Electronic traceability of labels in the tequila industry
José Cuervo Case
The José Cuervo plant in Guadalajara, Jalisco, one of the most important facilities for tequila production worldwide, was forced to face several important challenges that had to do with electronic traceability for labels.
The process of registering and monitoring the labels, which are the official labels issued by the Ministry of Finance and Public Credit of Mexico to certify the legality and payment of taxes on alcoholic beverages, was carried out manually. This method meant that workers had to read and record the tags by hand, greatly increasing the risk of human errors and omissions.
The high speed of production lines, which bottle thousands of units per hour, presented an additional problem. Manual systems could not keep up with the speed of production, resulting in bottlenecks and operational delays. This not only affected the efficiency of the plant, but also created risks of non-compliance with strict government regulations.
Compliance with the regulations of the Ministry of Finance and Public Credit is essential for the operation of any alcoholic beverage plant in Mexico. Proper implementation and monitoring of labels ensure that each bottle of tequila produced and distributed complies with all relevant tax laws and regulations.
Without an automated electronic label traceability system in the tequila industry, the risk of errors and potential non-compliance with these regulations was high, which could result in sanctions and affect the reputation of the brand.
The need to improve efficiency, reduce errors and comply with regulations led José Cuervo to seek advice from MES Automation to benefit from a technological solution that could automate the label registration and traceability process, ensuring a more fluid and reliable operation. .
PROBLEMS AND NEEDS
Before implementing the label traceability system for the tequila sector, the MES Automation engineering team identified several high-level areas of improvement that urgently needed to be resolved.
These issues and needs primarily focused on the efficiency of the tag registration process, the ability to comply with government regulations, and the reduction of human error and paper use.
-
Automation of readings on high-speed lines
One of the biggest challenges was automating label readings on high-speed production lines. The plant operated at a capacity that involved bottling thousands of units per hour, making manual recording of each label impracticable.
The lack of an automated electronic label traceability system in the tequila industry not only generated delays, but also increased the likelihood of human error, which could lead to compliance and operational efficiency issues.
-
Creation of traceability
Another problem that urgently needed to be solved was the need to create effective traceability of labels. This involved the ability to track each label from the moment it was applied to a bottle until its final exit from the plant, categorized by production order, product and production line.
Without proper traceability, it was difficult to ensure that all products were correctly labeled and that each batch could be effectively tracked.
-
Identification of discarded labels
The previous system lacked an effective mechanism to identify and manage discarded tags. This was essential to ensure that only valid labels were used and that any defective or non-compliant labels were properly recorded and eliminated from the process.
The lack of this control increased the risk of mislabeled products reaching the market, with consequent legal and reputational repercussions.
-
Generation of traceability reports
The ability to generate detailed traceability reports was another identified need that could not occur without an automated electronic label traceability system in the tequila industry. These reports would not only help internal management, but would also be essential to demonstrate compliance with the regulations of the Ministry of Finance and Public Credit.
Without an automated system to generate these reports, the process was tedious and error-prone, in addition to consuming a considerable amount of time and resources.
-
Compliance with government regulations
Compliance with government regulations was a paramount need. The Ministry of Finance and Public Credit of Mexico requires that all bottles of alcoholic beverages have a registration label that certifies the legality of the product and the payment of the corresponding taxes. Any failure to comply with these regulations could result in significant penalties and damage to the company's reputation.
-
Digital tracking of labels by process orders
Finally, the need for digital tracking of tag use by process orders was essential. This involved the ability to electronically track each label through the entire production process, from its initial application to the final product.
This digital tracking would not only improve the accuracy and efficiency of the process, but would also facilitate reporting and compliance with regulatory standards.
Reasons
José Cuervo's decision to implement an electronic label traceability solution in the tequila industry was motivated by several fundamental reasons, all aimed at improving operational efficiency, reducing human errors, complying with government regulations and promoting sustainability.
Manual log deletion
The previous system, based on manual registration of tags, presented a high risk of errors and omissions due to human intervention. The automation of this process through MES Automation technology allowed these manual records to be eliminated, greatly reducing the associated risks.
By reducing manual intervention, greater precision and reliability was achieved in the registration and tracking of tags, which is extremely important for regulatory compliance and operational efficiency.
Reduction of human errors
Human errors in label registration and traceability can have serious consequences, including regulatory sanctions and damage to brand image. The implementation of an electronic label traceability solution in the tequila industry helped minimize these errors, ensuring that each label was accurately recorded and tracked.
This not only improved the quality of the production process, but also guaranteed that the regulations of the Ministry of Finance and Public Credit were rigorously complied with.
Reduced use of paper
An additional objective of the implementation of a label traceability system for the tequila sector was the reduction of paper use. Manual records required a huge amount of printed documents, which was not only inefficient but also unsustainable from an environmental perspective.
By digitizing the label registration and traceability process, José Cuervo was able to reduce its dependence on paper, promoting more ecological and sustainable practices within the plant.
Regulatory compliance
Complying with the strict government regulations of the Ministry of Finance and Public Credit is essential for any alcoholic beverage producer in Mexico.
The electronic label traceability solution in the tequila industry ensured that all labels were recorded and tracked in accordance with these regulations, ensuring that each bottle of tequila produced was in full compliance with tax and traceability laws. This not only avoided possible sanctions, but also strengthened the confidence of consumers and authorities in the José Cuervo brand.
Operating efficiency
The need to improve efficiency on the production floor was another vital factor in the decision to implement MES Automation's electronic label traceability program in tequila production.
The automation of the registration and traceability process allowed for more agile and precise management of the labels, optimizing operations and reducing downtime. With an automated system, the plant was able to operate at maximum capacity without compromising quality or regulatory compliance.
CAPABILITIES
The implementation of an electronic label traceability system in the tequila industry provided a series of advanced capabilities that greatly improved the efficiency and control of production processes.
These capabilities were designed to address specific plant issues and ensure smooth, compliant operation.
RESULTS
The implementation of an automated electronic label traceability system in the tequila industry at the José Cuervo plant gave rise to great benefits that improved various aspects of production and regulatory compliance. These results showed how MES Automation technology was able to address initial problems and transform plant operations.
Automation of label readings on high-speed lines
One of the most notable results was the complete automation of label readings on high-speed lines. This change eliminated the need for manual processes, thereby reducing human errors and increasing operational efficiency.
The high-speed reading cameras installed on the production lines allowed accurate and fast reading of the labels, maintaining the constant flow of production without interruptions.
Creation of traceability of readings by order, product and line
The ability to create detailed traceability of tag readings by order, product, and production line was a significant advancement. This label traceability system for the tequila sector allowed each label to be tracked from its initial application to the final product, providing complete and accurate visibility of the production process.
This improved traceability facilitated internal management and ensured that all tequila bottles met the required quality standards and regulations.
Identification of discarded labels
The implementation of the automated electronic label traceability system in the tequila industry made it possible to effectively identify and record discarded labels. This capability ensured that only valid labels were used in the production process, minimizing the risk of mislabeled products that could lead to quality and regulatory issues.
The proper management of discarded labels contributed to maintaining the integrity of the final product and complying with the regulations of the Ministry of Finance and Public Credit.
Generation of traceability reports
The digital label tracking system in tequila production included the functionality of generating detailed traceability reports. These reports provided valuable information on the status of labels and regulatory compliance in real time, accessible through web platforms.
Additionally, the ability to generate and access these reports facilitated better decision making and improved transparency and oversight of production operations.
Regulatory compliance
The label traceability system implemented for the tequila sector guaranteed compliance with the strict government regulations of the Ministry of Finance and Public Credit. By ensuring that each bottle of tequila was correctly labeled and registered, the plant was able to avoid possible sanctions and strengthen the confidence of authorities and consumers in the José Cuervo brand.
Digital tracking of label use by process orders
The digital monitoring of the use of tags by process orders was another notable result. This functionality allowed each tag to be electronically tracked throughout the production process, from its initial application to the final product. Digital tracking improved the accuracy and efficiency of the process, facilitating report generation and ensuring compliance with regulatory standards.
ADVANCED AUTOMATION SOLUTIONS
The implementation of an electronic label traceability system in the tequila industry at the José Cuervo plant provided a number of key benefits that improved operational efficiency, ensured regulatory compliance and reduced human errors. These results demonstrated the value of MES Automation technology in the transformation and optimization of production operations in the tequila industry.
Originally published on August 1, 2024, updated on October 7, 2024