RFID
Implementation
As compared to
the recent past, RFID Implementation solution today isn't nearly as
painful as once the root canal surgery was without anesthetic. The
good news is that it's on its way to becoming much less painful.
While no one will claim that RFID Implementation is going to become
easy, it will be far more manageable with a variety of packaged
products and services designed specifically for RFID. After
companies struggled to implement Warehouse Management Systems (WMS)
that could accept data from bar codes, along comes RFID
Implementation with a whole new set of issues. Rather than send
these companies back to the drawing boards, vendors are offering
tools to integrate RFID into modern, as well as legacy, Warehouse
Management Systems. RFID Implementation is still in its early
stages, and much hard work lies ahead.
RFID is poised
to make a major impact on the Supply Chain (SC) world. But it also
leaves many executives unsure of exactly how this technology can
affect and benefit the way they do business. The promise of a
scan-free environment is too attractive to ignore. At the same time,
compliance mandates may force you to adopt RFID technology, ready or
not. Figuring out where your organization falls on the adoption
curve and creating a vision are critical in setting a logical course
of action to unravel the RFID mystery for your organization. To be
successful, an RFID Implementation must include the right design,
configuration, integration, testing and training. Implementation of
RFID systems that operate reliably requires expert integration of a
variety of processors and sensors that complement the basic RFID
suite.
RFID
Implementation enabling technologies throughout the supply chain
were it makes the most sense to speed up the process and also
combines payment function with tracking function. Basically use the
paying point throughout the SC to implement RFID. RFID
Implementation minimizes time spent through the normal means of
inventory processing.
This technology allows the improvement of data quality, items
management, asset visibility, and maintenance of materiel. RFID Implementation will
allow the improvement of data quality, items management, asset
visibility, and maintenance of
materiel.
IBM has
developed a new business case methodology to help retailers and
consumer packaged goods companies having RFID Implementation. The
company has broken RFID Implementation into a three-phase process.
Phase I includes consulting and development of the business case for
RFID. Phase II is a 12-week pilot. And in Phase III, IBM provides
the full rollout of the system. RFID Implementation is essential,
but given the host of concerns that still must be worked out, you
should plan to proceed with caution.
While the RFID
Implementation holds considerable potential, realizing the benefits
requires addressing three key challenges head on:
RFID-forced
business process changes: For many industries, RFID Implementation
promises nothing short of a fundamental transformation of the cost
structure associated with tracking items. But such great promise
carries challenges.
Though the benefits are obvious, exactly how they can be
achieved--given the existing infrastructure and its manual business
processes--remains unclear. Though the technology is fascinating,
changing physical assets, people and processes are a daunting task.
After all, buildings, people and processes can be tough, and
expensive, to change.
Data volumes of
a new scale: Data is precious, but be careful what you wish for.
With in-store deployment, it is predicted that Wal-Mart will
generate more than 7 terabytes of operational RFID data a day.
Traditional technology architectures are not prepared to handle this
volume. Supply chain traceability, auditing and real-time tracking
will drive the need to store much of this operational data, yet
traditional databases designed to store transactional data will
never handle the load.
The old adage
that states "Nobody's operational data store is clean" must now be
challenged in order for RFID Implementation to succeed. The very
value the technology affords depends on having valid, real time
visibility to RFID data. Software architectures require an overhaul
to deal with the influx of RFID data. To resolve this, retailers
should look to operational databases, which differ from traditional
back-end databases, yet are far less understood. However, they will
become more commonplace and necessary for the collection,
correlation, filtering, and cleansing of RFID data.
Standardization
watch: Lastly, RFID standards, both industry and de facto, have yet
to mature. Rapid changes can be expected, as exemplified by the
recent transformation of the AutoID Center turning into a joint
initiative of UCC and EAN. Early adopters of RFID Implementation
must choose those elements of the RFID standards that have practical
value to their deployments, rather than push the proverbial
envelope. Rather than leap ahead of emerging standards, it would be
best to plan for the certain changes in business process and data
volume that any deployment will generate. The hype around RFID is
based on the belief that real-time, automated asset tracking is the
only way companies can dramatically improve the efficiency of their
operations.