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RFID and Wi-Fi: Improving Asset
Management, Utilization and Control RFID and Wi-Fi: Improving Asset
Management, Utilization and Control
Lionel Carrasco,
CTO
Neoris
Miami, Florida
Lionel Carrasco,
CTO
Neoris
Miami, Florida
Jackson Memorial Health System, Veterans Administration, Lockheed Martin, Grainger, OfficeMax, Verizon, Fort Worth School District, Hewlett Packard, Microsoft, BellSouth, Xerox, Ryder, Michelin, Aventis, Roche, Bimbo, Danone, Ericsson, Novartis, Pharmacia, Suzuki, Vitro, British Petroleum, Petrobras, Petrozuata, Repsol, YPF, Shell, CEMEX, PEMEX, Tenaris, Ford Credit, Citibank, Bank of Tokyo-Mitsubish, New York Life, Varese Hospital, AZG (hospital in the Netherlands), Boeing, General Electric, American Port Services.
Who is on the Neoris TeamWho is on the Neoris Team
Vital Statistics
Argentina Brazil ChileColombiaHungaryMexico Spain USAVenezuela
U.S. based, headquartered in Miami with local presence in
Fort Worth.
Privately owned by CEMEX (NYSE: CX); market cap: $22B
14 Offices Worldwide, +1500 professionals
~$150M USD in sales 2005, +180 clients
Focus on Value Driven Consulting, Emerging Technology
Solutions and Managed Applications & Outsourcing
Industry Focus: Government, Healthcare, Transportation,
Manufacturing, Retail, Telecom, etc.
Ranked by IDC as the 4th largest IT consulting firm in Latin
America
Some of our Clients
"What makes Neoris’ story most compelling is a consulting service model that stretches from design, to implementation, to after-project completion. Sticking around to ensure value realization and Return on Investment (ROI)
is a message that rings loud and clear for executives seeking alternative consulting solutions for complex and inter-enterprise business problems."
—AMR Research
A Regional IT Services Leader.
Partners for Asset Utilization and ControlRelevant Partners for our Asset Utilization and Control Solution
Mobile Asset Utilization and Control on the Health Care Community
ActiveSuite™ Healthcare Vision ActiveSuite™ Healthcare Vision It’s a seamlessly interconnected moment for all: Patients, Hospital and Suppliers.
Assets
Clinicians
Patients
Compliance Risk
Financial Impact
Quality of Care
People
Processes
Technology
Inefficient asset utilization and control has negative financial impact, increase risk and affect quality of care.
Any solution to the problem will demand the right technology seamless processes and people acceptance.
Properly maintained assets are needed by clinicians in a timely manner to provide care to patients.
Patient & Financial Health
Context and PlayersContext and Players
CaregiversLocating Assets
Highly MovableElusive
Expensive
Assets
Patients
Using
Operational Excellence and patient care is derived from people, processes, management controls and technology
Asset Management is critical to the health of the patient and financial health of the hospital.
Clinical Staff
Inventory
Finance
Maintenance
Procurement
Purchase Rental Forecast
SLA Negotiations
CorrectivePreventiveMaintenance
Central SupplyInventoryDelivery
Monitor and ControlEnsure Profitability Risk Management
DeliverOrganizeControl
Operations
Asset Utilization and Life Cycle ControlAsset Utilization and Life Cycle Control
Asset hoarded in a storage room
Paying late rental feesShrinkage by theft or during transferClinicians wasting
time looking for available asset
Unnecessary purchases
Asset requires maintenance
Unsatisfied patient
Visualizing the day-to-day problems
Knowing where the assets are to increase utilization, ROI, control and compliance.
Asset’s ROI
Usage
(+)
(+)
(+)
(-)
Usage
(-)
Usage
(-)
Utilization Impacts Financial Results
Purchase
Receive
Use
Store
Maintain
PlanDispose
Refurbish
Inventory
Asset Control Life Cycle
The Roots of the ProblemThe Roots of the Problem
Proper Compliance
Tight Financial Control
Efficient Operations
Accurate Planning & Forecast
High Quality Clinical Services
Timely Maintenance
Solving the causes of poor Asset Utilization and Control positively impacts other core processes
Our understanding of your operations enables us to identify the causes at its source.
Asset Visibility Asset Status
Asset location
Unknown last location
Asset availability
Unknown actual status
etc… etc…
Asset AccountabilityProcess Enforcement
No event recording
Paper based & no time
No responsibility
No event recording
etc… etc…
Asset Utilization & Control
We integrate open standard technology and cover all available methods without relying solely on process enforcement
Let your current operation and infrastructure maximize the return of your assets.Neoris’ Approach Provides a Unique & Cost Effective Solution Neoris’ Approach Provides a Unique & Cost Effective Solution
Accurate location and tracking by triangulation Presence location
by zone
Mobile scan to report last known location and status Browser based update
of information
Exit and entrance control
Leveraging existing WiFi infrastructure
Wireless data access
Automatic status changes, no human intervention
Messaging through the same Voice Over IP network
Outdoor control
Notifications via VOIP Phone (WiFi)
Tagging is determined by the cost, elusiveness and portability of your assets
Active RFID for highly movable expensive or elusive assets.
I.e. Defibrillators, SCD (sequential compression device), Feeding pumps, IV pumps, Suction machines…
Barcode support for low cost and/or fixed assets
Passive RFID tags for mid-cost portable assets
I.e. Oxygen cylinders, Stretchers, Hypothermia pads, C-PAP
I.e. Waiting room TV’s, ComputersPrinters, Furnishing – tables, side chairs, Slide tables
Asset Visibility and Status Control is the KeyAsset Visibility and Status Control is the KeyControlling assets lifecycle to increase utilization, control, compliance, etc.
Asset Lifecycle Downtimes in Utilization
Allocate
The Acid Test for ROI on Utilization
Usa
ge
Discharge
Idle
Un
know
n
Soil
Idle
Availa
ble
Locate
Idle Unavailable
Maintenance
Un
availa
ble
Release
Available
Vis
ibili
tyS
tatu
s
SLAs
SLA
s
Demand
Setting Theoretical Capacity
By Encounters Number of Physicians 400
Productivity Measure Physicians 4,200Number of Mid-level Providers 200
Productivity Measure Mid-level Providers 2,100Total Theoretical Capacity of Encounters 1,722,000
Real Number of Encounters 1,200,000Capacity Rate 70%
By Occupancy Set Up & Staffed Beds 400
Days the hospital was opened 365Theoretical Capacity of Occupancy 146,000
Real Inpatient Days 123,458Occupancy Rate 85%
Maximum Expected Utilization Rate for Assets 77%
Number of Discharges 150,000
• More capital expenses (new purchases)• More demand from the nurses and operations staff• More rental expenses• More maintenance down time• More capital expenses (consumable purchases)
Select & Tag
Record Retool Evaluate
Based on cost and demand
Business as usual
Introduce visibility and control
Evaluate results on operations
From Physical Events to Business EventsFrom Physical Events to Business EventsConverting coordinates into logical events and deriving business process impute
From earth to business heaven
Visibility = ID + (X,Y,Z) + Map
Status Control = ID exiting soil room
Status Control = ID maintenance due
Physical Event
Logical Event
Business Event
ActiveSuite™ Shared Platform
Forms Manager
Asset Utilization Infant Abduction
Active RFID
Active Gateway
OR Cart Tracking.
Staff & Patient Tracking Process Enforcement
Location Engine
Passive RFID
Xxx
LE Port Xxx Port
Event Processor Server
Security Mg Location Mg.
Entity Mg. Events Mg.
Category Mg Entity Locator
Report Mg. PDA Locator
Alarms & Msg. Etc.
High user acceptance based on usability Device Independence
Functional DemosFunctional Demos
1New item arrives to inventory and gets delivered to operations.
2Asset Search and location and status update.
3Request for and asset and field lookup with a PDA.
` 4Automatic asset idle detection & cleaning process.
5Lease expiration detection and return.
6Corrective maintenance order processing.
Functionality provided by the system during several events involving assets utilization and control
A day in the life of an HCA hospital …
PC Stations Tablet PC PDA VOIP Phone
1 2 3 4New purchased or leased item arrives in inventory.
Item gets registered within the system.
Tag is assigned to the asset.
The system automatically identifies the asset as available.
In-Service Processing In-Service Processing An asset is received into inventory
Scenario: Central Supply / Receiving Docks
Thumbnail Central Supply / Tablet PC or Desktop PC
2Asset SearchAsset Search
Need for asset is identified
Scenario: Nurse Station
Thumbnail Nurse or Physician / Tablet PC or Desktop PC
1 3 4Search utilizing the defined criteria.
Results are displayed including location and status.
Selected assets can be graphically displayed on floor plans.
Asset status is automatically changed to unavailable when asset is taken.
2Request an Asset Request an Asset
Unsuccessful search
Scenario: Anywhere within the Hospital Campus
Thumbnail Clinician’s Assistant / VoIP Phone or PDA
1 3 4Nurse sends a locate and deliver task to the Assistant.
Assistant receives phone call with a request.
Assistant checks To Do List and locates asset using the PDA.
Upon delivery, the Assistant updates the status.
2Automatic Idle DetectionAutomatic Idle Detection
Automatic status change to “unknown”
Scenario: Anywhere within the Hospital Campus
Thumbnail Clinician’s Assistant / PDA
1 3 4System detects an idle asset based on pre-determined events.
The system initiates a task on the Assistant’s To Do List.
The Assistant locates the asset and notices it is soiled. Assistant transports asset to cleaning area.
When asset enters cleaning area, status changes automatically to unavailable.
2Asset Lease ExpirationAsset Lease Expiration
Managing leased assets
Scenario: Anywhere within the Hospital Campus
Thumbnail Clinician’s Assistant / PDA
1 3 4System identifies asset leases approaching expiration.
Instructions are sent to Assistant to retrieve asset.
Once the asset is located, status is changed to unavailable and transported to pickup area.
Upon arrival at the pickup area, a notification is issued automatically via email.
2Corrective MaintenanceCorrective Maintenance
Managing the maintenance life cycle
Scenario: Anywhere within the Hospital Campus
Thumbnail Assistant and Maintenance / PDA
1 3 4Nurse sends a repair order request.
Upon asset location repair information is collected on mobile device.
The asset will be transported to a pickup area.
When asset is ready to pickup a notification is automatically issued.
Collecting all the relevant information of the assets’ life cycle
Information is stored, processed and integrated with core processes and legacy systems ...Reporting DemosReporting Demos
CorrectiveMaintenance
SLA
PreventiveMaintenance
SLA
AssetInventory
Reconciliation
Others …
When?Visibility AccountabilityWho?
Why?Control TraceabilityWhat?
How?Details TrackingWhere?
Reports
Day 1 Day 5
In Use
Available
Cleaning
Repair
Inventory Out
Inventory in 8:00 AM
4:00 PM
UtilizationReport
LeaseInvoice
Verification
MaintenanceCompliance
Demand Forecasting
Day 2 Day 3 Day 4
7:00 AM
1:00 PM
10:00 AM
4:00 PM
7:00 PM
6:00 PM
Legacy Info DB
Events Log DB
Med
itech
SC
M
ER
P
Etc
.
Etc
.
CR
M
Main
t.
Invento
ry
Data IN Data OUT
Derived Benefits from Maximizing Asset Utilization & ControlDerived Benefits from Maximizing Asset Utilization & Control
By resolving the root of the problem, tangible and traceable benefits can be derived
Direct impact on profitability and better service to patients
Timely Maintenance (Operative Expenses)
Maintenance Costs Ratio
Reduction on maintenance fees 10-15%
Reduction on biomedical expenses n/a
* Typically annual maintenance cost is 7%
Proper Compliance (Risk Management)
Regulatory Compliance Impact
SOX cost on asset reconciliation Depreciation
JCAHO compliance License
Efficient Operations (Labor and Productivity)
Labor Savings Ratio
Operation staff less time on searching 25%
Clinical staff less time on searching* 5%
* Typically employees spend 30 minutes a day
Increased Patient Services Ratio
More medical procedures (efficiency) 2%
High Quality Clinical Services
Satisfaction Factor
Increased staff responsiveness n/a
Increase the Safety and Quality of Patient Care n/a
Tight Financial Control (Operative Expenses)
Short Term Rentals Ratio
Reduction in rentals 10-15%
Decrease of rental periods 20-25%
Asset Visibility Asset Status
Asset AccountabilityProcess Enforcement
Asset Utilization & Control
Accurate Planning & Forecast (Capital Expenses)
New Assets Purchase Ratio
Reduction in equipment purchase 10-15%
Asset Shrinkage Ratio
Shrinkage reduction* 40-50%
* Typically annual shrinkage is 10%
ActiveSuite™ Shared Platform
Large
Legacy Integration
Messaging & Alerts Supply Chain Mg
Small Medium
Healthy Team True Business Scalability
Right Team
Existing Cisco Wireless Network
Etc.
Staff & Patient Tracking Wireless Medical Records
Neoris and its partners deliver true value
Value PropositionValue Proposition Capitalize Neoris’ packaged knowledge, services and components for faster ROI
Sm
art
Invest
ment Leverages Cisco Network
Shared Foundation Platform
Tangible Financial Benefits
Ris
k M
itig
ati
on
CEMEX Financial Backing
7 years of R&D Investment
Non Process Intensive
Robust
Arc
hit
ect
ure Built on Industry Standards
Pervasive Tracking System
Scalable Technology
Guaranteed Low Cost x Bed Experience & Expertise Legacy Integration
Iterative approach to develop, test and deploy
Develop and test within one campus and then deploy to others …Neoris Suggested Path and CommitmentNeoris Suggested Path and Commitment
Inception
Elaboration
Construction
Transition
M 01 M 02 M 03 M 04 M 05
Evaluation
M 06 M 07 M 08 M 09 M 10
XX
X P
hase
1X
XX
Phase
2
Recording
Rollout
Network Setup
Elaboration
Construction
Transition
Rollout
Network Setup
Q&AQ&A
AppendixAppendix
Positioning Requirements & Available TechnologiesPositioning Requirements & Available Technologies Heterogeneous environments create several positioning techniques …
Entrance & Exit Zones (Present Location)
Near Real Time Location Outdoors Location
• Detect and report last passage trough a chock point
• Detect and report presence in a zone identifying last known location
• Detect and report triangulation coordinates as well as presence in zone
• Detect and report triangulation coordinates within 5 -10 meters accuracy based on density
Available technologies
RFID gateways
WiFi Exciters
Available technologies
RFID readers
WiFi location readers
Barcode readers
Available technologies
WiFi location readers
Available technologies
WiFi location readers
GPS
Cellular
A C B
1
Maintenance
2 3
How to Choose the Right Technology?How to Choose the Right Technology? Positioning technologies implications: Different technologies resolve different issues …
Labor Intensiveness
Interactivity / telemetry
Range
Environment sensitive
Lifetime
Cost
Barcode Passive RFID Active RFID
Labor Intensiveness
Interactivity / telemetry
Range
Environment sensitive
Lifetime
Cost
Labor Intensiveness
Interactivity / telemetry
Range
Environment sensitive
Lifetime
Cost
Labor Intensiveness
Interactivity / telemetry
Range
Environment sensitive
Lifetime
Cost
WiFi tracking (indoor – outdoor) GPS / dGPS (outdoor) Cellular phones (outdoor)
Labor Intensiveness
Interactivity / telemetry
Range
Environment sensitive
Lifetime
Cost
Labor Intensiveness
Interactivity / telemetry
Range
Environment sensitive
Lifetime
Cost
“Will your company make new investments next year in any of the following application categories?”
Innovators and Early Adopters to Capture More Differential Value
Who else is into this? Who else is into this?
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Enterprise portals
Business intelligence
Procurement software
RFID
Content mgmt software
CRM software
ERP software
HospitalsOthers
It is a consistent trend in the industry although it is a new technology …
Majority Followers Late Followers
LaggardsEarly Followers
Value
Risk
Innovators
Early Adopters
Immature – High Risk Tested – Low Risk Mature & Stable – Very Low Risk
Marginal Value Residual ValueHigh ValueTime
Adoption CycleDifferential Captured Value
Diff
ere
nti
al V
alu
e /
Ad
op
tion• HCA | Ascension | JMH
• Bon Secours Health System• Barnes-Jewish Hospital• White Memorial Medical Ctr.• VHA | MedAssets | Etc…
• Wal-Mart• DOD
• More than 20% of hospitals are going to be doing new investments in RFID.
• Vs only 8% in other industries.
• The majority of providers plans for RFID are related to asset utilization.
There is severe financial and operative derived risks by not assuring compliance
Why Now?Why Now?
• SOX presents a high risk on asset reconciliation deriving on write-offs and high cost on inventory checks.
• A new mandate has been issued by the Joint Commission on Accreditation of Healthcare Organizations (JCAHO).
• To remain accredited as a healthcare facility, it is required to demonstrate that life support equipment receive a high priority in their equipment maintenance programs.
Bringing more patients may increase revenue but not necessarily profits
efficiency efficiency efficiency
PatientsCapitalProfit
+
_
• In an industry where patient service comes first, the lack of profitability in many healthcare providers has been reluctantly tolerated. Not Anymore. Profitability is not driven solely by more patient acquisitions but through efficiency as the key for operational excellence.
Lack of profitability and risk management drives adoption …
Opportunity
Threat
SOX JCAHO
Deadline
Risk
Field Event Management Platform – for all information processing away from a desktop computer
A platform designed to interact with the ecosystem based on open standards …ActiveSuite™ Platform ArchitectureActiveSuite™ Platform Architecture
EventsData
EAIBI
Track Forms AMS
Gateways
GSM – GPRS – EDGE - HTTP
Consoles
Messages
Infrastructure
Voice – IDEM – REFLEX - SMS
The capability to access and collect data in the field, and be able to process changes and integrate the results with business processes
The capability of processing field business events and trigger processes in the back office, in a synchronous or asynchronous manner
The capability of communicating, confirming and processing business events triggered and affect field business processes
Integration Platform
ActiveSuite ™ is a J2EE standard based platform designed to process field targeted and originated information to be integrated with business processes using standard infrastructure.
Data Access & Collection Event Management Alarms & Notifications
Electronic Proof of Delivery and Reverse Logistics of managed freight enabled by the specific identification of their location, time and status, regardless of the number of intermediary points it passed through without losing track of a single item.
150 scanners used by 450 users at 21 cross docks and DC’s delivering to 2,300 customer locations across 9 states in the Southeastern US.
Track & Trace Field event
management technology used to enhance existing back office solutions by extending its data collection capabilities to mobile field workers.
6,000 users using various mobile devices managing 50,000 cases across 15 districts spanning all counties in the state of Florida.
Inspection & Supervising
Neoris Credentials on Active Suite™Neoris Credentials on Active Suite™ Neoris can capitalize on its proven experience thus, minimizing risk & maximizing value …
Web-based visibility of inventory movement and operational events across the entire hospital campus, ensuring end-to-end accountability and complete operational control.
10 scanners used by 150 users across 18 divisions locating over 50,000 capital assets in a hospital campus of over 11,000 employees.
Assets Utilization & Control
A Portlet may serve multiple portals and audiences Identification system
using RFID transmitters that allows ranchers to drastically reduce livestock handling and penning, minimizing fraud and the time allotted for handling and controlling of animals.
2,000 cattle ranchers with approximately 300,000 head of cattle.
RFID Tracking Route planning and
GPS for ready mix distribution fully connected with the back office system in real time that allows the 3rd largest cement company to deliver cement with time guaranties and penalties.
Hundreds of trucks enabled over 4 countries to serve ready mix.
Logistics The Fort Worth
Independent School District is using high-tech alert system to notify parents and police whenever students play hooky. According to an NBC 5 report, research indicates that many students who skip school drop out of school, abuse drugs and alcohol, and commit crimes.
140 schools with 132 voice ports processes thousands of calls every day.
Fort Worth ISD
The adoption road map varies depending of the client conditions and needs
Output
• Asset shrinkage
• Asset location
Relations within the ecosystem (Application Integration)Relations within the ecosystem (Application Integration) What are the potential areas of opportunity for systems integration …
Inven
tory
ActiveSuite™ requires to identify new assets and can notify status changes on assets
Input• Initial inventory
• New assets
• Assets disposal
Output
• Asset counting
• Item characteristics
Input• Item characteristics
Output
• Asset location
• Repair orders
• Asset Status
Input• Service provider
• Maintenance plan
Output
• Asset utilization
• Asset location
• Asset status
Input• Cost Centers
Books
ActiveSuite™ knows asset counting and location an any given time
Main
ten
an
ce
ActiveSuite™ knows asset location and status and can provide repair orders E
RP -
bill
ing
ActiveSuite™ knows asset utilization and could manage asset disposition for billing purposes
Output
• Asset utilization
Input• Expected utilization
Pro
cure
men
t
ActiveSuite™ can provide information for forecasting
Batch Process Integration
ActiveSuite™ in addition to provide HTML based reports and export CVS data files, can periodically produce XML based filed for systems integration via FTP or mail.
Web Services Integration
ActiveSuite™ can also provide and receive information via web services via XML and interact with JMS based IEA platforms.
*Web Services Integration requires special professional services
Sophisticated logic that provides visibility to all items no matter the level of indenture. By allowing for n-levels of containerization, item visibility and its “parent-child” associations are maintained no matter how many consolidation or deconsolidation points.
Nesting
Combines GPS (Global Positioning System) technology, cellular communications, street-level mapping, and an intuitive user interface enabling businesses or agencies to track the location and condition of vehicle fleets or mobile workers, using the Internet.
Telemetric
The Application Services Provided The Application Services Provided Our methodology has been proven and guarantee success…
Patented technology allowing for real-time validation of item movement. This algorithm is based on an advanced understanding of the logistical distribution landscape and calculating the possible routing permutations based on probability and historical information.
Route Execution
A Portlet may serve multiple portals and audiencesBiometric recognition system using
mobile data collection peripherals. This system takes fingerprints and facial pictures that collaborates with 3rd-party data sources, providing validation and confirmation of an individuals identity.
Authentication
Alert notification system that controls customer-defined messages to be sent across many mediums to multiple recipients. Central administration tracks the proper delivery and proof of receipt of each message and coordinates escalations based on pre-determined rules.
Alarms & Messaging
The technology allows dispatchers to optimally plan and manage routes and leverage wireless communications for better stop sequencing and better fleet management.resulting in a higher asset utilization and improved customer service.
Route Planning