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RFID & Bar Code Co-Existence

Lessons learned from AIDC Technology Adoption

Presented by:

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Overview of AIDC

Technologies

Presented by:

Paul Bergé

Principal at Paul Bergé International LLC

and Past Chairman AIDC 100

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A Brief Commercial

• AIDC 100 is a not-for-profit, self-sustaining, non-political, international organization of automatic identification and data capture (AIDC) professionals and others who have significantly contributed to the growth and advancement of the industry.

• The organization is a technical and business resource - with emphasis on education - whose primary goal is to enlarge the business community's knowledge and understanding of AIDC.

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Overview of AIDC Technologies

(There is more to AIDC than meets the RFID eye!)

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Common to all AIDC Technologies:

They IMPROVE

Productivity Profitability Accuracy

Customer Service

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AIDC is everywhere

• retail

• manufacturing

• distribution

• healthcare

• financial

• military

• casino gambling…

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Military…….? It’s here

somewhere

……

Casino Gambling?

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What it is and what it is not

• AIDC is NOT the right solution for every problem

• AIDC is NOT a cure for bad business practices

• AIDC is NOT all things to all businesses

• AIDC does NOT always have a clear ROI

• However…..

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However....

• AIDC are highly capable technologies when implemented carefully

• AIDC are enabling technologies

• AIDC challenges current business practices

• AIDC is proven and able to deliver a measurable ROI in most cases

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What are the problems?

SAP survey of C-level

management from over 10

industries. N=320 respondents as

of 3/03. 64%

59%

58%

56%

39%

33%

33%

23%

18%

0% 10% 20% 30% 40% 50% 60% 70%

Ship/Receive

Inventory Mgt.

Data Quality

Visibility

Reduce OOS

Collaboration

Production Control

Reduce Theft

Warranty/Repair“What are the key

business problems

you are currently,

or would like to

help solve utilizing

AIDC (including

RFID solutions)?”

(Multiple

Reponses)

What are the problems?

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Leading Administration Errors2

Error Type Incidence

Wrong Dose 27%

Wrong Drug 12%

Missed Dose 8%

Wrong Time 7%

Known Allergy 6%

Wrong Choice 4%

Wrong Frequency 2%

Adapted from a system analysis of a prospective cohort study of medication error reports on admissions

from 11 medical and surgical units in two tertiary care hospitals over a 6-month period (N=4,031

nonobstetrical adult admissions).

51% of

hospital errors

occur during

administration

Medication

Errors in the

Hospital

AIDC to the Rescue

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Bar code-enabled

systems have been

shown to reduce

medication errors

by 64.5% (at V facility)

by 71% (at North Colorado

Medical Center)

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You ARE going to use AIDC...

• either because someone else will

FORCE you to,

or

• you want to run your business

BETTER

It’s all about the Data

• Alphanumeric representation of things or events

– Part numbers

– Expiration Date

– Employee numbers

– Lot numbers

– Serial numbers

– Net weights

– Etc.

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Opportunities for Errors

observe

observe

record review key entry

database key entry

traditional “factory” data capture

traditional “retail” data capture

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Opportunities for Errors

observe

observe

record review key entry

database key entry

CAPTURE & VALIDATE

traditional “factory” data capture

traditional “retail” data capture

automatic identification and data capture

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So the Purpose of AIDC is…

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AIDC Technologies

• bar codes

• radio frequency

• magnetic stripe

• voice recognition

• smart card

• biometrics

• optical character recognition

• real-time location service

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They all Fit In the Supply Chain

ITEMS Voice Bar Code/RFDC

CONTAINERS

Bar Code/RFDC Voice

TRANSPORTATION

Wide Area

(GPS, cellular/satellite)

Short-Range

Passive RFID / EPC

Real-Time

Locating

Systems

Mid-Range

Passive

RFID

Active

RFID

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Bar Coding

• is one form of automatic data capture

• can be thought of as

keyless data entry

0103045

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What makes AIDC so good?

• all forms of AIDC are extremely robust

• error rates are orders of magnitude

less than with human data entry

– keyboard 1 in 300

– bar codes 1 in 3 million

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AIDC Robustness

• inherently error resistant

– at “character” level

– at “word” level

• can be made error resistant at

“message” level

• can even be error correcting

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For example...

Character level

5 bars & 4 spaces

2 wide bars, 1 wide space

CODE 39

* A 1 *

Word level

quiet zones

start/stop characters

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Error Correcting

Datamatrix

QR Code

Aztec Code

PDF417

Han Xin Code

MaxiCode

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35+ Years of Bar Code Evolution

70’s 80’s 90’s

QR Code

Data Matrix

Aztec Code

60’s 90’s Late 90’s

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One Solution

• Portable data file Acme Mfg. Packing Slip

To: UMC Corp. 1345

111 Main

Anywhere, Mich 48881

Frm: EZ Co. 221

23 Elm St.

Bozum, Mo. 23454

07/01/92 B/L# 09645322

Jones Transfer # 45688762

Part # Qty

342118 Bearing 10

345556 Armature 225

446577 Brush 100

445739 Harness 560

457783 Housing 25

556677 Connector 100

557474 Cover 10

5 ctns 548#

2D Codes are everywhere

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Direct Part Marking (DPM)

• Direct marking of

2D symbols - UID

• Usually on metal

• Laser etched or dot-peened

• Most common: Data Matrix

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Future of Barcodes

• Barcode is the lowest cost AIDC technology

– They save lives

– They keep food safe

– They make sure shelves are stocked

– They allow packages to be shipped overnight

– They keep track of people and goods

– They help smoothing supply chains

- They co-exist happily with other AIDC

technologies

Card Technologies

• Optical Cards

• Smart Cards

• Magnetic Stripe

Biometrics

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• Text that may be easily read by humans and with OCR scanning equipment

• Essentially two fonts: OCR-A (stylized): and OCR-B:

• First commercial use in 1955

• Retail tags in the 70’s - 80’s

• Forms

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OCR: Optical Character Recognition

1234567890

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Magnetic Ink Character

Recognition (MICR)

• Not optical (except for humans)

• Magnetic Ink recognition

• Primarily used on Checks in US, Canada,

UK, Japan and more

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Voice Data Communication

• Hands-free, personal voice dialogs.

• Used for commands and numbers

• Primarily in warehousing and distribution

• Pick & Place

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Then there is RFID…

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AIDC Technologies

Bar codes Smart cards Voice Data

Collection

Optical

Character

Recognition

Biometrics RFID

Cost Low Medium Medium to

high Low

Medium to

high Medium

Risk Low Medium Medium Low High Medium to

high

Maturity Mature Recent Medium Mature Fairly New Fairly New

Deployment Extensive Increasing Limited &

Increasing Limited

Very limited,

increasing

Limited,

increasing

Level of

automation Some Some Some Some Some High

Coming up…..

• 2D codes in-depth

• Mobile Commerce

• Learning from History: AIDC technologies in Harmony

• Demystifying RFID and other AIDC technologies

• Crossing the Chasm towards co-existence

• Mapping your AIDC Future

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Questions?

Questions?

For more information

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Paul Bergé International LLC

3262 Hardisty Ave. Cincinnati, OH 45208

Phone: (513) 871 6657 Fax: (513) 871 6433

email: pberge01@gmail.com

www.PaulBergeInternational.com

For more information On…

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Speaker’s

company

logo here

See any of our members

or:

www.aidc100.org

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