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RFID Report

RFID Report examines the key developments taking place in radio-frequency identification.

By Robert Spiegel -- Supply Chain Management Review, 9/1/2005

News and Trends

RFID players form IP licensing consortium

Several RFID technology providers are in the process of forming an intellectual-property (IP) licensing group. This group will provide patent management for providers and access to RFID patents for manufacturers and end users. Nearly 20 companies are participating in the development of the consortium, which will be modeled on licensing groups that were successfully created for the MPEG-2 and DVD industries. Among the companies that have initially joined the consortium are Alien Technology, Applied Wireless Identification Group, Avery Dennison, Moore Wallace, Symbol Technologies, ThingMagic, Tyco Fire & Security, and Zebra Technologies.

Japanese firms promote RFID in region

Three Japanese technology leaders have joined together to develop RFID systems for the Asia-Pacific region. Hewlett-Packard Japan Ltd., Internet Initiative Japan, and IIJ Technology will work to commercialize RFID technology in the region. The alliance will participate in joint research to develop an EPCglobal Network-compliant RFID platform and build infrastructure technologies for intercompany and international logistics. The partners also will create an environment for the RFID platform at HP's RFID Noisy Lab Japan. The alliance's development work accelerated after Japan revised its Radio Law last April to grant the use of the UHF band for RFID.

UPS makes big investment in RFID and Wi-Fi

UPS had placed a bet on which technology will be used to track packages and assets. UPS Strategic Enterprise Fund has invested in G2 Microsystems, a developer of RFID smart-tag technology for intelligent tracking and sensor technology that can be used with global wi-fi networks. UPS representatives note that the technology produced by G2 should be especially attractive to the package shipper. "Our investment in G2 Microsystems will give us insight into further applications and tracking and sensing features which can benefit inventory management, temperature control, and high-value monitoring in a global distribution environment." says Alan Koenning, UPS Strategic Enterprise Fund manager.

MARC to resell Alien RFID products

Supply chain solutions provider MARC Global has forged a partnership with Alien Technology to resell Alien RFID readers and tags. As part of the agreement, MARC will use and support Alien RFID technology in its applications and will join Alien in joint sales and marketing activities in the Americas and the Europe/Mideast/Africa regions. MARC Global notes that the partnership is designed to help move customers past simple RFID compliance and into deployments that will lead to a measurable return on investment.

"Supporting Alien's Gen-2 products will help our customers expand their use of RFID technology beyond compliance with trading partners and e-pedigree initiatives," says Bob Jabjiniak, senior vice president of product management at MARC.

Best Practices

Virgin Atlantic tags aircraft parts with RFID

Virgin Atlantic Airways has launched a pilot program in the United Kingdom with Oracle and Tata Consultancy Services to tag 50,000 aircraft parts with RFID technology. The pilot will use RFID sensors to manage the consignment, storage, and dispatch of these parts. Virgin engineers expect to reduce costs and increase efficiencies by gaining improved visibility, accountability, and control of the engineering-parts supply chain. The pilot will be implemented by Tata using Oracle's Fusion Middleware RFID applications and Oracle's Database 10g.

RFID's value goes beyond data collection

While the focus on RFID deployment to date has been on data collection, the technology's real payoff will come when companies go beyond the data-collection stage and into other uses, says Dave Hanny, director of hardware interfacing products at Brooks Automation. Hanny has been helping companies in a range of industries capture the potential of RFID. He points to companies that have successfully used the technology to achieve higher data accuracy, track goods more closely, and collaborate with customers and suppliers.

Hanny notes that Brooks Automation began helping clients gather RFID data, only to later hear them ask, "What do we do with the data now?" He explains that the payoff came when companies started to use the data to automate manual procedures, track goods, and share data with trading partners. "The DoD [Department of Defense] says that operators make a mistake for every 30 keystrokes, so RFID accuracy will reduce losses from inaccuracy," he says. Hanny notes that Best Buy, for example, expects RFID to reduce shrinkage due to theft. Boeing will use RFID for collaboration with suppliers to help push design back up the supply chain in the aircraft manufacturer's attempt to reduce the 18- to 20-day airplane production schedule down to 72 hours.

RFID keeping Casinos honest

Axcess International is deploying RFID technology at casinos to monitor keys to slot machines. Some state laws mandate that casinos must shut down their slot machines if even a single key is lost. This can result in a huge loss of revenues as re-keying takes place. Axcess has installed RFID systems in a number of casinos to track keys. "We tag the keys and make sure they don't leave the premises," says Allan Griebenow, Axcess president and CEO. Axcess has been deploying RFID for five years, primarily for asset protection.

Technology

PEAK introduces RFID device controller for SAP

PEAK Technologies has launched an RFID device controller software for SAP users. The program is designed to let SAP users deploy RFID printers and readers into their existing infrastructure in order to maintain SAP-centric applications. The software was developed in SAP's native programming language and is delivered on the SAP NetWeaver platform. In addition to handling tag printing and label-format maintenance, the program can collect RFID reads from mobile, portal, or tunnel RFID readers deployed throughout the enterprise. The software is able to filter the aggregate reads from the RFID readers' network to determine how many of those reads should be passed on to SAP for analysis or enterprise applications.

UW-Madison opens RFID lab

The University of Wisconsin at Madison has opened an RFID lab to help Wisconsin companies use the technology to their competitive advantage. The lab is working to develop RFID applications that can be used in numerous industries. The lab has gathered more than 40 RFID technology providers from the University's RFID Industry Workgroup. Collaborative research conducted in the lab will promote innovative and practical ideas to enhance the competitive position of Wisconsin businesses. Lab developments involve industries such as packaging, printing, paper, plastics, transportation, distribution, manufacturing, and health care. RedPrairie, Rockwell Automation, Autologik, and Dorner Manufacturing are among the companies participating in the lab activities.

RFID tracking for the ultimate asset: your kids

RFID can now track children. Progress Software Corp. has deployed RFID technology for California fashion designer Lauren Scott for use on a line of children's sleepwear. The idea is to provide peace of mind to parents who fear that their kids could be abducted while they sleep. The clothing includes nightgowns and pajamas that will be sold at Target stores next spring. The sleepwear will come with RFID technology that parents can place in doorways and windows. If the child moves more than 30 feet past those openings, the RFID reader will trigger an alarm.

Resources

White Paper: RFID for the Real World

FKI Logistex North America offers a free white paper that discusses the challenges and opportunities for RFID in the warehouse and distribution center environment. Go to the Media Center at the company Web site at www.fkilogistex.com to download "RFID for the Real World."

RFID Conferences

Frontline Solutions Conference and Expo

Chicago—Sept. 27–29, 2005

Features auto-ID and data management solutions and presentations from RFID providers and users.

www.frontlineexpo.com

ID World

Rome—Nov. 2–4, 2005

Showcases auto-ID technology from international providers.

www.IDWorldOnline.com

Active RFID Summit USA

San Antonio—Nov. 15–16, 2005

Forum for users and developers of RFID technology.

www.IDTechEx.com


Author Information
Robert Spiegel covers the supply chain technology space for a number of Reed Business Information publications.

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