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Product Classification:
The United Nations Standard Product and Services Code (UNSPSC®)  

Overview

In short, the UNSPSC is:

• An analysis tool for organizing, finding items and ordering products
• A free and open standard that can be used across many industries
• Allows companies to consistently classify the products and services they buy and sell.

The United Nations Standard Product and Services Code (UNSPSC) is an open, global standard taxonomy that allows organizations to consistently classify the products and services they buy and sell. Sanctioned by the United Nations and administered by GS1 US™, the UNSPSC is designed to group similar products together into categories, which is valuable for analysis, organization and searching for and ordering products. Hospitals and suppliers are increasingly adopting the UNSPSC because it is easy to use, free, and reduces resource requirements associated with developing, maintaining or supporting any proprietary taxonomy system. There are no license fees or restriction on sharing UNSPSC codes between trading partners.

How the UNSPSC Works

Using the UNSPSC is analogous to how biologists classify living things (using family, genus and species).  Below is an example of how a pen might be classified under the UNSPSC structure:

Heirarchy: Category Number & Name 

Segment:  44  Office Equipment and Accessories & Supplies
                   
---------> Family:  10 Office machines & their supplies and accessories
                           11 Office and desk accessories
                           12 Office supplies

------------------> Class:  15 Mailing supplies
                                                 16 Desk supplies
                                                 17 Writing instruments

----------------------------> Commodity:  01 Rollerball pens

UNSPSC does not identify individual items nor describe them. Instead, it provides a way to categorize a product but not to provide any details regarding specifications or features.  Classification is hierarchical; descriptions are not. In the above example, descriptions would be provided by the manufacturer and include such factors as color, size, type of ink cartridge used, etc.
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