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Radio Frequency ID (RFID):

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RFID has the potential to significantly change how objects are tracked and ... A Case in Point: RFID in Meat Processing. Yes, it's already being done... – PowerPoint PPT presentation

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Title: Radio Frequency ID (RFID):


1
Radio Frequency ID (RFID)
  • Brian E. Mennecke
  • Deans Faculty Fellow in MIS
  • Associate Professor
  • Iowa State University
  • College of Busiess

2
Why is RFID a relevant technology for research
and practice?
  • RFID has the potential to significantly change
    how objects are tracked and managed throughout a
    business process or within a business supply
    chain

3
How is RFID unique?
  • RFID is a unique technology because
  • It can be used to identify objects and store
    information about the object in question
  • Bar codes can store limited amounts of
    information about an object
  • RFID can be used to store vast amounts of
    information
  • It can be used to accurately locate and identify
    objects from a distance using RF signals
  • It can be used to detect and read objects that
    are not in line of sight

4
RFID Technology
  • Conceptually somewhat similar to bar codes in
    that they are used to identify and track objects
    of interest to the organization

5
RFID Technology Overview
  • Transponders The tags themselves
  • Interrogators Antenna and transceiver units
  • Software and Information Systems

6
An RFID Tag
7
An RFID Tag Explained
SUBSTRATE
ANTENNA
CHIP
8
RFID Technology Active vs. Passive Tags
  • Active Tags
  • Catch the attention of the RFID reader by sending
    out a signal
  • Function with battery power (a battery is either
    connected to or built into the tag)
  • Can be detected over a greater distance
  • Are more expensive (due to the cost of the
    battery)
  • Passive Tags
  • Alert the tag to communicate through a reader
    when the readers signal is detected by the tag
  • Communicates without battery power (giving them
    essentially unlimited life)
  • Derives power from the readers electromagnetic
    field

9
RFID Data Collection Process
Enterprise System
RFID Tag
RFID Reader
Middleware
10
The Process in Context
Source Forrester Research
11
Frequency Differences
RFID Smart Cards
RFID Item Tags
RFID Item Tags
Bio Tags
FM and TV
AM
Radio Toys
10khz
100khz
1mhz
10mhz
1000mhz
100mhz
2.4ghz
12
Frequency Impact
  • Lower frequencies have less range, yet penetrate
    fluids (biomatter) better
  • Higher frequencies have better range, yet are
    easily blocked by fluids

13
High Frequency Transponders
14
Low Frequency Transponders
15
Systems Effected
  • ERP
  • Supply Chain Systems
  • EDI Systems
  • MRP Systems
  • Manufacturing Systems
  • Data Warehouse
  • End User Applications

16
RFID Applications
  • Just a few applications that already exist
  • EZ Pass Toll Systems
  • Pet identification technology
  • Inventory management (usually pallet level)
  • Truck routing and management
  • Meat traceability
  • Others?

17
So, Why the Push to RFID ?
  • Key Industry Drivers Leading Us Toward RFID
  • Mandates such as Wal-Mart and the DOD
  • Industry Trends for Supply Chain and
    Manufacturing Management
  • Issue Pertaining to Process and Quality Control
  • Government Regulations

18
Mandates Wal-mart
  • On June 11, 2003 Wal-Mart CIO Linda Dillman
    announced their EPC (Electronic Product Code)
    initiative.
  • Wal-Marts top-100 suppliers have until the end
    of 2006 to label all cases and pallets with RFID
    (Radio Frequency Identification) tags.
  • Wal-Mart set January 2005, as the target for its
    top 100 suppliers to begin placing RFID tags on
    cases and pallets being delivered to Wal-Mart
    stores in the Dallas/Fort Worth metroplex area

19
Mandates Department of Defense
  • On Oct. 3, 2003, Michael Wynne, the Acting Under
    Secretary of Defense, announced that militarys
    plan to require suppliers to use active and
    passive RFID tags on shipments to the military by
    January 2005

20
Why All the Mandates?
  • Q Why do we see major players like Walmart and
    the DOD mandating the use of RFID?
  • A Industry trend in supply chain and
    manufacturing management for greater integration
    between partners
  • Increase process and quality control within the
    manufacturing process
  • Interorganizational sharing of data and process
    management

21
Industry Drivers
  • Process and Quality Control
  • RFID enables a number of process management and
    quality control innovations through real-time
    tracking
  • Inventory expiration management
  • Product providence and verification
  • Quality improvement
  • Employee management and monitoring
  • Just in time manufacturing and delivery

22
Interorganizational Sharing of Data
  • Data sharing leads to a number of benefits to
    members of the supply chain
  • Inventory information about items, quantities,
    and locations can be managed and monitored
  • Scheduling, transportation, and logistics can be
    streamlined, coordinated, and tuned
  • Information about product demand can be monitored
  • Shelf-space can be monitored more precisely
  • Retail inventory can be monitored and adjusted
  • Customer service can be improved

23
One More Latent Driver
  • Government Regulations and Certification
  • Food safety
  • BSE
  • E-coli (Escherichia coli O157H7 )
  • Source Verification
  • Farm
  • Region
  • Country of Origin
  • Product and Geographic Branding
  • Parma Hogs
  • I-80 Beef

24
A Case in Point RFID in Meat Processing
Question Can Meat be traced to the source?
Yes, its already being done
25
RFID in Meat Traceability
  • Currently, most meat in the U.S. is not tracked
    through the production process
  • It is primarily marketed as a commodity
  • Most processing plants are not designed to track
    meat products
  • RFID has the potential to enable flexible
    manufacturing and support animal and meat
    traceability

26
Technology in the meat production chain
  • However, RFID technology has the potential to
    enable identification of the product through the
    production chain

27
RFID is Integral to Traceability
28
Users of RFID
29
Where Do Benefits Arise?
  • Compliance and Service
  • Achieve or retain preferred customer status
  • Meet or exceed customer specifications
  • Internal Process Efficiencies
  • Labor efficiencies, monitoring, and control
  • Security
  • Supply Chain Integration
  • Transparency of supply chain to management
  • Information integration and flow

30
Where is it going?(and how fast will we get
there?)
Item-Level Applications
Case-levelApplications
Feasibility
Pallet-levelApplications
Now
4 years out
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