Using RFID to Track Tools and Equipment

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This presentation covers how organizations of all verticals can benefit from automating equipment tracking processes with RFID.

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Using RFID to Track Tools and Equipment

  1. 1. Using RFID to Track Tools and Equipment December 2013
  2. 2. Today’s Presenter & Agenda • Impinj Overview • OATSystems/Checkpoint Overview Nikhil Deulkar Director of Marketing – Monza RFID tag chips Impinj Inc. ndeulkar@impinj.com • RFID Equipment Tracking • • • • Why RFID Equipment Tracking? Who’s Using It, and Why? What RFID Equipment Tracking Does What’s the Payback? • Question & Answer Session Su Doyle Head of Industry Programs - Industrial Solutions OATSystems sdoyle@oatsystems.com December 2013
  3. 3. About Impinj, Inc. • Leading provider of UHF RFID technology • Innovative product portfolio – Tag chips – Reader chips – Readers & Antennas • Enabling numerous industries – – – – Retail Pharmaceutical Food and beverage Consumer electronics December 2013
  4. 4. OAT Systems: RFID Solution Innovator & Leader  RFID Pedigree: Created by co-founders of MIT Auto-ID Center, 10+ years of focus on RFID  Breadth & Depth of Resources: division of Checkpoint Systems (NYSE: CKP) – $800M RF technology innovator and global services provider, 5000 employees across 6 continents  Unmatched technology & Enterprise Scale: OAT Foundation Suite – the most widely-deployed RFID Platform – 200+ customers in A&D, Retail, Industrial, and Consumer Goods manufacturing – Pre-Packaged RFID Visibility Solutions  Solutions that work: Powering the world’s largest RFID-enabled deployments – Customers include Airbus, Astrium, ATK, Bell Helicopter/Textron, Cessna, Cassidian, Eurocopter, Monsanto, Rockwell Collins, US Veterans Health Administration – Selected for A350 Supplier Program OAT Customer Speakers at RFID Journal Live 2013
  5. 5. Common RFID/RTLS Applications WORK-IN-PROCESS TRACKING EQUIPMENT TRACKING YARD MANAGEMENT SHIPPING & RECEIVING IT ASSET TRACKING MATERIALS MANAGEMENT INVENTORY MANAGEMENT MRO TRACKING
  6. 6. Common RFID/RTLS Applications WORK-IN-PROCESS TRACKING EQUIPMENT TRACKING YARD MANAGEMENT SHIPPING & RECEIVING IT ASSET TRACKING MATERIALS MANAGEMENT INVENTORY MANAGEMENT Equipment Tracking is quickly becoming a “high impact” application for RFID/RTLS MRO TRACKING
  7. 7. Who’s Tracking Equipment with RFID & RTLS? CAPITAL GOODS MANUFACTURING: PRODUCTION EQUIPMENT, PLANT EQUIPMENT, WHOLE GOODS UTILITIES: PLANT EQUIPMENT, INFRASTRUCTURE OIL & GAS, MINING DRILLING EQUIPMENT BIOTECHNOLOGY, RESEARCH & TESTING LABS LAB EQUIPMENT HEALTHCARE PROVIDERS: MEDICAL & FACILITY EQUIPMENT TRANSPORTATION/ LOGISTICS: VEHICLE FLEET CONSTRUCTION: FIELD EQUIPMENT CROSS-INDUSTRY DATA CENTER EQUIPMENT
  8. 8. Who’s Tracking Equipment with RFID/RTLS? CAPITAL GOODS MANUFACTURING: PRODUCTION EQUIPMENT, PLANT EQUIPMENT, WHOLE GOODS UTILITIES: PLANT EQUIPMENT, INFRASTRUCTURE OIL & GAS, MINING DRILLING EQUIPMENT BIOTECHNOLOGY, RESEARCH & TESTING LABS LAB EQUIPMENT HEALTHCARE PROVIDERS: MEDICAL & FACILITY EQUIPMENT MORE EQUIPMENT, IN MORE PLACES, TIES UP WORKING CAPITAL & INCURS MORE RISK TRANSPORTATION/ LOGISTICS: VEHICLE FLEET CONSTRUCTION: FIELD EQUIPMENT CROSS-INDUSTRY DATA CENTER EQUIPMENT
  9. 9. What’s Driving RFID Equipment Tracking? Increased focus on program compliance, customer/patient care Equipment proliferation, process transparency, increased risk New Programs Quality, Safety & Compliance Process Efficiency Cost Pressure RFID Adoption CFO scrutiny on working capital allocation, asset utilization Lean initiatives, pressure to increase throughput w/existing resources
  10. 10. RFID Equipment Tracking Examples Composite Manufacturing Equipment Production Equipment Medical Equipment Construction Equipment Multiple Industrial Manufacturers Hospital Network, EMS Service Heavy Equipment Manufacturer Consumer Electronics Manufacturer Inter and IntraFacility Shipments Supply Chain Specialized construction equipment, yard trailers and contents across multiple locations Testing equipment Composite in innovation lab Manufacturing equipment in clean rooms, autoclaves Specialized equipment across multiple manufacturing & maintenance facilities Line-maintainable equipment: engines, landing gear, oxygen tanks RFID, Wi-Fi, Barcode, GPS RFID, Wi-Fi, Barcode RFID, Wi-Fi, Barcode, GPS RFID, Barcode RFID ruggedized tags RFID, Barcode RFID, Barcode SAP ERP Internal systems SAP, Baan ERP Internal Systems Solumina, Impresa MMS SAP ERP, M&E Systems Multiple systems, ATA Spec2000 Lab Equipment Aerospace Manufacturer Maintenance Equipment Aircraft Equipment Industrial Airlines Manufacturers and MRO Providers
  11. 11. “I am serial number 452TW7 I am owned by your company. I am due for calibration in 2 days. I was just used to perform a process step on work order #8455WQA I’ve been used 15 times. You just cycle counted me.” What RFID Equipment Tracking Does
  12. 12. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  13. 13. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  14. 14. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  15. 15. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  16. 16. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  17. 17. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  18. 18. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  19. 19. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  20. 20. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  21. 21. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  22. 22. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  23. 23. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  24. 24. What RFID Equipment Tracking Does 1. Instantly Locate Equipment 2. Automate Inventory Management 3. Track Maintenance/ Calibration/ Compliance Status 4. Alert for Process Errors, Exceptions
  25. 25. Where’s the Payback? New Competencies = New Revenue Streams Reduce Make Goods, Contract Renegotiations Reduce Fines, Audits Prevent Contract Breach Reduce Liability, Legal Fees New Programs Quality, Safety & Compliance Process Efficiency Cost Pressure Reduce Working Capital Reduce Redundant Inventory Reduce Expedite Costs RFID Adoption Increase Throughput (Revenue) Increase Profitability
  26. 26. Calculating Payback New Competencies = New Revenue Streams Reduce Make Goods, Contract Renegotiations Reduce Fines, Audits Prevent Contract Breach Reduce Liability, Legal Fees New Programs Quality, Safety & Compliance Process Efficiency Cost Pressure Reduce Working Capital Reduce Redundant Inventory Reduce Expedite Costs RFID Adoption Increase Throughput (Revenue) Increase Profitability
  27. 27. ROI Metrics for Equipment Tracking ROI Metric Related to How They are Calculated Reduction in Equipment/Tooling/Indirect Material Inventory  Working Capital Allocation  Buffer inventory of tooling, equipment to compensate for missing or out-of-spec tools, as Reduction in FOD (Foreign Object Debris)  Quality, Safety & Compliance  Cost Pressure  Process risk reduction/capital allocation reduction by finance  Reduction in fines,  Process KPIs (incl. time in service) Increase in Labor Utilization  Process Efficiency  Cost Pressure  Average labor rate and # of employees involved with equipment tracking,- multiplied by Improved Asset Utilization  Working Capital Allocation  Redundant inventory of capital assets, assets that have not been used in >6 months or Improved On-Time Performance Reduced Schedule Risk  Process Efficiency  New Programs  Reduction in days outstanding for accounts receivable  Reduction in revenue recognition delays  Customer make-goods, discounting to make up for late orders  Fines for breach of contract Improved Process Tracking Reduced Quality Risk  Process Efficiency  Quality, Safety & Compliance  Reduction in rework costs  Customer make-goods, discounting to make up for quality issues  Reduction in out-of-spec equipment and tooling  Fines for non-compliance based on quality errors a percentage of overall inventory % of non-value added activities - locating tools, locating service history and specific work instructions duplicate inventory  Percentage of capital assets not being utilized - missing or under repair
  28. 28. Thank You Nikhil Deulkar Director of Marketing ndeulkar@impinj.com Su Doyle Industry Programs sdoyle@oatsystems.com December 11, 2013 Deployment Guide

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