RFIDRFID… presentation layoutRFID… a videoRFID… historyRFID (Radio Frequency Identification)…RFID… typesRFID… types (continued)RFID… supply chains and inventoryRFID… supply chains and transparencyRFID… gillette case studyRFID and Information Sharing…RFID… current applicationsRFID… hospitalsRFID… militaryRFID… fleet maintenanceRFID… retailImagination TimeRFID… what does this mean for customers?RFID… what does this mean for retailers?RFID… themeindustry benefitsRFID… controversyRFID… wal-martRFID…. wal-mart (continued)RFID… other corporate examplesWhat does this mean for suppliers?Q&ARFID… sourcesPowerPoint PresentationRFIDl. goetzinger ● m. lines ● c. mclaughlin ● c. sailer ● m. schwabPresented to the Class of BA 457•RFID Overview•RFID and the Supply Chain•Current Uses•Future Uses and Controversy•Corporate ExamplesRFID… presentation layoutRFID… a videoRFID… history•1945•Leon Theremin- Espionage tool for the Soviet government •The British invented a similar technology, the IFF transponder. Used by allies in World War II to identify airplanes as friend or foe.•1973•Mario Cardullo - Claims that his patent was the first true ancestor of modern RFID.RFID (Radio Frequency Identification)…• Automatic Identification Method•Stores and Retrieves Data using Tags or Transponders•Can be attached or incorporated• Contains Silicon Chips and Antennas•Receive and Respond to Radio Frequency Queries from Transceiver.RFID… types•Passive- No Internal Power Supply - Quite Small in Size. •The smallest device can be measured at 0.15mm * 0.15mm.- Most CommonRFID… types (continued)•Active- Internal Power Supply- Typically Beacon Tags-transmit their tag data and ID at a predetermined fixed interval- Response Tags: Only respond when an active RFID reader requests the tags to transmitRFID… supply chains and inventory•Locating Inventory in Stock•Information Storage Capabilities•Less ErrorRFID… supply chains and transparency•Tracking Knowledge•Safety and SecurityRFID… gillette case studyRFID and Information Sharing…•Decrease in Discrepancies•Increased Efficiency•A Better-Run CompanyRFID… current applications•Hospitals•Retail•Military•Fleet MaintenanceElectronic Toll CollectionRFID… hospitals•Track equipment•Patient locator/information storage•Doctor locator•Restrict access to drugs and other materialsRFID for peopleRFID… military•Tracking wounded during war•Following personnel movement during training exercises•Improving movement and tracking of supplies•Identifying vehicles and shipments as being either military or non-militaryRFID… fleet maintenance•Easily accessible vehicle specs•Vehicle locator•Records vehicle maintenance automatically•Reduces record keeping errorsRFID… retail•Tags in labels help track product source/specs•Safeguard against counterfeit products•Reduce theft•Allows movement of inventory to be trackedImagination TimeWhat future products (or services) will use RFID technology?…what cool ideas do you have for RFID….•Tire Monitoring•Refrigerator•Washing Machines•Dressing Rooms/Closets•Golf Balls•10-15 years for most consumer productsRFID… future usesRFID… what does this mean for customers?Today: •Full shelvesTomorrow: •Product make-up•Ease stock keeping, shopping and cooking•Increased product safety•Exchange convinceRFID… what does this mean for retailers?Today:•Inventory control•Decreased manual handling•Increased sales & long-term market shareTomorrow:•Increased theft protection•Reduced spoil•Significantly reduced inventory measures•Counterfeit protectionRFID… themeindustry benefits•From cradle to table•Each product uniquely identified—EPC•Simplifies and accelerates merchandise managementRFID… controversy•Video of RFID chip implanted into handRFID… wal-mart•Wal-Mart’s decision to incorporate RFID into their retail and supply chain has propelled the technology forward•Benefits: •efficiency •simplification •Pilot trial • 16% decrease in stock-outs and •2/3 reduction in replenishment timesRFID…. wal-mart (continued)•Top 100 Wal-Mart suppliers currently use RFID tags •increasing to 300 by the end of 2006 •600 by the end of 2007•Strategic Implications •Volume and Cost•Upstream Supply Chain extensions•Downstream Supply Chain extensions•InnovationRFID… other corporate examples•Target Corp.•Albertsons•U.S. Department of DefenseWhat does this mean for suppliers?•Cost of system and setup: $9 Million+•Smaller Suppliers: Can they do it?•Order winner vs. order qualifierQ&AWhat are your questions?RFID…