account of the recent guidance from the European Maritime Safety Agency (EMSA) that Alternative Fuel Vehicles (AFVs) should be clearly identified for shipping because of the increased fire risk posed by these vehicles. This identification is achieved by the inclusion on the label of a 3 alpha character Power Type Code by which the manufacturer can show the fuel type of every vehicle. This new development has already been welcomed by several vehicle shipping companies.
At the moment, Volvo Cars is the only OEM to implement the standard more or less in its entirety. “Volvo Cars started in September 2023 with the change of the VIN label. We decided to adjust both size and label content. The change was connected in first hand to a specific new flow for Volvo Cars, which made the change easier of course,” said Kris Schildermans, Head of EMEA Outbound Logistics – Port & Yard Operations at Volvo Cars.
“Currently we have 3 production plants (global flows) that have adopted this new label and we expected to add another plant during the fall of 2024. The last roll-out will take place during 2025. Besides the aim to have the standardization, we see also a huge benefit in the size reduction of the labels. Less material is used, which is positive from an environmental and cost point of view. The changes have been well received in the operations field, in fact there has not been any negative comments been raised.”
Other OEMs have either implemented certain parts of the standard, such as the 3 character Power Type Code, or have indicated that the standard will be taken as a basis for any subsequent upgrade of their labelling process.