Location
All organisations exchange information in their business
process, both externally and internally. Although it is assumed
that the information exchange occurs between the right parties,
in many instances a precise means of identifying the parties and
locations has become an absolute necessity.
This is particularly the case for Electronic Data Interchange (EDI).
Moreover, the use of coded identification instead of alphanumeric
names and addresses has become key to the successful implementation
of EDI projects.
What
is a Global Location Number ?
Definition
A Global
Location Number or GLN is simply a number that identifies any legal,
functional or physical location within a business or organisational
entity such as:
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legal
entities:
whole companies, subsidiaries or divisions such as supplier,
customer, bank, forwarder,...; |
| - |
functional
entities: a
specific department within a legal entity, e.g. accounting department; |
| - |
physical
entities: a
particular room in a building, e.g. warehouse or warehouse gate,
delivery point, transmission point. |
Each
location is allocated a unique identification number.
GLNs
are reference keys for retrieving information from databases such
as:
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Postal Address; |
| - |
Type of location (manufacturing centre, warehouse,
sales office, corporate headquarters); |
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Region; |
| - |
Telephone, fax numbers; |
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Contact person; |
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Bank account information; |
| - |
Delivery requirements or restrictions. |
What
is the structure and presentation of a Global Location Number ?
GLNs are
governed by strict rules to guarantee that each one is unique world-wide.
They
always have the following features:
| - |
they
are numeric; |
| - |
they
have a fixed length of 13 digits which must be processed in
their entirety; |
| - |
they
end with a check digit. |
|
Example of a Global
Location Number
|
EAN·UCC
Prefix
|
Company
prefix & Number allocated by the company
|
Check
Digit
|
Prefix:
EAN·UCC prefix
Company number (assigned by the numbering organisation)
and
Number allocated by the company to a specific location
Check-digit: calculated on the basis of the 12 first
digits. |
|
When
are Global Location Numbers used ?
The identification of locations is required to
enable an efficient flow of goods and information between trading
partners through:
| - |
EDI messages; |
| - |
physical location marking (rooms,...); |
| - |
routing information on logistic units. |
| - |
identifying parties on Payment Slips |
Electronic
Data Interchange (EDI)
The
exchange of standard message formats from one computer application
to another is known as Electronic Data Interchange or EDI.
GLNs are a key concept in EDI. They provide a unique,
unambiguous and efficient identification of all locations
relevant to the EDI transaction. This is a prerequisite to electronic
trading as it is obviously preferable if all trading companies use the
same location coding standard. Networks are then able to route EDI messages
accurately to the designated mailbox, workstation or application.
Names, addresses and information about particular locations do not
need to be communicated for every transaction, the necessary information
is communicated only once, entered on to computer files and subsequently
retrieved by referring to a unique, standard location number.
Even with paper based systems, GLNs are cost-effective
as they save valuable space in forms, reduce errors and save time.
Goods
physical flow process and transport
GLNs
can be presented in bar code format and physically marked onto:
| - |
trade units to identify the parties involved in the transaction
(buyer, supplier); |
| - |
transport units (consignor, consignee); |
| - |
physical locations (place of delivery, place of departure). |
The
symbology for this is the UCC/EAN-128 which can be scanned to automatically
capture the details related to the location.
What
are the benefits of Global Location Numbers?
Why
use Global Location Numbers instead of an internal system ?
Any
company can design its own internal system and code structure to
identify all the locations covering its operating requirements.
Although an internal solution might seem to be the easiest and fastest
way forward, when information is exchanged between computers of
distinct companies this may present several problems, such as:
| - |
Duplication
: two or more trading partners may use the same code to identify
their internal locations; |
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Complexity
: internal codes will have a variety of structures and formats,
making application programming more complex and application
changes costly; |
| - |
Significance
: location codes that contain information related to the location
in the code structure itself, will become difficult to handle
as the coding structure evolves to incorporate new meanings. |
The
use of GLNs provides companies with a method of identifying locations,
within and outside their company that are:
| - |
Unique
:
with a simple structure, facilitating processing and transmission
of data; |
| - |
Multi-sectoral
:
the non-significant characteristic of the GLNs allows any location
to be identified and consequently any business regardless of
its activity; |
| - |
Global:
GLNs are unique world-wide. Moreover, the international network
of EAN Numbering Organisations, covering more than 90 countries,
provides support in the local language. |
Who
is using Global Location Numbers today ?
GLNs
are widely used on a daily basis by more than 200,000 companies
involved in a variety of business activities, including chemicals,
electronics, banking, healthcare, retailing and do-it-yourself (DIY)
sectors.
The
GLN is recognised by the United Nations working party responsible
for UN/EDIFACT and by the International Standard Organisation (ISO
6523).
Note:
UN/EDIFACT stands for United Nations, Electronic Data
Interchange for Administration, Commerce and Transport.
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