Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Automated Data Collection Radio Freq. ID (RFID) Lecture 8

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 ADC RFID – associated with the new “Automated Data Collection” (ADC) initiatives of leading ERP vendors. This is a direct response to corporate need for cycle time reduction in relation to “Just-In-Time” production schedules and low inventory requirements set forth by customers

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 ADC Typically ADC systems are designed to operate and collect data at the time the business function is being performed. This provides real time inventory visibility to ERP users and to the planning modules that rely on that data.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 ADC Thus it is imperative to minimize the required user interaction with the system so that the benefits of real time data collection can be realized while not negatively impacting job performance.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 ADC Traditionally the barcodes were used to optimize this important function BUT, process flexibility drives competitive advantage and thus ever increasing and more complex CA solutions need to be explored

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 ADC Real time data collection systems is a prime requirement. Information such as: –where to locate a material or whether a received item needs to go to inspection add to the benefits that can be realized by a data collection system, but at the same time add to the availability demands on the system. Fault tolerant, 24X7 redundant systems are the norm for this data collection environment

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Application Architecture is Important Not all application systems are suitable for the 24x7 real time requirements of ADC. The Large ERP vendors have spent much R&D $$ in order to make ADC a reliable system.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Application Architecture is Important For example: It is not uncommon for an ADC transaction to process multiple ERP transactions in the background. An effective implementation of ADC in the data collection environment demands a comprehensive knowledge of the technical and functional aspects of the specific ERP system.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Application Architecture is Important Two types of ADC Architectures Single Tier – Integrated as a workable component of the particular software vendor (i.e., ERP vendor build its own) Middleware – ERP vendor relies on third party ADC vendor to provide integration

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Application Architecture is Important What are the implications of this model What is the history of the large ERP vendors with regard to third party software (i.e.,Think of CRM, SCM, etc.)

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Applications Upside of the technology -- Downside of the technology -- This is not science fiction Your house/appliances will soon be RFID capable

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Components Source ACSIS Inc. RFID have a great many types; active vs. passive, hard-tag vs. insert (or smart label) they all serve the same purpose. They are electrical devices, using some form of antenna to communicate. They are the item, which is used to identify something to an RFID tag reader. Example “smart label” paper tag

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Components. RFID tag readers are a device that reads RFID tags. As with tags there are a great many variants with broad capabilities.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Components Source ACSIS Inc. RFID tag readers use an antenna to communicate to the RFID tag through the tag’s antenna. Some readers have integral antennas while others can have various types and sizes fitted to them.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 The Requirements Item Environment System Environment Data Requirements Tag Structure Tag Mounting Reader Capabilities Antenna Selection and Placement Software

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Item Environment Not all products are good candidates for tagging Deciding “What” to tag is very important In reality we’d like to tag every individual item (i.e., an item sitting in a pallet, grouped in a box, stacked in a carton)

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Item Environment That model is too complex – why? –Too much interference – especially if it’s metallic inventory –Too costly to implement (both from ERP and RFID technology view Tagging (at this time) is only cost effective at the aggregate level (i.e., the pallet or the box) – change is coming

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Cost vs. Miniaturization RFID on a microchip Cheap/portable Commodity priced and embedded in the product

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 System Environment What physical environment the system operate in (warehouse, production floor) is very important in the design. Magnetic interference from machinery motors can significantly impact the performance of an ADC system.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Data Environment Three basic parameters must be addressed: 1. Tag Data Storage 2. Data Transmission Requirements 3. Back-End Data Storage

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Data Environment: Tag Data Storage Data can be stored and edited on the tag (i.e. service history, etc.) This is an expensive option not only from a storage size point of view, but also form a processing perspective Necessitates real-time communication link with ERP (i.e., a part of your database is sitting on the tag -- without backup)

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Data Environment: Data Transmission Requirements Complex because each tag represents a potential transaction that must be transmitted and processed in real time Business logic in the ERP system must prioritize the data needs of the system so that the RF transmission network does not get overtaxed

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Data Environment: Back-End Data Storage DB must have an audit trail for each tag This procedure is time dependent and can cause a lot of redundant data to be collected at frequent intervals – thus populating the DB with may redundant records

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Tag Structure Tag structure refers to the physical structure of the tag. Tags can be in an inlay such as a smart label, credit card style, microchip, or as a hard tag. Many factors must be considered in tag structure selection.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Tag Structure Hard tags are available in many formats: such as encased in molded plastic, protected against harsh chemicals, in rubber discs, etc. Environment determines structure and ultimately the cost

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Tag Mounting Tag mounting is critical. Tags must be affixed to the item in a manner that insures it survives the system environment. It must protect the tag and possibly provide a critical level of offset, and provide a required angle possibly needed by the system design (for optimum operability)

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Reader Capabilities Readers may control multiple antennas. Readers are available with many different capabilities They are very configurable, but since this is new technology not much documentation and experience exists People usually experiment before.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Antenna Selection Modular steel warehouses pose a great challenge to RFID implementers They must balance controlling the RF field and distance Utilizing reflective and/or absorptive materials to control the field may be what is needed to provide a robust solution. Business process control and environmental changes may be required in many instances to provide a successful implementation.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Software The software must be robust enough to handle the multiple reads supported by RFID technologies such as: –understanding of the expected number of items that are to be in a read zone, –the coordination of timing and material flow, –the user feedback features, –event management, –backend systems updates, and –integration to other associated control systems.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Software Without providing these types of support functions, the system is an isolated island of information and will rarely provide a positive return on investment. The logic of understanding the condition of readers in an area in relation to users, operations, feedback, and various other systems requires a high level of understanding in advance data collection techniques.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Problem: Line of Sight Line of sight presents a problem in identifying particular items

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Problem: Multiple Reads Multiple reads can confuse the system if the application logic is not detailed enough The handler may run in and out of the read zone several times positioning the forklift Result -- multiple reads

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Problem: High Density When reading a large number of tags simultaneously management needs to be assured that the system actually read them all. Also, did the system read more than was expected?

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Problem: Interference Machines cause magnetic interference These inconsistent environments can rarely be served by a single configuration. Some level of customization per read zone may be required. These may be small, but they add to the complexity of the system design and raise support costs.

Policy Analysis Center George Mason University The School of Public Policy Copyright © R.A. Sommer, 2001 Course Evaluation