How Do Barcodes Work?

Generating a code

First, users define an item in inventory management, point-of-sale (POS), or other software. This definition can include a product’s name, price, origin, unique identifier, and other information.

Then the software generates the corresponding barcode. Every time a barcode is scanned, the system accesses, communicates, or displays the matching data in the inventory management system.

Finally, the code is printed on a label, applied to an item, or imprinted directly on a part or product.

Identifying and decoding

Decoding barcodes requires a barcode reader or scanner. While readers and scanners use different technologies and have different capabilities, they generally perform the same broad function, and the terms have become interchangeable.

Image-based barcode scanners use a sensor, like a digital camera, to capture a picture of the barcode. Image-processing software locates the code within the image and decodes the data, sending the data across a network.

Laser scanners project a laser across the code to detect how much light the code reflects. The scanner sends that data to the decoding software and finally to the network.

Image-based scanners capture a picture of the barcode.

Laser scanners project a laser across the code.

Using barcode information

Once a barcode is linked to a specific item in enterprise resource management (ERP) or POS software, there are countless opportunities to automate processes and streamline operations.

Barcodes can transmit item and product information to workstations, programmable logic controllers (PLCs), and servers using standard industrial network protocols such as EtherNET/IP, PROFINET 10, and Modbus TCP/IP. Combined with workflows within ERP and POS software, this data can help logistics and manufacturing operations track raw materials and components, monitor production processes, and keep track of assets and inventory.