Barcode & RFiD in Supply Chain Putting the Pieces Together

13th April 2009, Perth, Australia

Presentation by Existco

Who am I – Eli Abitbol• Director of Existco• B.Eng (Hon) Electronic Systems• Involved In Barcoding, RFiD, POS, Mobility in the Past 15 Years.

Who is Existco• Small Business, Specialising in Barcoding, RFiD, Point of Sales, Wireless

and Mobility Solutions• Microsoft Certified Partner• GS1 Alliance Partner• Various Vendors

Partner

Agenda

Barcode

RFiD

Supply Chain

Summary

Questions

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Barcodes – What is It ?• A barcode is an optical machine-readable representation of data, which

shows certain data on certain products. • Barcodes are available as linear or 1D (1 dimensional). • They also come in patterns of squares, dots, hexagons and other geometric

patterns within images termed 2D (2 dimensional) matrix codes or symbology.

1D Barcode 2D Barcodes

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Barcodes – Who is GS1 ?• GS1 is an international not-for-profit association dedicated to the

development and implementation of global standards and solutions to improve the efficiency and visibility of supply and demand chains globally and across multiple sectors. The GS1 System of standards is the most widely-used supply-chain standards system in the world.

• GS1's main activity is the development of the GS1 System, a series of standards designed to improve supply-chain management. The GS1 System is composed of four key standards: Barcodes (used to automatically identify things), eCom (electronic business messaging standards allowing automatic electronic transmission of data), GDSN (Global Data Synchronisation standards which allow business partners to have consistent item data in their systems at the same time) and EPCGlobal (which uses RFID technology to immediately track an item).

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Barcodes – What is GS1-128 ?• GS1-128 symbology is used to encode trade item data for logistics units

such as cartons, cases, and pallets that are not intended to pass through retail point-of-sale (POS). The use of this symbology supports fast and accurate tracking of inventory and other specific data in the supply chain.

• GS1-128 symbology is used to uniquely identify trade items, logistics units, and returnable assets in the supply chain. The symbology not only encodes trade item data, but provides a method for encoding and sharing a large variety of different specific data types defined by the GS1 System, such as the Serial Shipping Container Code (SSCC), Best Before Date, Batch / Lot Number, and Serial Number.

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• This is accomplished by creating and defining a list of Application Identifiers (AI’s) that uniquely defines both the data format and its meaning. More that 100 different AI’s are described in the latest version of the GS1 General Specifications, a GS1 System standards document.

Barcodes – GS1-128

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Barcodes – GS1-128 - Example

(01)GTINPrefix

GTIN (17)Expiry

Expiry01/01/2010

(10)BatchPrefix

BatchNumber

(21)Serial

No

SerialNumber

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Barcodes – Unattended ScanningDistribution Centres in Start Track / Coles /

Myers use the following equipment

RFiD – What is It ?• Means of automatically identifying objects• Typical operation

• – 64 bits to few kilobits of data• – Range ~1cm to ~10m• – 50-1000 tags per second

• Reader transmits radio frequency energy• Provides power for the tag• Enables communication to and

from the tag• Different operating frequencies

are possible

RFiD – RFID Frequency Bands

Relatively expensiveLow range

Robust, but bulky tags

Asset Management,

Harsh Environment,

Animal ID

Reasonable cost and performanceDiscreet tags, still quite low Range

Library, Transport,

Medical, document Management

Latest technologyLegislation varies between regions

Transport, Document

Management, New Library Application

Smaller antennas (and tags)

Typically less range

Very Specific low Read Range high

Read count. Laboratory Etc

LF125kHz134kHz

HF13.56MHz

UHF860-960MHz

Microwave2.45GHz

RFiD – UHF Band Legislation• Most Promising RFiD Band – Suitable for Supply chain, but there are

International considerations.• Need to consider performance implications• Numerous conflicts still to be resolved

RFiD – Power• Systems discussed so far are passive

• No battery in tag; all power comes from reader Carrier RF Wave

• Possible to build a battery into the tag• Increased complexity,

size and cost• Improved performance (range)

& functionality

Passive Cheapest, no battery

Semi-passive(battery

assisted)

Much more range and

reliabilityActive (battery

powered)High performance,

sensors, cost!

RFiD – Why RFiD ?• Alternative technologies

• Barcodes (traditional and 2D) • Magnetic strips• Vision systems

‘Simultaneous’ identification Robust, reasonable operating distance No line of sight; automated reads

× Not as cheap as some alternatives× Some problematic items

RFiD – EPC – Electronic Product Code• UPC as defined by GS1

Supply Chain – What is It ?• A supply chain is a system of organizations, people, technology, activities,

information and resources involved in moving a product or service from supplier to customer.

Supply Chain• Supply chain

activities transform natural resources, raw materials and components into a finished product that is delivered to the end customer.

Supply Chain – Example

Supplier Order

Goods Received

Pick & Pallet

ShippingReceive on Site

Issue on Site

Requisition Request

Stage 1 - Goods Received with Optional TaggingWhen goods Arrive from supplier, Pending Orders on the

system are downloaded to Rugged Mobile Computers that scan received Item against the purchase order and upload back to Purchasing / ERP system items received. All transaction Executed in Batch Process and data collected on mobile device is sent back using Desk Cradles.

Items not Bar-coded or Tagged willBe Done so at this stage.

Supply Chain

Supply Chain Stage 2 – Picking and PalletisingReplenish Request from sites are then picked from

warehouse, and at the same time palletising.Pallets include a mixture of Products, but Each Pallet

Label or Tag associated all items on the pallet.All operations executed using Rugged Mobile

Computers and uploaded to ERP system.

Supply Chain Stage 3 – ShippingPallets are then associated with a container.Each container has an RFiD Tag.Containers are then shipped by Truck, Ship etc with a

destination associated with.

Supply Chain Stage 4 – Received on SiteEach container as arrives on site is scanned to indicate

received on site.Each container as unpacked and opened is scanned

and pallet unpacked also associated with storage location.

Supply Chain Stage 5 – Issue on SiteItems in Stock on site are then issued to various staff or

department and again using mobile devices to log and track against project cost centre usage.

Supply Chain Stage 6 – Requisition RequestRemote sites are raising requisition requests to

replenish required inventory. Again this can be done using rugged mobile computers.

Proposed Hardware

Carton Label / RFiD

Rugged WirelessMobile computers

Barcode / RFiD Reading

Pallet / Container / Trailer / Truck RFiD Tag

Industrial wireless Access Point

Label Printer / RFiD Reader

Fixed RFiD Reader & Antenna

Summary• Barcoding , RFiD and Mobility Technologies are already available, and

proven. Recommend to use GS1-128 Barcodes and GS1 EPCGlobal RFiD.• Industry standards are in place and managed by GS1 globally.• Recommend to use both Barcoding and RFiD in final solution to Be more

cost effective. Barcoding for Lowest SKU and Cartons, and RFiD for Pallet / Container / Trailer / Vehicles etc.

• Work closely with suppliers so they provide inventory already bar-coded, to reduce Running costs (Prevent Labelling on goods Received).

• Select appropriate Hardware and software to fulfil Chevrons requirements. Intermec is highly recommended brand By Existco.

• Plant and test with small scale pilot to prove processes re working as required.

Extra Documentation• Existco Brochure www.existco.com.au• Intermec Product Range• Intermec Case Studies• GS1 Australia – www.gs1au.org• SSCC Label formats

Questions

www.existco.com.au