Nowadays, network is an essential need in almost every part of human daily activities. People now can seamlessly connect to others through the Internet. With advanced technology, our personal data now can be more easily accessed. One of many components we are concerned for delivering the best network is a security issue. This paper is proposing a method that provides more options for security. This research aims to improve network security by focusing on the physical layer which is the first layer of the OSI model. The layer consists of the basic networking hardware transmission technologies of a network. With the use of observation method, the research produces a schematic design for enhancing the network security through the gray code converter.
 J. Li, M. Yarvis, P. Reiher, “Securing Distributed Adaptation,”in Computer Networks, University of California, Los Angeles, CA 90095, USA
 Brandl D.,“Don't cloud your compliance data,” in Control Engineering, page 57, January, 2010.
 S. Saidhbimca and I. Gashaw, Security Concerns in Medium Size Enterprise Cloud Computing, IJARCET, Volume 2, Issue 8, August 2013.
 Y. J. Jung, S. Lee, N. Park, “All-optical 4-bit Gray code to binary coded decimal converter”, in Optical Components and Materials V, Proc. of SPIE Vol. 6890 68900S-1, 2008.
 T. Bakardjieva, “Introduction to Computer Networking”, Institute of Technology, Varna Free University “Chernorizec Hrabar”.
 Mariusz S, “The Principles of Network Security Design,” in ISSA Journal, October 2007, pp. 29-31.
 Check Point, Security Architecture, Chapter 9 Page 157-176, Downloaded 13 December 2013.
 Cisco, “Threats in an Enterprise Network”, in Designing Network Security, 2nd Edition, Chapter 5, Cisco System, Inc., 2005.
 Application Note #5412, Galil Motion Control, Inc., 3750 Atherton Road Rocklin, CA 95765 USA www.galilmc.com.