Sunday, November 01, 2009

Newport Digital Sponsors Univ Arkansas RFID Research

Newport Digital Tech becomes Lab Sponsor to the University of Arkansas RFID Research Center. The company also has a sales and R&D office in the area, near Walmart headquarters. ...

... "The University of Arkansas RFID Research Center is committed to creating and extending knowledge in RFID utilization and to be an internationally recognized leader in RFID application research, said NPDT CTO and COO Weiling Tsao. Back in 2003, WalMart asked its top 100 suppliers to begin tagging products at the pallet and case level by January 2005. This program initiated an entire industry centered on production and application of RFID technology. The University and many industry-leading companies, now including NPDT, have joined forces to support a multidisciplinary, neutral, third-party research and testing facility, the RFID Research Center, a sub-unit of the Information Technology Research Institute(ITRI) at the University's Sam M. Walton College of Business. " ...


Via Newport Digital Technologies: Sponsors University of Arkansas RFID Research Center

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Sunday, March 15, 2009

Walmart Procter Gamble RFID Commitment

Walmart and Procter & Gamble work through their differing views on the application of RFID technology to business processes. ...

... "WalMart and the Procter & Gamble Co. of Cincinnati say they remain committed to advancing the technology. " ...


Via Northwest Arkansas: RFID chip project

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Sunday, February 22, 2009

Walmart RFID History

Historical perspective on the Walmart RFID program from 2003 to the present ...

... "August 2003: WalMart says it will require all of its suppliers to put RFID tags carrying Electronic Product Codes on pallets and cases by the end of 2006. " ...


Via Supply Chain Digest: WalMart Time Line

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Wednesday, January 21, 2009

Walmart RFID Beyond Tracking

RFID tags get more sophisticated with sensing capabilities and on-chip intelligence, as industry moves beyond Walmart compliance. ...

... "WalMart’s top 100 suppliers must use RFID on the palette level, and they are getting more and more down to the clamshell level, he said. Saxer said his RFID tags have a temperature sensor in them that measures the temperature throughout the food chain ... " ...


Via The Packer: Beyond traceability

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Tuesday, January 20, 2009

Walmart SamsClub RFID Tagging Penalty Reduced

Sams Club RFID program
Sam's Club reduces the penalty cost for pallets that are not tagged with RFID labels by suppliers. ...

... "Even at these levels, some consumer goods vendors were considering accepting the charge rather than investing in RFID tagging capabilities. " ...


Via Supply Chain Digest: WalMart

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Monday, November 10, 2008

Walmart RFID Standards Discussion

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WalMart China Suppliers RFID Program

Walmart will implement RFID tracking with its Chinese suppliers starting in 2009. ...

... "He said the new standards would be put into effect in the apparel sector from November 2008 and gradually cover all products in its stores. " ...


Via ChinaRetailNews: WalMart Radio Frequency Identification

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Saturday, March 15, 2008

Walmart RFID Inventory Management Improves Accuracy

Airfreshener RFID-enabled inventory management study shows improved out-of-stock situations for Walmart stores. ...

... "The study's findings that RFID has a positive effect on inventory accuracy underscore the promise that the technology could streamline the supply chain. A more efficient and effective supply chain translates down the line to fewer out-of-stock items or excess inventory. " ...


Via Northwest Arkansas News: RFID improves inventory accuracy, study finds

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Saturday, January 19, 2008

WalMart Supplier RFID Policy

Walmart updates its RFID policy for suppliers to its Sam's Club stores. Walmart has developed a timeline to drive efficiencies into its supply chain. ...

... "The retailer says that beginning Jan. 30, it will charge suppliers a $2 fee for each pallet they ship to its Sam's Club distribution center in Texas that doesn't have an RFID tag. The charge is to cover Sam's Club's cost to affix tags on each pallet ... " ...


Via InformationWeek: WalMart Gets Tough

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Tuesday, September 12, 2006

Walmart RFID: Gen2 Tag Implementation ...

Walmart will continue its implementation of RFID technology as it expands the number of targeted stores and plans conversion to Generation 2 tags. ...

Walmart RFID implementation keeps chugging along ...

... "WalMart Stores, Inc. will bring another 500 stores and clubs online with its RFID (radio frequency identification) initiative by the end of this fiscal year, bringing the total number of its retail locations using the technology to more than 1,000. The company has more than 3,900 locations in the United States.

The benefits of RFID, especially with regard to reducing out-of-stocks, as well as reducing excess inventory, have been documented in a 2005 study by the University of Arkansas. Ford noted that all WalMart installations moving forward would only read Gen 2 tags. As the remaining pallets and cases with Gen 1 tags make their way through the distribution network, WalMart will convert all of its systems to only read Gen 2 tags.

As predicted by industry experts, the cost of the technology continues to fall while performance continues to improve. WalMart expects this trend to continue as users adopt the Gen 2 tags, which, as envisioned, are becoming the industry's global standard thanks to significant work by EPCglobal and its members. Ford said that WalMart continues to work with its next 300 largest suppliers, which are expected to begin shipping test cases in October. These suppliers will go live with their shipments in January 2007, bringing to more than 600 the number of supplier companies using RFID technology in concert with WalMart. " ...

Via Walmart Stores: WalMart Continues RFID Expansion

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Monday, March 20, 2006

Walmart RFID Payback ...

Walmart discusses the payback of RFID technology ...

... "Retailer WalMart Stores continues to build momentum around its radio frequency identification (RFID) tag initiatives, adding new uses for the supply chain technology and getting more suppliers and partners to comply with its RFID mandates. " ...

Walmart RFID Payback: Via Techworld: RFID pays for itself, says Wal-Mart

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Thursday, October 27, 2005

WalMart RFID Implementation: 500 Stores ...

Walmart predicts significant RFID implementation accomplished by end of this month (500 stores). ...

Via MSNBC: WalMart boasts of radio tag benefits ...

... "As of Oct. 31, WalMart expects that 500 stores will be using RFID tags, Dillman said. " ...

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Monday, August 29, 2005

RFID Labels Second Generation ...

RFID Labels Second Generation: Via RSI ID Technologies: RSI ID Announces Production of Gen 2 RFID Labels ...

RSI ID begins production of second generation RFID labels ...

... "RSI ID Technologies (RSI), one of the nation's only vertically integrated providers of RFID technology, today announced that is now in the production phase of one of the industry's first batch of EPC compliant second generation RFID labels. Gen 2 RFID promises faster processing speeds and overall increased performance and is expected to drive the widespread adoption of RFID technology. RSI's labels will begin shipping immediately. RSI has experience building more than 20 million RFID tags, and expects to produce approximately 100 million Gen 2 labels in 2006, ramping total production to approximately 300 million labels per year by 2007. " ...


RSI ID Technologies is one of the only vertically integrated providers of RFID technology that enables customers to tag, scan and track information - resulting in increased productivity, reduced operating costs, streamlined operations and immediate ROI. RSI ID Technologies offers a full line of RFID antennas, inlays and labels as well as “smart” shelving and real-time location systems, portals, custom software development and middleware integration. In addition, the company provides a full range of support services, training and consulting. As a systems integrator specializing in process automation and optimization systems, the company’s applications also include asset tracking, warehouse management systems, wireless networks, inventory control, product marking, bar code scanning and thermal printing. RSI ID Technologies’ clients include more than 70 Fortune 500 firms, a dozen of Wal-Mart’s top 100 suppliers, along with hundreds of mid-range companies involved in industries including electronics, telecommunications, healthcare, automotive and aerospace.

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Tuesday, August 09, 2005

Lowry RFID Uses TI Gen2 Inlays ...

Lowry RFID Uses TI Gen2 Inlays: LOWRY SIGNS AGREEMENT WITH TEXAS INSTRUMENTS FOR SMART TRAC™: EPC GEN 2 LABELS: Lowry is among the first label converters to offer EPC Gen 2 RFID labels ...

Lowry's RFID labels incorporate TI EPC Gen2 inlays to support Walmart and DOD RFID implementations ...

... "Lowry Computer Products, Inc., a leading provider of wireless, RFID-EPC, bar code, and data collection solutions, announced an agreement with Texas Instruments Incorporated (TI), a worldwide leader in radio frequency identification (RFID) technology. Under the terms of the agreement, Lowry’s label conversion facility will integrate TI’s Electronic Product Code™ (EPC) Gen 2 inlays into its Smart Trac RFID labels for retail and Department of Defense (DoD) RFID supply chain applications. " ...


Lowry Computer Products, Inc. is a synergistic organization made up of manufacturing, services, and systems integration, enabling the company to provide complete wireless, RFID, bar code, and data collection solutions in the vanguard of technology, equipment, and industry compliance. Lowry is a manufacturer of Print, Encode & Apply™ systems for case and pallet RFID labeling applications and Smart Trac™ RFID labels with tag inlays from leading suppliers, and a systems integrator of RFID printers, encoders, scanners and middleware from best-inclass partners. Lowry’s experienced professional services team has the skill set to conduct site surveys, recommend and install products, and determine optimal tag selection and tag placement for RFID supply chain applications. The company’s nationwide service network ensures that hardware is well maintained, whatever the location, and Lowry’s service team conducts authorized on-site and depot repair. Comprehensive service and media programs are available to customers. Lowry is a Founding Solution Provider of EPCglobal and a member of AIM Global, the organization for Automatic Identification and Mobility.

Texas Instruments is the world’s largest integrated manufacturer of radio frequency identification (RFID) transponders and reader systems. Capitalizing on its competencies in high-volume semiconductor manufacturing and microelectronics packaging, TI is a visionary leader and at the forefront of establishing new markets and international standards for RFID applications.

Gen2 RFID inlay references:

Texas Instruments (TI) recently announced a delivery milestone of pre-production samples of Gen2 UHF inlays and straps to label converter and printer customers. TI will begin ramping to volume production in the millions beginning in July 2005, starting with its ultra-high frequency (UHF) EPC Gen2 inlays.

Texas Instruments Incorporated (TI) a leading provider of radio frequency identification (RFID) technology (distributed in Australia through Electro-Com), today announced a delivery milestone of pre-production samples of Electronic Product Code™ (EPC) Generation (Gen) 2 inlays and straps to label converter and printer customers.

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Tuesday, June 07, 2005

RFID Equipment and Services ...

RFID Equipment and Services: Packaging Equipment ...

Kolinahr offers portal, pallet labelling solution that offers integrated RFID technology in the packaging equipment ...

... "Designed for easy installation and flexibility, the Kolinahr RFID Portal is ideal for meeting Wal-Mart’s requirements for EPC-compliance in 2005. The singe- or dual-post, four-antenna system is designed to allow for adjustable antenna movement and orientation to achieve the best possible read rates of numerous RFID tags on a unit load. ... The SA2200-RF Dual Panel RFID Pallet Labeler is Kolinahr’s existing SA2200 Dual Panel Pallet Labeler fitted with an RFID-enabled printer. The SA2200-RF labeler can read, write, and print and apply an RFID tag-embedded barcode label onto one or adjacent sides of a pallet load. " ...


... Packaging systems will integrated RFID will make compliance initiatives, such as Walmart and DOD RFID compliance, more efficient.

Kolinahr Systems, a privately owned, Cincinnati, OH-based company, is a manufacturer of print and apply labelers and specialty pallet handling equipment. Kolinahr's engineers have a vast background in finished goods material handling. This experience provides the knowledge base to design and integrate equipment specifically for the manufacturing warehouse environment.

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Saturday, June 04, 2005

Automated RFID Clothing Industry ...

Automated RFID Clothing Industry: Garan Inc. reaches for positive ROI with Accu-Sort® FAST Tag™ automated RFID labeling system ...

... "Accu-Sort Systems, Inc., announced it has installed a FAST Tag™ In-Motion automated RFID and bar code system for clothing manufacturer Garan Inc. FAST Tag In-Motion will help the company’s distribution center in Jena, Louisiana; meet the RFID compliance standards outlined by Wal-Mart® and other retailers. Garan® is a leading manufacturer of children’s, women’s and men’s apparel bearing the private labels of its customers as well as several of its own trademarks, including Garanimals®. FAST Tag In-Motion automates the process of applying and verifying RFID tags on cartons. At the Louisiana facility, a tag applicator places tags only on cartons that require RFID tags, while all cartons processed on the line receive a retailer-compliant shipping label and an option carrier parcel label. An outbound verification system screens for inaccurate tags and incorrect labels; it sends those boxes to a subsystem for verification and relabeling. On the other side of the line, the cartons are loaded on pallets for shipment. Accu-Sort’s FAST™ Suite software controls the process and seamlessly provides data aggregation, filtering and reporting to Garan’s WMS system. " ...

Garan uses RFID technology in the clothing industry ...

Garan produces the popular Garanimals line of apparel, which encourages children to match shirts and pants themselves by using special animal-themed tags on the clothing. Garan also produces brand apparel for girls and women and sells garments featuring college and university marks and pro-sports emblems for boys and men. In September 2002, Garan was acquired by Berkshire Hathaway®.

Accu-Sort Systems is a pioneer in reliable auto ID and high-speed compliance solutions with more than three decades of experience deploying and supporting scanning and tracking solutions in distribution, warehousing, manufacturing, and retailer environments. The company is also an established provider of convergent RFID and bar code systems with more than 50 RFID installations.

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Monday, May 16, 2005

RFID Walmart Compliance with SAP RFID Infrastructure ...

SAP - Pacific Cycle Seizes Business Process Gains from RFID Automation with SAP

SAP customer, Pacific Cycle, demonstrates Walmart RFID compliance with SAP RFID infrastructure powered by the Netweaver platform ...

... "SAP AG (NYSE: SAP) today announced that Pacific Cycle, a division of Dorel Industries (NASDAQ: DIIB; TSX: DII.MV; DII.SV), has successfully implemented SAP's leading radio frequency identification (RFID) capabilities within its SAP NetWeaver platform. With its go-live on March 31, 2005, the Madison, Wisconsin-based manufacturer of such name brand bicycles as Schwinn, GT, Roadmaster and Mongoose is now surpassing the Wal-Mart mandate, which requires the retailer's top 100 suppliers to tag pallets and cases shipping to select Wal-Mart distribution centers. The SAP technology is enabling Pacific Cycle to reap the business gains of an adaptive business network automating warehouse activities, creating newfound data transparency across the supply chain and helping ensure the right shipment to the right place at the right time. Pacific Cycle chose the SAP solution with the aim of reducing total cost of ownership by scaling its RFID pilot project targeting immediate benefits through supply chain automation and leveraging its existing SAP software investment for further gains across its global operations. The RFID capabilities of SAP NetWeaver contain several preconfigured components that help reduce implementation time while maximizing value, including SAP Auto-ID Infrastructure, a key component of the SAP NetWeaver platform, which controls the RFID process while simultaneously converting raw RFID data into actionable business information; " ...


Pacific Cycle is the leading supplier of quality bicycles in North America and a division of Dorel Industries Inc. The company designs, markets and imports a full range of bicycles and recreation products under the brand names of Schwinn, GT, Mongoose, Pacific, InSTEP, Pacific Outdoors, Roadmaster and Dyno. Pacific Cycle is headquartered in Madison, Wisconsin with offices in Olney, Illinois and Lake Forest, California. The company has distribution centers in Olney, Illinois, and Vacaville, California.

SAP is the world’s leading provider of business software solutions*. Today, more than 27,000 customers in over 120 countries run more than 91,500 installations of SAP® software—from distinct solutions addressing the needs of small and midsize businesses to enterprise-scale suite solutions for global organizations. Powered by the SAP NetWeaver™ platform to drive innovation and enable business change, mySAP™ Business Suite solutions are helping enterprises around the world improve customer relationships, enhance partner collaboration and create efficiencies across their supply chains and business operations. SAP industry solutions support the unique business processes of more than 25 industry segments, including high tech, retail, public sector and financial services.

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Tuesday, April 12, 2005

50Million EPC RFID Tags Milestone Reached ...

50Million EPC RFID Tags Milestone: Alien Technology® Announces Milestone of 50 Million EPC Class 1 RFID Tags Shipped ...

Alien breaks the 50Million RFID tag milestone through active deployment at Walmart and the DOD ...

... Alien Technology announced that the company has now shipped 50 million EPC Class 1 RFID tags. The Alien® RFID tags, which are manufactured using Alien’s patented Fluidic Self Assembly (FSA®) technology, are widely deployed in a large percentage of Wal-Mart and DoD-related RFID implementations. Alien continues to lead the market in delivering reliable, high volume, low cost EPC tags. ...


Alien Technology Corporation is a leading provider of Radio Frequency Identification (RFID) products for global customers in government, retail, manufacturing, pharmaceuticals, transportation, and other industries. Using its patented manufacturing process, Fluidic Self Assembly (FSA®), Alien manufactures EPC tags in very high-volumes and at low cost. The company provides a family of RFID readers for a variety of applications including supply chain management, logistics, and anti-counterfeiting, to improve inventory management and reduce operating costs. Alien is an active member of EPCglobal.

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Saturday, April 09, 2005

RFID EPC Drug Imports

Comments for the Task Force on Drug Importation: Secure Symbology, Inc. is offering comments to the U.S. Food and Drug Administration (FDA) and the Task Force on Drug Importation as charged by HHS Secretary Tommy G. Thompson to study what it would take in terms of oversight and resources to safely import drugs ...

... "We recognize that the ultimate goal of RFID, through its data carrier, the Electronic Product Code (EPC™), is to serialize every manufactured product down to the item level. But because of the huge infrastructure costs, high tag costs, questions concerning ISO standards, hacking and privacy concerns, implementation to the items level is, by most standards, 5 – 10 years away. The ability to track, trace and provide an electronic database and an electronic pedigree cannot wait 5-10 years for item level serialization while U.S. states, counties and it’s citizens bring pharmaceutical products in from Canada and other foreign countries. DOD and Wal-Mart driven mandates may elicit some success in the next few years at the container and/or pallet level, but even at this level, data synchronization still is a major issue." ...

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Saturday, March 12, 2005

Selecting Right RFID Testing Facility Is Critical To Success ...

Selecting Right RFID Testing Facility Is Critical To Success: RFID Strategy -- In Search Of An RFID Testing Lab ...

... Chris York, of Tompkins Associates, writes "RFID Strategy -- In Search Of An RFID Testing Lab" for Industry Week, and emphasizes the importance of selecting the right radio frequency identification testing facility to support the success of RFID implementation efforts ...

Compliance requirements, from RFID leaders such as Walmart, dictate that suppliers test RFID tag application, placement, orientation, detection at various conveying speeds, and under applicable environments. RFID test facilities should parallel real-world packaging and warehouse environments. ...

Select the right radio frequency identification testing facility to support your company's RFID implementation ...

Tompkins Associates is the only operations-focused supply chain consulting and systems integration firm. Our unique perspective and ability to provide end-to-end supply chain solutions makes us the best partner for helping you develop and implement growth strategies. Customers seek our expertise for intelligent solutions in distribution center design, warehouse strategic planning, distribution network configuration, transportation system planning, system integration, and supply chain strategy.

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Sunday, February 27, 2005

Walmart RFID Implementation: Accu-Sort(R) continues FAST Tag(TM) rollout ...

Accu-Sort(R) continues FAST Tag(TM) rollout to Wal-Mart's top suppliers ...

Accu-Sort Systems Inc. has installed its FAST Tag" integrated RFID and bar code system at another of the top supplier to Wal-Mart. FAST Tag increases tag application throughput by up to 10 times and provides customers with tag reporting and tracking that saves them time and money. The system was recently installed at a life science company that produces medications and personal care products that are sold to Wal-Mart.

"These are industrial installations, not pilots," said Jean-Pierre Gintrac, marketing manager with Accu-Sort. "They are turnkey solutions, a key differentiator between Accu-Sort and other companies." The customer chose to install Accu-Sort's fully automated FAST Tag" In-Motion system, which integrates RFID and bar code readers, label printers, tag applicators, controls and data management software that plugs seamlessly into MW, WMS or ERP systems. FAST Tag provides unique features such as tag verification, which ensures that no bad tags are placed on cartons. The system also reads RFID tags in virtually any position, giving companies greater flexibility in where they apply those tags.

Accu-Sort won the competitive contract by offering a turnkey solution that integrates all components in a productized system. It also provides a selective tagging RFID/LPA solution, since not all of the SKUs that pass through the company's distribution center go to Wal-Mart. Another key differentiator was Accu-Sort's ability to provide for optimal tag placement. RFID reading performance is influenced by the product in the cartons. The Accu-Sort system allows the RFID tag to be placed in the best location for the best reading performance, which can be different than the location of the bar code tag. "This is particularly important for certain consumer products such as suntan lotion, which are not RFID friendly," Gintrac said.

FAST Tag works with Class 0 or Class 1 EPC tags and is upgradeable to the Generation 2 EPC standard.

Accu-Sort Systems is a pioneer in reliable auto ID and high-speed compliance solutions with more than three decades of experience deploying and supporting scanning and tracking solutions in distribution, warehousing, manufacturing and retailer environments. The company is also an established provider of convergent RFID and bar code systems with more than 50 RFID installations.

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Monday, December 27, 2004

Walmart RFID Rollout: WalMart Says on Track ...

Walmart RFID Rollout: WalMart Says on Track With Tracking Tag Rollout

From Metro Toronto, Canada ... The retailer is at the fore of a drive to replace bar codes with radio-frequency identification (RFID) chips embedded in plastic product tags that can track ...

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Sunday, November 21, 2004

RFID Update

From Congressman Cliff Stearns, Trade & Consumer Protection Subcommittee ...

... "The most common commercial application of Radio Frequency Identification (RFID) uses radio waves to transmit data from a transmitter called a tag to a scanning device called a reader, which can be networked with a computer database, explained Rep. Cliff Stearns (R-FL), Chairman of the Commerce, Trade & Consumer Protection Subcommittee. These RFID tags can be attached by manufacturers and retailers to products and packaging for tracking large bulk containers and pallets along the supply chain. One possible application of this technology involves using readers at a store checkout - consumers place tagged items in their shopping cart, pass through the checkout where the items are read, and their accounts are automatically updated without waiting in line,' said Stearns. 'However, this point of sale application raises privacy issues and these questions. Will I be able to disable or remove the tag? What happens to the data harvested from my purchase? How secure is that data, and what prevents third parties from accessing and misusing that information? The subcommittee heard testimony from a distinguished panel of witnesses from academia, business, and consumer privacy organizations. Representing WalMart, the world's largest retailer, Linda Dillman, Executive Vice President & Chief information Officer, outlined the company's use of RFID. 'Currently, cases and pallets of 21 products from eight suppliers destined for one distribution center and seven Supercenters in North Texas are being tagged. The readers assist Wal-Mart in knowing when a product is received, where it is stored, when it goes on the sales floor, if it returns for any reason, and when the case is submitted for recycling." ...

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Saturday, October 23, 2004

Walmart RFID: Reference Testimony of Linda Dillman, EVP and CIO, Walmart ...

From the Committee on Energy and Commerce ... ... comments to the House Committee on Energy and Commerce Subcommittee on Commerce, Trade and Consumer Protection concerning the expansion of radio frequency identification (RFID) technology into new industries and the potential impact on consumers ...

Testimony of Ms. Linda M. Dillman, Executive Vice President and Chief Information Officer, Wal-Mart Stores, Inc., 702 SW 8th Street, Bentonville, AR, 72716 provided to the Subcommittee on Commerce, Trade, and Consumer Protection ...

... RFID that it had the potential to significantly help reduce out-of-stock conditions through the introduction of what has now become known as an Electronic Product Code or EPC. In June 2003, convinced that it could, we challenged our top 100 suppliers -- representing some of the most innovative companies in America -- to begin using RFID tags on cases and pallets of products destined for our three North Texas distribution centers by January 2005. These distribution centers ship products to 150 of approximately 3500 Wal-Mart stores. It is important to note that we chose to focus on case- and pallet-level tagging. ...


Linda Dillman testimony continues ...

... On April 30, 2004, Wal-Mart moved EPCs from the laboratory environment to an actual field pilot program. Currently, cases and pallets of 21 products (1) from eight suppliers (2) destined for one distribution center and seven Supercenters (3) in North Texas are being tagged. At our Sanger, Texas, distribution center, we have placed readers at our receiving doors, above our conveyor belt systems, and at our shipping doors. At the seven Supercenters, we have placed readers at the receiving doors, at strategic points throughout the stores’ backrooms, at the door to the sales floor, and at the trash compactor. There are no readers on the sales floor, at the check stands, or at customer entryways or exits. ...


Lastly, Dillman testimony concludes with ...

... During 2004 to 2006, Wal-Mart will continue to focus on case-and pallet-level tagging. However, because some cases also serve as consumer packaging (4), there will be instances where a consumer could purchase a product which bears an RFID tag. We currently have three products in our pilot program -- two HP printers and one HP scanner -- where this is the case. These tags are on the outermost packaging of the product and, adhering to EPCglobal privacy guidelines, are marked with an EPCglobal symbol. ...

RFID technology has the potential to significantly help reduce out-of-stock conditions through the introduction of what has now become known as an Electronic Product Code or EPC

Walmart RFID Compliance References

Radio Frequency Identification (RFID) Technology: What the Future Holds for Commerce, Security, and the Consumer
The Committee on Energy and Commerce
2125 Rayburn House Office Building
Washington, DC 20515
(202) 225-2927

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Friday, October 01, 2004

Walmart RFID Compliance: Avicon's epcExpress Provides Software Framework for Cost-Effective ...

From Business Wire (press release), CA ... today announced epcExpress, an out-of-the-box comprehensive software framework that supports Department of Defense and WalMart's RFID compliance requirements ...

... Avicon, architects of the new supply chain, today announced epcExpress, an out-of-the-box comprehensive software framework that supports Department of Defense and WalMart's RFID compliance requirements and scales for full RFID-enablement of the supply chain. epcExpress is the first software framework that leverages existing distribution and order management systems, providing a faster and more cost effective path to RFID compliance than other available options. Avicon's epcExpress is built to industry standards; it provides a modular, extensible and layered architecture that scales to fully realize RFID's potential across the enterprise. ...


RFID compliance tools for DOD and Walmart have been architected by Avicon...

Avicon, architects of the new supply chain, designs and implements supply chain strategies, and architects the underlying business processes and IT solutions that bring those strategies to life. Avicon's customers include Cisco Systems, EMC Corporation, Enterasys Networks, Hard Rock Cafe, Hewlett Packard, Kuehne & Nagel, Lucent Technologies, NMS Communications, Schenker AG, Siemens and United Technology Corporation.

Founded in 2001, ConnecTerra, Inc. is a provider of enterprise infrastructure software for device computing. ConnecTerra's products and technologies help to extend enterprise awareness to networked devices such as RFID readers, where companies are looking to tap into the wealth of data captured by these devices. Building on these components, ConnecTerra's RFTagAware targets the specific challenges of enterprise RF tag deployments, including tag data processing and reader management. Using RFTagAware, companies are able to get their initial RFID deployments up and producing results quickly, while knowing that the infrastructure can scale as the number of tagged items, readers and remote sites grow. RFTagAware Compliance Jump Start provides all of the tools necessary to ensure RFID compliance. This turn-key compliance solution integrates easily with existing enterprise systems and applications and supports all of the leading reader and printer hardware platforms - resulting in a significant reduction in implementation time and unmatched cost savings.

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Wednesday, September 29, 2004

Walmart RFID Label Compliance: Worldlabel.com patents process for accurate embedding of RFID tags...

Worldlabel.com patents process for accurate embedding of RFID tags (Chips) into self-adhesive paper labels both reducing costs effectively and with increased reliability and consistency.

Worldlabel.com, New York, USA - a manufacturer of laser and inkjet labels and barcode labels with presence in the USA and in Asia through Innotech Resources PTE LTD in Singapore has received worldwide PCT patent pending rights for a system and method for batch conversion for embedding RFID tags (Radio Frequency Identification) to RFID Labels. This method to convert RFID tags to RFID labels allows the tag to be embedded into a paper label with varying sizes on rolls according to customer requirements.

This system provides a low cost method of converting RFID tags to be embedded accurately into a paper label even though each batch might uses varying size labels and require the RFID tag to be embedded in different areas of the label. The methods allows for mass conversion efficiently. In this manner there is a big reduction in material waste and a reduction in labor costs is achieved as well when compared to the current manual procedure of “Meet, Match and Stick”. Our invention is also user friendly and offers a much faster turn around for converting RFID labels especially when converting separate batches. As a result, the costs of RFID labels are significantly reduced thus making RFID labels a more favored option in manufacturing, logistics and other harsh environments where bar code labels might not perform.


”We are at the forefront of converting RFID labels. We have done several evaluations and tests and the results have been 100% positive” says Alex Choong, managing director and co-inventor. We are converting the RFID labels with the intention of meeting Wal-mart (NYSE:WMT) RFID labeling requirements which uses a UHF frequency. Wal-mart has requested that all their suppliers start using RFID labels by beginning of 2005. The request by the world's biggest retailer set off a scramble among companies including Hewlett-Packard Co., IBM Corp. and Sun Microsystems Inc. to develop workable RFID systems. The conditions Wal-mart requires have been achieved by our new method of manufacturing RFID labels.


Typically, about 20% of the RFID labels in a rolls have defective chips, but there's often no way to differentiate the functioning and nonfunctioning tags until after they've been placed on products. Our system and methods of manufacturing increases the reliability and consistency of RFID labels to 100% accuracy. This is important to the end users and manufacturers because it increases their throughput, it decreases the operational time that they need to print those labels, and the reliability of the label helps them integrate other high-speed applications. You can print bar codes on our labels embedded with UHF Class 1 and Class 0 RFID tags with most popular thermal label printers.

“We are producing a high quality RFID label with excellent accuracy and at lower cost levels. We are excited, having increased the functionality of labels and started a revolution. We have production capacity and are ready to take on the onslaught.” Mr. Choong said.

For more information, please visit http://www.worldlabel.com/rfid.htm or contact: Russell Ossendryver, 336 Convent Ave, NY, NY, 10031, USA. TEL: 212-234 5775

About Worldlabel.com - Worldlabel.com is a leading manufacturer of laser and inkjet labels in over 40 sizes including CD, DVD, mailing, shipping labels and more in 18 different materials, Specialty pressure sensitive labels and thermal barcode labels. Its offices in Singapore, Innotech Resources PTE LTD handle all aspect of barcode and RFID system and integration and manufacturing for the Asian markets.



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Tuesday, August 10, 2004

Walmart RFID Program: WalMart RFID Compliance Simplified with Revolutionary Function ...

From Business Wire (press release), CA ... that could save consumer products manufacturers millions of dollars in complying with new requirements for tracking goods through RFID technology, Schneider ...

... In a technical breakthrough that could save consumer products manufacturers millions of dollars in complying with new requirements for tracking goods through RFID technology, Schneider Electric has introduced TCP Open(TM), a function block code that enables a PLC to communicate easily with any third-party TCP device, including RF tag readers, printers, bar code readers and even other PLCs. The code was developed for the Modicon(R) Premium(TM) controller. The new RFID standards established by Wal-Mart and the U.S. Department of Defense require suppliers shipping goods to track them by case and pallet. The requirements have created severe challenges for most PLC suppliers, who often require consumer goods manufacturers to purchase thousands of dollars worth of intermediate hardware and software in order to allow RF tag readers to communicate with the PLCs that record product shipping information. ...


Headquartered in Palatine, Ill., the North American Operating Division of Schneider Electric had sales of $2.5 billion in 2003. The North American Operating Division is one of four geographic divisions of Schneider Electric, headquartered in Paris, France, and markets the Square D, Telemecanique and Merlin Gerin brand products to customers in the United States, Canada and Mexico. In the United States, Schneider Electric is best known by its flagship Square D brand, with Telemecanique becoming increasingly known in the industrial control and automation markets and supported by many Square D distributors. For 100 years, Square D has been a market-leading brand of electrical distribution and industrial control products, systems and services. Schneider Electric is a global electrical industry leader with 2003 sales of approximately $9.9 billion.

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Wednesday, July 28, 2004

Walmart RFID: The Strategic Implications of WalMart's RFID Mandate

... An RFID tag consists of a microchip and an antenna often in the form of a tiny ribbon that can in turn be packaged into many forms such as a label or imbedded in between the cardboard layers in a carton. On the microchip is stored information about the product that the tag is affixed to which can then be read when the tag passes within proximity of an RFID reader with that information being relayed back to a computer system that updates the location status of the associated product ... From Directions Magazine

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Friday, June 18, 2004

Walmart RFID: WalMart to expand radio tag rollout

From Home Channel News ... Bentonville, Ark. - June 18 - Wal-Mart announced it will expand its rollout of radio frequency identification (RFID) to a total of 300 suppliers by 2006 ...

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Walmart RFID: WalMart promises RFID will benefit suppliers

From InfoWorld, CA ... WalMart wrapped up its three-day RFID event for suppliers this week in Springdale, Ark., with additional RFID product tag compliance dates for tier one and ...

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Thursday, June 17, 2004

Retail RFID: NRF Senior Vice President Mallory Duncan to Speak at FTC RFID ...

From PR Newswire (press release) ... is being issued by the National Retail Federation: WHAT: A presentation unveiling consumers' attitudes toward Radio Frequency Identification (RFID) with a ...

RFID is an important technology that is rapidly developing into a critical resource. Companies globally are adopting RFID in a wide range of applications, including inventory tracking, supply chain management, and wireless payment. WalMart is meeting today in Bentonville with suppliers subject to its January 2005 RFID tagging mandate. On Wednesday, WalMart is meeting with the next tier of 200 suppliers expected to tag with RFID by January 2006. While WalMart Stores insists its focus for radio frequency identification technology remains squarely on pallet- and case-level tagging, that doesn't mean it's not dabbling in item-level testing.

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RFID Ink: RFID to get high-speed printed antennae

From UsingRFID.com (subscription), UK ... The printed electronics technology firm, Precisia LLC, has successfully produced fully functional RFID tags with high-speed printed antennas in a single process ...

Precisia LLC is a wholly-owned subsidiary of Flint Ink Corporation, the world's largest privately-owned ink manufacturer. Flint Ink operates nearly 100 facilities worldwide, employs approximately 4,600 people and has sales in excess of $1.4 billion USD worldwide. Precisia's unique product offerings include low-cost printed electronics and, specifically, radio frequency identification (RFID) antennas produced with conductive inks. Precisia successfully combines proprietary knowledge of conductive inks and their interaction with high-speed presses to produce high-volume RFID antennas, which reduces the overall cost of RFID tags when compared with traditional copper-antenna or screen printed antennas. This new breed of high-speed, low-cost tag has enormous potential for companies who are seeking to comply with the RFID requirements of retailers, such as WalMart, and government organizations, such as the Department of Defense, without sacrificing profit margins.

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Monday, June 07, 2004

Walmart RFID: WalMart e-tag project on track

From NEWS.com.au, Australia ... Wal-Mart. The first RFID-enabled pallets arrived at Wal-Mart stores and a distribution center in Texas in late April. Eight ...

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Wednesday, June 02, 2004

RFID Technology: CapTech Delivers TagsWare(TM) RFID Solution Version 1.1

From PR Newswire (press release) ... RICHMOND, Va., June 2 /PRNewswire/ -- CapTech has made it easier for businesses to implement RFID technology by releasing its latest version of TagsWare(TM ...

TagsWare™ is a software solution designed to expedite the integration of RFID technology into enterprise systems. CapTech designed TagsWare™ to help companies speed compliance to Walmart and DoD initiatives, provide tag, reader, and platform independence, and protect companies from changing RFID standards. CapTech's professional consulting team is working on several pilots of the software and can assist companies looking to increase the business case value for deploying RFID. TagsWare™ easily integrates with RFID readers from many different manufacturers and supports divergent RFID tag types. TagsWare™ abstracts the interfaces and tags so that the enterprise application need not be aware of hardware details.

CapTech is a technology company that uses software engineering processes to solve complex business problems for a wide range of clients, from Fortune 500 companies and regional market leaders to small businesses and startups. The mission critical solutions we develop are built on the partnerships we have established with industry leaders such as IBM®, Borland™, BEA™ Systems, Oracle®, Microsoft®, Sun Microsystems, and Open Source products. The driving force behind our success is the fact that we work closely with our clients, getting to know their businesses and the vision that guides them. CapTech sees RFID technology as a leading catalyst for innovation in information technology and supply chain management. RFID projects require the integration and engineering skills that CapTech has honed since its inception.

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Saturday, May 22, 2004

RFID Technology: Miles Technologies Announces their Executive Briefing Tour on ...

From Emediawire (press release) ... The topics are: RFID, WMS Wireless Applications and Warehouse Management Solutions. Lake Zurich, IL (PRWEB) May 22, 2004 -- Miles Technologies, Inc. ...

Miles Technologies is a nationwide provider of wireless inventory control, barcode printers and RFID solutions. Miles' clients have partnered with us for over 20 years to optimize their inventory and warehousing efficiencies. From large, highly visible retailers, 3PL's, manufacturers and health care facilities to smaller local businesses, Miles helps businesses find the right solution integrating barcode scanners, RFID, wireless networks, barcode and label printers, labels and inventory control software.

RFID - Radio Frequency Identification System (RFID tags and RFID readers) allows tagged objects to be read, many at once without line of sight to a reader; no human interaction. common applications are: Inventory Control Shipping and Receiving, Parts Tracking and Identification, Product Stage Tracking and Identification, Quality Control Hospital Tracking and Identification, Compliance from Walmart, DOD and others...

RFID Tags are either passive or active. "Active Tags" are RFID Tags that have their own power source via a battery. "Passive Tags" are RFID Tags that have no independent power source and is powered from the reader when activated. Alien RFID Tags are being used today. RFID chip is another term for tags. RFID Chips are actually imbedded into the tag and store the product information.

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Friday, May 14, 2004

RedPrairie Offers Flexible RFID Software Solutions for RFID Compliance

RFID technology is an integral part of the RedPrairie software suite. For companies with legacy systems and RFID compliance requirements for the WalMart or DOD mandates, RedPrairie has created RFID Igniter™ and RFID Accelerator™. These RFID software applications can be easily integrated with any ERP or distribution system.

Recently, RedPrairie Corporation announced it is leading the RFID pilot for Unilever North America. The pilot enables Unilever to implement and test RFID technology in its supply chain to prepare for compliance with the mandates from WalMart other top retailers and the U.S. Department of Defense to ship products using RFID at the pallet and case level next year.

Three Unilever locations have been chosen for the pilot, including a manufacturing site and two distribution centers. RedPrairie’s RFID AcceleratorTM software will enable Unilever to meet the demands of the large retailers without replacing its existing infrastructure. The application provides RFID software agents, which collect and verify RFID tag information, retrieve related inventory data, and pass this combined information to the retailers. This RFID software solution provides the pallet and case-level RFID information that Wal-Mart, Target and others require.

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Monday, May 10, 2004


RFID Web Seminar: Zebra Technologies Web Seminar Notes
RFID Deployments: Slap and Ship to Total Deployment Strategies to Achieve Compliance and Measureable Operating Improvements


Zebra Technologies Web Seminar, May 10, 2004
On Monday, May 10, 2004, Chris Hook, of Zebra Technologies, and Matt Reim hosted their second web seminar on RFID Technology, titled "RFID Deployments: Slap and Ship to Total Deployment, Strategies to Achieve Compliance and Measureable Operating Improvements"

Agenda is Components, RFID and Bar Code Comparisons, Measuring Improvements, fast-track with smart labels... Focus is on passive RFID tags and systems. Smarts labels have RFID tags embedded in the printed label. Simultaneous identification is when we obtain information from many tags all at same time.

RFID Tags and antennae go into RFID inlays which are then embedded into RFID labels. RFID Components include printers, RFID readers, and hand-held RFID readers. AIDC system VARs provide the RFID subsystems, which are then combined with middleware, which in turn integrated with enterprise business systems.

Barcodes are now ubiquitous. While RFID can replace role of barcodes, it is envisioned that RFID technology will have a much greater impact on business processes, especially the data capture touch points throughout the extended supply chain. The key is identifying the RFID-enabled data capture touch points. There is significant operating expenses associated with these touch points. Whever touching is prevalent, RFID technology can provide value. (Walmart benchmark: each barcode scan costs 5 cents)... Eliminate touches, increase cycle time, save money, increase velocity.

Bar codes and RFID can co-exist in a hybrid environment. Used Sanacorp, Germany as benchmark... Barcodes used on products, bins, and picking tote boxes. Errors still existed in the barcoding as-is state. Sanacorp assessed their barcoding current state. RFID tags were deployed to tote boxes and RFID readers provided routing. RFID technology drove error rates below 0.01%. Performance increased to allow one hour order turn-around in fifteen regional distribution centers. A hybrid solution encompassing RFID and barcoding can work well.

RFID can have a role in supply chain process management in measurement - event management, etc. Up to 30% lower inventory, 8% better on-shelf availability, 10% higher sales. Monitor, Measure, Control, Notify, and Modify are key steps in the lifecycle of RFID technology implementation. It is critical to move beyond the first three steps to achieve high returns on investment, ROI.

Slap and Ship RFID Compliance is minimum work required to meet RFID compliance requirements. Slap and Ship RFID techniques can be supported by optimizing the RFID system performance. What is in the box matters... Absorption and reflectance of the radio frequency waves must be considered and the reading performance must be understood. Pick the technology that will provide the broadest range of performance across your products. Make RFID tags pay for themselves before they leave you facility. Slap and Ship techniques, by themselves, add cost to material handling. Moving further down the RFID lifecycle will position your company to derive value of RFID before your product leaves your end of the supply chain. Drive your RFID implementation. Don't be driven.

Smart Labels are the best way to meet RFID compliance labeling requirements. A hybrid of RFID and barcoding is necessary during the technology transition period, before RFID becomes ubiquitous, like barcoding. Visual identification of printed labels will always be necessary. Airline bag tags have been in trials for a hybrid label with barcoding and RFID.

Zebra role is printing and encoding. Zebra printers will print the label on the RFID inlayed label, encode and validate the RFID data into the RFID tag. Validation and verification is critical step. In an EPC scenario, the EPC number is programmed into the RFID tag and is also printed in human readable and barcode formats on the smart label. Consistency in the data among these forms of data is essential.

RFID applications are surging in warehousing, express parcel handling, returnable container tracking, airline baggage tracking, libraries, video rental, event ticketing (counterfeiting), sensitive document tracking, mass transit ticketing. These are existing standards and recommendation for RFID application: ISO, EAN, UCC, DOD RFID Expert Group (REG).

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Friday, April 30, 2004

Walmart RFID Pilot Update: The Tests Begin...

BENTONVILLE, Ark., April 30, 2004 - A new era in supply-chain management begins this morning as Wal-Mart and eight product manufacturers begin testing electronic product codes, or EPCs, at select Supercenters and one regional distribution center in the Dallas/Fort Worth metroplex.

"This pilot is the next step in Wal-Mart's addition of radio frequency identification, also known as RFID, to improve product availability for Wal-Mart customers. The real-world trial follows extensive testing at the company's RFID lab and months of collaborative preparation by Wal-Mart and its suppliers. Field equipment testing has been underway in Texas since mid-month but nothing with an RFID tag was placed on store shelves.

"It is imperative that we have the merchandise the customer wants to buy when they want to buy it," said Linda Dillman, executive vice president and Chief Information Officer. "We believe RFID technology is going to help us do that more often and more efficiently. This will help us increase customer satisfaction in the near-term and ultimately play an important role in helping us control costs and continue offering low prices."

Wal-Mart has set a January 2005 target for its top 100 suppliers to be placing RFID tags on cases and pallets destined for Wal-Mart stores and SAM'S CLUB locations in the Dallas/Fort Worth metroplex area. Since announcing that initiative nearly a year ago, 37 additional suppliers have voluntarily chosen to meet that same milestone. The implementation beginning today will pave the way for achieving this goal...

... Field Test Synopsis
Initially, a total of 21 products out of the more than 100,000 products carried in a typical Supercenter will be included in the trial. Cases and pallets containing these products will feature EPCs when delivered to Wal-Mart's Sanger, Texas regional distribution center where RFID readers installed at dock doors will automatically let Wal-Mart's operations and merchandising teams as well as suppliers know this exact shipment of products has arrived and is inside the building. Cases will then be removed from pallets and processed as usual through the distribution center.

Wal-Mart is targeting 100 percent readability of pallet tags through dock doors and 100 percent readability of case tags on distribution center conveyor belts.

At seven pilot stores in the Dallas/Fort Worth metroplex - specifically in the communities of The Colony, Decatur, Denton, Hickory Creek, Lewisville and Plano, RFID readers at dock doors will replicate the process from the distribution center by automatically confirming that this particular shipment is now in the store's back room. Individual products will then be stocked as needed.

During the initial test, tagged cases and pallets may be distributed to stores throughout North Texas and South Central Oklahoma - the geographical area served by the Sanger, Texas distribution center. As suppliers expand their efforts to meet the requirements of multiple retailers, it is possible that tagged cases and pallets will arrive at Wal-Mart stores around the country. However, readers will not be installed in stores outside the Dallas/Fort Worth metroplex so those cases and pallets would be handled as usual.

Although Wal-Mart and its suppliers are focusing on case and pallet level tagging, there are instances where a case can also be a product's individual consumer packaging. This is especially true for electronic items. In the test beginning today, three products - two HP Photosmart photo printers and an HP ScanJet scanner - may feature RFID tags on the outer packaging consumers see on store shelves. That outer packaging will be marked with an EPCglobal symbol...

About Wal-Mart Stores, Inc.Wal-Mart Stores, Inc. operates Wal-Mart Stores, Supercenters, Neighborhood Markets and SAM'S CLUB locations in the United States. Internationally, the company operates in Puerto Rico, Canada, China, Mexico, Brazil, Germany, United Kingdom, Argentina, and South Korea. The company's securities are listed on the New York and Pacific stock exchanges under the symbol WMT.

In Texas alone, Wal-Mart Stores, Inc. employs more than 130,000 Associates and operates 92 Wal-Mart discount stores, 196 Supercenters, 26 Neighborhood Markets, 69 SAM'S CLUB locations and 12 distribution centers.




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Walmart RFID Tests: Wal-Mart tries to quell ID tag fears

From CNN ... Wal-Mart said a distribution center and seven stores in the Dallas, Texas area would begin testing radio frequency identification -- or RFID -- tags, which use ...

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Friday, April 23, 2004

RFID Technology: RFID to be used to track global post systems

From InSourced, UK ... Key to the project is radio frequency identification (RFID) technology. RFID uses small transponders that communicate to electronic receivers via radio waves. ...

Airgate Technologies is a development stage company specializing in wireless technologies. The Company designs and develops network applications utilized in WiFi ("hotspots") and RFID ("radio frequency identification") deployments. According to Allied Business Intelligence, annual shipment volume of RFID tags, or transponders, is expected to grow from 323 million in 2002 to several billion in 2007. RFID integration will occur at all levels -- government, manufacturing, distribution, health care, retail, even Homeland security. Retail giant Walmart is asking suppliers to attach RFID chips to their crates and cases of products. At this point, only those large shipping containers would be tagged, not individual products. Most suppliers have until 2006 to add the chips, but the top 100 suppliers have to do it by 2005, the retailer says.

RFID technology uses tags or transponders to transmit EPCs and communicate wirelessly to readers over radio frequency waves. Attached to physical objects, including items, cartons, pallets and containers, the tags uniquely identify objects. Readers receive data from the RFID tags via radio frequency waves once the tags are within reading range. This data is captured, accepted and executed against by RFID solutions, such as those offered by Manhattan Associates.

The Matrics RFID system is comprised of EPC-compliant RFID tags (Class 0 read only and read/write) and its new, multi-protocol reader (AR 400 RFID Reader), which is designed to enable real-time, seamless tag reading and writing capability for all EPC-compliant tags including Class 0 and Class 1. Matrics' RFID technology reads farther and faster and costs less than comparable systems, providing unsurpassed real-time visibility into products and assets in factories, distribution centers and retail outlets.

Wal-Mart announced plans back in June that it will require their suppliers to place EPC transponders on pallets and cases beginning in January 2005. RFID vendors finally got what they had asked for years ago: a public commitment from Wal-Mart.

Highlights of Wal-Mart's RFID system requirements are as follows:

- Transponders: Durable, temporary or permanent read-only 96-bit Class 0 (factory programmed), Class 0+ (read-write version of Class 0), or Class 1 version 1 (write once-read many) EPC-compliant transponders (supplier's choice dependent on number of turns). Existing 64-bit EPC are not compliant with the mandate. Wal-Mart noted they are driving toward Class 1 Version 2 whenever the specifications and compliant products are available.

- Antennas: 1 antenna required on each side of dock door/portal; 1 antenna above dock door; 1 antenna on each side or underneath a conveyor moving up to 600 ft/min for case tagging (cases have to be read 100% of the time at 540 ft/min).

- Readers: Should be agile (largely due to eventual migration to Class 1 version 2 EPC transponders that allow for one common protocol); be Power over Ethernet-based; have flexible output options and RF environment awareness; include security; and have the ability to disable unused features such as Web servers. More details on reader deployment are expected in the weeks and months ahead.

EM Microelectronic is a semiconductor manufacturer that designs and produces ultra-low-power, low-voltage, digital, analog and mixed-signal integrated circuits for battery-operated and field-powered devices in consumer, automotive and industrial applications. The company's product portfolio includes RFID circuits and transponders, ultra-low-power microcontrollers, voltage reset ICs and microprocessor supervisors, regulators, smart card ICs, LCD drivers and displays, sensor and optoelectronic ICs, mixed analog and digital gate arrays and application- specific integrated circuits (ASICs). EM also produces LCD modules and offers bumping services.

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Walmart RFID: R4 Global Services Answers the Call for WalMart RFID Compliance

From SAN FRANCISCO--(BUSINESS WIRE)--April 22, 2004-- R4 Accelerate(SM) Solution Enables WalMart Suppliers to Meet Schedule II Pharmaceutical RFID Compliance Initiative Requirements

R4 Global Services(TM) (www.r4gs.com), a leading solutions provider of RFID-enabled technology and services, today announced the R4 Accelerate Solution for Schedule II Compliance to meet the needs of the 18 pharmaceutical suppliers working to fulfill the requirements of WalMart's Schedule II RFID initiative. As of the March 30th compliance target date set by WalMart, a number of suppliers had not met the overall requirements for RFID compliance on Schedule II pharmaceuticals. U.S. DEA Schedule II pharmaceuticals are highly regulated prescription narcotics such as Ritalin and Morphine. The R4 Accelerate Solution is a simplified, pre-packaged suite of hardware, software and services that provides all the necessary components required to meet Schedule II compliance in eight weeks or less...

The pharmaceutical market is one of the most attractive application areas for RFID technology due to the relatively high cost of pharmaceutical product and readily apparent benefits to corporations and consumers. For example, a case of Schedule II pharmaceutical product might cost $40,000 - a high enough price point to justify the cost of RFID technology. Additionally, industry analysts estimate that up to 10% of the U.S. drug supply is counterfeit. Thus, the ability to track and trace pharmaceuticals in the supply chain has the potential to save suppliers hundreds of millions of dollars per year, in addition to saving human lives and reducing overall cost.

"Given the timeline, complex nature of suppliers' systems and necessary configuration required to integrate RFID into existing business processes, some delays in RFID compliance were to be expected," said Ryan Lange, senior vice president of sales for R4 Global Services. "At this point, suppliers are looking for complete, pre-packaged solutions versus components of solutions which are time intensive and costly to deploy. Our work with leading suppliers to WalMart, as well as with Schedule II and generic pharmaceutical product lines, gives us the expertise and vendor relationships needed to deliver an efficient, cost-effective solution to pharmaceutical suppliers. We also wanted to dispel the myth that compliance is a 'million dollar exercise' - we are able to deliver a complete compliance package in under eight weeks for less than $100,000, in many cases, depending on the volume of product being shipped to WalMart."

The R4 Accelerate solution for Schedule II compliance addresses both the short-term need for basic Schedule II compliance with WalMart, and the longer term need of developing a scalable plan of attack and technology architecture for the use of RFID in the pharmaceuticals supply chain. Schedule II RFID compliance has several basic requirements, including:

-- ePC compliant UHF RFID tags, applied at the item level

-- The ability to collect and store RFID tag information for future use

-- The ability to synchronize product data with UCCnet

"We believe the overall move towards the use of RFID in the global supply chain, though in its infancy, remains on track," said Jeff Richards, CEO of R4 Global Services. "There have certainly been challenges along the way, but WalMart is an incredibly efficient and focused organization. Schedule II utilization of RFID is an excellent precursor to overall adoption as the benefits to corporations and consumers start to become apparent."

Pricing for the R4 Accelerate Solution for Schedule II compliance ranges from $50,000 - $175,000 depending on the number of shipping locations involved and the volume of product being shipped to WalMart, as well as all hardware, software and services needed to meet compliance requirements. R4 has developed the offering in conjunction with its key alliance partners, including RFID technology vendors Alien Technology and Matrics. Suppliers purchasing the R4 Accelerate package will meet Schedule II compliance requirements in eight weeks or less.

About R4 Global Services

R4 Global Services is a leader in delivering RFID technology solutions to clients in the Retail, Consumer Packaged Goods, Manufacturing, Transportation & Logistics, Defense and Pharmaceutical industries. R4 solutions enable clients to realize the full benefits of RFID and RFID-related technologies, including increased sales, increased visibility and control, decreased labor costs, and dramatic improvements in key business processes such as inventory management and supply chain management. R4 and the R4 RFID Lab are headquartered in San Francisco, California, with additional locations in Michigan, Virginia and New Jersey. R4 is a sponsor of EPC Global. For more information visit R4 Global Services on the Web at www.r4gs.com or send an email to info@r4gs.com.

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Tuesday, March 30, 2004

Walmart RFID Compliance: Forrester Research Projects The Cost Of RFID Implementation

Report Finds That Only A Fraction Of Suppliers Will Meet Wal-Mart's January 2005 Mandate Cambridge, Mass., March 30, 2004 . . . A new Forrester Research, Inc. (Nasdaq: FORR) report, "RFID At What Cost?," places RFID implementation costs — startup and one year of maintenance annually — at approximately $9 million for a typical supplier attempting to comply with Wal-Mart.(1) The report also indicates that only 25 percent of suppliers will meet Wal-Mart's January 1, 2005 deadline.

"There is no business case for most suppliers in the short term," says Forrester Research Senior Analyst Christine Spivey Overby. "The technology is not ready, and there is a lack of deep expertise in the industry to help suppliers implement RFID."

The largest costs remain constant from supplier to supplier, highlighting major challenges that will impede RFID deployments.

Tags currently make up more than 80 percent of a supplier's cost. Based on today's tag production processes and projected volumes, Forrester believes that suppliers should not build a near-term business case on any price lower than $0.40 per tag.
Professional services spent on getting distribution centers operational are high and will only increase, due to a short supply of experienced RFID experts.
Converse to what many believe, companies implementing RFID should expect to add supply chain labor to their budgets in the first year, because vendors have yet to perfect solutions for automating tagging and embedding RFID in packaging material.

To gain benefits such as product tracking, businesses need to begin RFID implementation at the manufacturer, rather than at the distribution center, which is one step closer to a retailer in the supply chain. Today, "source tagging" cases at the manufacturer is too disruptive for most companies to implement. Because source tagging requires significant process re-engineering and budgets that top $100 million in some cases, RFID early adopters like Gillette are the only companies that will attempt this approach in the next 12 months. In the short term, a "slap-and-ship" approach, in which suppliers tag cases and pallets in the distribution center, is the most realistic scenario for a majority of suppliers.

What Should Wal-Mart Do?: The report recommends that Wal-Mart redefine the scope of its RFID mandate by narrowing the scope of products to those with limited amounts of metal and liquid. With a narrower focus on high-priced products like prescription drugs, apparel, and DVDs, fewer suppliers would be affected by the 2005 mandate. It would also allow vendors and suppliers additional time to perfect tag reliability for all products. Forrester also recommends that Wal-Mart use its influence to help create a buying consortium, giving suppliers the collective power to cut tag costs.

What Should Suppliers Do?: Forrester suggests that suppliers use their initial learnings to shape mandates by Wal-Mart and other retailers. In addition to addressing the challenges they are facing in implementing RFID with Wal-Mart, suppliers should create an internal RFID lead position with direct access to the CEO.

(1) Total cost of compliance varies depending on a company's distribution network and Wal-Mart volume. The model includes costs associated with infrastructure, software, consulting, and new warehouse labor.

Forrester is an independent technology research company that provides pragmatic and forward-thinking advice about technology's impact on business. Business, marketing, and IT professionals worldwide collaborate with Forrester to align their technology investments with their business goals. Forrester offers products and services in four major areas: Research, Data, Consulting, and Community. Established in 1983, Forrester is headquartered in Cambridge, Mass. For additional information, visit www.forrester.com.

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Tuesday, February 24, 2004

Attended Zebra Technologies Webinar presentation today...

Here are the summary notes:

Zebra Technology: RFID Webinar, February 24, 2004 --- Webinar title: An Introduction to RFID and EPC: Streamlining Your Supply Chain

RFID is like a "wireless barcode". How it works = tag, antenna, reader, computer. Advantages of RFID: No line of sight, read through non-metallic objects, Fast = less than 1 millisecond to read, Data is carried in a tag. Is RFID technology ready for prime-time = Yes... 200 million rfid tags are in-use in automotive field. Mobil Speedpass is in-use with near 10 million customers. RFID provides simultaneous identification. RFID inlays combine a tag and antenna in thin form into an RFID smart label. Visual identification only with traditional product label. Bar code adds encoded data label. Smart label includes above, with an RFID inlay within the label form factor.

Opportunity for industry is in billions of dollars in supply chain inefficiencies. 100 sponsors came together with the MIT Auto-id Center to sponsor open standards definitions in the RFID space. Work has transitioned from MIT to the EPCGlobal organization. Metro, Walmart, and DOD are piloting RFID technology. Data capture touch-points exist throughout the supply chain, in manufacturing, distribution, retail, etc. Every touch point costs money in effort and time. RFID eliminates touches and saves time, which translates into money, increased supply chain velocity.

Marks and Spencer pilots have shown dramatic increase in business process performance. Walmart has shown leadership and strong commitment to RFID technology as a game-changing, disruptive strategy. They plan to drive change through their scale. Metro AG, Germany's biggest retailer, is aggressively implementing RFID with suppliers, similar to Walmart. The US Department of Defense is embarking on the same journey. The DOD space is more complex that retail value chain.

Zebra's RFID Solutions: Leadership in the bar code, card imaging, mobile printing, and RFID smart label space. Have 3 million printers in place worldwide. Zebra's RFID strategy: Zebra adds RFID to the on-demand printer. Combines human readable, bar code, and RFID into one converged form factor. Leads the market with 13.56 Mhz and UHF RFID products. UHF products support multi-protocols. Zebra revenues are over $500MM.

Zebra has working RFID printers today and a strong product roadmap. Zebra Alchemy innovation is targeted to optimize the total cost of creating smart labels on-demand at the point of application - these touch-points they have described. Zebra continues to innovate and invest in RFID technology. Are you ready for RFID? You need to consider these questions: What is the business problem. Why use RFID over bar codes. What is the business benefit. What standards should you leverage. What is the scope of your RFID opportunity. Do you want to implement RFID globally. Have you assessed the impact of RFID data on your information systems and infrastructure.

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