rfid & retailing jonathan wareham jonathan wareham

RFID & RetailingRFID & Retailing Jonathan WarehamJonathan Wareham

What is RFID?What is RFID?

• RFID is an technology that uses radio-frequency waves to transfer data between a reader and a movable item to identify, categorize, track...

• RFID is fast, reliable, and does not require physical sight or contact between reader/scanner and the tagged item

RFID OperationsRFID Operations

What is RFID? -- The TagsWhat is RFID? -- The Tags

• Tags can be read-only or read-write• Tag memory can be factory or field programmed,

partitionable, and optionally permanently locked• Bytes left unlocked can be

rewritten over more than100,000 times

RFID Tags

• Tag ID Only

• Programmable Database Pointer

• Mission Critical Information

• Portable Database

• Read Only (Factory Programmed)

• WORM - Write Once, Read Many times

• Reprogrammable (Field Programmable)

• Read/Write (In-Use Programmable)

RFID System BasicsRFID System Basics

Tags can be attached to almost anything:

– pallets or cases of product– vehicles– company assets or personnel– items such as apparel,

luggage, laundry– people, livestock, or pets– high value electronics such

as computers, TVs, camcorders

What is RFID? -- The TagsWhat is RFID? -- The Tags

Are All Tags The Same?Are All Tags The Same?

Basic Types:Active

• Tag transmits radio signal• Battery powered memory,

radio & circuitry• High Read Range (100

meters)Passive

• Tag reflects radio signal from reader

• Reader powered• Shorter Read Range (10cm

– 5 meters)

RFID the Supply Chain

Tag ReaderAntenna Middleware Supply chain execution- Coiled

antenna ofreader creates magnetic field with coiled antenna of tag

- Transmits identification data to a reader

-Transmit data tomiddleware

-Associates tag info with product info

-Process information from reader

-Filters data

-Sends data to backend servers

- Backend SCE or ERPsystems receives Information

How far, how fast, How far, how fast, how much, how many, attached to whathow much, how many, attached to what??

Low FrequencyNo regulationPenetrate materials (water, wood, tissue well)Slow read speedSmall rangeNo penetration of iron and steel

Medium FrequencyLittle data, small distanceThin tagsLow costHigh data ratesGovt regulatedNon mental penetrating

High FrequencyPenetrate materialsSmall tag sizeHigh data transferLong rangeNon-water or tissue penetratingNon-regulated in some regionsexpensive

Where can RFID add value?

From Manufacturing

Into a Store’s Back Room Inventory

On the Shelf At the Cash

Register

Through Distribution Transportation

Out the Door as an anti-theft device

RFID Video

Portal ApplicationsPortal Applications

Bill of LadingMaterial Tracking

Portal ApplicationsPortal Applications

Limited number items at forklift speeds8’ X 10’ doorwaysElectronic receipt & dispatchWrong destination alertElectronic markingPallet/container item tracking

Conveyor / Assembly LineConveyor / Assembly Line

Read / Write OperationsHigher Accuracy than Bar Code

Conveyor / Assembly LineConveyor / Assembly Line

Up to 450 fpm60+ items per containerInexpensive tunnelsLonger tunnel more itemsElectronic receiptSortingElectronic marking

Hand Held Application CategoriesHand Held Application Categories

Wireless Batch

Fixed Station

Application ExamplesApplication Examples

Wireless / Batch

Inventory Management Material Handling

By Destination

Material HandlingInspecting / Maintaining

Material HandlingAggregate / De-aggregate

Where is it? What is it?What is inside the box?

Where is it going? Where has it been?Should it be here?

What have I assembled or disassembled?How many do I have? Do I have enough?

Has this been repaired?Is this under warrantee?Has this been inspected?Is this complete? What is the asset’s status or state?

Shipping ValidationShipping Validation

Tote/Box/Unit Level Inventory

Intelligent LabelsIntelligent Labels

The HazMat LabelThe HazMat LabelSHIP TO: SHIP FROM:

COMMANDING OFFICER DDSP SUSQUEHANNA, PA 15230

CHEMICAL SUPPLIER CHEMICAL COMPANY INSTITUTE, WV 23456

TCN:

NSN:

CAGE:

MSDS #:

GTIN:

HCC:

AHRIST DATA:

AWHGEAA$0F00090XX

5310011987585

AWHGE 00098756100013CHEM WT:

ABCDE 10000A1

HazMat Smart LabelHazMat Smart Label

Low power > long range 1024 bit memory Read/write/lock on 8 bits Advanced protocol

Efficient multi-id Lock data permanently

12 ms/8 byte read 25ms/byte write Group select Broadcast write 40 tags/second Anti-collision

© Q.E.D. Systems 2003

ApplicationApplication RequirementsRequirements

Wal-Mart - Suppliers will mark inbound cases and pallets with RFID - 1 January 2005 - May, 2003 specification calls for ≈256 bit read/write tag

U.S. Department of Defense - Draft RFID policy to be completed by 18 September 2003 - To issue final policy in July of 2004 that will require suppliers to put passive RFID tags on selected case/pallet packaging by January of 2005. Draft policy calls for passive tags (est. 256 byte) and active tags

Is RFID GPS? Is RFID GPS? NO!NO!

Electronic Article Surveillance

Typically retail theft deterrence applications

Arguably first and most widespread commercial use of RFID

“1-bit” tag Cheap, passive

Electronic Toll Collection

Toll tags speed regular users through toll gates

RFID tag on windshield identifies vehicle and enables toll deduction from account

Railcar Tracking

99% of every North American railcar in interchange service equipped with RFID

Access Control

The ubiquitous employee badge is RFID

Vehicle access– NEXUS border

inspection program at Peace Arch

photo by HID Corporation

Product Recall

Remember Ford and Firestone? TREAD Act RFID pilots underway to track tires from

manufacturer tovehicle

Baggage Tracking

Positive Passenger-Bag Matching initiatives (PPBM)

Bar code systems work today but line-of-sight requirements make complicated solutions

1 to 2 billion tags/year Many pilots to date Tag price is key

Medicine

Counterfeits

Top 100 Suppliers: Suppliers will mark inbound cases and pallets with

RFID - 1 January 2005 - May, 2003 specification calls for ≈256 bit read/write tag

• 1 EPC tag per carton – 100% read on conveyor

• 1 EPC tag per pallet – 100% read at Inbound dock

• Conveyor speed of up to 600 feet per minute

• 3 Texas Distribution Centers

• January 2005

Why???

• Stock management /perishables (field to fork)

• In-stock levels

• Invoice reconciliation: damaged, deductions, performance penalties, etc.

• Scan Based Trading or VMI

• Improved analytics & POS data

• All reads available to suppliers within 30 minutes

Metro Future-Store

• Video RFID Retailing

RFID & Retailing

PRADA

Guidelines for using RFID

• Bar codes cannot be used• Counting versus identification (reverse logistics)• Use of 3Party logistics and suppliers• Data collection is chaotic (battlefields, hospitals,

retails shops)• Exact configuration of the good must be

maintained • Counterfeit protection• High Risk scenarios, drugs, hospitals • Collecting data outside of retailer (smart

refrigerators, medicine cabinets, etc)