Radio Frequency IdentificationAgendaRFID in Use—Hollywood StyleHistory of RFIDWhat Exactly is RFID?Types of RFID TagsPassive RFID TagsSemi-Passive RFID TagsActive RFID TagsRFID and Supply Chain ManagementWal-MartDepartment of DefenseEffects on AIS / AccountingPet IdentificationAnimal IdentificationPassport IdentificationAutomatic Payment MethodsFuture & Innovative UsesEmergent Business ModelsControversy & IssuesFactors to Consider for Accounting and Business in GeneralResources UtilizedThank you!RRadio adio FFrequency requency IdIdentificationentificationAustin RutkowskiAustin RutkowskiNaomi Shaw Naomi Shaw Jenelle MeekerJenelle MeekerMaggie KwongMaggie KwongAgendaAgendaIntroduction & Overview – AustinIntroduction & Overview – AustinSupply Chain Management Uses – Supply Chain Management Uses – JenelleJenelleOther Current Uses – MaggieOther Current Uses – MaggieFuture Uses, Issues & Conclusions – Future Uses, Issues & Conclusions – NaomiNaomiRFID in Use—Hollywood RFID in Use—Hollywood StyleStyleCourtesy of Paramount PicturesHistory of RFIDHistory of RFID1939 - IFF transponder invented by 1939 - IFF transponder invented by the British the British 1945 - 1945 - Léon ThereminLéon Theremin invented an invented an espionage tool for the Soviet espionage tool for the Soviet governmentgovernment1973 - 1973 - Mario CardulloMario Cardullo holds the holds the patent for the first RFID—a passive patent for the first RFID—a passive radio transponder with memoryradio transponder with memoryWhat Exactly is RFID?What Exactly is RFID?Radio Frequency IdentificationRadio Frequency Identification ((RFIDRFID) is an ) is an automatic identificationautomatic identification method method Relies on storing and remotely retrieving Relies on storing and remotely retrieving data using tags or data using tags or transponderstranspondersAn RFID tag is a small object that can be An RFID tag is a small object that can be attached to or incorporated into:attached to or incorporated into:productsproductsanimalsanimalspeoplepeopleTypes of RFID TagsTypes of RFID TagsPassivePassive RFID tags have no internal RFID tags have no internal power supplypower supplySemi-passiveSemi-passive RFID tags have a RFID tags have a small batterysmall batteryActiveActive RFID tags have their own RFID tags have their own internal power source internal power sourcePassive RFID TagsPassive RFID TagsResponse is more than an ID number / Response is more than an ID number / UPCUPCCan contain nonvolatile Can contain nonvolatile EEPROMEEPROM for for storing datastoring dataLack of an onboard power supply means Lack of an onboard power supply means that the device can be quite smallthat the device can be quite smallThe minute electrical current induced in The minute electrical current induced in the antenna by the incoming radio the antenna by the incoming radio frequency signal provides just enough frequency signal provides just enough power for the tag activate and transmit a power for the tag activate and transmit a responseresponseLeast expensive RFID tagLeast expensive RFID tagSemi-Passive RFID TagsSemi-Passive RFID TagsFaster because they do not waste Faster because they do not waste time collecting power to transmit a time collecting power to transmit a responseresponseBatteries make it difficult to place Batteries make it difficult to place permanentlypermanentlyMuch larger than passive tagsMuch larger than passive tagswww.wikipedia.orgActive RFID TagsActive RFID TagsActive tags typically much more Active tags typically much more reliable reliable More powerful and can function More powerful and can function against the elements and against the elements and interference such as radiation, interference such as radiation, water, electric shock, et ceterawater, electric shock, et ceteraBattery life lasts about 10-15 yearsBattery life lasts about 10-15 yearsAbout the size of a coinAbout the size of a coinRFID and Supply Chain RFID and Supply Chain Management Management Two values for inventory systems:Two values for inventory systems:Provides visibility of inventory Provides visibility of inventory throughout supply chainthroughout supply chainSimplifies the acquisition process Simplifies the acquisition process and helps to prevent or reduce and helps to prevent or reduce human errorshuman errorswww.googleimages.comWal-MartWal-MartTop 100 suppliers required to apply Top 100 suppliers required to apply RFID labels to all shipmentsRFID labels to all shipments““Smart Shelves” and automatic, Smart Shelves” and automatic, hands-free managementhands-free managementBenefit for retailers and suppliersBenefit for retailers and suppliersObstacles in applying the technologyObstacles in applying the technologyRFID!RFID!Department of DefenseDepartment of DefenseMandate for RFID tracking Mandate for RFID tracking GoalsGoalsImprove forecasting through better Improve forecasting through better visibilityvisibilityIncrease accuracy of data and shipmentsIncrease accuracy of data and shipments3G tag - Combining RFID with GPS 3G tag - Combining RFID with GPS and satellite communicationsand satellite communicationsEffects on AIS / Effects on AIS / AccountingAccountingShift in inventory costing method usedShift in inventory costing method usedAuditing the effectiveness of RFID related Auditing the effectiveness of RFID related controlscontrolsInflux of data produced in RFID systemInflux of data produced in RFID systemRFID in practiceRFID in practiceAICPA: AICPA: http://www.aicpa.org/pubs/jofa/nov2004/davis.htmhttp://www.aicpa.org/pubs/jofa/nov2004/davis.htmPet IdentificationPet IdentificationHow does it work?How does it work?BenefitsBenefitsCostCostData update Data update requiredrequiredLack of RFID pet Lack of RFID pet tag standards tag standards www.rfidnews.org/newLivestockLivestockHow does it work?How does it work?UsesUsesFeedingFeedingDisease controlDisease controlBreedingBreedingEndangered Endangered SpeciesSpeciesUsesUsesPrevention of Prevention of poaching / exportingpoaching / exportingTracking population Tracking population levellevelwww.rfidjournal.comwww.juicycoppertoes.comAnimal IdentificationAnimal IdentificationPassport IdentificationPassport IdentificationU. S. – RFID passports will be issued U. S. – RFID passports