How Using QR Codes in Manufacturing Simplifies Operations

In the era of Industry 4.0, companies leverage a large volume of data and advanced technologies to improve productivity. And those operating in the manufacturing sector are no different.

However, many small and mid-sized manufacturing companies struggle to streamline their operations due to inventory mismatches, equipment downtime, quality issues, etc. These often result in production delays and affect sales. 

Enter QR codes. Initially designed to label automotive parts, QR codes are proving more effective in addressing modern manufacturing issues related to efficiency and traceability than their earlier counterparts – barcodes. Because of their greater adoption across industries, the QR code labels market is projected to reach USD 3.5 billion by 2033, soaring from USD 1.5 billion in 2023. 

As a manufacturer, you might want to explore QR codes and know how they can simplify your plant operations and enhance productivity. Read on.

Benefits of using QR codes in manufacturing

✅ Enhanced inventory management 

QR codes help streamline inventory management. Manufacturers can access real-time stock availability and updates, reducing inventory shortage or overstocking. For example, a QR code scanner can be placed at a warehouse, where staff scan the codes of products when entering and exiting the facility. This helps manufacturers maintain accurate record-keeping, adjust production schedules, and enhance supply chain management. 

✅ Faster equipment maintenance and servicing

Downtime due to equipment failure costs manufacturing companies a fortune. According to a 2022 report by Siemens, “Unplanned downtime now costs Fortune Global 500 companies 11% of their yearly turnover, almost $1.5tn.” QR codes enable maintenance teams to access all information regarding maintenance history and servicing dues, allowing proper equipment maintenance and efficiency. The team can quickly access troubleshooting guides by scanning the code on a machine, helping accelerate repairs and reduce downtime. 

✅ Streamlined workforce training and safety

Workplace safety and employee training are key to smooth manufacturing operations. QR codes can link to training videos, safety guidelines, and emergency response procedures. Employees can scan a QR code on machinery to instantly access safety instructions, ensuring compliance and reducing workplace accidents. 

✅ Seamless quality control and compliance

Manufacturers must adhere to strict quality control and regulatory compliance standards. QR codes help track product defects, maintain audit logs, and ensure compliance by linking to inspection reports, certification documents, and traceability data.

✅ Better supply chain and logistics coordination

QR codes enable real-time tracking of shipments and materials from raw materials to final distribution across the supply chain. They allow manufacturers to verify the authenticity of received parts, monitor shipments, and coordinate efficiently with suppliers to prevent bottlenecks and delays. This helps streamline faster production cycles. 

✅Customer engagement and product authentication

Beyond internal operations, QR codes enhance customer experience and brand trust. Manufacturers use QR codes to provide customers with product information, user manuals, and warranties. This helps combat counterfeit products and builds stronger customer relationships.

How to implement QR codes in manufacturing

To leverage QR codes effectively, manufacturers should:

• Identify key areas where QR codes can help optimize operations.
• Choose the appropriate QR code type (static or dynamic) based on the use case. We recommend using dynamic QR codes, which allow users to edit information after printing the code.  
• Integrate QR codes with existing enterprise resource planning (ERP) or inventory management systems.
• Ensure high-quality QR codes are printed and placed strategically for better visibility and easy scanning.
• Train your employees regarding the use of QR codes for improved efficiency.

Brands implementing QR codes in manufacturing 

Several prominent manufacturing companies, from automotive to healthcare sectors, have integrated QR codes into their operations to enhance efficiency, traceability, and customer engagement. Here are some notable examples:

1. DENSO WAVE – Innovators of the QR Code

DENSO WAVE, a subsidiary of the Toyota Group, developed the QR code technology in 1994 to improve manufacturing efficiency. Intended initially to enhance barcode scanning speed and data storage in their automotive manufacturing processes, QR codes have since evolved into a global standard across various industries. 

2. Marimekko and Kappahl – Digital product passports in fashion

In 2024, fashion brands Marimekko and Kappahl participated in the Trace4Value project, implementing Digital Product Passports (DPPs) using QR codes. Over 3,000 products were labeled with unique QR codes, allowing consumers to access detailed product information, including supply chain data and sustainability credentials. This initiative aimed to enhance transparency and consumer trust in the fashion industry. 

3. Unilever – Enhancing food traceability

In 2023, Unilever implemented QR codes on the packaging of its Knorr brand products to establish robust food traceability. This initiative aimed to regain lost market share and gain deeper insights into consumer behavior by providing transparent information about product origins and sustainability practices. 

4. Pfizer – Pharmaceutical serialization and compliance

Pfizer incorporated QR codes into its pharmaceutical products to comply with the Drug Supply Chain Security Act. By implementing a QR code-based serialization and traceability system, the pharmaceutical company ensures the authenticity of its products and maintains compliance with regulatory standards. This system enhances supply chain security and patient safety. 

5. Bosch Rexroth AG– Service and maintenance optimization

Bosch Rexroth, a leader in automation and control technologies, used QR codes within their service department to collect data during the use phase of their products. The engineering company identified use cases and data requirements for QR code implementation, enhancing service operations and product development. 

These examples demonstrate the diverse applications of QR codes in manufacturing, from improving internal processes and compliance to enhancing consumer engagement and transparency.

Conclusion

QR codes are great tools for simplifying operations, streamlining supply chain management, and enhancing production efficiency in manufacturing. As a versatile technology, they enable instant, real-time access to data, ultimately leading to improved asset tracking, reduced errors, and enhanced productivity. Now is the time to adopt QR technology and stay ahead in the competitive manufacturing industry.

Frequently asked questions