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30 March 2011 RFID applications - Alumni Meet 1 A BASIC INTRODUCTION TO RFID TECHNOLOGY AND ITS USE IN THE SUPPLY CHAIN

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30 March 2011 RFID applications - Alumni Meet 1

A BASIC INTRODUCTION TO RFID

TECHNOLOGY AND ITS

USE IN THE SUPPLY CHAIN

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30 March 2011 RFID applications - Alumni Meet 2

In 2003, RFID appeared f rom nowhere, and into the spot light as one of the hottest technologies

around.

Equally surpr ising is that RFID is not new, its

been around f or  well over 10 year s, and is

already in use in applications like access

control and transpor t.

Creation of the EPC (Electronic Product Code) coupled with lower  tag costs, and the mandated 

adoption of RFID by Wal-Mar t and Tesco f or  all

their supplier s by 2005-06.

Introduction

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30 March 2011 RFID applications - Alumni Meet 3

What is RFID? 

RFID means Radio Frequency IDentification.

It is a means of identifying a per son or  objectusing a radio f requency transmission.

The technology can be used to identify,track, sor t or  detect a wide var iety of objects.

Communication takes place between a reader (interrogator) and a transponder (Silicon Chip connected to an antenna) oftencalled a tag.

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30 March 2011 RFID applications - Alumni Meet 4

What is RFID? ( contd )

Tags can either be active (powered by batter y) or  passive (powered by the reader  field), and come 

in var ious f orms including Smar t cards, Tags,

Labels, watches and even embedded in mobile 

phones.

The communication f requencies used depends to 

a lar ge extent on the application, and range f rom 

125KHz to 2.45 GHz.

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30 March 2011 RFID applications - Alumni Meet 5

M ost commonly used RFID frequencies

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30 March 2011 RFID applications - Alumni Meet 6

H ow RFID works? 

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30 March 2011 RFID applications - Alumni Meet 7

H ow RFID works? ( contd )

Tags are attached to objects. Each tag has a 

cer tain amount of inter nal memor y in which it

stores inf ormation about the object, such as its

unique ID (ser ial) number , or  in some casesmore details including manuf acture date and 

product composition.

When these tags pass through a field generated by a reader , they transmit this inf ormation back

to the reader , thereby identifying the object.

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30 March 2011 RFID applications - Alumni Meet 8

H ow RFID works? ( contd )

When the reader  is switched on, it star ts emittinga signal at the selected f requency band (typically860 - 915MHz f or UHF or 13.56MHz f or HF).

Any corresponding tag in the vicinity of the reader  will detect the signal and use the ener gyf rom it to wake up and supply operating power  to its inter nal circuits.

Once the Tag has decoded the signal as valid, itreplies to the reader , and indicates its presence by modulating (aff ecting) the reader  field.

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30 March 2011 RFID applications - Alumni Meet 9

Anti-collision problem in RFID

If many tags are present, they will all reply at the same time, which at the reader  end is seen as a signal collision

and an indication of multiple tags.

Reader  manages this problem by using an anti-collision

algor ithm designed to allow tags to be sor ted and 

individually selected.

There are many diff erent types of algor ithms (Binar y

Tree, Aloha....) which are defined as par t of the protocol

standards. 

The number  of tags that can be identified depends on the f requency and protocol used, and can typically range 

f rom 50 tags/s f or HF and up to 200 tags/s f or UHF.

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30 March 2011 RFID applications - Alumni Meet 10

H ow RFID works? ( contd )

Once a tag is selected, the reader  is able to per f orm a number  of operations such as read the tags identifier number , or  in the case of a read/wr ite tag wr ite inf ormation to it.

After finishing dialoging with the tag ,the reader  can then either  remove it f rom the list, or  put it onstandby until a later  time.

This process continues under  control of the anticollision algor ithm until all tags have beenselected.

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30 March 2011 RFID applications - Alumni Meet 11

H ig h Frequency T ags

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30 March 2011 RFID applications - Alumni Meet 12

U ltr a H ig h Frequency T ags

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30 March 2011 RFID applications - Alumni Meet 13

Active v/s P assive T ags

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30 March 2011 RFID applications - Alumni Meet 15

R FID Label Printers

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C omparison of Bar codes and R FID

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30 March 2011 RFID applications - Alumni Meet 17

Benefits of RFID in Supply C hain

Advanced Shipping Notices (ASN)RFID is able to automatically detect when either  a pallet or  shipment has left the warehouse or Distr ibution Center. 

Allow to not only generate an electronic ASN and notify the recipient, but also to bill clients in real time instead of waitinguntil the end of the week or  month, and doing a batch operation.

Pr oduct LossOne of the major  problems in the supply chain is product loss

or shr inkage, which can account f or  anything f rom 2 to 5 % of stock. The causes may var y f rom misplaced order s, employee and customer theft or  inefficient stock management.

RFID with its super ior tracking and identification capability willbe able to localize where losses are occurr ing.

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Benefits of RFID in Supply C hain

Returned GoodsFull visibility and automation can be potentially

achieved on retur ned goods thereby reducing f raud.

Anti-counterfeitIllegal duplication and manuf acture of high value 

products, is one of the industr ies most well known

problems. 

By integrating a tag into items, f or  example the body of an expensive ladies handbag, RFID has the potential

to authenticate a product, and combat the sale of f alse 

goods on the black mar kets.

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Benefits of RFID in Supply C hain

Supply Chain efficiencyRFID will enable the traceability and reduction in the 

number  of discrepancies between what a supplier  

invoiced, and what a customer  actually received.

Improved stock managementManaging stock is the key pr ior ity f or  many retailer s.

Implementing RFID at the item level and on shelveswill give an automatic way of knowing and managing

stock levels.

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Benefits of RFID in Supply C hain

Reduction in labour  costsAt Distr ibution Centres, labour  accounts f or near ly

70% of costs.

RFID could reduce this by near ly 30% by removing

the need f or  manual intervention and use of barcodes

when loading cases or stocking pallets.

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