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Exploring RFID Technology: Current Uses, Future Implications, and Challenges in Supply Chain Management

This presentation provides a comprehensive overview of Radio Frequency Identification (RFID) technology, its historical development, and its applications in various sectors, particularly supply chain management. It discusses the different types of RFID tags—passive, semi-passive, and active—and their functionalities. The session highlights how large retailers like Wal-Mart utilize RFID for inventory visibility and error reduction. Additionally, future uses of RFID, ranging from automatic payments to health records, are explored, alongside the ethical and environmental challenges posed by this technology.

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Exploring RFID Technology: Current Uses, Future Implications, and Challenges in Supply Chain Management

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Presentation Transcript

  1. RFID Radio Frequency Identification Austin Rutkowski Naomi Shaw Jenelle Meeker Maggie Kwong

  2. Agenda • Introduction & Overview – Austin • Supply Chain Management Uses – Jenelle • Other Current Uses – Maggie • Future Uses, Issues & Conclusions – Naomi

  3. RFID in Use—Hollywood Style Courtesy of Paramount Pictures

  4. History of RFID • 1939 - IFF transponder invented by the British • 1945 - Léon Theremin invented an espionage tool for the Soviet government • 1973 - Mario Cardullo holds the patent for the first RFID—a passive radio transponder with memory

  5. What Exactly is RFID? • Radio Frequency Identification (RFID) is an automatic identification method • Relies on storing and remotely retrieving data using tags or transponders • An RFID tag is a small object that can be attached to or incorporated into: • products • animals • people

  6. Types of RFID Tags • Passive RFID tags have no internal power supply • Semi-passive RFID tags have a small battery • Active RFID tags have their own internal power source

  7. Passive RFID Tags • Response is more than an ID number / UPC • Can contain nonvolatile EEPROM for storing data • Lack of an onboard power supply means that the device can be quite small • The minute electrical current induced in the antenna by the incoming radio frequency signal provides just enough power for the tag activate and transmit a response • Least expensive RFID tag

  8. Semi-Passive RFID Tags • Faster because they do not waste time collecting power to transmit a response • Batteries make it difficult to place permanently • Much larger than passive tags www.wikipedia.org

  9. Active RFID Tags • Active tags typically much more reliable • More powerful and can function against the elements and interference such as radiation, water, electric shock, et cetera • Battery life lasts about 10-15 years • About the size of a coin

  10. RFID and Supply Chain Management Two values for inventory systems: • Provides visibility of inventory throughout supply chain • Simplifies the acquisition process and helps to prevent or reduce human errors www.googleimages.com

  11. Wal-Mart • Top 100 suppliers required to apply RFID labels to all shipments • “Smart Shelves” and automatic, hands-free management • Benefit for retailers and suppliers • Obstacles in applying the technology RFID!

  12. Department of Defense • Mandate for RFID tracking • Goals • Improve forecasting through better visibility • Increase accuracy of data and shipments • 3G tag - Combining RFID with GPS and satellite communications

  13. Effects on AIS / Accounting • Shift in inventory costing method used • Auditing the effectiveness of RFID related controls • Influx of data produced in RFID system • RFID in practice AICPA: http://www.aicpa.org/pubs/jofa/nov2004/davis.htm

  14. Pet Identification • How does it work? • Benefits • Cost • Data update required • Lack of RFID pet tag standards www.rfidnews.org/new

  15. www.rfidjournal.com Animal Identification • Livestock • How does it work? • Uses • Feeding • Disease control • Breeding • Endangered Species • Uses • Prevention of poaching / exporting • Tracking population level www.juicycoppertoes.com

  16. Passport Identification • U. S. – RFID passports will be issued in October 2006 • Pros • Convenient • Difficult to fabricate • Cons • Privacy issues • Security concern • Already in use in some countries www.engadget.com

  17. www.gilbarco.com Automatic Payment Methods • RFID-based automatic toll payment • Contactless payment card – pass credit card with imbedded chip near terminal • Cash free / Wireless payment – no card or signature required www.wikipedia.org

  18. Future & Innovative Uses • Smartkey-style office “security” • Remote vehicle start • Already in use by Toyota Prius • Fully automated stores • Traffic control • Medical records • Food expiry dates • Driver licenses • Human implants • RFID “toys” www.google/images.com http://en.wikipedia.org/wiki/RFID

  19. Emergent Business Models • Manufacturing and provision • Supply chain management • Recycling and reclamation • Data warehousing / management • Litigation / regulation RFID Manufacturing Process (www.stanford.edu/organicelectronicslab)

  20. Controversy & Issues • Ethics • Legality • Vulnerability • Environmental health effects • Reliability • A plot to track our every move???

  21. Factors to Consider for Accounting and Business in General • Controversy, arguments against use • Technical / architectural challenges • Trend in specific industries for use of RFID • Function and span of RFID

  22. Resources Utilized • Wikipedia: http://en.wikipedia.org/wiki/RFID • Design of a RFID case-based resource management system for warehouse operations.   By: Chow, Harry K.H.; Choy, King Lun; Lee, W.B.; Lau, K.C.. Expert Systems with Applications, May2006, Vol. 30 Issue 4, p561-576, 16p. • Explosive RFID-tag growth projected in next 5 years.   Control Engineering, Apr2006, Vol. 53 Issue 4, p28-28, 1/3p. • Graafstra, Amel. (2006) How to Create RFID Access for Your Front Door; Extreme Tech: Build it, Tweak it, Know it; Available: http://www.extremetech.com/article2/0,1697,1938953,00.asp • Kirk, Jeremy. (2006) RFID tags vulnerable to viruses, study says; Computer World; Available:http://www.computerworld.com/mobiletopics/mobile/story/0,10801,109560,00.html • Newitz, Annalee. (2006)The RFID Hacking Underground; Wired; Available: http://www.wired.com/wired/archive/14.05/rfid.html. • RFID. (2006) Definition of RFID Wikipedia, the Free Encyclopedia; Available: http://en.wikipedia.org/wiki/RFID. • RFID Privacy Issues and News. (2006) RFID 1984; Available: http://www.spychips.com/. • ID renders bar codes obsolete.   By: Honaman, J. Craig. H&HN: Hospitals & Health Networks, Apr2006, Vol. 80 Issue 4, p14-14, 1/5p. • RFID Security Worries Need a Reality Check.Computerworld, 5/1/2006, Vol. 40 Issue 18, p34-34, 3/4p. • Risks of RFID.Communications of the ACM, May2006, Vol. 49 Issue 5, p136-136, 1p. • Tuning in to RFID.   By: Borck, James R.. InfoWorld, 4/17/2006, Vol. 28 Issue 16, p31-36, 5p. • World’s First Mobile RFID Tag Encoder. (2006) ADASA RFID Innovation; Available: http://www.adasainc.com/index.html.

  23. Thank you! We now welcome questions from the audience.

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