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EANUCC Global Product Classification
The EANUCC Global Product Classification System
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Why address Classification at all?

• The retail industry had tried many times to find
  a standard Classification solution without
  success
• Buyers need to align products to multiple
  internal classifications structures (Buyer,
  Merchandiser, Logistics)
• Sellers need flexibility to profile products in
  multiple views and align to internal
  classifications without compromising own systems.

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Objectives of Product Classification

• A consistent implementation of standardised
  Product Classification provides benefit to the
  industry by
• Supporting retail buying programs
• Drill down, Query brick...
• Providing a common language for category analysis
• Aggregation, Analysis, Searching...
• Streamline the data synchronisation process

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BENEFITS FOR THE SELLER

• Improved Category Management
• Better Market Research Data Integration (ie
  improve planogram efficiency, shopper insight. )
• Faster new product data synchronization
• Reduced Costs (ie PG 25MM savings through
  fewer deductions/ transcription etc.)
• Fewer Store Out Of Stocks
• Sales and Distribution Channel Improvement
• Enables Future Development (ie multi country
  transaction systems , Order Mgmt, CPFR, etc)

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BENEFITS FOR THE BUYER

• Better view of buying spending - buying
  efficiency improvements (Sourcing/Procurement)
• Efficiency improvement with complexity reduction
• Carrefour
• 300K possible suppliers, 300K supplier
  catalogues, 300K data formats
• 80 K suppliers, 15 million products offered, gt
  2.5 million products on line
• 25 minutes per SKU per year, 900K products
  modified, 45K erroneous products
• One hierarchy per country / format, 30
  modifications each month, 70 due to price /
  promotion
• Improved category management
• B2B applications (Online ordering, VMI)

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Description of Product Classification

• A context to group products into blocks to
  support the identified business processes.
• Consists of attributes and values associated
  to product brick
• A sub-set of the Global Data Dictionary

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The Schema

• Solution
• Background and structure
• Requirements
• Structure (bricks, attributes, values)
• Integration with other schemas
• External schemas
• Internal schemas
• Implementation Examples

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EANUCC Global Product Classification is one of
the key components for integrating retailer and
manufacturer processes
Selling Organizations
Buying Organizations
Global Standards Common Processes Foundations
GTIN/GLN GDD Global Product Classification GDS
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Solution Selection Process

• Reviewed Traditional Hierarchical Class
  Structures
• Reviewed other Industry Initiatives Aerospace /
  Automotive / Computer Components (RosettaNet)
• RosettaNet had very similar issues to Retail
  Sector and Decided on a Hybrid System of
  Hierarchical and Attributes

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GLOBAL PRODUCT CLASSIFICATON
Classification Hierarchy
Level 1 (Segment)
GCI Project Team Concluded Key To the
Classification Hierarchy was the definition of
the Lowest level Named Bricks Every Product
would need to assigned to Primary Brick
Level 2 (Family)
Level 3 (Class)
Level 4 (Brick)
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GLOBAL PRODUCT CLASSIFICATON
Classification Attributes
GCI Project Team Concluded Key To the
Attributes was the detail definition and ensuring
that there was no duplication with the individual
product attributes in the master data record
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and many of you will use other schemas

• The challenge is to find a
• Common entry level
• Global solution
• Compatible solution
• Flexible solution
• Solution agreed to by all parties

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The Schema Solution
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Food BeverageSchema Solution has 200 Entry
Level Bricks
Meat and Poultry
Fish
Aquatic invertebrates
Molluscs and shellfish
Dairy products substitutes
Delicatessen charcuterie
Cheese
Eggs
Animal fats
Edible oils
Egg products substitutes
Grains, pulses and rice
Flours
Sugars
Syrups
Sweeteners
Sweetening agents
Chocolate
Chocolate subs and carob
Chocolate confectionery
Sugar, candy confectionery
Herbs, spices extracts
Vinegars cooking wine
Dipping sauces condiments
Cooking sauces
Salad dressings, dips marinades
Pickles, relishes olives
Savoury spreads
Bread
Sandwiches filled rolls
Baking/cooking supplies/mixes
Plain biscuits crackers
Sweet biscuits cookies
Cakes, gateaux, pastries tarts
Deserts desert toppings
Ice cream frozen yoghurt
Jams, jellies sweet spreads
Prepared soups/stews
Prepared rice, pasta, potatoes
Other prepared meals
Pies, quiches and pasties
Crisps/chips snacks
Plain pasta and noodles
Packaged combo meals
Cereal/breakfast or health bars
Infant foods beverages
Animal food
Water
Ready to eat hot cereals
Tea
Other hot beverages
Coffee
Juices
Beer
Soft drinks
Cider perry
Wine
Fortified wine
Sparkling wine
Spirits liqueurs
Cocktails/ drink mixes
Tobacco smoking products
Etc...
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Product Classification flexible structure
Bricks
WINE, SPARKLING
WINE,STILL
Brick brïk Coherent grouping of items which
provides visibility and enables streamlined
information exchange.
WINE, FORTIFIED NATURAL
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Product Classification flexible structure
Attribute /ætribjut Basic characteristic
which describes or defines an item and can be
associated with one or more bricks
Class Attributes
WINE, SPARKLING
WINE,STILL
Attribute 4
WINE, FORTIFIED NATURAL
COUNTRY
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Product Classification flexible structure
Attribute Values
WINE, SPARKLING
Values
RedWhiteRose
WINE,STILL
Attribute 4
WINE, FORTIFIED NATURAL
COUNTRY
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Product Classification flexible structure
Attribute Values
all possible values must be listed
WINE, SPARKLING
WINE,STILL
Values
ChardonnayCabernetMerlotZinfandel...
Attribute 4
WINE, FORTIFIED NATURAL
COUNTRY
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Product Classification multiple entries
multiple hierarchies can be developed
WINE,STILL
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Product Classification Sub-set of the Data
Dictionary
Product Identification Product Description Product
Classification Product Date Product
Hierarchy Product Measurements Product
Packaging Handling conditions Price
Information Dangerous Goods Data Ordering
Shipping
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Classification Catalogue Application
Global Data Dictionary (GDD) Content
GLN/GTIN Key
Product Attributes
Classification Attributes (Core/)
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Classification Catalogue Application
Global Data Dictionary (GDD) Content
Classification Attributes (Core/)
Product Classification Fields
Primary Brick/ Commodity code
General Search code
Core Attribute One Code
Core Attribute Two Code
Mandatory
Optional
Mandatory
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Sub-set of the Data Dictionary

• Global Data Dictionary scope
• Common definitions for Master Data
• Neutral or relationship dependent
• Builds the foundation for data pools compliance
  to the global EAN/UCC coding system
• Promotes and strengthens use of the unique
  identifiers for product (GTIN) and party (GLN)

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Benefits of the Structure

• Reduces cost to industry through compatibility
• Increased ease of transaction between
  organisations
• May be mapped to any classification schema
• Facilitates expansion and addition to existing
  categories

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Global Product Classification

• Principles of the global classification
• Flexible, modular, robust.

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The Schema

• Solution
• Background and structure
• Requirements
• Structure (bricks, attributes, values)
• Relationship with other schemas
• External schemas
• Internal schemas
• Implementation Examples

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Introduction

• As a reminder the foundation for the scheme is
• Based on establishing generic building blocks
• Transcends differing business practices and
  multi-cultural barriers
• Provide a flexible solution that can be used in a
  range of different ways
• Does not mandate the use of a prescribed
  hierarchy, but accepts that needs differ and
  customisation is required

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Underlying Assumptions

• All major catalogues will support the industry
  product classification standard
• All products within various data pools will be
  coded to this standard
• The standard is intended to co-exist with current
  schemes in use, and to act as a common link
• The standard will be completely supported and
  integrated within the Global Data Dictionary
  (GDD) process
• The ongoing classification standards will be
  maintained by EAN.UCC within Global Standards
  Management Process (GSMP)
• The scope includes Global Classification
  attributes which support the primary areas, but
  excludes other GDD descriptions

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Business Areas Where the Schema Can be Used

• 1 - Support retail buying programs
• Enable high-level search capabilities that can
  reduce the time taken to find items.
• 2 - Provide a common language
• Support custom categorization for category
  analysis and collaborative business processes
  between the manufacturer and the retailer
• 3 - Enable data synchronization
• Providing a consistent set of classification
  details for each data pool involved in the
  synchronization of product data, thereby
  simplifying publication and subscription services

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Business Areas Where the Schema Can be Used

• 4 Using the example hierarchy
• The scheme has been created with flat
  hierarchy, however to assist organizations who do
  not have their own generic (international)
  hierarchy, and to assist searching capabilities
  within the e-commerce environment, we have
  supplied an example generic hierarchy
• 5 - Others
• We welcome any feedback which can be considered
  in this regard

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What Integration Will be Required

• Integrate scheme for the creation of custom
  search strings
• Specific product search
• Broader product group search
• Integrate within your organisation as the base
  language
• Set up as a central link
• Brick / attribute (and hierarchy if required)
• Integrate and align/link the scheme to existing
  custom and standard hierarchies
• Link other hierarchies to allow communication
  using scheme of choice

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Integration Processes

• In order to understand the integration
  possibilities consideration must be given to the
  main processes involved
• This usage of these processes will be determined
  by your business requirements
• We have identified the main processes and have
  provided illustration
• Due to time the examples are limited
• We can however engage in more detailed examples
  and feedback outside of this forum

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Main Processes in Integration

• Assessing, integrating and aligning against
  current scheme(s)
• Integrating the scheme as a central base, which
  links to other schemes

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Main Processes in Integrationcontd

• Assessing, integrating and aligning against
  current scheme(s)
• Can be integrated via linking schemes and
  assigning codes against products, or vice versa
  i.e. assigning codes against products and then
  assessing their position in the hierarchies
• Relationships between schemes will vary
• One Brick may align to one client group
• One Brick may align to more than one client group
  
• Many Bricks may align to one client group
• or
• Combinations Alignment through using different
  levels, i.e. bricks and attributes, and available
  levels within the client scheme

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Examples Aligning IFLS Categories
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Examples Aligning the JCA Categories
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Main Processes in Integrationcontd

• Building custom hierarchies / views
• This will be based on specific needs
• For example - The buyer is responsible for the
  Frozen Food section and wants to find new
  products
• Other examples are available in the usage paper
  or by contacting the Technical team directly

• Logic Search for new Soup products that fall
  into the Frozen Foods Categories
• Select all appropriate Bricks (noticing that
  Frozen is now catered for at brick and not
  attribute level). This would mean selecting gtgt
  Soups - Prepared (Frozen), and not Soups -
  Prepared (Perishable) or Soups - Prepared (Shelf
  Stable)
• Set up the appropriate search string / command
• Check all items returned are Frozen Soups
• Note You wish to also add further restrictions
  such as exclude all current products in your
  stores

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Main Processes in Integrationcontd

• Assigning coding to new products
• For existing new products in the market place

• Brick
• Coffee and Coffee Substitutes - Ready to Drink
  (10000114)
• Attributes
• Variant ESPRESSO (1000005692)
• Coffee Bean/Substitute Type UNIDENTIFIED
  (1000005707)
• Roast of Coffee UNIDENTIFIED (1000005773)
• Note the facility to code UNIDENTIFIED if it is
  unknown

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Main Processes in Integrationcontd

• Managing ongoing change
• Our assumption is that product innovation will
  lead to evolution of the scheme
• Therefore you may consider submitting change
  requests
• Importantly you will needs to assess the impact
  of changes on your existing coding

• Brick where this product is to be assigned
• Coffee and Coffee Substitutes - Ready to
  Drink (10000114)
• Attributes
• There is no attribute which allows you to
  distinguish that this has a self heating
  mechanism!
• Applying a combination of the rules, a
  change request may possibly lead to the attribute
  - With self heating mechanism

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Main Processes in Integration

• Using the generic example hierarchy
• The previously determined groupings of family,
  segment, and class have been included to assist
  with searching
• If / where applicable, the hierarchy can be used
  by organisations (if they do not have their own
  view, or if they are seeking a generic
  international view)
• The usage of this is not mandatory
• As an illustration we have included the Beverages
  Segment

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Summary

• The management, maintenance distribution of the
  EAN.UCC Schema outsourced to ACNielsen
• EAN International and its Member Organisations
  (including UCC) will be the sole Licensors of the
  EAN.UCC Schema

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What does it cost?

• There is a single global price list. Prices are
  based on the type and size of the Licensee and
  are expected to be in the following range
• User Licenses (retailers manufacturers) 100
  to 5,000 per annum
• Solution Provider Licenses 750 to 10,000 per
  annum. Your EAN local company can supply you with
  the complete price list.
• It is expected that many Small Medium Enterprises
  (SMEs) will not wish to or need to be Licensees
  of the Schema. A company only has to be a
  Licensee if they need to have and use the Schema
  in electronic format behind their firewall.