Appendix A

LOGISTICS REQUIREMENT
DESCRIPTION

Suppliers

Orkla Group Logistics

Table of content
1 Purpose of document ...................................................................................... 3
2 Package and marking the goods..................................................................... 3
Product labels – SSCC................................................................................ 3
The Concept of SSCC ................................................................................. 3
2.2.1 What is an SSCC-code ........................................................................ 4
2.2.2 How is the SSCC code build up ........................................................... 4
2.2.3 Assumptions ........................................................................................ 5
2.2.4 Product label - content and layout ........................................................ 6
Packing requirement ................................................................................... 9
Shipping documents.................................................................................... 9
2.4.1 Packing List.......................................................................................... 9
Advance Shipping Notification (ASN) ........................................................ 10
2.5.1 What is ASN?..................................................................................... 10
3 Supplier managed transport .......................................................................... 11
Customs procedure ................................................................................... 11
3.1.1 Transit declarations ............................................................................ 11
3.1.2 Border crossing .................................................................................. 11
3.1.3 Incoterms ........................................................................................... 11
Driver and vehicle ..................................................................................... 11
3.2.1 Transport in Norway ........................................................................... 12
4 Checking conditions of the goods ................................................................ 12
1 Purpose of document

This Business Requirement Description (BRD) document is an overview of the

general logistics requirements Orkla Group has for the Suppplier. It’s basically a
description of Orkla’s logistics requirements that is expected to be fulfilled by a
Supplier.
Not all requirements will be applicable for all set-up; it might vary depending of the
type of services, type of products, Orkla company set-up or Contract.

2 Package and marking the goods

Product labels – SSCC

Orkla has a general requirement on suppliers to mark the products with Serial
Shipping Container Code (SSCC) according to GS1 standard.

The GS1 standards can be found here:

https://www.gs1.org/

A guideline of the SSCC label has been created by GS1 and it can be found here:
https://www.gs1.org/docs/tl/GS1_Logistic_Label_Guideline.pdf

The supplier has to register themselves in GS1 to receive a unique company-

number which is used together with other numbers in the SSCC-code to make the
code unique.

The Concept of SSCC

The core of the concept is labelling every pallet with a unique SSCC code to track
and trace the pallet trough the complete value-chain. If the products are defined as
food, the SSCC-code will also make it easy to to track all food products (raw/finished-
goods) one step back and forward, according to the regulation in EU-Food law (food-
safety, traceability, labelling and product withdrawals and recalls).
2.2.1 What is an SSCC-code

It is a unique barcode used to track and trace Logistic units. The code must be
printed on the label as a barcode so it is possible to read with a scanner. The
barcode is also often printed as text (numbers) on the label (se example) so it is
possible to use without scanner.

2.2.2 How is the SSCC code build up

Use the company-code received from GS1, and the fields explained below;

The Check digit is normaly incorporated in the production-system e.g., but calculators are available
on the web.
2.2.3 Assumptions

• The company is registered as a GS1 member

• Barcode-quality at least equal with ISO- 15416 B

• Label-format A5 (preferable)

• Paper quality of label must be consistent with product-type (frozen, chilled..)

• Barcode standard . GS1-128 SSCC.

• Use standard field-format «AI» from GS1-128

• The pallet should be marked on two sides with two pair labels containing
product/transport-information
2.2.4 Product label - content and layout

Label content differs between type of product, and must be agreed upon with each
Orkla-company. It must at least include: GTIN number, Batch, Expiry Date, Quantity
on pallet and SSCC-code. The SSCC-code is unique for each Logistic Unit.

• Each pallet must contain two types of labels; one with product information and
one with transport-data
• Print Barcode-quality with at least equal with ISO- 15416 B
• Label-format A5
• Paper quality of label must be consistent with product-type (frozen, chilled..)

123456
Article:

Article name:
Article 2222222222
GTIN no. D-pack 999999
Quantity D-Pack: SSCC no.:

212 888888888
Quantity F-Pack: Net weight: Batch:

1000 555 kg 4444

Exp. date: Gross weight: Top weight:

31.12.2019 600 kg 1000 kg

Temperature Conditions: Classification:

XX ABCD

(02)999999(15)191231(37)212

(10)4444

(00)88888888

Figure 1 Example of a Pallet label Figure 2 Example of a Transport label

 2.2.4.1 Product label – details

The upper section

contains free text; for
example company

The middle section

contains the barcoded
information in text

GTIN128-Barcodes
for scanning
The lower section
contains the barcoded (02) GTIN D-Pack
(15) Expiry date
information, readable (37) Quantity on pallet

(10) Batch number

(≤ 10 caracters)

(00) SSCC Serial

Shipping
Container Code
 2.2.4.2 Placement of the labels

• The pallet must be labelled on two connected sides – one short side and the
long side to its right.

• The bar codes on the label should be at least 400 mm, and maximum 800
mm, from the bottom.

• The label should be placed as high as possible within this range, but if
required, leave space for the shipping/transport label above the pallet label.

• The pallet label should be placed on the outside of the plastic wrapping.
However. If the pallets are mixed, the pallet label should be placed on top of
the load under the plastic wrapping.

• No label must be closer than 50 mm to the edge of the pallet

• Standard size label is recommended, minimum size 148 x 210 mm (A5 size)

The pallet label must

be at least 400 mm,
and and maximum 800
mm, from the bottom

Transport/Shipping label should

be placed above the pallet label
Max 800mm

Min 400 mm

Pallet label
 Packing requirement

The product should be packed in a way so it can withstand a transport to the Orkla
site. General requirement is that pallet should be clean and of good quality. As
default EUR-pallets are used (standard size within Orkla is L1200 x W800 x H1250
mm), but excemptions do occur.

However, the detailed requirement is documented in the contract.

Shipping documents

The supplier must enclose the below document with the shipment.
• Commercial Invoice
• Packing List
• Waybill/CMR/Bill of Lading

For some shipments, depending on the requirements in the receiving country, other
documents, like Certificate of Origin, Certificate of Conformity etc., must accompany
the shipment.

2.4.1 Packing List

The suppliers Packing List can be in Portrait or Landscape A4-format. Standard

information required on the Packing List document:

Header Shipper (Supplier), Header “Packing List”, date of the order execution,
Waybill-number, delivery address, shipping instruction (free text),
number of packages**, Orkla’s reference, Orkla’s order number
Order Lines Product number, product description, SSCC , batchnumber, expire
date(best before date) , delivered quantity and type of unit.

**/ Number of packages can be in the header or footer of the documnet

 Advance Shipping Notification (ASN)

Orkla’s intention is to receive an Advance shipping notification (ASN) from the

supplier. Depending on the set-up with each supplier this can be sent in different
ways and this will be agreed in the contract between Orkla and Supplier.

Based on what has been agreed with Orkla and Supplier, the ASN could be
communicated in different ways:
• EDI set-up with the supplier
• Using a Supplier portal
• Other

2.5.1 What is ASN?

An ASN, (Advance Shipping Notification) which is usually sent over the Internet in an
electronic data information (EDI) or extensible markup language (XML) format,
provides information about :
• When an order will be shipped
• Which items are being shipped
• How many of each item is being shipped
• Physical characteristics about the shipment such as the shipment’s weight,
the number of boxes
• Description of how the shipment units are packaged.

An ASN also tells the customer which mode of transportation is being used for
shipping and provides carrier information.
3 Supplier managed transport

If the supplier is responsible for the transport of the products to an Orkla site, there
are some requirements that applies for the supplier’s transport in terms of vehicle,
driver and customs procedures.

Customs procedure

3.1.1 Transit declarations

The supplier must use transporters that are familiar with customs procedures when
shipping to Orkla companies outside the European Union. Whenever a transit
document is necessary the document must be issued to the transporter’s trusted
partner outside EU, not Orkla.

3.1.2 Border crossing

The supplier must provide the customs documents needed for export purposes. The
supplier, or the supplier’s transporter, must also know how to handle the customs
procedures when entering a country outside EU, i.e. Norway. All customs documents
must be presented upon bordercrossing.

3.1.3 Incoterms

The supplier must fulfil their responsibilities according to Incoterms 2010 unless
otherwise stated in the contract. For FCA deliveries Orkla will arrange and pay for the
transport but the suppliers must provide the export documents. For DAP deliveries
the supplier must arrange and pay for any transport related costs until delivery has
taken place. Orkla will be responsible for any customs duties and VAT.

Driver and vehicle

The following requirements applies for the driver and of the vehicle:
• The driver must be able to communicate the essential information related to
the shipment and location
• If supplier is responsible for unloading of the vechicle at an Orkla site, the
driver must have forklift drivers licence or a certificate from transporter
guaranteeing that the driver is capable of driving and managing a forklift and
other tools for loading and unloading of pallets, and upon request be able to
show the license / documentation.
• The driver needs to be able to comply with local security regulations such as
speed limits, smoking policy etc., and follow regulations such as visibility
clothing, safety shoes with steel toecaps (Personal Protective Equipment
(PPE)), which is required according to the shipment they are transportingThe
inside of the vehicle shall be clean, dry and free from smell, dirt, dust and
other contamination and free from damages or any object that might damage
the goods.

Orkla may refuse to let the driver unload the vehicle if any or all above is not fulfilled.

3.2.1 Transport in Norway

For transport in Norway, The Norwegian Public Roads Administration has issued a
document describing the requirements on vehicles for professional transports,
especially during winter conditions. A truckers guide can be found here:
https://www.vegvesen.no/en/vehicles/professional-transport

Orkla’s intention is to participate in “Trygg Trailer” which is a joint venture

between the Norwegian Public Roads Administration (NPRA) and buyers of freight
transport services. The transport purchasing companies receive information about
requirements for winter tyres and chains from the NPRA and can make a simple
inspection of “their” vehicle combinations. Vehicles that are not well enough equipped
when they arrive at the company can be rejected as carriers.
https://www.vegvesen.no/en/vehicles/professional-transport/trygg-trailer

4 Checking conditions of the goods

Orkla is always checking the conditions of the packing and goods when receiving
suppliers goods. In additon, the quantity should be checked against the freight
document and/or invoice. If there is damaged or missing goods, a remark must be
written on the freight document; both on the carriers’s copy of the document as well
as the receiver’s (Orkla’s) own copy. The remark should specify:
• Number of missing and/or damaged package unit (pallet, ½ pallet, D-pack,
box etc)
• Type of damage (broken, wet, torn contents, leakage etc)
• Cause of damage if known (package unit overturned, wet due to
torn/damaged tarpaulin etc)
• Date and signature

In case of goods receipt of containers, the containter and seals shall be inspected
immediately by responsible staff. Any damage/broken seals/different seal from what
is agreed, this should be marked on the delivery receipt.

End of document