EPC/RFID – one of the fastest growing AutoID technologies – part 1
Areas of application for EPC technology
Aviation industry. RFID tags with EPC numbers placed on them are perfectly suited for tracking luggage at airports. They support the sorting and scanning process, reducing the time required for check-in and baggage handling by up to 66%. Additionally, RFID tags support the automatic collection of history both on the tag itself and in the airport’s computer system, which greatly facilitates finding lost bags. Cards with built-in RFID tags can also be used for automatic check-in for frequent travelers.
Healthcare. RFID tags can greatly facilitate the location and management of equipment in hospitals and other healthcare facilities. Properly designed systems determine the position of a given device in the building in real-time, which reduces the time needed to find it and minimizes the risk of theft. In one US hospital, the implementation of such a system resulted in savings of 400,000 USD per year.
Retail. Labeling goods with EPC numbers, especially in combination with RFID technology, brings many benefits to the retail industry. Already at the warehouse level, RFID tags can be used to verify the correctness of a sent order, and on the customer side, to check the completeness of received goods and verify their originality. Similar to the warehouse, an RFID system combined with EPC makes it easier to conduct inventory of goods on store shelves, which allows for more accurate stock control, thereby leading to savings. In some applications, for example in the clothing industry, RFID tags allow for the implementation of a system that not only facilitates but also increases the pleasure of shopping. This goal can be achieved, for example, by installing smart mirrors or implementing smart stylist functions.
Logistics and warehousing. Placing RFID tags with assigned EPC numbers on individual products introduces new possibilities that standard barcodes do not offer. Thanks to the use of radio technology, it is possible to automatically register the flow of goods from the manufacturer through intermediaries to the end recipient. The collected history of readings provides an excellent source of knowledge for business analytics and allows for the quick and accurate withdrawal of selected batches of goods if necessary. Placing RFID tags on goods facilitates not only the control of their flow between warehouses but also within them. Placing appropriately positioned RFID readers in rooms or using so-called smart shelves allows for quick and accurate inventory of stock, tracking the flow of goods within a single facility, and locating the position of selected goods.
Benefits of using EPC technology
1. individual identification of goods,
2. immediate identification of the contents of packages and loads,
3. possibility of tracking the flow of goods online.
Application of EPC/RFID technology at Dinet
ROI (Return on Investment) analysis showed that the investment using EPC/RFID technology “paid for itself” in just 3 months.
The Korean corporation LG, operating in global markets, chose Dinet as its logistics service provider in Peru. Two factors decided this choice: Dinet’s leading position in the logistics services market in Peru and the fact that it conducts its operations within the Lima metropolitan area. The distribution of LG products is currently one of the most important projects carried out by Dinet. The company provides comprehensive warehousing services for LG products. Although operations are largely manual, the KPIs (Key Performance Indicators) for the LG project are among the best of all Dinet clients.
Despite achieving good results, Dinet is interested in implementing modern technologies. Best global practices are constantly being introduced in the company. Ways to raise the level of service by improving supply chain transparency and streamlining traceability are also being sought.
The article comes from the magazine “Logistyka” 1/2012.