The automotive industry is an intensely competitive one. Efficient productivity is a goal that must be achieved in order to meet profit margins and is increasingly dependent on reducing cycle times, inventory levels and, of course, recalls. This means manufacturers must put in place supply chain systems that will address problems such as incorrectly identified parts and components, counterfeit parts, and general confusion in the supply chain.

Competition is not the single driving force behind this race to optimum efficiency. Industry and government standards, such as the TREAD (Transportation Recall Enhancement and Accountability Document) Act, require automotive manufacturers to rigorously track where each part is in the supply chain at every point in the production process. Without a doubt, bar code labeling is playing a major role in achieving this objective.

As a result of industry and government labeling requirements, automatic identification standards in the automotive industry are essential. The Automotive Industry Action Group (AIAG) requires the compliance by suppliers to automotive factories and manufacturers of specific bar code symbologies.

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