EPC Advanced Business Aspects
Training
Chapter 1
Introduction
Introduction
Chapter 1:
Chapter 2:
Chapter 3:
Chapter 4:
Chapter 5:
Chapter 6:
3
Introduction
The Global Vision
Benefits of EPC/RFID
EPC/RFID Deployment
Examples of Applications
The Consumer
Chapter 2
The Global Vision
The Internet of Things
The Internet (of information) expands to the real world: an
Internet of Things emerges
The Internet of Things
Internet is an island
Today’s
Internet is
an island in
the gulf of
physical
objects: only
connected
through
human
(manual)
inputs
Benefits of the Internet of Things
• Status (capture & report)
• Diagnostics (troubleshoot)
• Upgrades (augment performance)
• Control/Automation (device cooperation)
• Profiling/Behaviour Tracking (performance)
• Replenishment/commerce (consumption)
• Location Mapping and Logistics (sales)
Over 100 trillion items per year
10000 bio
6.5 bio
2 bio
1 bio
The size of the future market
Total number of tags purchased annually (in Millions)
100,000
86,700
80,000
60,000
40,000
20,000
22,400
144
3,220
2007
2012
0
2017
2022
The size of the future market
Total number of locations with RFID readers
453,000
500,000
400,000
300,000
200,000
144,000
100,000
2,750
30,710
0
2007
2012
2017
2022
Total number of RFID readers deployed
6,268,500
7,000,000
6,000,000
5,000,000
4,000,000
Available at
www.bridge-project.eu
3,000,000
2,000,000
1,000,000
176,280
1,161,800
7,630
0
2007
2012
2017
2022
We only can manage what we can measure.
Cost of data entry
Information systems & the Internet
Punch card
Keyboard
Manual measuring
Barcode
UbiComp-Technologies
Machine sensing
Physical world
No measures means potential business problems
• Average OOS level in retail
industry: 8.3%
• Average shrinkage rate for
supermarkets/grocery in US:
1.5% of sales
• Average deduction level for
inaccurate invoices: 9.9% of
annual invoiced sales in US
• Cost of unsellable food and
grocery products in US: 1%
of sales
• Product counterfeiting is
estimated to account for
between 5 and 7% of world
trade
Source: C. Tellkamp, E. Fleisch, Auto-ID Lab St. Gallen
Recent advances in miniaturization, sensor & communication technology,
and new materials drive for a new computing paradigm
Miniaturization and cost reduction
(4) Smart Things
(3) Mobiles /
Smart Cards
(2) PCs
(1) Mainframe
Time
The most widely deployed Technology: RFID
Leveraging RFID in retail
Source: C. Tellkamp, HSG; Gartner
The opportunities are multi-fold:
Search & Find
Trust
Linking Information
The correct medication to the right patient
Smart T-Shirts
Anti-counterfeiting solutions are under study
STOLPAN Project
Retail
Back-Office
Solution
Middleware
Middleware
Middleware
Project Goals:
 EPC and NFC compatible
mobile phones
 EPC based product
information
 EPC based product
authentication
 NFC based loyalty programs
 EPC triggered mobile
advertisement
 NFC based self check out and
mobile payment
Product
Info
Middleware
Loyalty
program
Credit Card
New items are tagged everyday…
… for various purposes
RFID enables new business models
Sensors
GPS
Risk-based-pricing
Source: Courtesy of F. Mattern, ETH Zürich
Technology that reaches the consumer
Summary
26
Chapter 3
Benefits of EPC / RFID
27
What are standards?
Why do we have Standards?
Benefits of using standards
Benefits of Global Standards
Reduce costs
Speeds customer acceptance
Encourage innovation
Reduce complexity
Global Standards & Competitive
Advantage
TDMA
CDMA
GSM
PCS
Standards allow technology providers to focus on innovation,
not translation and intermediation
The role of EPCglobal standards
Encourage
Technology
Innovation
Foster
competition
Guaranteeing Common
Interoperability Protocols for
exchanging
Role of Global information
Standards
The benefits of EPCglobal standards
Encourage
Technology
Innovation
Lower Costs of
products and
implementation
Foster
competition
Guaranteeing Common
Interoperability Protocols for
exchanging
Benefits of
information
Global
Standards
Smooth integration with existing
infrastructure
Lower Cost of Changes
Overview of RFID benefits
RFID is a tool allowing Increased Visibility
Fully automated
data capture
Analysis
application
Best business
decisions
RFID vs Barcodes
Benefits of EPC / RFID over Bar Codes:
Attributes
EPC / RFID
Bar Code
Data transmission
Electromagnetic / Wireless
Optical
Reading capability
Non-line of sight
Line of sight
Tag reading
Multiple
One by one
Reading speed
500 / minutes
80 / minutes
Moving object
reading
Data modification
Yes
No
Read & write
Write once, read many
Data volume
1 bit ~ 16 Mbytes
< 100 bytes
Access security
High
Little but possible
Anti-collision
Possible
Not possible
Complying with mandates
ALE and EPCIS provide increased visibility
electric
eye
conveyor
R
Enterprise
App
Data Center
Environment
EPCIS
Edge
Environment
pallet
R
“at time T, the association of the following case tags to
the following pallet tag was created at palletizer #3, to
fulfill order #1234”
Palletizer
Capture App
“between the time the case crossed the two beams at
location L, the tag X was read with temperature T”
ALE
Filtering &
Collection
Reader Protocol (LLRP)
Reader
Reader
Supply Chain Visibility
Inventory Visibility
Chain of Custody visibility
Visibility of maintenance
Visibility of counterfeit products
Visibility is only the starting point
Trend Analysis
Problem Identification
ALE
EPCIS
EPC Readings
Operational Performance
Management of
Solutions Providers
Benefits for the producer
Visibility of Production Processes
Quick reconciliation of shipments
Just-in-time production and delivery
Benefits for the seller
Reduced safety stocks
Availability of products
Reduced theft
Speedy check outs
Improved after sales
Customer satisfaction
Where is my
product?
Data flow
Your product was last
seen in Store #23, at
10am Tuesday, during
receiving
Data
flow
Summary
48
Back-up Slides
49
Understanding the Financial Aspects
• Calculating ROI for implementing EPC / RFID
• The checklist below summarizes some of the key financial
items
time setin
upEPC
cost:/ RFID implementations
•One
incurred
Recurring cost:
RFID reader
RFID tags
Middleware
Maintenance cost for
RFID printers
hardware & software
Networking & cabling
Training
Enterprise system integration
Consulting
Training
PC
BACKUP SLIDE
Understanding the Financial Aspects
• ROI Calculation Tools Available in the Market
• EPC Value Models
• Developed by Stanford University, Massachusetts Institute of
Technology
• (MIT) and EPCglobal US, aimed to identify business issues and
drivers
• where EPC / RFID is expected to have the greatest impact &
quantify
• expected value of EPC / RFID implementation.
BACKUP SLIDE
• URL:
• http://www.epcglobalna.org/dnn_epcus/SubscriberTools/Fina
ncialPlanning/EPCValueModels/tabid/225/Default.aspx
Understanding the Financial Aspects
• ROI Calculation Tools Available in the Market (Con’t)
• RFID Cost Tutorial
• Developed by EPCglobal Inc. is a reference tool for companies
planning to
• make an investment in RFID technology. EPCglobal recommends
that the cost
• items, phase structure and timeline presented herein be modified to
suit the
• specific needs of the organization.
BACKUP SLIDE
• URL:
• http://www.epcglobalinc.org/what/cookbook/chapter2/
Benefits from Future EPC / RFID Trends
When RFID technology is commonly used in the future with
sensing technologies, some potential use and benefits can
be obtained:
• Temperature tracking
• Humidity monitoring
• Tilt indicator
• Accelerometer monitoring
• Pressure monitoring
BACKUP SLIDE
Chapter 4
EPC / RFID DEPLOYMENT
54
Introduction
55
Think of a major change
Think of any major change that you have
seen undertaken in a business……
Launching a
new product
A new
computer
system
56
56
Can you think of
a major change
that has taken
place where you
work ?
A grand new
machine
installed……..
©2008 GS1
Preparing the change
Changes need:
• Planning
• Organisation
• Collaboration
• Purpose
• Objectives
• Review
Use the same common sense
approach
Don’t leave
your brain in
the car park
just because
it’s radio !
58
58
©2008 GS1
Business Context
59
Getting The Business Context
EPC and RFID implementation is not only
about technical aspects
EPC and RFID are tools for a
business change in your
operations.
Business processes Are Key
EPC / RFID can now impact your business
processes
PROCESSES ARE KEY
Who Will Be Involved…
Slide 63
Many departments
will be involved so
involve them
early.
©2008 GS1
The Business Case
The Business Case
Slide 65
©2008 GS1
The Business Case – Common
Benefits
Financial
Efficiencie
s
Customer
Service
Customer
Satisfaction
Slide 66
Environment
©2008 GS1
The Business Case – Financial
Benefits
Lower costs
Less inventory
Less work
Supply chain velocity
Slide 67
©2008 GS1
The Business Case – Efficiency
Benefits
Better visibility
Standard terms
Common understanding between trading partners
Lower shipping errors
Slide 68
©2008 GS1
The Business Case – Customer
Service
Slide 69
Time to market
Customer Response Time
Returns processing
©2008 GS1
Business Case – Customer
Satisfaction
Information
Warranty provision
Better service
Anti-Counterfeiting
Slide 70
©2008 GS1
The Business Case – The
Environment
Better Disposal
Lower recycling costs
Tracking of hazardous material
Slide 71
©2008 GS1
The Business Case – Time
Time is Money
Slide 72
©2008 GS1
The Business Case - Summary
Slide 73
©2008 GS1
Deployment Objectives
Deployment Objectives
Set clear and
specific
objectives
Slide 75
©2008 GS1
Sample Deployment Objectives Processes
Slide 76
©2008 GS1
Situation Analysis
Situation Analysis
A key factor to
successful
RFID
deployment is
understanding
what exists
before the
change
Slide 78
©2008 GS1
Situation Analysis – Key Factors
What are the current
processes ?
Where and how are they
carried out ?
Who executes them ?
Where are items identified in
the processes ?
Why is identification necessary
for those processes ?
What materials move into and
out of the processes ?
What information is key about
each Slide
item
?
79
©2008 GS1
Situation Analysis – Common Tools
Process Maps
System
Maps
RACI Chart
Slide 80
©2008 GS1
Situation Analysis – Radio
Assessment
Radio energy can be
impacted by many things,
so, assess your
environment in this respect
Slide 81
©2008 GS1
Situation Analysis – Radio
Assessment
Slide 82
©2008 GS1
Situation Analysis – Radio
Assessment
Host
Slide 83
Reader
module
Antenna
Tag
©2008 GS1
Building the Team
Building The Team - Principles
• Team-leader
• Key stakeholders
• Business
knowledge within
team
• Open attitude
towards change
Slide 85
©2008 GS1
Building The Team – Executive
Sponsor
Executive Sponsor:
• Sets the goals and direction for the
program
• Enables you to get the resources and
commitment
• Senior executive within the company
• Leads a function or division if possible
Slide 86
©2008 GS1
Building The Team – The Core Team
The Core Team:
• Stakeholders (right from
start of program)
• Guides program according
to agreed goals and
objectives
• Acts as a link into the rest
of the company
Slide 87
©2008 GS1
Building The Team – Motivation
Motivate beyond the initial enthusiasm
Hold regular training sessions, team feedback reviews,
team outings etc.
Be frank about what is working and what isn’t
Seek the team’s ideas on how to make progress.
Reward exceptional individual contributions
Reward achievement of major milestones by the whole team
Slide 88
THANK YOU!
©2008 GS1
Requirements Gathering
Requirements Gathering - KPI’s
Measurable Objective =
Increase Average
Revenue per Customer
from 10 to 15 US Dollar
by End Of Year 2008
KPI = Average Revenue
per Customer
Slide 90
©2008 GS1
Planning
Planning
“No battle plan survives
contact with the enemy”
Count Helmut von Moltke
the Elder
1800 – 1891
Slide 92
©2008 GS1
Planning – Why Do It At All ?
purpose and direction…
what is expected and when….
checklist…
communicate progress or
issues…
dependencies...
what to do if things go wrong…
Slide 93
©2008 GS1
Planning – Level Of Detail
• Not too much detail…
• For simple projects written list of
activities is ok
• Larger projects require activities list,
usually spreadsheet
• Large complex projects involving
multiple teams, skills and functions
over a longer period of time best
planned using integrated project
planning tool
Not planning at all is planning to fail !
Slide 94
©2008 GS1
Process Integration
Process Integration - The Basics
Integrate
new
processes
carefully in
order to
minimize
disruption
and risks
Slide 96
©2008 GS1
Process Integration - How
Slide 97
Document and understand the
existing and new processes so as to
minimize risks and
misunderstandings
©2008 GS1
The Pilot
The Pilot - Why Do It At All ?
Slide 99
©2008 GS1
The Pilot - How - Start Small
Slide 100
Small is beautiful – until you know it works !
©2008 GS1
The Pilot - How - Start Small
Select initially a few products …
… and / or a few locations then
expand if these trials are successful
Slide 101
©2008 GS1
The Pilot - How - Predict & Compare
During the pilot:
Monitor and record what
actually happens
For each part of the pilot:
Describe the new processes
and what to expect
Slide 102
©2008 GS1
The Pilot - How - RFID
RFID equipment usually requires
adjustment – this is normal !
You can ensure interoperability
of tags and equipment by
ensuring that they are certified
Slide 103
©2008 GS1
The Pilot - Completion
Show the Executive Sponsor and the Core Team the pilot’s results and get
agreement to deploy.
Slide 104
©2008 GS1
Deployment
Deployment - Providing Support
Slide 106
Full deployment = full risk !
©2008 GS1
Deployment - Providing Support
You should ensure adequate level of support,
either remotely or locally
Slide 107
©2008 GS1
Measuring Success
Measuring Success
Project success
comes in many
forms
Slide 109
©2008 GS1
Rewarding Success
Slide 110
Don’t forget to reward success
©2008 GS1
Regulatory Considerations
Regulatory Considerations
Ask your solution provider to ensure that your
equipment is operating within the regulations for your
Slide 112
country
©2008 GS1
Chapter 5
Examples of applications
Introduction
Some applications of EPC/RFID
•
•
•
•
•
•
•
•
Asset Management (Nortura)
Track and Trace in the Book industry (Byblos)
Outbound / Inbound in the textile industry (Lemmi)
RFID in healthcare (Hospital Speising)
Cold Chain (Nestlé)
Baggage tracking (Hong Kong Airport)
Visibility in complex retail chain – (Wal*Mart)
Optimising manufacturing processes (Griva S.p.A)
Recommended exercise
Slide 114
©2008 GS1
Asset Management: Nortura
• Norwegian company
• Meat manufacturer
• Employs 6.800 people
• Annual sales €2 billion
• Organized as a cooperative owned by
approximately 30,300 farmers
• 41 municipalities in 18 counties
Problem: Today nobody knows where, which and how many
Returnable Transport Items (RTI) are spead along
the supply chain
Source: Nortura
Slide 115
©2008 GS1
Asset Management: Nortura
• Benefits
• Automatical RTI lifecycle control
• Documentation of RTI lifecycle
(cold, freezing cold, washing, etc)
• Real time inventory
• Prediction of RTI need
• Process management project
• RFID tag inside 80000 crates with GRAI
• 73 RFID readers
• Employee ID coupled with GS1 GRAI
• Each person gets performance feedback
• ROI: 3 months
Slide 116
Source: Nortura
©2008 GS1
Track & Trace in the book industry Byblos
• Portuguese company
• Bookstore
• 50,000-square-foot store
• Receiving more than
200,000 products per
week
Problem: Problems for localising
products resulting in high costs
of inventory and poor customer
service
Source: Byblos
Slide 117
©2008 GS1
Track & Trace in the book industry Byblos
• Solution
• 250,000 books, games and
videos tagged
• 40 RFID-enabled kiosks
• 13 incorporates RFID
security gates
• 14 RFID point-of-sale
(POS) reading stations
• 10 RFID Handhelds
Source: Byblos
Slide 118
©2008 GS1
Track & Trace in the book industry Byblos
• Benefit
• 30% less stock
• Possibility to handle more
customer at POS
• Faster localisation of items
• Faster reposition and reordering of sold items
• Possibility of daily and full
inventory
Source: Byblos
Slide 119
©2008 GS1
Outbound / Inbound in the textile
industry - Lemmi
• German SME company
• A leading children’s
wear manufacturer
• Founded in 1959
• Employs around 50 people
• Produces over 1 million
garments per year
Problem: Poor stock turn over
Source: Lemmi
Slide 120
©2008 GS1
Outbound / Inbound in the textile
industry - Lemmi
• Solution
• 100 % of merchandise is tagged
• Integrated Solution: RFID fully
integrated into ERP
• Benefits
• Increase efficiency on all steps of SC
• Increase quality of deliveries from
production to customers
• Precise information on goods in transit
• Strengthen relationships with
customers
• Easy to use for all employees
Source: Lemmi
Slide 121
©2008 GS1
Outbound / Inbound in the textile
industry - Lemmi
• Payback
• Stock turnover before
tagging: 5,000 to 10,000
items per day
•
Stock turnover after tagging:
20,000 items per day
•
Increase of 250%-300% in
receipt and shipment of
goods
Source: Lemmi
Slide 122
©2008 GS1
RFID in healthcare - Hospital Speising
• Austrian company
• Orthopädisches Spital Speising
is part of Vinzenz groupe
• Total number of beds: 2221
• Hospital patients per year:
112359
• Workers in the hospitals: 4535
Introduction of RFID in instrument
cycle of a hospital
Slide 123
©2008 GS1
RFID in healthcare - Hospital Speising
Benefits
• Detection of specific medical equipment
and inventory within the hospital
• Better process transparency
• Automated documentation
• Simplification of logistics operations
• Automation of ordering
• Quality improvement in the process
chain
• Risk reduction in the area of application
• Reduce storage costs
• Increase the cost-efficiency
• Patient
safety
Slide 124
©2008 GS1
Cold Chain - Nestlé
• World's largest food company:
• 2007 sales – $98 billion
• 130 operating Markets
• 450+ factories in 87 countries
• 250,000 employees
• 130+ main brands
Slide 125
©2008 GS1
Ice Cream does not like heat shocks
Objectives of the trail 2007








Evaluate technical feasibility of a temperature
monitoring solution along the entire cold chain
Evaluate the real advantages compared to actual
situation, for all organization areas involved.
During kick-off meeting in June discovered other
interesting issues....
Assess solution for several business needs:
- Freezer traceability
- Better support on freezer maintenance issues
- Service to big customers (e.g. theme parks):
 efficient & automatic HACCP
 freezer performance warranty for a better
support on sales activities
- Systems integration requirements
Installed Sensors - Distribution
Delivery
Truck
In Freezer View
 Simple
 No
to install – 5 minutes
maintenance
Secondary Distribution
Problem with temp probe and
compressor on the truck
External temperature
30° External
-18°C in Cold Store
-10°C delivery
First delivery at -23°C
Last delivery at -10°C !!!
Cold store temperature
Truck temperature
Example: Store Freezer Activity
Continuous defrosting.......
Ice cream quality will be a problem
-12°C constant
Too warm
Freezer well regulated at
- 22°C
Too cold
Different from day & night?
Key Benefits
Production
(cold store)






Primary
transport
Depot /
Distributors
Deliveries
Freezer performance & management
Temperature cycles – warning signs
Improved quality control of products


Primary
DC
Improved visibility of the cold-chain:
Better understanding of:


Primary
transport
Quality & Safety
Improved product taste / experience
Lower 'bad goods' & insurance write offs
Potential energy savings
Added value services to Distributor
Restaurant,
Bar, POS
Consumer
Some results and conclusions
At the beginning we talked about benefits in terms of:

Legal duty ensure quality in the food chain

Quality of product and brand image on market

Cost of bad goods

Insurance costs

Today we also talk about:

Better management of installed freezeer : traceability, sobstitution, maintenance,
allocation, energy consumption

Marketing & sales support: service to customers (HACCP due activity, freezer performance,
maintenance guide) allocation and match model/version freezer-location-invoicing

Support for research & development: thermal history of singles batches, development of
product

Better efficiency on quality control: coverage, efficiency & “best practice”
Significant opportunities for added value
Baggage tracking – Hong Kong Airport
• One of the busiest airport in the world
• Passenger: 350 million per annum
• Air cargo: 3 million tons per annum
• Named the world’s best airport by
Sky Trax (UK) in Apr 2004 & received
special recognition award from IATA
• ~ 40% of luggage handled comes
from transfer flights
• Major hub to/ from mainland &
volume is expected to be increasing
134
134
©2008 GS1
Baggage tracking – Hong Kong
Airport
Issues
• Currency bar code system is 85-95%
read rate (Manually handling failures)
• Remove & check all Unit Loading Device
on the plane to identify baggage
• Security measurement
• Velocity and Baggage handling accuracy
Solutions
• Deploy RFID technology on extensive
baggage-handling facilities alongside the
bar code system to bring up visibility,
improve accuracy and efficiency, step up
security measurement
135
135
©2008 GS1
Baggage tracking – Hong Kong
Airport
Benefits
• Improve customer satisfaction
• Improve security
• Cut operating costs
136
136
©2008 GS1
Visibility in complex retail chain - Wal*Mart
• Walmart operates retail stores
worldwide in various format
• Products allocated through 90 DCs
and/or direct from manufacturer
• Total sales 2004 – US$ 256.3B
• Requested EPC RFID tagging by Jan
2005 to increase supply chain
visibility and eliminate many manual
process.
• Estimated annual saving is ~ 3.3% of
sales (i.e. ~ US$ 8B)
137
137
©2008 GS1
Visibility in complex retail chain - Wal*Mart
Issues
• Without merchandise visibility along this huge supply
chain may lead to Out Of Stocks, shrinkage, and
operation inefficiency that could ultimately reduce
competitive advantages
Solutions
• Mandated suppliers to affix EPC compliance RFID
tags to cases and pallets before shipping to Walmart’s DCs. The tags allow Wal-mart utilize automatic
tracking on product movement that will provide product
visibility without additional human intervention.
138
138
©2008 GS1
Visibility in complex retail chain Wal*Mart
Benefits
• Eliminated many manual
processes in the area of I)
receiving, ii) product movement
in warehouse and DC, iii)
shipping to stores, and iv)
paying suppliers.
•
139
139
Reduce inventory shrinkage
and out-of-stock situations.
©2008 GS1
Visibility in complex retail chain Wal*Mart
Benefits
140
140
Function
Execution
Scanning
Eliminate bar code scanning on pallets and cases in the supply
chain and on items in-store can reduce labour costs by 15%
Out-of-Stock
Smart shelves monitor on-shelf product availability
Shrink
Real-time product monitoring reduces warehouse shrink,
administration errors and vendor fraud
Tracking
Improved tracking of the more than 1 billion pallets and cases
moving through DCs annually
Product
Visibility
Improved visibility of where products are in the supply chain
in Walmert's DCs and supply's warehouses offers reduced
inventory and costs of carrying this inventory
©2008 GS1
Optimising manufacturing processes – Griva S.p.A
• Italian company
• Founded 1955
• A leading high-volume textile manufacturer
• Employs 70 people
• Annual sales €14 million
• Markets – 60% domestic, 40% foreign
• 300,000 rolls of fabric per year
• Reliance on automated manufacturing systems with integrated
logistics
• “An improvement in productivity was critical to our ongoing
competitiveness. Until recently, we could not accurately control
the contents of the roll” Gualtiero Casalegno – President, CEO and owner
141
141
©2008 GS1
Optimising manufacturing processes – Griva S.p.A
• Fabric is woven and then rolled onto cardboard
tubes
• Alien Gen 2 EPC compliant readers and tags
• EPCglobal numbering system
• Compliant with European (ETSI) regulations
• Strategic read points from production to
warehouse
• Harsh manufacturing environment
• High temperatures
• Water and high humidity
• Harsh chemical agents for dying
• Griva needed a robust system with complete
fabric roll traceability without being intrusive
to the production process” Claudio Bertolo – Marketing
Manager, Simet
142
142
©2008 GS1
Optimising manufacturing processes – Griva S.p.A
• Visibility
• Tracking of textile rolls through production
• 15 separate dying and coating stations
• Improved accuracy in production
treatments
• Accurate information to customers
• Fabric can be sorted automatically
• Readers at checkpoints supports decision
making by systems and operators
• Cost effectiveness
• Reduced manual effort in:
• determining most cost effective
transportation options
• Building customized shipping boxes
• Identification of products
143
143
©2008 GS1
Optimising manufacturing processes – Griva S.p.A
• Production velocity
• Before – 400 rolls per day (2 x 10hour shifts)
• After – 600 rolls per day (2 x 8 hour shifts)
• From 20 rolls/hour to 37.5
rolls/hour…….+87.5%
• ROI
• 30% after 9 months
144
144
©2008 GS1
Recommended exercise
GROUPS (4 to 8 persons)
20-30 Minutes
Benefits of EPC / RFID
Major Challenges of EPC / RFID implementation
Proposed applications:
• Inventory control
• Outbound / Inbound
• Smart Shelf
• Track and Trace
• Anti-counterfeiting
• Supply Chain Visibility
Summary
146
Chapter 6
The Consumer
147
Consumer Acceptance
Responsible Use
Awareness
Consumer Acceptance
Awareness
Consumer Awareness Guidance available at
www.discoverrfid.org
Responsible use
Basic principles on Consumer confidence can be found at:
http://www.discoverrfid.org/how-it-works/your-rights/data-protection-guidance.html;
 Consumer Guidelines for EPC on Consumer Confidence
 ICC Privacy Guidelines on RFID
 Centre for Democracy and Technology
Addressing Consumer Benefits
http://rfidabc.de/
http://www.discoverRFID.org
http://www.fashiongrouprfid.com
Consumer Benefits – Patient Safety
Patient Safety - Stay Healthy
New born identified with
RFID bracelets
preventing mix up
Blood products are
tracked and match with
the patient Id
Consumer Benefits – Food Safety
Food Safety – Eat well
RFID helps monitoring of
freshness and quality of
products
RFID enables controls of
authenticity and origin
Consumer Benefits – Quality of Life
Quality of Life – Get what you want
RFID improves the
postal service and
speeds up the delivery
RFID enhances the
shopping experience
Consumer Benefits – Quality of Life
Quality of Life – Feel safe
RFID helps you
protecting your valuables
from theft
RFID helps ensure your airplane
is properly maintained and does
not contain counterfeit spare
parts.
Consumer Benefits – Quality of Life
Quality of Life – Work better
RFID protects workers in,
contact with Dangerous
Environments
RFID saves us time at
toll booths
Consumer Benefits – Environment
protection
Environment protection – Protecting Nature
RFID protects endangered
species
RFID allows for better
and easier recycling
Practical Recommendations
Data Protection Overview
Why is data protection law important?
General Data Protection Directive
General Data Protection Directive
Some important obligations
Data Controller MUST:
• Ensure accurate
data is collected
and only what is
strictly necessary
• Ensure the data is
processed for
legitimate purposes
• Protect the integrity
of the data from
unauthorised
access
• Notify to the data
protection authority
Some important obligations
Data Controller MUST:
• Obtain the consent
from the person
• Or show the
processing of the
personal data is
needed to perform
the contract
• Or show the data is
needed to protect
the vital interests of
the person
E-Privacy Directive
http://ec.europa.eu/justice_home/fsj/privacy/law/index_en.htm
Data Protection questions on RFID
Summary
167