ESD.290
Special Topics in Supply Chain
Management
Brian Subirana & Sanjay Sarma, MIT

History z
1998: DISC founded z
1999: Auto-ID Center founded Auto-ID Field Trial started 2000 z
2001: First standards presented z
2002: Gillette orders 500,000,000 tags from Alien z
2003: Wal-Mart, DoD Mandates
EPCglobal launched, Center retired z
2004: More mandates

Outline z
RFID and the Auto-ID Center z
An in-depth look at some issues

Outline, Part I z
RFID and the Auto-ID Center z z z z
What and why of RFID
The cost issue
Manufacturing low-cost RFID
Handling the data z
Current status z
An in-depth look at some issues

Outline, Part I z
RFID and the Auto-ID Center z z z z
What and why of RFID
The cost issue
Manufacturing low-cost RFID
Handling the data z
Current status z
An in-depth look at some issues

Magnitude of Challenges z z
Inventory Management: z z z
Inventory uncertainty: z
65 % of 370,000 records inaccurate (HBS study of one major retailer) z
Transportation uncertainty: Perfect delivery is dismal
Stock-outs: z z
Average 9% out of stock in retailers world-wide
Lost sales due to stock-outs: 4%
Overstock: Huge channel inventories z z z
CPG average 11 weeks inventory
Retailers average 7 weeks inventory
Locked up capital, industry-wide
Brand Management: z z
Counterfeit: z
$500B pharmaceuticals business, $50B counterfeit
Diversion: z
Market size difficult to estimate

The problems are everywhere
OOS Averages by Category l i
Other Regions
Europe
USA
0.0 2.0 4.0 6.0
Percent OOS
Across geographies
8.0
8.3
8.2
8.6
7.9
10.0
World Avg (18 categories )
Sal ty Snacks
Toil i
Fem Hygiene
Diapers
Laundry
Hai r Care
8.3
5.3
6.6
6.8
7.0
7.7
9.8
0.0 2.0 4.0 6.0 8.0 10.0 12.0
Percent
Across product lines
Mon
Tues
Wed
Thur
Fri
Sat
Sun
0.0
OOS by Day of Week
( Average of 13 studies)
9.1
8.7
10.0
9.8
10.9
7.3
10.0
10.9
12.0 2.0 4.0 6.0 8.0
Percent
Across time
Other Cause
4%
Retail HQ or
Manufacturer
14%
Distribution Center
10%
Store Forecasting
13%
Store Ordering
34%
Store Shelving
25%
Across the supply chain

The Vicious Cycle
14%
Upstream problems
50%
Problems at manufacturer’s DC
35%
Problems at retailer’s DC
Upstream In-store causes causes
28% 59%
Demand variations
13%
Store ordering
Shelf
Replenishment
Manufacturer Manufacturer’s DC
11 weeks inventory
Retailer’s DC
6 weeks inventory
Consider stock-outs
Retailer
8%
World
Wide

RFID System

RFID

Low cost rfid
Silicon: 4c/mm 2
10
5
20
15 time

Why is RFID expensive today?
reduce functionality
(Networking & software) greater functionality increased chip size reduce chip size
(handle small chips)

Cheap protocol
100
90
80
70
60
50
40
30
20
10
0
905 910 915
Frequency (MHz)
920 i
912 100
2 Meters, 4 KHz,
SQW, 1 dBm

the hypothesis or bet z
Place unique number on tag z
Electronic Product Code, EPC z
64 bit, 96 bit, and upwards
01. 203D2A. 916E8B. 8719BAE03C
Header 8 bits Serial Number 40 bits
Product 24 bits
Manufacturer 24 bits z
Develop manufacturing technology for small chips and tags z
Move data on the network z z
Network service for resolving EPC
Network architecture for gathering and routing data context-aware router context-aware aware router router router context-aware context-aw context-aware router router router context-aware router sensor sensor sensor sensor

Outline, Part I z
RFID and the Auto-ID Center z z z z
What and why of RFID
The cost issue
Manufacturing low-cost RFID
Handling the data z
Current status z
An in-depth look at some issues

Low cost RFID
IC
Design
IC
Design
IC
Manufacture
Antenna
Manufacture
Antenna/IC
Assembly
Conversion to Package
$X Million 20 ¢
Billions Number of tags
5 ¢ 5 ¢ 20 ¢
End users
1-2 ¢ 1 ¢ 1 ¢ 1 ¢

Challenges of IC minimalism z
0.25 mm 2 : does it make life tougher? z z z z z z z z z z z z z z z z z z z z
……..
Street width will dominate
Still have to test the IC’s (?)
Die handling costs are high
Die-attach/wire-bonding techniques do not scale
Street width will dominate
Still have to test the IC’s (?)
Die handling costs are high
Street width will dominate
Still have to test the IC’s (?)
Die handling costs are high
Street width will dominate
Still have to test the IC’s (?)
Die handling costs are high
Street width will dominate
Still have to test the IC’s (?)
Die handling costs are high
Street width will dominate
Still have to test the IC’s (?)
Die handling costs are high

low cost rfid challenges
IC
Manufacture
Antenna
Manufacture
Antenna/IC
Assembly
Conversion to Package
20 ¢ 5 ¢ 5 ¢ 20 ¢
1-2 ¢ 1 ¢ 1 ¢ 1 ¢

Testing z
Economics today: z
$500 - $1000 per wafer z
But minimal functionality means z z z
High reliability
Don’t test on wafer
Test wirelessly at conversion

Slicing and Dicing z
Standard saw-dicing wasteful z
Instead, use separation by thinning
C. Landesberger, S. Scherbaum, G. Schwinn, H. Spöhrle: “New Process Scheme for Wafer Thinning and Stress-free Separation of Ultra Thin
IC’s,” Proceedings of Microsystems Technologies 2001, Mesago, Stuttgart, pp. 431-436, 2001.

Low cost RFID challenges
IC
Manufacture
Antenna
Manufacture
Antenna/IC
Assembly
Conversion to Package
20 ¢ 5 ¢ 5 ¢ 20 ¢
1-2 ¢ 1 ¢ 1 ¢ 1 ¢

Antenna z
Screen printing z
Etching z
Forming

Low cost RFID challenges
IC
Manufacture
Antenna
Manufacture
Antenna/IC
Assembly
Conversion to Package
20 ¢ 5 ¢ 5 ¢ 20 ¢
1-2 ¢ 1 ¢ 1 ¢ 1 ¢

Assembly z
Fluidic Self Assembly z
Vibratory Assembly z
Pick and place

Vibratory Assembly
Chip
Assembly
Chip
Design
Silicon
Manufacturing
Wafer
Treatment
Antenna
Manufacturing
Label Tag
Manufacturing
Inlet
Assembly
Label
Converting
End User

Low cost RFID challenges
IC
Manufacture
Antenna
Manufacture
Antenna/IC
Assembly
Conversion to Package
20 ¢ 5 ¢ 5 ¢ 20 ¢
1-2 ¢ 1 ¢
1 ¢ 1 ¢

Conversion z
Paper/package/label industry expertise z
Scales well with mass production z
Capital equipment expenditure software hardware paper

Outline, Part I z
RFID and the Auto-ID Center z z z z
What and why of RFID
The cost issue
Manufacturing low-cost RFID
Handling the data z
Current status z
An in-depth look at some issues

Architecture: Local
Reader
01.203D2A.916E8B.8719BAE03C
Tag
Middleware
Reader
Local network
Data
Processing
Local database

Architecture: Global
ONS PML Server
Local system
Reader
01.203D2A.916E8B.8719BAE03C
Internet
Middleware
Reader
<PML>
<TIME=2000.4.28:10:05.05HRS>
<EPC= 01.203D2A.916E8B.8719BAE03C >
<TEMPERATURE=15 DEG C>
</EPC>
</TIME>
</PML>
Local network
Data
Processing
Local database
XQL
18.72.100.100
PML
18.72.100.100
01.203D2A.916E8B.8719B
????
<PML>
…
…
...
<MaximumTempearture>
40 DEG C
</MaximumTempearture>
<MinimumTemperature>
5 DEG C

Inference
ONS
Temperature OK
PML Server
Local system
Reader
Tag
Internet
Middleware
Reader
<PML>
<TIME=2000.4.28:10:05.05HRS>
<EPC= 01.203D2A.916E8B.8719BAE03C >
<TEMPERATURE=
15 DEG C
>
</EPC>
</TIME>
</PML>
Local network
Data
Processing
Local database
XQL
18.72.100.100
PML
18.72.100.100
01.203D2A.916E8B.8719B
????
<PML>
…
…
...
<MaximumTempearture>
40 DEG C
</MaximumTempearture>
<MinimumTemperature>
5 DEG C
Quality control specialist
</PML>

Three Layers of an EPC
Architecture
ONS
Trading Partners
Trading Partners
• EPC Enterprise data store
• Data migration from Edge
• Standard API
• Enterprise systems
• Trading partners
Enterprise
Edge
EPC
Enterprise
Business IDs
+
EPC Edge object time loc
Edge 3
Edge 2
Edge 1
• RF Abstraction layer
• Device mgmt
• Event mgmt
• EPC Edge data store
• Standard API
• Data migration to Enterprise
Software
Hardware
Readers
Tags
• Physical data capture

Outline, Part I z
RFID and the Auto-ID Center z z z z
What and why of RFID
The cost issue
Manufacturing low-cost RFID
Handling the data z
Current status z
An in-depth look at some issues

Field Trial
COCA COLA BOTTLER
CLEVELAND, TN
JOHNSON & JOHNSON KRAFT FOODS
FORTH WORTH, TX
UNILIVER DIST. CENTER
CHICAGO IL
P & G FACTORY
P & G DC
IOWA CITY, IO
WAL M ART STORE
CLEVELAND, TN
Pilot facility is being used as a mini warehouse
WAL-MART STORE
BROKEN ARROW, OK
Warehouse Retail Floor
WAL-M ART DEPOT SAM'S DEPOT
SAM'S STORE
TULSA
Staging Area Retail Floor

The Commercialization of EPC z z z z
Landmark Event: EPCglobal is formed
Many companies have significant tests and pilots underway
Mandates: z
DoD z z z z z
Marks & Spencer
Tesco
Wal-Mart
Metro Group
Target z z
Albertsons
Best Buy
Other major retailers are continuing to announce their strategies

RFID Status z
3 protocols z z z
Class 0 UHF
Class I UHF
Class I HF z
Tens of manufacturers z z
Tags: Alien, Matrics, Philips, ST Micro, Rafsec, ….
Readers: Alien, Matrics, AWID, ThingMagic, Tyco, Symbol,
Samsys,… z
New versions being designed z z
Gen 2 taking off
Intermec patent still issue

Key philosophy #1: interoperability
Sensors
Open tag
Agile reader
Software
Internet

Key philosophy #2: Layers
Class V tags
Readers. Can power other Class I, II and III tags;
Communicate with Classes IV and V.
Class IV tags:
Active tags with broad-band peer-to-peer communication
Cl ass III tags: semi-passive RFID tags
Cl ass II tags: passive tags with additional functionality
Class 0/Class I: read-only passive tags

Vendors z
Chips: Alien, Matrics, Philips, ST Micro z
Readers: Alien, Matrics, Philips, Tagsys, Samsys,
ThingMagic, Tyco, Symbol, Markem, AWID z
Software: Sun, Oat Systems, Manhattan, Globe
Ranger, Conecterra, SAP, Tibco, Verisign, Vizional,
.. z
Systems: Accenture, PWC/IBM, GEA, … z
End-Users: Gillette, Wal*Mart, P&G, TESCO, Metro,
Target, Wegmans, ….

Research Issues z z z z z z z z z z z z
Tag anti-collision
Reader anti-collision
Security and privacy
Advanced sensor networks
Data routing and handling
IC Design
IC manufacturing z z
Silicon processing
Chip assembly
Polymers
Controls/automation
Manufacturing systems
System Synthesis
Supply chain issues

Outline, Part I z
RFID and the Auto-ID Center z z z z
What and why of RFID
The cost issue
Manufacturing low-cost RFID
Handling the data z
Current status z
An in-depth look at some issues

Outline, Part II z
RFID and the Auto-ID Center z
An in-depth look at some issues z z z z
A peek at the protocol
Security and Privacy Issues
Software
Vibration analysis z
Silicon manufacturing

Components z
Signaling z
Anti-collision z
Functions

reader to tag: modulation
Reader to Tag Modulation
UHF
Envelope
Low Time
10% 45%
100%
45%
On Off Keying (OOK), Min 90% Modulation Depth

Modulation: reader to tag
62.5 Khz
16 us data = 0
Cl data = 1 l

0 tag to reader
1 Bit Cell
1
• Bit Cell Time: ~8 µs Tag to Reader (128 kbs)
• 2 Transitions = 0
• 4 Transitions = 1
• Always Transitions
Within a Bit

Anti-collision z
A Reader Talks First ( RTF ) System z
Commands Issued from Reader z
Tags Reply at a Later Time While Reader
Listens z
Transactions are Self-Contained Operations
(Minimal Persistent State Information
Required)

Contention Detection
Anti-Collision Algorithm Relies on Detecting
Contention (When More than One Tag is
Responding to a Reader Command).
Contention- Two
Tags, Same Clock
Rate, 1-Bit Difference
100%
0 1 0 1 1 0 0 10

Anti-Collision
00
000 001
0
Query 1
1
01
010 011 100
10
101 110
11
111
[CMD] = 00001000 (Ping)
[PTR]
[LEN]
= 00000000
= 00000000 (0)
[VALUE] = 0
011000
01100
011001
0110
011010
01101
Query 2
011011 011100
01110
011101
0111
011110
01111
011111
[CMD] = 00001000 (Ping)
[PTR] = 00000000
[LEN] = 00000011 (3)
[VALUE] = 011
000 001 010 011 100 101 110 111

Functions z
Write address z
Lock address z
Preload address mask z
Read ID (anti-collision) z
Read payload z
Write payload z
Sleep z
Wake z
Destroy

Outline, Part II z
RFID and the Auto-ID Center z
An in-depth look at some issues z z z z
A peek at the protocol
Security and Privacy Issues
Software
Vibration analysis z
Silicon manufacturing

Does protocol compromise privacy?
Not necessarily. Your choice. z
You can destroy the tag and opt out z or z
You can keep tag for later use z
(physics is your friend)

Mass hijack of tags z
Could happen in destroy or re-programming z
Physics our friend z
Bandwidth limited: 100’s of tags a second anti­ collision z z z
Destroy must be individually addressed
So it takes time to kill
Surveillance

Issues z
Tags are light-weight z
Anyone can read the tags (promiscuity) z
The same number shows up all the time z
Channel is open and shared
01. 203D2A. 916E8B. 8719BAE03C
Header 8 bits Serial Number 40 bits
Product 24 bits
Manufacturer 24 bits

Problem: unique and promiscuous
Kill Serial number?
z
Product still readable z
Person can be tracked by constellation
Personalize the number?
z
Repeated reads yield same number z
You could still be tracked by constellation

Check out EPCglobal
Public policy www.
epcglobal inc.org/ public _ policy / public _ policy _guidelines.html

Outline, Part II z
RFID and the Auto-ID Center z
An in-depth look at some issues z z z z
A peek at the protocol
Security and Privacy Issues
Software
Vibration analysis z
Silicon manufacturing

Outline, Part II z
RFID and the Auto-ID Center z
An in-depth look at some issues z z z z
A peek at the protocol
Security and Privacy Issues
Software
Vibration analysis z
Silicon manufacturing

Outline z
Introduction z
Kinematics z
In-plane surface motion z
Out-of-plane motion z
Adhesion and fluid effects z
Experiments z
Conclusions

Introduction
Motivation z
Need methods for handling of small microscopic parts in tag production processes z
A traditional technique to solve scaling problems is parallelization

Topics
Basic kinematics of vibratory part transport
Effects of fluid, and surface/adhesion forces

Outline z
Introduction z
Kinematics z
In-plane surface motion z
Out-of-plane motion z
Adhesion and fluid effects z
Conclusions

Vibration Kinematics z z
Want relative motion
Approaches: z
Surface micro-features z
MEMS cilia, rollers, etc. z
Gas flow nozzle arrays z z z
Electrical/magnetic fields
Moving Fluid medium flowing over surface z
Fluidic Self Assembly (FSA Alien Tech’s)
Vibrating surfaces z z
Time asymmetric in-plane vibrations
Out-of-plane vibrations (such as in Bowl Feeders)

Vibrating Surfaces
In-plane vibrations of a surface if timeasymmetric z z z
Part moves if surface acceleration is more than friction
Forward-backward motion?
Much literature

Example: Stick Slip
Surface accelerating faster than friction can sustain
Gravity friction cone v x

Out-of-plane vibrations z z z z
Vertical vibration: extra degree of freedom
Create hop, move platen back
Small-scale forces
Increased accelerations may be needed to compensate

Hopping example
Possible return path
Part in collision with surface
Gravity friction cone
Part in flight
Surface accelerating faster than gravity downwards

Outline z
Introduction z
Kinematics z
In-plane surface motion z
Out-of-plane motion z
Adhesion and fluid effects z
Conclusions

Adhesion z z
Adhesion effects become important at small scales
Van der Waals forces z z z z z
Due to static and quantum mechanically induced dipoles
Strong role in inter-molecular and surface phenomena
Become important at < 100nm surface separation
Adhesion surface energies of ~100mJ/m 2
Clean atomically smooth surfaces in contact may have adhesion pressures of the order of thousands of atmospheres

Adhesion effect on vibratory transport z
Larger accelerations are needed z
Too contaminated or too clean are bad z
Can be alleviated by: Roughening or Surfactants z
Strong secondary excitation can “levitate” the parts z
If done for fractions of the cycle, “creeping” transport can be achieved, where the part moves when vibrations are on and sticks when they are off

Example: hopping with adhesion
Sticky collision adhesion friction cone
Surface acceleration
Flight after unstick

Fluid dynamic scaling z z
Sticking due to fluids
Alleviation z z z use surfaces that are “leaky”
Make chip surface bumpy
Run in vacuum

velocity loss due to film damping
Frequency effect on damping
Si disk
400 µ m dia.
200 µ m thick
Starting gap effect on damping

Outline z
Introduction z
Kinematics z
In-plane surface motion z
Out-of-plane motion z
Adhesion and fluid effects z
Conclusions

Conclusions z
Basic physics z
Ongoing work: z
Measurements z z
Effects of geometries
Test methods z
Design: z
Chip delivery methods and roll to roll packaging

Outline, Part II z
RFID and the Auto-ID Center z
An in-depth look at some issues z z z z
A peek at the protocol
Security and Privacy Issues
Software
Vibration analysis z
Silicon manufacturing

RFID manufacturing simulation
Gita Swamy
Sanjay Sarma

Outline z
Components of an RFID tag z
Understanding the Experiment z
Manufacture z
Semiconductor z
Tag z
Results z
Worldwide Fab Capacity

Results z
Total RFID Cost z
IC + Traditional Assembly: 4.351¢ z
IC + Flip Chip Assembly: 3.311¢ z
IC Cost: 1.151¢ z
Antenna Cost: 11¢ z
Assembly: 2.25c ~ 1.15 1¢ z
At 10’s of billion tags a year

RFID Tag Components z
Antenna z
Mixed-Mode IC z
Packaging

Inputs to model
Process Steps
Equipment Benchmark z
Throughput z
Raw material & Utilities z
Labor z
Yield
Overhead
Maintenance
Depreciation

Semiconductor Processing

Process modeling z
R. Leachman, J. Plummer & N. Sato-Misawa, “Understanding fab economics” Competitive Semiconductor Manufacturing,
University of California, Berkeley, 1999. z
Leachman & Hodges, “Berkeley Semiconductor
Manufacturing” IEEE Transactions on Semiconductor
Manufacturing, May 1996. z
J. Bloomsburg, “RFID Tag Manufacturing” MIT UROP, 2002. z
R. Wright, “Cost Resource Model Detail” Economic Model
Workshop, International Sematech, 2001.

semiconductor process modeling z
Sematech developed benchmark z
250_A1_82
Process
Benchmark z
0.25 micron z
282 Step z
19 Mask z
3 Metal z
2 Poly

Driving Variables z z z z
Mask, Metal and Poly
Layers
Wafer starts: 300,000 per year
100,000 dies/wafer
Wafer size: 200mm

Assembly Process z
Assembly Process Steps z
Thinning z
Dicing z
Assembly z
Traditional z
Flip Chip z
Fluidic Self Assembly z
Vibratory Assembly z
Tag Test

Flip chip

Assembly Process z
Types of Runs z
Unit Machine z
Line Maximized

Results z
Total RFID Cost z
IC + Traditional Assembly: 4.351¢ z
IC + Flip Chip Assembly: 3.311¢ z
IC Cost: 1.151¢ z
Antenna Cost: 11¢ z
Assembly: 2.25c ~ 1.15 1¢ z
At 10’s of billion tags a year

Results: Die Cost

Results: Assembly Cost
Breakdown

Results: Cumulative Assembly
Cost
Assembly Costs
1.00000000
Thinning Dici ng Tag Test
0.036584412 0.10000000
Assemb ly
0.032175597
0.03025432
0.01000000 0.02922279
0.000650941
0.00100000 0.000342826
Assembly Costs
0.00010000
1.00000000
0.00005651
0.00001000 0.00002772
Li i
0.10000000
Unit Machine
0.01000000
Thinning Dicing Fli p Chip
Assemb ly
0.024655643
0.01857550
$0.00142614
0.00100000 0.000342826
0.00083171
0.00010000
Tag Test
0.026883013
0.01959650
0.00001000 0.00002772
Line Max imi zed Uni i

Worldwide Fab Capacity z
Assume 1 billion tags a day z
100,000 dies/wafer z
20% of world silicon capacity z
Fabs 15% idle today

Outline, Part II z
RFID and the Auto-ID Center z
An in-depth look at some issues z z z z
A peek at the protocol
Security and Privacy Issues
Software
Vibration analysis z
Silicon manufacturing

Conclusions

Physics and God
The limits of physics
Parameter #1
God vendors