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SAP Real World Awareness RFID Stephen Cloughley Senior Director, SAP Labs LLC

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Page 1: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

SAP Real World AwarenessRFID

Stephen CloughleySenior Director, SAP Labs LLC

Page 2: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

1. Auto-ID at SAP2. SAP Solutions for Auto ID3. Process enablement4. Analytics

Agenda

Page 3: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Early Market Forces

Wal*Mart & U.S. DoDearly forces to shape market adoption

Page 4: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Newer market forcesePedigree

Pedigree: “means a record, in electronic form containing informationregarding each transaction resulting in a change of ownership of a given

dangerous drug, from sale by a manufacturer, through acquisition and saleby one or more wholesalers, manufacturers, or pharmacies, until final saleto a pharmacy or other person furnishing, administering or dispensing the

dangerous drugs. The pedigree shall be created and maintained in aninteroperable electronic system, ensuring compatibility throughout all

stages of distribution.” (California Business and Professions Code section4034(a)).

Simply put …the electronic pedigree must contain specific informationrequired by statute, and must be made and passed in an “interoperable electronic

system,” an electronic track and trace system based on unique identification numbers(serialization) affixed at the point of manufacture.

Page 5: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

8

Operational EfficienciesCompliance

Industry Wide Adoption Risk Management

Automation\Confirmation

Value added Business Processes

Retail MandatesWal-MartTargetBest BuyMetro

DoDUID

FDAFloridaCaliforniaPedigree

Connection of Shop floor to Top FloorPhysical movement of items updating Enterprise system transactionsAccurate billingAdvanced Shipping Notification (ASN)Reduce rework and manual interventionAutomated receipt and delivery

Mesh NetworksEmbedded Systems Electronic Proof of DeliveryePedigreeReturnable ContainersAsset ManagementPromotion and New Product IntroductionMaintenance and Repair

Market evolution

Page 6: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Value added Processes and Trends

Page 7: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

1. Auto-ID at SAP2. SAP Solutions for Auto ID3. Process enablement4. Analytics

Agenda

Page 8: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Enterprise Enabled RWA Supply Network

KraftMixing Center

DistributionCenter

Customer Distribution Center

Supplier

DSDDistributionCenter

Customer BCustomer A

Mfg Plant

I

IVIII

VI

V

VII

VI

VII VIII

II

III

VIII

IX

Page 9: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Raw Sensor Reads

Event-Driven Analytical Applications

Converting Raw Signals Into Business Value

I

IVIII

VI

V

VII

VI

VII VIII

II

III

VIII

IX

Business Context

WHAT/WHEN/WHERE: Product ID, Location ID, Timestamp, (condition)

WHY: Document ID, Check document requirement vs actual, Authenticate,Object Lifecycle State Tracking

Pedigree Trail, Observations at Business Partner, Analytics TrackingInformation on Demand, Critical Event Notification

Page 10: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

SAP Netweaver

Auto ID Enterprise: Fundamental Capabilities enabled in the Platform

Composite Applicationscreate business value by accessing OER, business systems and other sources (e.g. POS data).

The Object Event Repository provides highly scalable supply chain wide object level event processing, discovery, tracking, reporting and integration to business systems

The Auto-ID Infrastructure enables composition and enablement of RFID and Sensor enabling Business processes locally at various locations.

Data and Events are provided by variety of RFID, Sensors, Devices..

Enterprise Services

Business Events

Real World Events

Exchange

Printers SensorsSmart RFID

Readers

Auto-mation

...

Device Con-

trollersReal World

Edge Platform

Enterprise Platform

Composite Applications

Asset Tracking

Secure Supply Chain

Promotion Execution

Product Lifecycle

Mgmt ...

Object Information (e.g. EPCIS Query Service )

(e.g. EPCIS Capture Service , SAP business events , etc. )

(e.g. EPCglobal ALE , OPC)

TRADINGPARTNERSTRADING

PARTNERS

Auto-ID InfrastructureAuto-ID InfrastructureAuto-ID Infrastructure

Business Systems

IDM

a ppi

ng

Bus

ines

s Sc

enar

ios

Object Event Repository

Object Event Repository:

Event Processing and Persistence

Analytics and Core Services

Data

(XI)

Query and Discovery Service:

Ext

ract

ors

Page 11: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

The RFID Solution Landscape

Tags ReadersAuto-ID

InfrastructureExchange

InfrastructureEnterprise

Applications

Read / write / Transmit data to systems

Provide Decision Support and execute

transactions

Route business data and events to applications

Store and translate raw EPC data to business

data

Manage multiple Readers &

standardizes data

Hold DataTransmit data using

radio waves

Function

Delivery

System Integration Services: Value generation with RFID

DeviceManagement/

Controller

Hardware Expertise Consulting

ERP

SAP OER

= SAP Offering = Partner Offering

Partner Partner Partner

Query Interface

Capture Interface

Page 12: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

SAP Auto-ID Infrastructure Product Profile

Active and Passive RFID2-D BarcodeLinear barcode

Store and Forward through Delta Queue

Undo

Document Assignment

EPC Capture NotificationUnique ID Schemas EPC, IUID, Custom

ASNMaster Data

EPC Hierarchy MgmtUser Interface (UI)

Generic Document InterfaceTag Commissioning and Management

Converts Raw RFID data into business context

Extensible Workflow based engine

Integrated and Standalone Deployment

Persistent Operational Data Store

SAP\Legacy Transaction updateOER

© SAP AG 2007, AII 5.1 Functional Enhancements / 5

SAP RFID Solution Package – Complete Architecture

Rule Content

Data Access Objects

Database

XI

RFI

D T

ag

Que

ue

Mes

sage

Map

ping

Rul

e En

gine

Activ

ities

Out

boun

d Q

ueue

XM

LP

ML

Mes

sage

Inpu

t

XM

L

Auto-ID Test Tool

XI

Fixe

d D

evic

e

Mobile Device (Java WebDynpro)

RFID Tag

AII

Dev

ice

Con

trol

ler

Backend

SAPERP

3rd

PartyERP

SAPOER

IDoc

sent

fro

m -

-to

XI

ABAP WebDynpro(AutoID Cockpit)

Page 13: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Object Event Repository

DATA EXCHANGE

TRADINGPARTNERS

SAP OER

AUTO-ID RepositoryEvent Management

AnalyticsSecurity Services

AUTO-ID RepositoryEvent Management

AnalyticsSecurity Services

QUERY INTERFACEQUERY INTERFACE

CAPTURE INTERFACECAPTURE INTERFACE

LegacyLegacy

EnterpriseData Sources

ReturnableTransport

Items

PromotionManagement

Partner Led…

Product Tracking

& Authentication

Page 14: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Rationale for SAP Object Event Repository

SAP Object Event Repository (SAP OER) is an enterprise level solution that serves as the system of record about uniquely identified objects.

Tagged product flow at multiple locations, multiple local processesCentralized Data Exchange with Trading PartnersSingle set of Interfaces and Repository to growing number of enterprise consuming applicationsSupport various data streams [EPC, Transaction, POS, …] to drive business value

AIIAII

AIIAII

AIIAII

AIIAII

AIIAII

SAP Object Event Repository

SAP OIS Interrelated Tracking of child &parent objects and document associations

Item object Lifecycle Tracking

e.g. Event handlers for SGTIN-EPC items or cases

Parent EPC Tracking

For example event handlers for SSCC-EPC

pallets

Document Association Tracking

e.g. event handlers for documents

ProductionOrder

TagItem Pack Assign

Delivery Load UnloadCreate

InboundDelivery

SAP OER Interrelated Tracking of child & parent objects and document associations

Page 15: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

1. Auto-ID at SAP2. SAP Solutions for Auto ID3. Process enablement4. Analytics

Agenda

Page 16: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Pre-Configured Business Processes

SAP RFIDPlatform to provide business context

Rules, activities, event handlers, data management, integration, and so on

Gateway to SAP applications

Page 17: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Standalone RFID Enabled Outbound Processing

RFID enabled Outbound Processing with Standalone SAP Auto-ID Infrastructure

RFID TagCommissioning

RFIDPacking Move Assign

DocumentLoad withRFID

AssignDocument

Installation OptionStandalone AII 2007 supporting manual outbound processing – Slap & Ship

Solution OfferingsStandalone AII 2007 with direct Device integrationStandalone AII 2007 with integration to Device Management (delivered by SAP’s partners)

Target CustomerCustomers seeking to pilot RFID technologiesCustomers seeking simple RFID Solutions not integrated with backend systemsCPG Customer seeking a low investment Wal*Mart compliant RFID solution

Page 18: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Integrated Inbound Outbound Delivery Process

You can use this process to automate outbound processing and inbound processing in ERP systems.

The process allows you to:Outbound

Create outbound deliveries in the ERP systemLoad outbound deliveries in SAP Auto-ID Infrastructure (SAP AII)Automatic Status Updates within Delivery Document based on physical movements of product– Pack– Load– Goods IssueSend advanced shipping notifications (ASN)

InboundCreate inbound deliveries in the ERP systemValidation against received ASN against physical deliveryUnload inbound deliveries in SAP AIIPost goods receipt in the ERP system

Create Outbound Delivery

Load Outbound Delivery

Pack Outbound Delivery

(Optional)

Update Outbound

Delivery and Post Goods

Issue

Send ASN

Create inbound Delivery

Unload inbound Delivery

Update inbound Delivery and post goods

receipt

Customer ERPSAP AII 2007Supplier ERP

Page 19: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Provides visibility across a closed loop returnable transport item (RTI) process covering the outbound, inbound and return processProvides visibility throughout the complete returnable transport item process, based on deliveries and their handling units

Track&Trace RTIs

Monitor RTIsCurrent and historic locationsRTI Status (full, empty)Process Status (Outbound, Inbound, Return)

GRAI encoding supported

Stand-alone AII deployment only directly integrated with SAP OER

RFID-Enabled Returnable Transport Items Visibility

Page 20: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Product Tracking and Authentication (PTA)

A comprehensive solution that leverages EPC/RFID and business data to Trackand Authenticate products, helping companies to ensure safe production and secure distribution of their products

Page 21: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

1. Auto-ID at SAP2. SAP Solutions for Auto ID3. Process enablement4. Analytics

Agenda

Page 22: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

SAP Business Intelligence - Reporting & Analytics

Business Monitoring & ReportingStock Situation at Different LocationsMovements across LocationsMovements at Location by Action TypeCycle Time across LocationsCurrent State of RTI Objects

Technical Monitoring & ReportingRead Rate quality reports Write Rate quality reports

BW extractors from SAP AII:BW relevant data is processed in Aii and written to the BW delta que in Aii. BW pools the data out of the BW delta que and writes it to the BW cubes.

Auto ID Business Intelligence

Page 23: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Auto ID Business Intelligence Examples

Stock Positions across Locations

Cycle Time across Locations

Page 24: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Additional SAP OER Analytics in version 5.1

Newly provided SAP BI content focuses on providing:

1. Proof of Delivery Read Rates provide a percentage comparison of an for example an EPC goods receipt list versus EPC goods issued list, detailed by characteristics such as product, delivery ID, ship-to and ship-from location

2. Cycle Time analyzes for time spent for a certain business step

From this new BI content the following associated new reports are available:

Proof Of Receipt Report: A report showing whether an object was received by a sold-to party or not. (Prerequisite External Enterprise Read Percentage)

Data Plausibility Report: A report showing whether the observations captured by a sold-to party are plausible or not (Prerequisite: External Read percentage by every location).

Transportation Duration Report: A report showing the transportation duration for an object between different business locations.

Dwell Times Report: A report showing the dwell times between events of an object within a business location.

Page 25: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

RFID benefits summary

↓ cost ↑ security

↑ value comply

↑ visibility

automation

↑ output

↑ quality

new service

new productfeature

CRMlaw

mandate

authentication

control

traceability

tracking

Source: EPCGlobal

Page 26: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Thank you

[email protected]

Page 27: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Public

Chemicals & Gasses Inventory Visibility with RFID

Steve W. HardyApril 2, 2008

Page 28: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

2 April 2, 2008 Public

Legal Notices

This presentation is for informational purposes only. INTEL MAKES NO WARRANTIES, EXPRESS OR IMPLIED, IN THIS SUMMARY.

BunnyPeople, Celeron, Celeron Inside, Centrino, Centrino logo, Core Inside, FlashFile, i960, InstantIP, Intel, Intel logo, Intel386, Intel486, Intel740, IntelDX2, IntelDX4, IntelSX2, Intel Core, Intel Inside, Intel Inside logo, Intel. Leap ahead., Intel. Leap ahead. logo, Intel NetBurst, Intel NetMerge, Intel NetStructure, Intel SingleDriver, Intel SpeedStep, Intel StrataFlash, Intel Viiv, Intel vPro, Intel XScale, IPLink, Itanium, Itanium Inside, MCS, MMX, Oplus, OverDrive, PDCharm, Pentium, Pentium Inside, skoool, Sound Mark, The Journey Inside, VTune, Xeon, and Xeon Inside are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries.

*Other names and brands may be claimed as the property of others.

Copyright © 2007, Intel Corporation. All rights reserved.Last Updated: Aug 28, 2006

Page 29: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

3 April 2, 2008 Public

IntroductionBusiness scenario/challengeIntel’s solutionSystem landscape and processesBenefitsQuestions

Agenda

Page 30: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

4 April 2, 2008 Public

Problem StatementThe factory critical chemical and gas supply chain is

managed with no information on supply or consumption from any Intel integrated tools or

processes. This lack of visibility causes Intel to be in a constant state of crisis management for inventory.

Chemical and gas management today is like flying a jet without knowing how much fuel you have

Supplier 3PL warehouse Intel Receiving Consumption

Chemicals/Gasses Supply Chain

Page 31: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

5 April 2, 2008 Public

Chemicals/Gasses RFID Strategy

Collaborate with suppliers and 3PLs– RFID tag critical chemicals at suppliers’ facilities– Establish RFID read points at relevant supplier, 3PL, and

internal locations– Share the data

Utilize SAP*’s “out of the box” RFID capabilities– Auto-ID Infrastructure* (AII) - Returnable Transport Item

(RTI) scenario– SAP Event Manager* (EM) - Monitor container movements

and alert if thresholds are exceeded– SAP Business Intelligence* (BI) – Provide analytics tools

for business stakeholders

Page 32: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

6 April 2, 2008 Public

System Landscape

Return empties

SupplierDevice Manager

1

Associates material data w/ individual tag IDs

AII 5.1

Loads units

3PL DeviceManager

2

Unloads units

Intel DeviceManager

3

4 5

BI 7.0

EM 5.1

Event handlers

Consume contents

6

Data extracts

Loads units

Unloads units

7

Page 33: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

7 April 2, 2008 Public

Business Benefits

Automated, accurate, and timely data capture– Ability to measure supplier performance– Ability to correlate specific materials to quality issues– Provides accurate consumption vs. waste data– Reduced overhead getting environmental compliance data

Single virtual factory dashboard to monitor/manage the supply situation– Reduction in expired/obsolete material– Reduced Factory excursion/downtime risk– Increased workforce efficiency

Page 34: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

8 April 2, 2008 Public

IT Opportunities

First production SAP RFID implementation– Limited scope = smallest possible SAP footprint– RTI scenario does not require integration with backend ERP

system– No dependencies on ECC* or XI* systems

– Provides business value while laying foundational system capabilities

– Low business risk (new capability vs. replacement)

Positioned for future– Relatively easy next step to integrate with ECC and XI– Sets stage for RFID enabling other business processes

(Inbound or Outbound for example)

Page 35: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

9 April 2, 2008 Public

Additional Resources

RFID Journal Live presentation: “RFID and Serialization Lead to New Levels of Value Generation” April 18 10:00 am

– Larren Olson - Director of Materials Business Solutions, Intel– Tobias Goetz – Head RFID & Real World Awareness, SAP

IT@Intel Program: http://www.intel.com/IT– Offers an inside look into Intel’s own IT operations, with

white papers, case studies, videos, blogs and peer-to-peer networking

Contact Information– [email protected][email protected]

Page 36: SAP Real World Awareness -  · PDF fileSAP Real World Awareness RFID ... DSD Distribution Center Customer A Customer B ... ©SAP AG 2007, AII 5.1 Functional Enhancements / 5

Public