Global Location Number (GLN)

The Global Location Number (GLN) is establishing itself as an indispensable standard for companies in international trade. This identification key enables the precise identification of business units and their physical locations. With the increasing networking of trading partners, unique identification using GLN numbers is becoming particularly important for smooth business processes. Standardized numbering systems form the basis for efficient communication between trading partners and optimized logistics processes.

What is a GLN (Global Location Number)?

The GLN acts as a globally unique identifier for companies and their locations in the GS1 system. Business partners use this 13-digit number for the automated processing of business processes. Each assigned GLN identifies specific functional units such as production sites, warehouses or administrative buildings.

The structured layout enables the systematic recording of relevant company information in databases. Several locations of a company each receive their own GLN numbers, enabling precise assignments.

The standardized form of the GLN supports the smooth exchange of data between different IT systems.

Structure of the GLN number

GLN numbers are made up of three main components: The GS1 base number, the location reference and the check digit.

The first digits identify the issuing country, followed by the company identifier.

The middle digits identify the specific location within the organization.

The last digit is used for validation and is calculated according to a defined algorithm.

This systematic structure ensures the uniqueness of each GLN worldwide. The assignment is carried out by national GS1 organizations according to standardized rules. Companies initially receive a basic number from which they can derive further GLN numbers for different locations.

Meaning and areas of application of the GLN

GLN numbers form the backbone of modern business processes in the B2B sector. Logistics companies use them for the exact allocation of incoming and outgoing goods.

In ordering, GLNs enable the automated processing of transactions between trading partners. Invoicing processes benefit from the clear identification of the business units involved. Electronic communication between companies is largely based on the correct use of GLNs.

Error rates in the supply chain are significantly reduced thanks to standardized identification. GLNs make international trade relationships in particular more efficient and transparent.

GLN in electronic business transactions

Electronic data exchange between companies requires unique identifiers for all parties involved. GLN numbers enable the automatic processing of business documents such as orders or delivery bills.

EDI systems use GLNs to correctly assign messages to the respective recipients. Integration into ERP systems simplifies the maintenance of master data and business relationships. Electronic marketplaces use GLN as the standard for participant identification. The exchange of product information is also based on the GLN system.

The digital transformation of business processes is significantly supported by the uniform use of GLNs.

GLN vs. GTIN: the important difference

The fundamental difference between GLN and GTIN lies in their specific areas of application.

GLN numbers identify companies and their locations, while GTINs are used for the unique identification of commercial products. This distinction plays a key role in the automation of business processes in particular.

While the GLN identifies the sender of a delivery, for example, the GTIN identifies the specific item within this delivery.

Both numbering systems complement each other in practice and together form the basis for precise goods flows. The correct application of both standards enables seamless traceability of products throughout the entire supply chain.

How to obtain your own GLN number

The process of obtaining a GLN number begins with contacting the relevant GS1 organization. Applicants go through a standardized registration process. Once the company details have been successfully checked, a GS1 base number is assigned. This basic number forms the basis for generating further GLN numbers for different locations. Careful documentation of the assigned numbers in the company’s internal system is particularly important. Correct implementation in existing business processes often requires adjustments to the IT infrastructure. Regular updates of the master data ensure that the GLN information is up to date.

GLN number costs at a glance

The costs for GLN numbers are made up of various components. One-off registration fees are incurred when registering in the GS1 system for the first time. Annual usage fees are based on company turnover or the number of GLN numbers required. Additional costs may arise due to necessary adjustments to IT systems. The integration into existing business processes causes initial implementation costs. In the long term, these investments pay for themselves through optimized processes and reduced error rates. Transparent cost structures enable reliable budget planning for companies of all sizes.

Finding and retrieving GLN numbers

Various tools and databases make it possible to search for GLN numbers. Online directories of GS1 organizations offer search functions for registered companies. Business partners usually exchange GLN numbers directly when establishing trade relations. The validation of the numbers found is carried out using special check algorithms. Current master data on GLN numbers can be found in central GS1 databases. Regular updates ensure the reliability of the stored information. Industry-specific directories and trade databases also help in the search for GLN numbers.

GLN number validation

The verification of GLN numbers follows a defined validation process. Check digit calculations enable the rapid detection of incorrect numbers. Automated validation tools support the mass validation of GLN data. The up-to-dateness of a GLN can be verified via central directories. Regular validation of the GLN numbers used ensures data quality within the company. The integration of check routines into business processes prevents the use of invalid GLNs. Validation results should be systematically documented and tracked.

GLN numbers in the digital transformation

GLN numbers are becoming a key element of digitalized business processes. Modern supply chain management systems are based on the consistent use of standardized identifications. The integration of GLNs into blockchain technologies enables new approaches for transparent supply chains. Machine learning uses GLN-based data structures to optimize processes. Automated workflows use GLNs to uniquely identify business partners and locations. The networking of systems of different trading partners benefits from the uniform GLN structure. Cloud-based solutions integrate GLN as a standard identifier for business units.

Best practices for GLN implementation

Successful GLN implementations start with a careful inventory of existing processes. Clear responsibilities for GLN management must be defined at an early stage. Employees require targeted training on the correct handling of GLN numbers. Systematic tests of GLN integration in IT systems ensure functionality. Documented processes for assigning new GLNs support consistent workflows. Regular audits ensure the sustainable quality of GLN use. The involvement of relevant specialist departments promotes acceptance of the system.

Conclusion: The importance of GLNs for your business success

GLN numbers are establishing themselves as an indispensable element of modern business processes. Companies benefit from optimized processes and reduced administrative effort. International trade relations are increasingly based on the standardized use of GLNs. Increased efficiency through automated processes justifies investments in GLN systems. Future-proof business models rely on the consistent use of GLN. The competitiveness of companies depends largely on the successful integration of standardized identification systems. Strategic advantages arise particularly for companies with complex supply chains.

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