167
EPC Advanced Business Aspects EPC Advanced Business Aspects Training
EPC Advanced Business AspectsEPC Advanced Business Aspects
Training
Chapter 1Chapter 1Introduction
Chapter 1: IntroductionChapter 2: The Global VisionChapter 3: Benefits of EPC/RFID
Introduction
3
Chapter 3: Benefits of EPC/RFIDChapter 4: EPC/RFID DeploymentChapter 5: Examples of ApplicationsChapter 6: The Consumer
Chapter 2Chapter 2The Global Vision
The Internet of Things
The Internet (of information) expands to the real world: an Internet of Things emerges
The Internet of Things
Internet is an island
Today’s Internet is an island in the gulf of physical objects: only objects: only connected through human (manual) inputs
Benefits of the Internet of Things
• Status (capture & report)
• Diagnostics (troubleshoot)
• Upgrades (augment performance)
• Control/Automation • Control/Automation (device cooperation)
• Profiling/Behaviour Tracking (performance)
• Replenishment/commerce (consumption)
• Location Mapping and Logistics (sales)
Over 100 trillion items per year
10000 bio
1 bio
2 bio
6.5 bio
The size of the future market
Total number of tags purchased annually (in Millions)
86,700
60,000
80,000
100,000
22,4003,220144
0
20,000
40,000
2007 2012 2017 2022
The size of the future market
Total number of locations with RFID readers
453,000
144,000
30,7102,750
0
100,000
200,000
300,000
400,000
500,000
0
2007 2012 2017 2022
Total number of RFID readers deployed
6,268,500
1,161,800176,2807,630
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
2007 2012 2017 2022
Available at www.bridge-project.eu
We only can manage what we can measure.
Cos
t of d
ata
entr
yInformation systems & the Internet
Physical world
UbiComp-Technologies
Machine sensing
Cos
t of d
ata
entr
y
Punch card Keyboard Barcode
Manual measuring
No measures means potential business problems
•Average OOS level in retail industry: 8.3%
•Average shrinkage rate for supermarkets/grocery in US: 1.5% of sales
•Average deduction level for inaccurate invoices: 9.9% of inaccurate invoices: 9.9% of annual invoiced sales in US
•Cost of unsellable food and grocery products in US: 1% of sales
•Product counterfeiting is estimated to account for between 5 and 7% of world trade
Source: C. Tellkamp, E. Fleisch, Auto-ID Lab St. Gallen
Recent advances in miniaturization, sensor & communi cation technology, and new materials drive for a new computing paradig m
Min
iatu
rizat
ion
and
cost
red
uctio
n
(4) Smart Things
(3) Mobiles / Smart Cards
Time
Min
iatu
rizat
ion
and
cost
red
uctio
n
(2) PCs
(1) Mainframe
The most widely deployed Technology: RFID
Leveraging RFID in retail
Source: C. Tellkamp, HSG; Gartner
The opportunities are multi-fold:
Search & Find Trust Linking Information
The correct medication to the right patient
Smart T-Shirts
Anti-counterfeiting solutions are under study
STOLPAN Project
Middleware
ProductInfo
Project Goals:• EPC and NFC compatible mobile phones• EPC based product
Retail Back-Office
Solution
Credit Card
Middlew
are Mid
dlew
are
Middleware
Loyalty program
• EPC based product information• EPC based product authentication • NFC based loyalty programs• EPC triggered mobile advertisement• NFC based self check out and mobile payment
New items are tagged everyday…
… for various purposes
RFID enables new business models
Sensors
GPS
Source: Courtesy of F. Mattern, ETH Zürich
Risk-based-pricing
Technology that reaches the consumer
26
Summary
Chapter 3
27
Chapter 3Benefits of EPC / RFID
What are standards?
Why do we have Standards?
Benefits of using standards
Benefits of Global Standards
Reduce costsSpeeds customer acceptanceEncourage innovationReduce complexity
Global Standards & Competitive Advantage
TDMA
CDMA
PCSGSM
PCS
Standards allow technology providers to focus on in novation, not translation and intermediation
The role of EPCglobal standards
Encourage Technology Innovation
Foster competition Guaranteeing Interoperability
Common Protocols for
Role of Global Standards
Innovation Interoperability Protocols for exchanging information
The benefits of EPCglobal standards
Encourage Technology Innovation
Foster competition Guaranteeing Interoperability
Common Protocols for
Benefits of Global
Standards
Innovation
Lower Costs of products and implementation
Interoperability
Smooth integration with existing infrastructureLower Cost of Changes
Protocols for exchanging information
Overview of RFID benefits
RFID is a tool allowing Increased Visibility
Fully automated data capture
Analysisapplication
Best business decisions
RFID vs Barcodes
Benefits of EPC / RFID over Bar Codes:
Attributes EPC / RFID Bar Code
Data transmission Electromagnetic / Wireless Optical
Reading capability Non-line of sight Line of sight
Tag reading Multiple One by oneTag reading Multiple One by one
Reading speed 500 / minutes 80 / minutes
Moving object reading
Yes No
Data modification Read & write Write once, read many
Data volume 1 bit ~ 16 Mbytes < 100 bytes
Access security High Little but possible
Anti-collision Possible Not possible
Complying with mandates
ALE and EPCIS provide increased visibility
EnterpriseApp
R R
Edge
Data CenterEnvironment
palletelectric eye
conveyor
EPCIS
“at time T, the association of the following case t ags to the following pallet tag was created at palletizer #3, to fulfill order #1234”
Reader Reader
EdgeEnvironment
Filtering & Collection
PalletizerCapture App
ALE
Reader Protocol (LLRP)
“between the time the case crossed the two beams at location L, the tag X was read with temperature T”
fulfill order #1234”
Supply Chain Visibility
Inventory Visibility
Chain of Custody visibility
Visibility of maintenance
Visibility of counterfeit products
Visibility is only the starting point
Trend Analysis
Problem Identification
EPC Readings
ALE EPCIS
Problem Identification
Operational Performance
Management of Solutions Providers
Benefits for the producer
Visibility of Production Processes
Quick reconciliation of shipments
Just-in-time production and delivery
Benefits for the seller
Reduced safety stocks
Availability of products
Reduced theft
Speedy check outs
Improved after sales
Customer satisfaction
Where is my product?
Your product was last Data
Data flow
Your product was last seen in Store #23, at
10am Tuesday, during receiving
flow
48
Summary
49
Back-up Slides
• Calculating ROI for implementing EPC / RFID
• The checklist below summarizes some of the key fina ncial items
• incurred in EPC / RFID implementations
Understanding the Financial Aspects
One time set up cost:
RFID reader
Recurring cost:
RFID tagsMiddleware
RFID printers
Networking & cabling
Enterprise system integration
Consulting
Training
PC
RFID tags
Maintenance cost for
hardware & software
Training
BACKUP SLIDE
• ROI Calculation Tools Available in the Market
• EPC Value Models
• Developed by Stanford University, Massachusetts Institute of
Technology
Understanding the Financial Aspects
Technology
• (MIT) and EPCglobal US, aimed to identify business issues and
drivers
• where EPC / RFID is expected to have the greatest impact &
quantify
• expected value of EPC / RFID implementation.
• URL: • http://www.epcglobalna.org/dnn_epcus/SubscriberTools/Fina
ncialPlanning/EPCValueModels/tabid/225/Default.aspx
BACKUP SLIDE
• ROI Calculation Tools Available in the Market (Con’t)
• RFID Cost Tutorial
• Developed by EPCglobal Inc. is a reference tool for companies
Understanding the Financial Aspects
• Developed by EPCglobal Inc. is a reference tool for companies planning to
• make an investment in RFID technology. EPCglobal recommends that the cost
• items, phase structure and timeline presented herein be modified to suit the
• specific needs of the organization.
• URL: • http://www.epcglobalinc.org/what/cookbook/chapter2/
BACKUP SLIDE
Benefits from Future EPC / RFID Trends
When RFID technology is commonly used in the future with
sensing technologies, some potential use and benefits can be obtained:
• Temperature tracking• Temperature tracking
• Humidity monitoring
• Tilt indicator
• Accelerometer monitoring
• Pressure monitoring
BACKUP SLIDE
54
Chapter 4EPC / RFID DEPLOYMENT
55
Introduction
Think of a major change
Think of any major change that you haveseen undertaken in a business……
©2008 GS15656
A grand new machine
installed……..
Launching a new product
A new computer
system
Can you think of a major change that has taken
place where you work ?
Preparing the change
Changes need:• Planning
• Organisation• Collaboration• Collaboration
• Purpose• Objectives
• Review
Use the same common sense approach
Don’t leave
©2008 GS15858
Don’t leave your brain in the car park just because it’s radio !
59
Business Context
Getting The Business Context
EPC and RFID implementation is not only about technical aspects
EPC and RFID are tools for a
business change in your operations.
Business processes Are Key
EPC / RFID can now impact your business processes
PROCESSES ARE KEY
Who Will Be Involved…
©2008 GS1Slide 63
Many departments will be involved so
involve them early.
The Business Case
The Business Case
©2008 GS1Slide 65
The Business Case – Common Benefits
FinancialEfficiencie
s
©2008 GS1Slide 66
Customer Service
s
Customer Satisfaction Environment
The Business Case – Financial Benefits
©2008 GS1Slide 67
Lower costsLess inventory
Less workSupply chain velocity
The Business Case – Efficiency Benefits
©2008 GS1Slide 68
Better visibilityStandard terms
Common understanding between trading partnersLower shipping errors
The Business Case – Customer Service
©2008 GS1Slide 69
Time to marketCustomer Response Time
Returns processing
Business Case – Customer Satisfaction
InformationWarranty provision
Better serviceAnti-Counterfeiting
©2008 GS1Slide 70
The Business Case – The Environment
©2008 GS1Slide 71
Better DisposalLower recycling costs
Tracking of hazardous material
The Business Case – Time
Time is Money
©2008 GS1Slide 72
The Business Case - Summary
©2008 GS1Slide 73
Deployment Objectives
Deployment Objectives
Set clear and specific
objectives
©2008 GS1Slide 75
Sample Deployment Objectives -Processes
©2008 GS1Slide 76
Situation Analysis
Situation Analysis
A key factor to successful RFID deployment is understanding
©2008 GS1Slide 78
understanding what exists before the change
Situation Analysis – Key Factors
What are the current processes ?Where and how are they carried out ?Who executes them ?
©2008 GS1Slide 79
Who executes them ?Where are items identified in the processes ?Why is identification necessaryfor those processes ?What materials move into and out of the processes ?What information is key about each item ?
Situation Analysis – Common Tools
Process Maps
©2008 GS1Slide 80
System Maps
RACI Chart
Situation Analysis – Radio Assessment
Radio energy can be impacted by many things,
©2008 GS1Slide 81
impacted by many things, so, assess your environment in this respect
Situation Analysis – Radio Assessment
©2008 GS1Slide 82
Situation Analysis – Radio Assessment
©2008 GS1Slide 83
Readermodule
Antenna TagHost
Building the Team
Building The Team - Principles
• Team-leader• Key stakeholders• Business
knowledge within
©2008 GS1Slide 85
knowledge within team
• Open attitude towards change
Building The Team – Executive Sponsor
Executive Sponsor:
• Sets the goals and direction for the program
• Enables you to get the resources and
©2008 GS1Slide 86
• Enables you to get the resources and commitment
• Senior executive within the company• Leads a function or division if possible
Building The Team – The Core Team
The Core Team:
• Stakeholders (right from start of program)
• Guides program according
©2008 GS1Slide 87
• Guides program according to agreed goals and objectives
• Acts as a link into the rest of the company
Building The Team – Motivation
Motivate beyond the initial enthusiasm
Hold regular training sessions, team feedback reviews, team outings etc.
Be frank about what is working and what isn’t
©2008 GS1Slide 88
Be frank about what is working and what isn’t
Seek the team’s ideas on how to make progress.
Reward exceptional individual contributions
Reward achievement of major milestones by the whole team
THANK YOU!
Requirements Gathering
Requirements Gathering - KPI’s
Measurable Objective = Increase Average
Revenue per Customer from 10 to 15 US Dollar
by End Of Year 2008
©2008 GS1Slide 90
KPI = Average Revenue per Customer
Planning
Planning
“No battle plan survives contact with the enemy”
©2008 GS1Slide 92
contact with the enemy”
Count Helmut von Moltke the Elder
1800 – 1891
Planning – Why Do It At All ?
purpose and direction…
what is expected and when….
checklist…
©2008 GS1Slide 93
checklist…
communicate progress or issues…
dependencies...
what to do if things go wrong…
Planning – Level Of Detail
• Not too much detail…• For simple projects written list of
activities is ok• Larger projects require activities list,
usually spreadsheet
©2008 GS1Slide 94
usually spreadsheet• Large complex projects involving
multiple teams, skills and functions over a longer period of time best planned using integrated project planning tool
Not planning at all is planning to fail !
Process Integration
Process Integration - The Basics
Integrate new
©2008 GS1Slide 96
processes carefully in
order to minimize
disruption and risks
Process Integration - How
©2008 GS1Slide 97
Document and understand the existing and new processes so as to
minimize risks and misunderstandings
The Pilot
The Pilot - Why Do It At All ?
©2008 GS1Slide 99
The Pilot - How - Start Small
©2008 GS1Slide 100
Small is beautiful – until you know it works !
The Pilot - How - Start Small
Select initially a few products …
©2008 GS1Slide 101
… and / or a few locations then expand if these trials are successful
The Pilot - How - Predict & Compare
During the pilot:Monitor and record what
©2008 GS1Slide 102
For each part of the pilot:Describe the new processes and what to expect
actually happens
The Pilot - How - RFID
RFID equipment usually requires adjustment – this is normal !
©2008 GS1Slide 103
You can ensure interoperability of tags and equipment by
ensuring that they are certified
The Pilot - Completion
©2008 GS1Slide 104
Show the Executive Sponsor and the Core Team the pilot’s results and get agreement to deploy.
Deployment
Deployment - Providing Support
©2008 GS1Slide 106
Full deployment = full risk !
Deployment - Providing Support
You should ensure adequate level of support, either remotely or locally
©2008 GS1Slide 107
Measuring Success
Measuring Success
©2008 GS1Slide 109
Project success comes in many forms
Rewarding Success
©2008 GS1Slide 110
Don’t forget to reward success
Regulatory Considerations
Regulatory Considerations
©2008 GS1Slide 112
Ask your solution provider to ensure that your equipment is operating within the regulations for y our
country
Chapter 5Chapter 5
Examples of applications
Introduction
Some applications of EPC/RFID
• Asset Management (Nortura)• Track and Trace in the Book industry (Byblos)• Outbound / Inbound in the textile industry (Lemmi)• RFID in healthcare (Hospital Speising)
©2008 GS1Slide 114
• RFID in healthcare (Hospital Speising)• Cold Chain (Nestlé)• Baggage tracking (Hong Kong Airport)• Visibility in complex retail chain – (Wal*Mart)• Optimising manufacturing processes (Griva S.p.A)
Recommended exercise
Asset Management: Nortura
• Norwegian company
• Meat manufacturer
• Employs 6.800 people
• Annual sales €2 billion
• Organized as a cooperative owned by
©2008 GS1Slide 115
• Organized as a cooperative owned by approximately 30,300 farmers
• 41 municipalities in 18 counties
Problem: Today nobody knows where, which and how many Returnable Transport Items (RTI) are spead along the supply chain
Source: Nortura
• Benefits• Automatical RTI lifecycle control• Documentation of RTI lifecycle
(cold, freezing cold, washing, etc)• Real time inventory• Prediction of RTI need
Asset Management: Nortura
©2008 GS1Slide 116
• Prediction of RTI need• Process management project
• RFID tag inside 80000 crates with GRAI• 73 RFID readers• Employee ID coupled with GS1 GRAI• Each person gets performance feedback
• ROI: 3 monthsSource: Nortura
Track & Trace in the book industry -Byblos
• Portuguese company
• Bookstore
• 50,000-square-foot store
• Receiving more than
©2008 GS1Slide 117
200,000 products per week
Source: Byblos
Problem: Problems for localising products resulting in high costs of inventory and poor customer service
• Solution
• 250,000 books, games and videos tagged
• 40 RFID-enabled kiosks
• 13 incorporates RFID
Track & Trace in the book industry -Byblos
©2008 GS1Slide 118
• 13 incorporates RFID security gates
• 14 RFID point-of-sale (POS) reading stations
• 10 RFID Handhelds
Source: Byblos
• Benefit
• 30% less stock
• Possibility to handle more customer at POS
• Faster localisation of items
Track & Trace in the book industry -Byblos
©2008 GS1Slide 119
• Faster localisation of items
• Faster reposition and re-ordering of sold items
• Possibility of daily and full inventory
Source: Byblos
Outbound / Inbound in the textile industry - Lemmi
• German SME company
• A leading children’s wear manufacturer
• Founded in 1959
©2008 GS1Slide 120
• Employs around 50 people
• Produces over 1 million garments per year
Problem: Poor stock turn over
Source: Lemmi
• Solution• 100 % of merchandise is tagged • Integrated Solution: RFID fully
integrated into ERP • Benefits
Outbound / Inbound in the textile industry - Lemmi
©2008 GS1Slide 121
• Increase efficiency on all steps of SC• Increase quality of deliveries from
production to customers• Precise information on goods in transit• Strengthen relationships with
customers• Easy to use for all employees
Source: Lemmi
• Payback
• Stock turnover beforetagging: 5,000 to 10,000 items per day
• Stock turnover after tagging:
Outbound / Inbound in the textile industry - Lemmi
©2008 GS1Slide 122
• Stock turnover after tagging: 20,000 items per day
• Increase of 250%-300% in receipt and shipment of goods
Source: Lemmi
RFID in healthcare - Hospital Speising
• Austrian company
• Orthopädisches Spital Speising is part of Vinzenz groupe
• Total number of beds: 2221
©2008 GS1Slide 123
• Hospital patients per year: 112359
• Workers in the hospitals: 4535
Introduction of RFID in instrument cycle of a hospital
Benefits • Detection of specific medical equipment
and inventory within the hospital • Better process transparency • Automated documentation• Simplification of logistics operations
RFID in healthcare - Hospital Speising
©2008 GS1Slide 124
• Simplification of logistics operations • Automation of ordering • Quality improvement in the process
chain • Risk reduction in the area of application • Reduce storage costs • Increase the cost-efficiency • Patient safety
Cold Chain - Nestlé
• World's largest food company:
• 2007 sales – $98 billion
• 130 operating Markets
• 450+ factories in 87 countries
©2008 GS1Slide 125
• 250,000 employees
• 130+ main brands
Ice Cream does not like heat shocks
Objectives of the trail 2007
� Evaluate technical feasibility of a temperature monitoring solution along the entire cold chain
� Evaluate the real advantages compared to actual situation, for all organization areas involved.
� During kick-off meeting in June discovered other interesting issues....
� Assess solution for several business needs:� - Freezer traceability� - Better support on freezer maintenance issues� - Service to big customers (e.g. theme parks):
� efficient & automatic HACCP� freezer performance warranty for a better
support on sales activities � - Systems integration requirements
Installed Sensors - Distribution
DeliveryDeliveryTruck
In Freezer View
�Simple to install – 5 minutes
�No maintenance
�30° External�-18°C in Cold Store�-10°C deliveryFirst delivery at -23°CLast delivery at -10°C !!!
Problem with temp probe and compressor on the truck
Secondary Distribution
External temperature
Cold store temperature Truck temperature
Example: Store Freezer Activity
-12°C constantToo warm
Continuous defrosting.......Ice cream quality will be a problem
Freezer well regulated at- 22°C
Too cold Different from day & night?
Key Benefits
� Improved visibility of the cold-chain:� Better understanding of:
� Freezer performance & management� Temperature cycles – warning signs
Production(cold store)
PrimaryDC
Depot / Distributors
Restaurant, Bar, POS
Primary transport
Primary transport
DeliveriesConsumer
� Temperature cycles – warning signs
� Improved quality control of products� Quality & Safety� Improved product taste / experience� Lower 'bad goods' & insurance write offs
� Potential energy savings � Added value services to Distributor
Some results and conclusions
At the beginning we talked about benefits in terms of:� Legal duty ensure quality in the food chain
� Quality of product and brand image on market
� Cost of bad goods
� Insurance costs
� Today we also talk about:� Today we also talk about:� Better management of installed freezeer : traceability, sobstitution, maintenance,
allocation, energy consumption
� Marketing & sales support: service to customers (HACCP due activity, freezer performance, maintenance guide) allocation and match model/version freezer-location-invoicing
� Support for research & development: thermal history of singles batches, development of product
� Better efficiency on quality control: coverage, efficiency & “best practice”
Significant opportunities for added value
Baggage tracking – Hong Kong Airport
• One of the busiest airport in the world
• Passenger: 350 million per annum
• Air cargo: 3 million tons per annum
• Named the world’s best airport by Sky Trax (UK) in Apr 2004 & received
©2008 GS1134134
Sky Trax (UK) in Apr 2004 & received special recognition award from IATA
• ~ 40% of luggage handled comes from transfer flights
• Major hub to/ from mainland & volume is expected to be increasing
Issues• Currency bar code system is 85-95%
read rate (Manually handling failures) • Remove & check all Unit Loading Device
on the plane to identify baggage• Security measurement
Baggage tracking – Hong Kong Airport
©2008 GS1135135
• Security measurement• Velocity and Baggage handling accuracySolutions• Deploy RFID technology on extensive
baggage-handling facilities alongside the bar code system to bring up visibility, improve accuracy and efficiency, step up security measurement
Benefits• Improve customer satisfaction• Improve security• Cut operating costs
Baggage tracking – Hong Kong Airport
©2008 GS1136136
Visibility in complex retail chain - Wal*Mart
• Walmart operates retail stores worldwide in various format
• Products allocated through 90 DCs and/or direct from manufacturer
• Total sales 2004 – US$ 256.3B
©2008 GS1137137
• Total sales 2004 – US$ 256.3B
• Requested EPC RFID tagging by Jan 2005 to increase supply chain visibility and eliminate many manual process.
• Estimated annual saving is ~ 3.3% of sales (i.e. ~ US$ 8B)
Visibility in complex retail chain - Wal*Mart
Issues
• Without merchandise visibility along this huge supply chain may lead to Out Of Stocks, shrinkage, and operation inefficiency that could ultimately reduce competitive advantages
©2008 GS1138138
competitive advantages
Solutions
• Mandated suppliers to affix EPC compliance RFID tags to cases and pallets before shipping to Wal-mart’s DCs. The tags allow Wal-mart utilize automatic tracking on product movement that will provide product visibility without additional human intervention.
Visibility in complex retail chain -Wal*Mart
Benefits
• Eliminated many manual processes in the area of I) receiving, ii) product movement in warehouse and DC, iii)
©2008 GS1139139
in warehouse and DC, iii) shipping to stores, and iv) paying suppliers.
• Reduce inventory shrinkage and out-of-stock situations.
Visibility in complex retail chain -Wal*Mart
Benefits
Function Execution
Scanning Eliminate bar code scanning on pallets and cases in the supplychain and on items in-store can reduce labour costs by 15%
©2008 GS1140140
Out-of-Stock Smart shelves monitor on-shelf product availability
Shrink Real-time product monitoring reduces warehouse shrink, administration errors and vendor fraud
Tracking Improved tracking of the more than 1 billion pallets and casesmoving through DCs annually
Product Improved visibility of where products are in the supply chainVisibility in Walmert's DCs and supply's warehouses offers reduced
inventory and costs of carrying this inventory
Optimising manufacturing processes – Griva S.p.A
• Italian company
• Founded 1955
• A leading high-volume textile manufacturer
• Employs 70 people
• Annual sales €14 million
©2008 GS1141141
• Markets – 60% domestic, 40% foreign
• 300,000 rolls of fabric per year
• Reliance on automated manufacturing systems with integrated logistics
• “An improvement in productivity was critical to our ongoing competitiveness. Until recently, we could not accur ately control the contents of the roll” Gualtiero Casalegno – President, CEO and owner
• Fabric is woven and then rolled onto cardboard tubes
• Alien Gen 2 EPC compliant readers and tags• EPCglobal numbering system• Compliant with European (ETSI) regulations• Strategic read points from production to
Optimising manufacturing processes – Griva S.p.A
©2008 GS1142142
• Strategic read points from production to warehouse
• Harsh manufacturing environment• High temperatures• Water and high humidity• Harsh chemical agents for dying
• Griva needed a robust system with complete fabric roll traceability without being intrusive to the production process” Claudio Bertolo – Marketing Manager, Simet
• Visibility• Tracking of textile rolls through production• 15 separate dying and coating stations• Improved accuracy in production
treatments• Accurate information to customers
Optimising manufacturing processes – Griva S.p.A
©2008 GS1143143
• Accurate information to customers• Fabric can be sorted automatically• Readers at checkpoints supports decision
making by systems and operators• Cost effectiveness
• Reduced manual effort in:• determining most cost effective
transportation options• Building customized shipping boxes• Identification of products
• Production velocity• Before – 400 rolls per day (2 x 10hour shifts)• After – 600 rolls per day (2 x 8 hour shifts)• From 20 rolls/hour to 37.5
rolls/hour…….+87.5%
Optimising manufacturing processes – Griva S.p.A
©2008 GS1144144
rolls/hour…….+87.5%• ROI
• 30% after 9 months
Recommended exercise
GROUPS (4 to 8 persons)
20-30 Minutes
Benefits of EPC / RFIDMajor Challenges of EPC / RFID implementationMajor Challenges of EPC / RFID implementation
Proposed applications:• Inventory control• Outbound / Inbound• Smart Shelf• Track and Trace• Anti-counterfeiting• Supply Chain Visibility
146
Summary
Chapter 6
147
Chapter 6The Consumer
Res
pons
ible
Use
Aw
aren
ess
Consumer Acceptance
Consumer Acceptance
Res
pons
ible
Use
Aw
aren
ess
Awareness
Consumer Awareness Guidance available atwww.discoverrfid.org
Responsible use
Basic principles on Consumer confidence can be found at:http://www.discoverrfid.org/how-it-works/your-rights/data-protection-guidance.html;� Consumer Guidelines for EPC on Consumer Confidence� ICC Privacy Guidelines on RFID� Centre for Democracy and Technology
Addressing Consumer Benefits
http://www.discoverRFID.org
http://rfidabc.de/
http://www.fashiongrouprfid.com
Consumer Benefits – Patient Safety
Patient Safety - Stay Healthy
New born identified with RFID bracelets preventing mix up
Blood products are tracked and match with the patient Id
Consumer Benefits – Food Safety
Food Safety – Eat wellRFID helps monitoring of freshness and quality of products
RFID enables controls of authenticity and origin
Consumer Benefits – Quality of Life
Quality of Life – Get what you wantRFID improves the postal service and speeds up the delivery
RFID enhances the shopping experience
Consumer Benefits – Quality of Life
Quality of Life – Feel safeRFID helps you protecting your valuables from theft
RFID helps ensure your airplane is properly maintained and does not contain counterfeit spare parts.
Consumer Benefits – Quality of Life
Quality of Life – Work better
RFID protects workers in, contact with Dangerous Environments
RFID saves us time at toll booths
Consumer Benefits – Environment protection
Environment protection – Protecting Nature
RFID protects endangered species
RFID allows for better and easier recycling
Practical Recommendations
Data Protection Overview
Why is data protection law important?
General Data Protection Directive
General Data Protection Directive
Some important obligations
Data Controller MUST:• Ensure accurate
data is collected and only what is strictly necessary
• Ensure the data is • Ensure the data is processed for legitimate purposes
• Protect the integrity of the data from unauthorised access
• Notify to the data protection authority
Some important obligations
Data Controller MUST:• Obtain the consent
from the person• Or show the
processing of the personal data is personal data is needed to perform the contract
• Or show the data is needed to protect the vital interests of the person
E-Privacy Directive
http://ec.europa.eu/justice_home/fsj/privacy/law/index_en.htm
Data Protection questions on RFID
167
Summary
