Note: Notes have been updated. Due to Funeral of close friend, needed to send to printer before all revisions completed.
Two questions: 1 - How many have been involved with RFID in their companies? (ask what) 2 - How many have used RFID? NOTE: Fast Lane/EZ Pass. MIT ID card. Regarding #1 above, disclaimers: - RFID fast moving large field. - Will rely upon your inputs for updates & insights.
cell phone – scan ID to compare TV prices patients in hospital / surgery equipment high-end clothing On customer card – knows where you are in store Prevent counterfit medicine
Jackie Fenn noted that there was an inverse relationship between the publicity a technology receives and its level of usage. When a technology is new, it is exciting and by definition novel, and there is a lot of interest in it. It gets a lot of exposure. The press write about it, the analysts pontificate on it, the consultants start practices based on it. Gartner's hype cycle is actually a five-part sequence: Technology trigger. A breakthrough, public demonstration, product launch or other event that generates significant press and industry interest. Peak of inflated expectations. A phase of overenthusiasm and unrealistic projections during which a flurry of publicized activity by technology leaders results in some successes but more failures as the technology is pushed to its limits. The only enterprises making money at this stage are conference organizers and magazine publishers. Trough of disillusionment. The point at which the technology becomes unfashionable and the press abandons the topic, because the technology did not live up to its overinflated expectations. Slope of enlightenment. Focused experimentation and solid hard work by an increasingly diverse range of organizations lead to a true understanding of the technology's applicability, risks and benefits. Commercial off-the-shelf methodologies and tools become available to ease the development process. Plateau of productivity. The real-world benefits of the technology are demonstrated and accepted. Tools and methodologies are increasingly stable as they enter their second and third generation. The final height of the plateau varies according to whether the technology is broadly applicable or only benefits a niche market.
Fast Lane / EZ Pass.
Typical distance – about 6-8 feet. MIT ID card.
Privacy issues: - World Cup Soccer Relates to demographic data – Nationality, Address, Passport number, etc. Costs about 10 Euro cents each - Benneton sweater Follow your movements?
Challenges: - Adhere to round metal can - Metal reflections
Right products in right cases.
Right pallets to right places. Commercial: stop truck – “you are going the wrong way” “How did you know?” “The cargo told me!”
How many readers are needed to constantly monitor every item in entire store?
Assuming you have Fast Lane type credit card, it can automatically charge to you (send bill in mail or email.) Hmm. What if two people leave at same time – might you pay their bill?
Sloan Information Period (SIP) RF.450 Information Infrastructure Needed for Effective Utilization of RFID AutoID technologies Part 1 – RFID Technology & Application Areas Subject RF.450 @ E51-145 on Monday , Oct 24, 2005 at 2:30-5:30 PM Abstract: This is an exploratory research SIP activity. A high degree of interaction and student participation and discussion is expected. In order to maximize the effective use of RFID, existing intra- and inter-organizational business processes must be re-thought and re-structured, and an appropriate Information Technology (IT) infrastructure must be established both across organizations and between organizations. Prof Stuart Madnick, <email@example.com>, Room: E53-321, Ext: 3-6671. [Revised 10-23-2005. Latest version in http://web.mit.edu/smadnick/www/SIP2005/ ]
What are existing or likely information infrastructure deficiencies,
- Especially in the areas of information exchange and data standards?
What are some IT research directions to address these problems?
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RFID AutoID technology has received considerable media attention, innovation ideas, and controversy. For example:
" Study shows RFID benefits for retailers . Retailers can expect extensive inventory and labor cost savings from the adoption of radio frequency identification (RFID) technology, but some consumer product manufacturers will face higher costs and delayed benefits from adopting the technology. That is the conclusion of a new report on RFID and the Electronic Product Code (EPC) from global management consulting firm AT Kearney." ( from http://logistics.about.com/b/a/042898.htm )
" Dvorak Slams RFID . It's bad news, claims John Dvorak. Those tiny radio transmitters that promise convenience and flexibility are just another path toward big brother domination. And it's going to get a lot worse. ( from http://ct.eletters.whatsnewnow.com/rd/cts?d=181-480-1-278-107259-23183-0-0-0-1 )
"A Manufacturer of soft drinks can identify with the click of a button how many containers of its soda cans are likely to reach their expiration date in the next few days and where they are located at various grocery outlets. ( from CACM, August 2005, p. 103 )
What have you heard? Unusual or Intriguing Applications?
Bank of Nagoya installing RFID-based document management system
Automatically scan you when you entered classroom – so no need to sign “sign-in” sheet
The Hype Cycle Visibility Time Technology Trigger Peak of Inflated Expectations Trough of Disillusionment Slope of Enlightenment Plateau of Productivity Source: Jackie Fenn, Gartner Group RFID Today! (?)
Some Sources Used for Background Materials (found with assistance of H. Zhu)
Ultimate focus of this SIP activity Standards ? The RFID industry suffered from a proliferation of standards , according to Sue Hutchinson, director of product management for EPCglobal. EPCglobal had two GEN-1 standards, while ISO had two UHF air interface standards. (December 17, 2004)
RFID Tags Come in Different Forms – Can be attached to almost anything
Tags can be attached to almost anything:
pallets or cases of product
company assets or personnel
items such as apparel, luggage
people, livestock, pets
high value electronics e.g., computers, TVs
Primary focus Class V tags Readers. Can power other Class I, II and III tags; Communicate with Classes IV and V. Class IV tags: Active tags with broad-band peer-to-peer communication Class III tags: semi-passive RFID tags Class II tags: passive tags with additional functionality Class 0/Class I: read-only passive tags
Used in Access control, livestock, race timing, pallet tracking, automotive immobilizers, wireless commerce
High Frequency (13.56 mHz) – Smart Labels
Used in supply chain, wireless commerce, ticketing, product authentication
Ultra-High Frequency – UHF (900+ mHz)
Emerging technology, applications still in development
Microwave (2.45 gHz)
Still highly experimental, chipless technology
RFID Operating Frequencies
Worldwide Regulatory Environment No Global Solution – Standards are a Challenge ? 1000 50 4W EIRP 902-928 Argentina Brazil Peru varied 16 16 12 10 1 50 Channels # .5 – 4W EIRP 4W EIRP 4W EIRP 4W EIRP 2W ERP .5W ERP 4W EIRP Power ? -50dBc -50dBc -54dBc -63dBc+ -63dBc+ -50dBc OOB spurious varied 1000 400 1000 200 200 1000 Class 0 Rate 864-929 spotty 918-926 910-914 950-956 866-868 869.5 902-928 Band size New Zealand Australia Korea (new) Japan (new) Europe (future) Europe (current) North America
Typical read ranges vary from a few centimeters to a few meters
Read Range is dependent upon:
Broadcast signal strength
Size of broadcast antenna
Size of transponder antenna
The environment – Metallic, Liquid
How compare to 2D barcodes NO – new label Yes – Read/Write Change Information? $0.05 or less $0.40 - $1.00 (in millions) Cost (today) Low to Medium High Security Low to medium Low to high Capacity Required Not required Line of sight 2D Barcode RFID Tag
Barcode Examples – Many types Maxi-code UPC A Code 49 Codablock PDF 417 QR Code Data Matrix
If just $0.01, $250,000,000 to tag every P&G product
Chicken and Egg
Wal-Mart will be collecting existing data
Cheaper and standards
Privacy (e.g., “RFID chips in world soccer tournament tickets questioned”)
All 2.9 million tickets for FIFA World Cup soccer tournament in Germany include an RFID smart tag
RFID in Action … Buy Burgers at McDonald’s Pay for Gas at Exxon/Mobil with Speedpass Check out library books with 3M system Race timing at most major Marathons Get a Coke from a vending machine at the Olympics
Toll tags, parking lot access Event access, ticketing Anti-theft for automobiles Building access control, security
"A Manufacturer of soft drinks can identify with the click of a button how many containers of its soda cans are likely to reach their expiration date in the next few days and where they are located at various grocery outlets.”
( from CACM, August 2005, p. 103 )
How easy / realistic is this?
What infrastructure must exist?
RFID – Supply Chain Perspective Adapted from im jae hyoun PART 1b
how it works… Adding Identity to Products Coke
how it works… Adding Identity to Cases: Assembly line applications
how it works… Reading Tags: Portal applications: Shipping validation & Confirm routing
Some Serious Challenges & limitations… materials and effect on signal Absorption Detuning (dielectric) Reflection Human body / animals Complex effects (lenses, filters) Reflection Groups of cans Reflection Metals Detuning (dielectric) Plastics Absorption Conductive liquids (shampoo) Absorption (moisture) Detuning (dielectric) Cardboard Effect(s) on RF signal Material
RFID in the Supply Chain EPC Data Management Infrastructure (Private/public) SC Visibility & Event Management SC Leader ERP Who controls? Flow of Goods Supplier VMI Contract Manuf. Distribution Center Retail
Animals – Inventory – Tires – Access Control - etc.
Cost Structure reduction
Out of stock - 7.8% – “walk aways”
Only technology that will work
When bar codes don’t work
(dirty / line of sight)
RFID Timeline (goals) RFID Invented First UPC bar code 48 - 74 - 79 - 84 - 95 - 99 - 03- 1/ 04- 4/ 04- 7/ 04- 1/ 05- 6/ 05- 10/ 05- 07 - 09 - 13 Livestock RFID GM RFID ISO RFID Standards EPCGlobal started @ MIT Wal*Mart and DoD announce RFID plans Wal*Mart pilots begin Wal*Mart implements 8 suppliers / 21 products EPCGlobal establishes Gen 2 specs Wal*Mart deadline to top 134 Wal*Mart 6 DCs and 250 stores Wal*Mart 13 DCs and 600 stores All Wal*Mart and DoD suppliers RFID pervasive in supply chain Item class tagging Today
Technology Adoption Life Cycle 20,400 20,400 9,600 Companies under RFID mandate 0 60,000 Wal*Mart / DoD Sunrise date 2007 Today Companies Time
Labor Visibility Supply Visibility Decision Visibility Demand Visibility Fewer Faster More Accurate Where is the Inventory? What are Customers buying? What do customers want? Reduction in costs > RFID technology investment = +ROI
Note importance of data integration (addressed in part 2)
Challenging within a large company
Very challenging between/among multiple companies
Tag and Ship
- no data integration
Tag and Ship
- with data integration
Limited Mfg Adoption
- no data integration
Full Corp. Adoption
- with data integration
Limited Mfg Adoption
- with data integration
“ Slap & Ship” = pure cost May be the majority Link to trading partners Reduces some real costs Reduces more real costs Maximizes cost reduction Steps to ROI Invested $$ increases Potential ROI increases
(assuming $.15/tag, 10 year horizon, 12% cost of capital
What about “closed loop” & Enterprise applications?
RFID technologies have been available for a decade
For many applications the tag cost was too high
Supply Chain volume reduce tag costs
All those applications are still waiting for an RFID solution
Edge Server Edge Server ERP CRM Middleware Enterprise Level Applications Re-define the “Edge” of an enterprise Light Stack Sensors RFID Reader/ encoder Bar code Scanner Scale Message Board Read Failure PLC Printer/ encoder