rfid for warehouse and inventory management...insert your logo here 1-define the rfid strategy...
TRANSCRIPT
RFID for Warehouse and Inventory Management
Ygal Bendavid, Ph.D.,
UQAM /Academia RFID
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Ygal Bendavid• Professor, Ph.D., UQAM's
School of Management• http://www.mantech.uqam.ca/• Co-founder, Academia RFID• http://www.rfidacademia.com/• Training & certification• Seminars @ RFID Journal Live
since 2006• Email: [email protected]
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Objective of the presentation
• Understand how RFID can be used to gain visibility over your inventory?
– Define the RFID strategy & select the right project
– Use a methodological approach to solve problems & identify opportunities
– Target the appropriate RFID technology for your specific case
Define the RFID strategy & select the right project
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1-Define the RFID strategy Vision & orientation
Is RFID right for my (warehouse) inventory management?
– What are the Strategic-Tactical-Operational goals of my warehouse/inventory project?
– How effective and efficient are the existing operations & business processes?
– How can RFID help me reach these goals?
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Select the right RFID project Project Portfolio Management
Complexity risk & effortImpa
cts
(e.g
. per
form
ance
im
prov
emen
t )
Net Present Value% (T
echn
ical
Suc
cess
)
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Select the right RFID project
• Strategies (resource allocation based on priorities)• Financials Methods (Popular but….)• Bubble diagrams or portfolio maps
(Classification XY) • Scoring Models (selected criteria's and relative
weight)• Check-lists (Yes-No; Go-Kill points-Stage gate
model)
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Objective of the presentation
• Understand how RFID can be used to gain visibility over your inventory?
– Define the RFID strategy & select the right project
– Use a methodological approach to solve problems & identify opportunities
– Target the appropriate RFID technology for your specific case
Use a methodological approach to solve problems & identify opportunities
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2-Identify opportunities & Solve problems
• Use a Methodological approach to identify opportunities & Solve problems– Set of practices, procedures & rules used in the
inquiry/investigation of RFID potential– With the goal to understand different situations &
acquiring new knowledge– Based on gathering observable, empirical &
measurable evidence in your warehouse!
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2 Methodology Different Methods & tools at different phases of the project
1.Problem definition2.Data gathering3.Data analysis and Solution
Development4.Cost Impacts and pay off
Analysis5. Implementation
See : Bendavid Y. and Cassivi L (2010), Bridging the gap between RFID/EPC concepts, technological requirements and supply chain e-business processes, Journal of Theoretical and Applied Electronic Commerce Research, VOL 5 (3) pp. 1-16
Academia RFID
Academia RFID
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2.1Methodology & Tools Defining the problem
1.Problem definition2.Data gathering3.Data analysis and
Solution Development4.Cost Impacts and pay off
Analysis5. Implementation
Academia RFID
Academia RFID
•Employee surveys•Issues Trees•Root cause analysis•Cause & Effect Diagrams (Ishikawa)•(ABC)Pareto analysis•Impact analysis•Gap Analysis•Organization analysis•Industry analysis•Process mapping•…
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2.1 Methodology & ToolsDefining the problem: an example using an issue tree
Higher Revenues
LowerCosts
HigherMarket Share
Quality of Products & Services
Reconciliation/ Deduction
BusinessGoals
Drivers
Theft duringDistribution
Price Issues Quality issues Process FailureCauses
RFIDImpact
Real Time alert: mismatch loaded vs. unloaded items
Real Time alert: mismatch order vs. loaded items
RFIDenabler
AutomaticScanning
Real time Access to back end sys.
Unique (EPC) IDOn tags
Wrong Qty Shipped
Wrong Prod. Shipped
Split Vs. Block Shipment… …
Door (light)Sensor
Source: Adapted from EPC Global US, 2005 - EPC Value Model for Consumer products
•Build a root cause analysis•Identify where RFID can have an impact
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2.1Methodology & Tools Defining the problem…more tools (Keep it simple)
Camion de livraisonarrivé au CDM
Décharger lestransfos Magasinier
BOL vérifié etnon conforme
Réception ne peutpas être procédée
(BOL)
Rapport de nonconformité
BOL vérifié etconforme
Effectuer lesopérations de
contrôle
Magasinier
Magasinier
Vérifier transfosvs BOLBOL
Réceptionpeut être
procédée (BOL)
Transfos entreposéstemporairement
Entreposer les transfos(temporairement)
Magasinier
Transfosdéchargés
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2.2 Methodology Document the current situation (AS IS)
1.Problem definition2.Data gathering3.Data analysis and
solution development4.Cost impacts and pay
off analysis5. Implementation
Academia RFID
Academia RFID
Wireless Network
Technical•Site Survey•IT Infrastructure/system maps•IT portfolio•Wireless Network
Business•Plant tour/audits•Flow charts/Business Processes •Pareto charts•Org. Charts•Work sampling•Value chain Design
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2.2 Methodology & ToolsDocument the current situation (AS IS) : a process perspective
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2.2 Methodology & ToolsDocument the current situation (AS IS) : a process perspective
Sub Activities Layer 1
Initial Event
Function
Final Event
Business Processes Layer 2
Business Activities Layer 0
Entitytyp
OrgUnit
Subprocess Layer 3-n ...
Position
Screen
Doc
E-Doc
•Use Process modeling methods & standards (ANSI, EPDC)•Concentrate on core processes (receive, put away, pick, pack, etc.)•Use KPIs to assess/ measure your processes
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2.3 Methodology Data analysis & Sol. Development
1.Problem definition2.Data gathering3.Data analysis and
solution dev.4.Cost Impacts and ROI
analysis5. Implementation
Academia RFID
Academia RFID
•Value chain analysis•Business process analysis (BPA) - value analysis •Use case & requirements definition•Computer simulation•Problem analysis (SPC Tools)•Labor productivity •Laboratory experiments•Pilot project
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2.3 Methodology & ToolsProcess maps & value analysis (and waste)
Camion de livraisonarrivé au CDM
Décharger lestransfos Magasinier
BOL vérifié etnon conforme
Réception ne peutpas être procédée
(BOL)
Rapport de nonconformité
BOL vérifié etconforme
Effectuer lesopérations de
contrôle
Magasinier
Magasinier
Vérifier transfosvs BOLBOL
Réceptionpeut être
procédée (BOL)
Transfos entreposéstemporairement
Entreposer les transfos(temporairement)
Magasinier
Transfosdéchargés
Reduce the amount of late orders delivery
Added value Non added value(but
necessary)
Non added value
A1 A2 An A1 A2 An A1 A2 AnMonday 17 Jan. (10h-12h)
Tuesdayi25 jan. (10h-12h)
Mardi 25 jan. (14h-17h)
…
Waiting time
Unnecessary material movement
…
Over stock See: James P. Womack & Daniel T. Jones Lean Thinking: Banish Waste And Create Wealth In Your
Corporation
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7‐Receiving ..
2‐ Case packing
1‐ Dispensing
Shipping/packaging level
Pallet
Case
Item
6‐Transport
3‐Put‐away
4A‐Pallet picking
5‐Shipping
4B‐ Case picking(for mix pallet)
←Rail Car ‐ ‐ ‐ Truck →
Manufacturer
Portal ‐ Fixed readers(external antennas)
Mobile UHF hand held reader
RFID/label printer
RFID tag2D barcode
RFID tag
RFID tag
2.3 Methodology & ToolsData analysis & Sol. Development: an example
BOL
Truck Arrived
Go to officeFor BOL validation
TruckDriver
BOL OKBOL Not OK
Assign one Ware. Employee
Approve BOL & Assign oneDock Door
Dock DoorAssigned
Employee Assigned
OfficeAssociate
Move Truck to Ass. Dock Door
TruckDriver
WMS
SynchronizeInfo. (SAP vs
RFIDTerminal)
WMS
BOL Info.Synchronized
RFID Readers
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2.4 Methodology Sol. Development & ROI analysis
1.Problem definition2.Data gathering3.Data analysis and
solution development4.Cost Impacts and
ROI Analysis5. Implementation
Academia RFID
Academia RFID
•Decision Tree•Business Process Performance/Analysis (BPA)•Balance scorecards (BSCD) •SCM frameworks (Supply chain council - SCOR)•Infrastructure cost analysis•Lab. scenario design and testing (trade off)•RFID system decision matrix
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2.5 Methodology Sol. Development & implementation
1.Problem definition2.Data gathering3.Data analysis and
solution development4.Cost Impacts and ROI
Analysis5. Implementation
•IT Project management guidelines & metho. (e.g. PMBOK)•New Product development (e.g. stage gate model)•ERP/IOS implementation methodologies (BPR)•Laboratory experiments•Pilot project
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Objective of the presentation
• Understand how RFID can be used to gain visibility over your inventory?
– Define the RFID strategy & select the right project
– Use a methodological approach to solve problems & identify opportunities
– Target the appropriate RFID technology for your specific caseTarget the appropriate RFID technology for your specific case
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3 Select the appropriate RFID technologySome basic questions
• Which application / business process(es)?– Which products? What level of tagging? – What functionalities are required for the tags/readers?– What is the level of process automation? Automated?
Semi-automated?– Where will items need to be identified?– How many products (tags) at a time?– What is the speed (reading, commissioning tags, etc.)?– What is the reading/writing distance? Where? – What is the required level of Security ?– With who to share the info? Why?– Etc.
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3 Select the appropriate RFID techno.
• Source of energy & frequency…
Passive Active Semi Passive
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Wired and wireless LAN (Wi Fi, 802.1x
access points)
Active, semi passive, & hybrid RFID TagsPassive RFID Tags
Fixed RFID readers
Mobile RFIDreaders
(5) Com. Networks e.g. Warehouse Management enginee.g. Logistic management engine
(6) RFID Middleware
(6) Enterprise Info. Sys.
(7) Inter Org. Info. Sys.
Mounted RFIDreaders
(4) Ancillary Devices
(2) AIT including RFID Tags
ERP/ WMS TMSMobile Apps
e.g. Bar Codes (stacked, linear, 2D)
(3) RFID Readers & antennas
Dat
a ca
ptur
e an
d id
entif
icat
ion
Dat
a S
harin
g
Dat
a m
anag
emen
t
(1) The physical world - tagged Objects
Source, Bendavid Y. (2012). Inter. J. Automated Id. techno. 4 (1)., pp. 11-24
3 S
elec
t the
app
ropr
iate
RFI
D te
chno
logy
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3 Select the appropriate RFID techno. for your specific case? • The technology will support your
case – Requirement management– Passive RFID (LF, HF, UHF)– Active RFID (proprietary 433Mhz,
UWB, RFID/IR, RFID/WIFI)– Active RFID with sensors– Semi Passive RFID (BAP)– Hybrid solutions
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Thank you!
UQAM, School of business315 Ste-Catherine est Local R-3570Montréal (Québec) Canada H2X 3X2Tel: 514-987 3000 (x 2429)Web site: www.mantech.uqam.ca
Academia RFID9916 Côte de liesse,Montréal QC CanadaH8T 1A1Tel: 514 631 8282 – Fax: 631 9696Web site: http://www.rfidacademia.com
Ygal Bendavid