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Encoders are nothing but High Speed Counters.
An encoder is a device, circuit, transducer, software program, algorithm or person that converts information from one format or code to another, for the purposes of standardization, speed, secrecy, security or compressions. By means of Instructions we can program with encoder and store the values in certain DataMemory..For example In Omron PLC the instructions used to read encoder pulses are PRV,PULS,SPED,INI,CTBL,ACC,PULS,ORG,...etc