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Climbing the RFID Learning Curve
Alfio Grasso Deputy Director, Auto-ID Lab, Adelaide General Manager, RFID Automation AutoLogistics & SCM 2005
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Overview RFID background RFID in Australia Implementation
Assessment criteria Reader issues Tag issues Data issues Human issues Privacy Champion RFID Solution Providers Auto-ID Lab, Adelaide Australasian Adoption Research Initiative (AARI) Conclusions AutoLogistics & SCM 2005
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RFID Background AutoLogistics & SCM 2005
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Why now for RFID? RFID invented in WWII
Steady development over last 50+ years Recent improvements in tag and reader technology Better performance Easier deployment and maintenance Better use of existing infrastructure and technologies Improvements in tag and reader manufacturing Cheaper tags and readers Industry standardisation EPCglobal and ISO AutoLogistics & SCM 2005
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RFID Radio Frequency Identification Basic Elements
Automatic Data Capture Uses RF to communicate Basic Elements Tags Readers/Antennas Host CPU AutoLogistics & SCM 2005
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Tag reading Reader Tx typically 1W, 6dB gain Antenna
The black spot Reader Tx typically 1W, 6dB gain Antenna But propagation loss, resulting Rx at Tag typically µW On tag, RF energy used for DC power and modulation More loss back to Reader Rx Therefore a very weak reply is obtained AutoLogistics & SCM 2005
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RFID Tags Tags Attached to objects or items
Contains electronics (chip), and antenna Most are passive (no power source) Active tags have a battery AutoLogistics & SCM 2005
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Matrics (Symbol) Tags AutoLogistics & SCM 2005
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Alien Technology Tags AutoLogistics & SCM 2005
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Intermec Tags AutoLogistics & SCM 2005
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RFID Readers Readers Contains electronics, Tx, Rx and control
Connected to antenna(s) mostly external Energise tags (passive tags) Commands tags (wake up active tags, enables management of the tag population) Receive tag replies AutoLogistics & SCM 2005
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RFID Readers AutoLogistics & SCM 2005
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RFID Antenna(s) AutoLogistics & SCM 2005
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Host CPU Application Do something with the tag information
Potential to generate massive amounts of data Once installed it costs virtually NOTHING to read a tag! Real time data => real time decisions OHIO (Zero Human Involvement Operations)* * Term defined by John Greaves, CHEP International AutoLogistics & SCM 2005
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RFID in Australia – closed loop
Vehicle Identification Passenger and commercial vehicles Rail Passenger, Sugar, Minerals, Steel Waste Management Domestic and Industrial Access Control Time and Attendance, Vehicle Manufacturing Library AutoLogistics & SCM 2005
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Electronic Toll Collection
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Extended Read Range AutoLogistics & SCM 2005
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Vehicle ID, Sugar Industry
Photos courtesy of Mirrabooka Systems AutoLogistics & SCM 2005
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Steel Production AutoLogistics & SCM 2005
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Hot-Axle Detection and RFID
Photo courtesy of Sugar Research Institute AutoLogistics & SCM 2005
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Location ID AutoLogistics & SCM 2005
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Location ID AutoLogistics & SCM 2005
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Industrial Waste Management
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Domestic Waste Management
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Manufacturing Photo taken at Hendersons Automotive Technologies Pty Ltd AutoLogistics & SCM 2005
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National Library Board Singapore
Photos courtesy of the National Library Board Singapore AutoLogistics & SCM 2005
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Photo taken at Carlton & United Beverages
Warehouse Management Photo taken at Carlton & United Beverages AutoLogistics & SCM 2005
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Photo taken at Carlton & United Beverages
Warehouse Management Photo taken at Carlton & United Beverages AutoLogistics & SCM 2005
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Warehouse Management AutoLogistics & SCM 2005
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Paper Roll Identification
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Vehicle Manufacture AutoLogistics & SCM 2005
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RFID Potential AutoLogistics & SCM 2005
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RFID Market To Reach $7.26Bn In 2008 *
A new market research report covering RFID from 2005 to 2015, researched by IDTechEx. Bottom line is that this year’s global market for RFID including tags, systems and services is $1.94 billion but it will be driven by demand and new laws to $26.90 billion in 2015. 1.8 billion RFID tags have been sold to 2005. Passive tags: 410 million (car clickers) Active tags: 1390 million (cards) Key volume applications for RFID technology have been in markets such as access cards for the financial, security and safety markets, or for the automotive and passenger transport sector, with smaller markets in leisure, libraries, laundry and healthcare. * As reported in IDTechEX 11 April 2005 AutoLogistics & SCM 2005
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More Trends * 3.1 billion tags will be used for pallets and cases in 2006. By 2008 6.8 billion tags for Item level tagging (especially by pharmaceuticals) and tagging of baggage, animals, books, tickets and other non retail markets But 15.3 billion tags for pallets/cases The market for RFID interrogators will reach $1.14 billion in 2008 for EPC interrogators and $0.75 billion in the same year for other interrogators, such as Near Field Communication interrogators. Forecasts by territorial region show that by % of RFID tags by numbers will be sold in East Asia, followed by 32% to North America. * As reported in IDTechEX 11 April 2005 AutoLogistics & SCM 2005
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EPCglobal ISO Regulatory
Standards EPCglobal ISO Regulatory AutoLogistics & SCM 2005
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EPCglobal structure AutoLogistics & SCM 2005
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RF Regulations Classify RFID as Industrial, Scientific and Medical use
Regulators Classify RFID as Industrial, Scientific and Medical use ISM bands kHz (ISO ) 13.56 MHz or HF (ISO ) 433 MHz (ISO ) 860 to 960 MHz or UHF (ISO ) 2.45 GHz (ISO ) 5.8 GHz (no ISO standard) AutoLogistics & SCM 2005
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UHF The UHF tags will be able to be read by readers operating within 860 – 960 MHz range. The readers will be restricted to a small subset of this range depending on where in the world they are being operated. There are also regulations on the amount of power emitted by the readers depending on where the readers are being used. Therefore, a tag may be applied to an item and shipped anywhere in the world, but a reader has to be specifically set up for the region or country AutoLogistics & SCM 2005
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Map of the ITU regions AutoLogistics & SCM 2005
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Implementation Plan AutoLogistics & SCM 2005
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Implementation Plan Define your RFID implementation & metrics
Compliance Reduce Inventory Stock Visibility Reduce Costs Increase asset utilisation Reduce shrinkage Reduce/eliminate shipping errors Consider existing infrastructure Vendors Customers AutoLogistics & SCM 2005
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Plan Cont Investigate world standards ISO or EPC
Choose frequency of operation 13.56 (HF) or 860 to 960 MHz (UHF) Extensive pilot or test plan Develop assessment criteria for solution providers Minimise scope creep! AutoLogistics & SCM 2005
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Business case - ROI AutoLogistics & SCM 2005
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Business case – ROI * Create a cross functional team Educate the Team
Senior Executives from manufacturing, operations, packaging, warehouse management, security and finance Educate the Team Real RFID performance and expectations Leverage the data, both internally amongst operational departments, but eventually with outside trading partners * Source The Road to ROI, RFID Journal Mar 2005 AutoLogistics & SCM 2005
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Business case – ROI Cont
Identify the problems and opportunities Resolve issues Change to processes, packaging etc Define the scope of the RFID deployment Concentrate on which macro-level problem will deliver the most benefits to the organisation List factors within the company’s control that contribute to that macro-level problem Narrow the scope, maybe by region, department or area. Consider pallet level rather than case or item AutoLogistics & SCM 2005
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Business case – ROI Cont
Analyse operations and processes Itemise the business processes, quantifying processes Breakdown all processes, not just the clearly inefficient ones Prioritise Projects Could end up with 5 to 7 RFID projects Can the same RFID infrastructure be used for more than 1 project? Related projects most likely to deliver results AutoLogistics & SCM 2005
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Business case – ROI Cont
Assess financial impact Benefits as well as costs Tag and Reader costs Installation (power, comms, antenna infrastructure) Operational Costs Impact of other projects Other projects may add to the benefits and yet reduce costs AutoLogistics & SCM 2005
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Business case – ROI Cont
Sensitivity Analysis Cost of components, tags, reader etc. Mandates Revisit the business case regularly As with any plan, review and re-evaluation is key to its success Report progress AutoLogistics & SCM 2005
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EPCglobal Network AutoLogistics & SCM 2005
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Network Stack AutoLogistics & SCM 2005
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Solution Providers AutoLogistics & SCM 2005
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Evaluate Solution Providers
Tag Manufacturers Reader Manufactures IT infrastructure Installation Commissioning Maintenance Upgrades AutoLogistics & SCM 2005
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IT Impacts AutoLogistics & SCM 2005
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IT System impacts Interface to existing system, or new system!
Accuracy of that data Accumulation of much more data Decision processes with that data, making the data USEFUL! AutoLogistics & SCM 2005
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RF Issues AutoLogistics & SCM 2005
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RF Issues Cont RFID issues in your environment Expansion Duplication
RF Interference LAN, Other RFID Readers, EMI, Bluetooth, Metal Moisture Allow time for experimentation Expansion Scope creep or leverage Duplication AutoLogistics & SCM 2005
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RF Issues Cont RFID Design Hardware Systems
Fixed or portable RFID readers? Portable not OHIO (that is not automatic)! Business processes Simulation? AutoLogistics & SCM 2005
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Purchasing and Deployment
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Purchase/Deploy Equipment Supply Deployment of infrastructure
Development Manufacture lead times Engineering work and preparation Deployment of infrastructure Readers and Antennas IT Systems Ancillary equipment AutoLogistics & SCM 2005
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Purchase/Deploy Tags Training Supply
Initialisation (EPC code and data) Database update Installation Verification Training Employees, Managers, IT development AutoLogistics & SCM 2005
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Integration AutoLogistics & SCM 2005
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Integration Integration into IT systems Database design Scalability
New/Existing Interim period Exceptions, when no tag applied! Evaluation of performance Fine adjustments Upgrade path AutoLogistics & SCM 2005
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Integration Cont Other partners Finally Rollout Suppliers Customers
Competitors Finally Rollout Duplicate (other sites, divisions) Expand (RFID applications) Leverage (RFID infrastructure) AutoLogistics & SCM 2005
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Assessment Criteria AutoLogistics & SCM 2005
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Assessment Criteria Range of Hardware Range of IT Solutions Services
Tags, Readers, Volume, Vendors, Standards, Frequency, Host platforms, Ancillary equipment, Upgrades, Expansion Range of IT Solutions Integration into legacy systems Privacy Expansion Services Global or Local Site Inspection, Design, Installation, Commissioning, Maintenance Partner networks (hardware, middleware) AutoLogistics & SCM 2005
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Assessment Criteria Cont
Relevant experience in your industry Testing ISO X Conformance Test Methods ISO Performance Test Methods EPCglobal (Gen 2 V1.0.2) Conformance Test Methods Vendor test Facility Testing your products in your installation(s) Development/Customisation Tags and Readers, ancillary sensors Packaging, Cost, IP issues Maintenance AutoLogistics & SCM 2005
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Reader & Tag Issues AutoLogistics & SCM 2005
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Reader Issues Reader location is important, but local Antenna
Tunnel/Portal (multiple antennas) Circular Vs Linear Host Interface, online Remote restart Alarm/alerts/Heartbeat Self diagnostic tests Upgrades AutoLogistics & SCM 2005
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Portal AutoLogistics & SCM 2005
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Shielding Photo courtesy of RFID Journal AutoLogistics & SCM 2005
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RF Friendly AutoLogistics & SCM 2005
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Neatness Counts! AutoLogistics & SCM 2005
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Temporary Conditions AutoLogistics & SCM 2005
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Location Location Location
Tag location will be crucial for performance Want global use for product/tag life Optimal location for RF Tag may not be the same as the location for a human readable tag/label Consider composition of the object If lots of metal, then look for gaps! Metal surface can be used to extend the read range λ/4 Life time environmental exposure AutoLogistics & SCM 2005
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Location Photos courtesy of RFID Journal AutoLogistics & SCM 2005
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Process flow Consider a change to the process flow
How package is handled, stored and pallet stacked Change packaging to be RFID friendly Test tag after application Metal, moisture, damage AutoLogistics & SCM 2005
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Data Issues AutoLogistics & SCM 2005
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Data RFID data Sensor data Savants – filters/concentrators
Once installed, no real additional cost to read a tag Sensor data Temperature, Weight, etc Savants – filters/concentrators RFID enabled enterprise applications Database maintenance Legacy data Accuracy of data Exchange data with partners Vendors and Customers UCCnet Global Registry Scalable AutoLogistics & SCM 2005
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The Human Touch! AutoLogistics & SCM 2005
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Human Issues Privacy Employees Establish a privacy committee
Consider all users, employees, contractors, customers, vendors, supply chain personnel Employees Explanation Efficiency, bottom line benefits Training AutoLogistics & SCM 2005
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Privacy Issues AutoLogistics & SCM 2005
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Definition * The interest that individuals have in sustaining a personal space free from interference by other people and organisations Source: Roget Clarke of the ANU AutoLogistics & SCM 2005
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Threats * Association:
Personal identity associated with one or more tags Transaction: Identity associated with a transaction, even if paying with cash Inventory: Reading the tags/hence items on your person Location: Identifying the location of tagged objects Preference: Marketers generating a profile based on tagged goods * Source RFID and the Law: John O’Callaghan, Impetus 2005 AutoLogistics & SCM 2005
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FIP Fair Information Practices 4 Principles Origins back to 1973
Notice Choice Access Security AutoLogistics & SCM 2005
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Privacy Issues However, FIP does not go far enough for RFID
Several High Profile RFID trials/tests had to be withdrawn Benetton The InClass RFID system deployed in and local school in Sutter, California * In 2003 Marks & Spencer Consulted multiple groups Addressed concerns BEFORE deployment * Source AutoLogistics & SCM 2005
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Privacy * Develop a Privacy Policy and ENFORCE IT!
Engage consumer groups BEFORE implementation Educate Users Adverts, Pamphlets, Posters, Internet, Toll free line. Disclose the use of RFID Tags and Readers Not only the tagged goods, but also the presence of readers Consumer acceptance of reader locations But if hidden readers are used, consumer trust could be shattered! EPCglobal Logo More printed info on the label Web address for more information * Source Privacy & Profits, RFID Journal July 2005 AutoLogistics & SCM 2005
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Privacy Cont Inform on the Use of RFID Educate/Inform Staff
Even if you are not using RFID, but goods, boxes etc may come into your facility, tell the consumer. Educate/Inform Staff Management Public relations Store personal, in contact with consumers Direct to customer service or website Don’t write personally identifiable information to the TAG Contradiction of FIP Illegal under the European Unions Directive on Privacy and Electronic Communication AutoLogistics & SCM 2005
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Privacy Cont Secure the data and limit what you collect
Apply the same level of security to EPC data as one would apply to any customer data. Avoid associating the EPC number with the person purchasing the item. No clear benefit in knowing what unique item is being purchased by an individual AutoLogistics & SCM 2005
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Privacy Cont Choice Kill or remove Don’t tie returns to having an active (working) tag Still have discounts and participate in loyalty programs, even if they choose to kill the tag. Opt in or Opt out Do consumers opt in , or do they have to opt out. Opt in is safer as the consumer has made a positive choice Consumer to have the right to view any information stored about them. Correct if wrong, or delete Consumers to have the right to choose to share that information with 3rd Parties AutoLogistics & SCM 2005
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Privacy Cont Keep Privacy policy up to date
Reflect changes in technology, processes Reassess the communication strategy to keep consumers informed AutoLogistics & SCM 2005
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Champion AutoLogistics & SCM 2005
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Champion Approval from the TOP Realistic Expectations
Start small but think big Small enable fine adjustments (experiment) Big so as to leverage RFID throughout the business Don’t oversell External/Internal expertise Partner with both suppliers and customers Possible change to business processes Other infrastructure Sensors, EAS, anti-counterfeit, engineering Periodic assessment AutoLogistics & SCM 2005
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C1G2 de-mystified AutoLogistics & SCM 2005
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Differences between C1G1 and C1G2
Single global standard Optimised performance in different regulatory environments Designed with higher class tags in mind Dense reader mode Alternate channels for tag reply Narrower spectrum use Dual methods of backscatter FM0 and Miller Secure read-write memory 4 memory banks Longer Passwords for access, lock and kill functions Aloha based anti-collision Sessions Multi-reader functionality Faster read rates up to 640 kbps Reduction/elimination of ghost reads Selection AB Symmetry AutoLogistics & SCM 2005
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RFID Solution Provider’s Profile
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Associations Auto-ID Lab, Adelaide EPCglobal Australia GS1 Australia
autoidlab.eleceng.adelaide.edu.au/ RFID Automation (contract research) Australasian Adoption Research Initiative EPCglobal Australia GS1 Australia AutoLogistics & SCM 2005
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Web Other sources Subscribe to online publications Favourites
Journals, Newsletters, Manufacturers, Industry Associations Favourites Other sources AutoLogistics & SCM 2005
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RFID news http://www.umd.com.au/rfid/links_rfid_news.html
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RFID Solution Providers (alphabetical order)
Alien Technologies Bar Code Data Systems (BCDS) Datanet Electro-com Global Licensing & Innovation IBM AutoLogistics & SCM 2005
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Cont iCrystal Intermec Magellan Technology Mirrabooka Systems
Intermec Magellan Technology Mirrabooka Systems Radio Terminal Systems AutoLogistics & SCM 2005
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Cont Sunshine Technologies Symbol Technologies Tyco/Sensormatic
Symbol Technologies Tyco/Sensormatic Unique Micro Design (UMD) UPM Rafsec AutoLogistics & SCM 2005
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Contract Research via RFID Automation
Adelaide, Auto-ID Lab Contract Research via RFID Automation AutoLogistics & SCM 2005
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Background Established in 2002 by the Auto-ID Center, at the Massachusetts Institute of Technology (MIT) One of 7 Auto-ID Labs around the world Others are in UK, USA, Japan, China, Switzerland and Korea Now funded by EPCglobal Inc Contract Research available at the Auto-ID Lab, Adelaide AutoLogistics & SCM 2005
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Auto-ID Lab, Adelaide Core Research Applied Research
Integration Applications Technical Services Education AutoLogistics & SCM 2005
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Research Projects The design of cost effective and small footprint tag antennas, suitable for attachment onto metal surfaces. Interference studies in high density reader environments. Electromagnetic propagation studies applicable to European Regulations High security authentication tags Dual frequency tags, ones that employ UHF techniques for supply chain applications and then HF for item management applications. Passive RFID chip design (modules for implementation) Analysis and measurement of new forms of reader to tag signalling AutoLogistics & SCM 2005
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Research Projects Cont
Analysis of measuring equipment, i.e. understanding the test regulations with respect to the forms of signalling employed by RFID readers Analysis and development of reader architectures Autonomously networking tags (Class IV) Trigger circuits for battery assisted tags. An analysis of noise sources in RFID readers Universal Class 2 tags Filters that may be required to reduce spurious emissions (Japan and Australia) The use of LF RFID in applications where HF and UHF may not provide an adequate RFID solution, such as in granular media. Merged EAS and RFID tag AutoLogistics & SCM 2005
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Contract Research Available via RFID Automation
Separate from the EPCglobal funded work Commercial Infrastructure Adelaide Research & Innovation Pty Ltd Intellectual Property Protection AutoLogistics & SCM 2005
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Australasian Adoption Research Initiative
Established in April 2005 Mechanism for the Auto-ID Lab, Adelaide to conduct research into RFID that is relevant to Australian and New Zealand industry. Foster adoption of the RFID technology being developed by EPC Global. Enables participation by companies across a broad range of industries and applications, to network and gain access to the wealth of expertise and experience in RFID. Act as Industry Reference Group for the adoption of RFID including consultation and advice to SMEs and Governments. AutoLogistics & SCM 2005
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Benefits of membership
Opportunity to input into the direction of research programs Access to hosted visits at the Labs Invitations to industry networking meetings designed to keep you informed of key technical and management issues and industry developments enable you to meet your peers in an informal setting (usually over dinner at a university site) to facilitate business relationships Access to technology advances through regular activity reports issued by the Lab Receive notices of specialist RFID related seminars Receive periodic reports on EPCglobal’s HAG and SAG action groups Priority access to personnel at Auto ID Labs Adelaide as well as access to extensive test equipment on agreed basis Ability to access information on RFID vendors and solution providers and have the ability to check their compliance statements Customised meetings – arrange presentations seminars and laboratory visits for members in response to requests for university research contacts AutoLogistics & SCM 2005
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RFID ≡ Automatic Data Capture RFID is about management
Conclusion RFID ≡ Automatic Data Capture RFID is about management Lots of RFID experience in Australia Plan Educate users employees, customers, suppliers AutoLogistics & SCM 2005
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Questions AutoLogistics & SCM 2005
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Further Information RFID Automation Alfio Grasso Deputy Director
Auto-ID Lab, Adelaide General Manager RFID Automation University of Adelaide Web: Ph: (08) Mob: AutoLogistics & SCM 2005
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