A code is a rule for converting a piece of information (for example, a letter, word, phrase, or gesture) into another form or representation (one sign into another sign), not necessarily of the same type.

In communications and information processing, encoding is the process by which information from a source is converted into symbols to be communicated. Decoding is the reverse process, converting these code symbols back into information understandable by a receiver.

One reason for coding is to enable communication in places where ordinary spoken or written language is difficult or impossible. For example, semaphore, where the configuration of flags held by a signaller or the arms of a semaphore tower encodes parts of the message, typically individual letters and numbers. Another person standing a great distance away can interpret the flags and reproduce the words sent.

Read more about Code:  Theory, Other Examples, Codes and Acronyms