Applications Of RFID(Radio Frequency Identification)

in Supply Chains

By Mandar JagtapME (Manufacturing Systems)

Automotive Data Capture (ADC)or

Automatic Identification & Data Capture (AIDC)

Provide direct entry without keyboard Applications..

Basic Introduction

IN MATERIAL HANDLING

IN MANUFACTURING

Shipping & receiving Status of order processing

Storage WIP

Sortation Machine utilization

Order picking Worker attendance

Drawbacks of manual data entry Average error rate is 1 error/300

characters[1]

Time factor Labor cost

Why RFID??Out of all the ADC technologiesavailable, RFID is one of the fastest & accurate technology !

Need of RFIDADC Technology

Optical

Magnetic

Electromagnetic

RFIDSmart card

Touch technique

Biometric

RFID is a wireless technology that uses radio waves to scan or"identify" a product /substance/animal that contains a tag.

RFID is Radio Frequency Identification.

It consists of three parts◦ An antenna, present on tag, obtains & gives energy◦ A tag (or Transponder) , contains a printed circuit board◦ A reader (or Transceiver) , decodes information sent by the

transponder

What is RFID ?

Types of RFID tags

Passive Active

o Used in early 1900’s & was used in World War II[2]

o In 1970’s, A noticeable development work startedo By 1980’s, the full implementation of the technologyo In 1990’s, the deployment of applications with RFIDo 21st century, the pace of development in RFID

Evolution of RFID

• RFID in Retail• RFID in Logistics, Transportation, and Warehousing• RFID in Assembly, Manufacturing, and Configuration

Management• RFID in Asset Tracking and Locating Objects• RFID in Authentication, Counterfeit Protection, and

Security• RFID with Environment Sensors

RFID in Supply Chain Management

RFID reader gates are installed

• at Smart shelves• at Ware houses• at transportation site• at Retail inventory

Abstract Potential of RFID to delivery of the heavy-machinery

manufacturing enterprise, which involves one specific supply chain.

RFID should be a revolutionary technology as,◦ it redesigns the existing processes ◦ eliminate some current inefficiency◦ improve the accuracy of delivering the products◦ increases information sharing between supply chain members

A Case Study of Supply Chain in the Discrete Manufacturing Industry

Research Site◦ Erzhong Lida (namely, Erzhong Lida Electromechanical Equipment Co.

LTD)◦ heavy-machinery manufacturing enterprise providing devices for steel

plants Process Analysis

◦ Filling & attaching of labels manually by workers◦ Checking and verification at assembly lines◦ Creation & attaching pallet documents manually◦ Closing pallets & Inform to transporter for picking◦ At customer, manual verification by Sales representative

The Trial in Practice

1. Methodology

1) On-site observations to understand the existing processes.2) Semi-structured interviews with managers and the operating

personnel3) The development document of Erzhong Lida’s trial. From the

document

2. Data Collection

3. Difference between original & redesigned process

The Elimination of Some Current Inefficiencies◦ Automated processes eliminates human errors

The Improved Accuracy of Delivering the products◦ the tags represent the assemblies or parts◦ Generation of documents based on information read by Reader

The Increased Information Sharing between Supply Chain Members ◦ Application can send e-mail or message if error occurs◦ Gives alert notifications to all levels

4. Results and conclusion

Full deployment of RFID obviously depends on the evolution of technology itself since the price of tags is still high in respect of the value of most goods

More importantly, its deployment is strongly dependent on the vision, willingness and ability of supply chain members to capitalize on real-time, continuously updated, information embedded in products as they move along the supply chain.

5. Implication

In this topic we introduced RFID , its usefulness in manufacturing and supply chain management.

We also analyzed a case-study illustrates effects ofApplication of RFID in supply chains of different manufacturing sector.

Conclusion

ise.tamu.edu/.../Applications%20of%20RFID%20in%20Supply%20Chain/Applications of RFID in Supply Chains (Gary M. Gaukler & Ralf W. Seifert)

Elsevier.com/RFID Application Strategy in Agri-Food Supply Chain Based on Safety and Benefit Analysis (Min Zhang, Peichong Li)

Elsevier.com/Supply chain management with lean production and RFID application: A case study(James C. Chen , Chen-Huan Cheng , PoTsang B. Huang )

Elsevier.com/RFID potential impacts and future evolution for green projects (Yvan Duroc and Darine Kaddour)

Journal of Electronic Science and Technology of China /Vol.4 No.4 /RFID’s Impacts on Business Value: A Case Study of Supply Chain in the Discrete Manufacturing Industry ( LIU Yun,SHAO Pei-ji, MO Zhi-wu, WANG Tao, SUN Shu)

[1]- Automation, Production Systems and Computer-Integrated Manufacturing by Mikell P. Groover

[2]-ise.tamu.edu/.../Applications%20of%20RFID%20in%20Supply%20Chain/Applications of RFID in Supply Chains (Gary M. Gaukler & Ralf W. Seifert)/1.1.1/Paragraph no. 3

References

Thank You . . .