DETAILED ANALYSIS OF RADIO FREQUENCY IDENTIFICATION (RFID)

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Nov 27, 2013 (3 years and 11 months ago)

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DETAILED ANALYSIS OF

RADIO FREQUENCY IDENTIFICATION

(R
FID
)







Prepared for

Ralph Walker










Prepared by

The Owls :

Nicole Brennan, Candace Kirby

Matt Hayden, Lindsay Hurlburt

Matt Tolan











November 21, 2005






MEMORANDUM


T
O:


Ralph Wal
ker, Professor


FROM:

The Owls


DATE:

November 21, 2005


SUBJECT:

Detailed Analysis of Radio Frequency Identification


Here is the report that you requested be due on November 21, 2005 regarding Radio
Frequency Identification.


This report will contain all

the information that you will need to decide on whether to
invest in RFID or not, with our recommendations for you to be guided by.


RFID right now is in its infancy stages for mass
-
marketing, as it was only implemented in
the 1990’s. Now Gillette, Wal
-
Ma
rt, and other retail manufacturers and stores are starting
to use the suggested product, buying it in high quantity so as to only pay for a low
bundled amount.


The cost for RFID is really high at the present moment. However if we were to enter into
a bus
iness to manufacture RFID tags, the time would be either now or in the near future.
This is due to the high price on the current tags, which means there is a low amount of
markets in the RFID manufacturing business. If we needed to come in and compete wi
th
the current companies in the industry we could drive the RFID costs lower.


Hopefully after reading this report you will come to the same conclusion as we have. I
look forward to hearing from you in the near future.


I’m grateful to my group members, M
s. Brennan, Mr. Hayden, Ms. Hurlburt, and Ms.
Kirby for helping me put together this information included in this report.


Thanks for giving me the opportunity to give you this detailed analysis on RFID. If you
have any questions regarding this paper or a
nything at all please don’t hesitate to give me
a call.










Operating Agreements
-

A team contract delineating meetings, performance, quality
and schedule.


To receive full credit


your team agreement must include:

Breakdown of Components:

Value

Poin
ts Awarded

Team Objective and Mission Statement

1


Purpose


Define Research Topic


type
of software

1


Decision
-
making


How will team make
decisions?

1


Team Leader and Structure discussed

1


Meeting attendance policy

1


Preparation and performanc
e


define
quality

1


Non
-
performance and peer
-
review

1


Outline project requirements (Work
breakdown structure)

1


Meeting Schedule (meeting facilitator?)

1


Project Schedule with schedule of
deliverables

1





See Operating Agreement Samples on the
following pages

Team Thoughts

“Small minds talk about people, Average minds talk about events, Brilliant minds talk about ideas”

“ The sum is greater than the individual parts.”

I.

________________________________
________________________________
____________

Preliminary Provisions

(1)
Effective Date
: This team operating agreement o
f The Owls, effective October 31,
2005, is adopted by the members whose signatures appear at the end of this
agreement.

(2)
Formation
: This team was formed by a select group of courageous students of
BISM 2100.

(3)
Name
: The formal name of this team is as

stated above. However, this team may
do business under a different name (if will get us extra credit for going the extra
mile).

(4)
Purposes
: The specific team’s purpose and activities contemplated by the
founders consist of the following to: understand
and discover the full concepts
of what RFID is.

(5)
Duration of the Team
: The duration of this team shall be till death do us part (or
the end of BISM 2100), whatever comes first.

II.

________________________________
________________________________
___________

Membership Provisions

(1)
Non
-
liability of Members
: No member of this

team shall be solely or personally
liable for any team expenses.

(2)
Reimbursement for Organizational Costs
: the team shall reimburse Members for
expenses agreed upon by all the members.

(3)
Management
: This team shall be managed by all of its members.

No single
person is the President, CEO, or Big Cheese. Each member relies on all other
team members, remembering that no one member is more important than
another is.

(4)
Membership Voting
: Each member shall vote on any matter submitted to the
membership
for approval. We will govern by consensus. Screaming, crying,
and pouting like a baby, although very persuasive at home, won’t work in the
team matters.

(5)
Compensation
: Members shall not be paid as members of the team, unless
someone hits the lottery and

would like to share the wealth.

(6)
Members’ Meetings
: Any member may call a meeting by communicating his or
her wish to schedule a meeting to all other members. Such notification may be
electronic (e
-
mail), in person or by telephone to meet at a mutuall
y acceptable
time and place.


If all members cannot attend a meeting, it shall be postponed to a date and
time when all members can attend, unless all members who do not attend have
agreed in via email to the holding of the meeting without them.


All mem
bers are expected to arrive at meetings on time and prepared to
discuss the work at hand. Meetings and discussions should foster sharing of
ideas, creativity as well as constructive not destructive feedback.


Written minutes of the discussions, proposals,

key topics, and decisions
presented at a members’ meeting, shall be recorded by one (or more) of the
members designated at the meeting. A copy of the minutes of the meeting shall
be placed in a repository. The members may establish an online external
docu
ment repository .


(7)
Other Business by Members
: Each member shall agree not to bring in conflicting
material (say from another class or from work) if such activities would compete
with this team’s goals, mission, etc. or would diminish the member’s abil
ity to
provide maximum effort and performance in managing the team.

III.

Membership contributions

(1)

Expected Contributions:

a.

Each member of the group will complete project and assignments on time.
Members are expected to participate equally on assignments. Me
mbers
will be allowed to work to his or her strengths and improve on their
weaknesses.

b. Each member must be open to ideas and opinions of others in the group.
You never know what you can get from a crazy idea. Each idea should
be thoughtfully consid
ered and discussed by the group. Group members
must be willing to accept the input of the rest of the group. Each member
is responsible for making sure that each and every idea gets an audience
and respect, even if the others think it is not productive, s
tupid, etc.

c.

Each member is expected to be honest with themselves as well as the
rest of the group. Trust is a key element in any good working relationship.

d.

Each member should ask for help from the group and the group should
share valuable work experience
s to make help round out the learning
experience.

e.

Each member must work towards facilitating a positive learning
experience for all members of the group while keeping a good sense of
humor and keeping the group fun.

(2)
Additional Contributions by Members
:

The members may agree, from time to time
by unanimous consensus, to require additional contributions by the members,
on or by a mutually agreeable date.


(3)
Failure to Meet the Time Deadline for Expected Contributions :



If a member fails to meet a requ
ired deadline within the time agreed, the remaining members may, by unanimous consensus, agree to reschedule the time for con
tribution by the late
-
participating member, setting any additional terms, such as a late penalties (e.g. have to bring in donuts),
or other goodies to be paid by the delinquent
member.

IV.

________________________________
________________________________
__________

Membership Withdrawal

(1) A member may not withdraw from this team unless there is some serious event
that limits them from participating in the class.

V.

________________________________
________________________________
___________

Dissolution Provisions

(1)
Events That Tri
gger Dissolution of the Team:

The following event shall trigger
dissolution of the team: the end of the class

VI.

________________________________
________________________________
______________

General Provisions

(1)
Records
: The Team shall make provisions to keep most of its documents at an
online repository (e.g. www.webct.com).

(2)

Mediation and Arbitration of Disputes Among Members
: In any dispute over the
provisions of this operating agreement and in other disputes among the
members, if the members cannot resolve the dispute to their mutual
satisfaction, the matter shall be submit
ted to mediation with the BISM 2100
faculty.

(3)
Entire Agreement
: This operating agreement represents the entire agreement
among the members of this team, and it shall not be amended, modified or
replaced except by a written instrument executed by all th
e parties to this
agreement who are current members of this team.

VII.

________________________________
________________________________
__________

Signatures of Members

(1)

Execution of Agreement
: In witness whereof, the members of this team sign and
adopt this agreement as the operating agreement of this Team.


October 31, 2005


S
ignature:____
Lindsay Hurlburt

Member


Signature
:
Matt Hayden

Member


Signature
:
_
Matt Tolan
Member


Signature
:


Nicole Bre
nnan

Member


Signature
: Candace Kirby



Member


Commitment to Professional Growth Through Partnership


Team Operating Agreement


Team Operating Agreement



Mission Statement

................................
................................
................................
...

1


Operating Agreement

................................
................................
................................
..............
1


1.

Accountabilities of Team Associates
……..……………………………………….

1


2. Team
Communications
……………………………………………………………..

1


3. Meeting
Management
………………………………………………………………

2


4. Technical & Interpersonal Strengths and Development
Needs
…………………….

2

5. Giving & Receiving Feedback/Conflict Management
……………………………...

2

6. Decision Making & Problem Solving
………………………………………………

___________________________

3

7. Document Development and Production
…………………………………………...

___________________________

3

8. Processes & Quality Standards with Metrics
……………………………………….

__________________________

3

9. Cur
rent Effectiveness and Future Planning
………………………………………...

__________________________

3



Team Signatures
................................
................................
................................
.......................
4


Meeting Schedules

................................
................................
................................
....................
5

Mission Statement


Our mission is to build a team committed to professional business excellence that
enhances the MBA learning experience at Kennesaw State

University through mutual
support, shared experiences and inspiration of its members.



Operating Agreement


We will achieve team excellence and attain project objectives by adhering to the following guidelines,
which the team has agreed upon:


1.

Accountabi
lities of Team Associates




Define accountabilities in terms of associate’s preference, needs, likes, abilities,
etc., and needs of the group, specifically we will capitalize on the strengths and
skills of each associate to improve the overall effectivenes
s of the team



Honor commitments made to the team and strive to make positive contributions to
team goals and objectives



Responsible for creation of products and accountable to the group as a whole



Each associate will be committed to the Joint Ventures mis
sion and will produce
the highest quality work possible.



Create a relaxed, enjoyable, positive learning community with other associates



Share the workload equally



Have fun and celebrate our successes


2.

Team Communications




Communicate via email at least se
mi
-
daily, feedback is expected within 24 hours
by associates



Associates are responsible for notifying the team when they will be out of reach
for any reason, during these periods, absent associates will understand that
projects and other team work will con
tinue as needed to meet the objectives of the
team



Meet at minimum once a week and additionally as needed



Encourage associates by actively seeking feedback and responses. Feedback
should be direct, constructive, and offered in an honest and tactful manner



Associates should respect the opinions and feedback of all team members


3. Meeting Management




A team leader and secretary will be chosen for each meeting, in addition these
roles will be rotated to allow each associate to experience different componen
ts of
meeting management and group facilitation




The responsibilities of the team leader include: overall leadership for meetings,
creation and distribution of an agenda at least 24 hours prior to meetings to allow
for feedback from associates, leadership
during a meeting to insure all topics have
been covered and objectives have been met




The responsibilities of the secretary will include: compiling and distributing
meeting notes to associates within 24 hours after the meeting, creating
comprehensive docum
entation of project timelines to insure deadlines are met



Our team will meet each Monday and Wednesday at 3:15pm at the Buruss
Building on the campus of Kennesaw State University or other locations which
will be determined



All associates will be given the

opportunity to provide thoughts and ideas during
meetings or other communications. We will provide listen attentively to each
team member’s idea and comments, and will provide feedback as needed.



Participate actively in discussions and assignments



Discus
s previous meeting(s) and next steps for future meeting(s) at each meeting


4.

Technical & Interpersonal Strengths and Development Needs




Associates will provide a self assessment of personal and professional skills and
areas for improvement



The team will de
velop a comprehensive assessment of its internal strengths and
areas for improvement in order to best accomplish the objectives of a project



Associates will develop and enhance skills by partnering with associates in the
group who possesses strengths in a
specific area



Each team member will do his/her best to contribute to the development of other
team associates


5.

Giving & Receiving Feedback/Conflict Management




Opinions of group members should be respected



The team will celebrate successes and identify l
earning opportunities



Members will demonstrate willingness to make necessary compromises



If a reasonable agreement or compromise cannot be made among two or more
group members, an unbiased third party will be asked to mediate


6.

Decision Making & Problem S
olving




Decisions will be made by consensus within group



The team will consider all ideas from associates as important


7.

Document Development and Production




A project leader will be chosen for each group assignment who will have overall
responsibility f
or a project to insure all objectives of that project are met,
associates will rotate in this role to allow for each individuals to experience
leading a project



Review each product by associates in group before being submitted



Share development of product
s by all associates


8.

Processes & Quality Standards with Metrics




Review of each product by an associate other than its creator to insure an
objective analysis



Accompany any product with source documentation and references to verify
accuracy



Check all qu
antitative data/analysis for accuracy



Incorporate feedback into products after the peer review process


9.

Current Effectiveness and Future Planning




Review materials periodically to determine next steps



Evaluate team at each meeting to ensure all associat
es are clear on objectives and
assignments



The team will review class notes and assignments together to insure all associates
have a thorough understanding of all material and objectives

Team Member Signatures


I, the undersigned, do agree to abide by the

above mission statement and team guidelines. I
understand that the Team Operating Agreement may be changed at any time by a consensus of
team members and notification of the KSU Teaching Team



Meeting Schedule

October 31st

Leader
: Lindsay Hurlbur
t

________________________________
________________________________
__

Secretary
: Candace Kirby

________________________________
________________________________
_

November 2

Leader
: Nicole Brennan

________________________________
________________________________
_

Secretary
: Matt Hayden

________________________________
________________________________
__

November 7

Leader
: Matt Tolan

________________________________
________________________________
____

Secretary
: Candace Kirby

________________________________
________________________________

November 9

Leader
: Matt Hayden

________________________________
________________________________

Secretary
:

Nicole Brennan

________________________________
_______________________________

November 14

Leader
: Candace Kirby

________________________________
_______________________________

Secretary
: Lindsay Hurlburt

________________________________
______________________________

November 16

Leader
: Nicole Brennan

________________________________
______________________________

Secretary
: Matt Tolan

________________________________
________________________________
_

November 21

Leader
: Matt Hayden

________________________________
________________________________

Sec
retary
: Candace Kirby

________________________________
_______________________________

November 23

Leader
: Lindsay Hurlburt

________________________________
________________________________

Secretary
: Matt Tolan

________________________________
________________________________
















CONTENTS










Page


SUMMARY


………………………………………………1


INTRODUCTION

………………………………………………2


What RFID is


………………………………………………
2


What RFID will do

………………………………………………3


BACKGROUND


………………………………………………4


BENEFITS


………………………………………………5


Problem Solving

………………………………………………
6


ISSUES



………………………………………………6


Toda
y’s Business

………………………………………………7


Customers


………………………………………………7


SPE
CIFIC ISSU
ES

………………………………………………7


Security


………………………………………………7


Cost



………………………………………………8


COMPETITION


………………………………………………8


REC
OMMENDATIONS

………………………………………………8


WORK CITED


……………………
…………………………9


LIST OF ILLUSTRATIONS


Figures









Page


RDIF Tag



…………………………………
…………….2



RDIF How
-
To


……………………………………………….3


EPC Architecture


……………………………………………….6



Tables



History of RFID


………………………………………………..5






SUMMARY


This paper offers information on the technology of RFID, or Radio Frequency
Identificat
ion, the background of how RFID is implemented, specific issues dealing with
RDIF, and a competitive assessment of this emerging technology.



BACKGROUND OF RFID


The US Department of Defense first used RFID to track military aircraft during World
War II.

Since then, this technology has been used extensively in highway toll collection,
building security, library circulation, parcel delivery and airport luggage transportation.


RFID is the combination of radio technology and radar. The development of RFID
continued on into the 50’s and 60’s.


TECHNOLOGY


RFID in the United States is poised for growth as businesses and governments explore
the applications implementing RFID. The large
-
scale adoption of RFID in commerce
and security applications is likely to
have important implications for businesses,
government, and consumers in the United States.


RFID technology and its reliance on radio waves do not require a line
-
of
-
sight for
identification or a straight
-
line alignment between tags and recorders. This al
lows
items
to be scanned through articles of clothing, purses, and other materials.


The technology will continue to evolve as new applications develop. Growth beyond
today’s user
-
specific systems will occur as RFID is deployed across the marketplace and
the related hardware and software achieve a high degree of harmonization.


SPECIFIC ISSUES


As of right now, there is a lack of uniform standards for network and data management.
The cost and quality concerns have further dampened enthusiasm for RFID. Ta
g failure
rates are reported to be as high as 20% to 30%. There costs are .30 cents per tag, which
many suppliers find very prohibitive.


COMPETETIVE ASSESMENT


Retail, military, pharmaceutical, automated payment, asset tracking, document tracking,
and ba
ggage tracking companies employ RFID for their tags.





INTRODUCTION


RFID
, or Radio Frequency Identification, is an automatic data capture technology that
offers unparalleled accuracy in inventory control and supply chain management.
Although RFID is a
relative newcomer to the media spotlight, the technology has been
quietly working its way into our culture and into our lives since RFID was drafted by the
military 60 years ago.



What RFID is


RFID allows data to be transmitted by a product containing an
d RFID tag microchip,
which is read by an RFID reader. The data transmitted can provide identification or
location information about the product, or specifics such as date of purchase or price.


RFID is at the core of the aptly
-
named “Internet of things”
and is a key enabler of the
network society. RFID refers to those technologies that use radio waves to automatically
identify and track individual items. It may be seen to fall into the family of short
-
range
wireless technologies, such as ZigBee and Blue
tooth, but with a higher capacity for
tracking and computing. This paper includes a discussion of the underlying technology,
its current applications, human implications, and what is going to happen in the future.


Simply put, RFID technology may be see
n as a means of identifying a person or object
using electromagnetic radiation. Frequencies currently used are typically 125 kHz, which
is a low frequency, 13.56
MHz
, which is high frequency, or 800
-
960
MHz
, which is ultra
high frequency. RFID enables th
e automated collection of product, time, place, and
transaction information.




An RFID system consists of two main components, a transponder and an interrogator.
The transponder carries the data, and is located on the object that is to be identified. T
his
normally consists of a coupling element, such as a coil, or microwave antenna, and an
electronic microchip. The interrogator, or reader, is to read the transmitted data, for
example on a device that is handheld or embedded in a wall
. Regardless of wh
ether this
interrogator is a read only or read/write device, it is always referred to as a “reader”.


Many readers are fitted with an additional interface to enable them to
forward

the data
received to another system, such as a personal computer or robot c
ontrol system. Most
tags are no bigger than a grain of sand, and are typically encapsulated inside a glass or
plastic module. Compared with tags, readers are larger, more expensive, and power
-
hungry. In the most common type of system, the reader transmi
ts a low
-
power radio
signal to power the tag, which like the reader has its own antenna. The tag then
selectively reflects energy/data back to the reader, which now acts as a receiver,
communicating its identity and any other relevant information. Most t
ags are only
activated when they are within the interrogation zone of the interrogator. When outside
that zone, they are dormant. Information on the tag can be received and read by readers.
These latter can be attached to a computer containing the relev
ant database. This
database can in turn be connected to a company’s Intranet, and/or the global Internet.




Much of the recent media attention surrounding RFID use refers to the use of smart tags
in consumer sales, i.e. automatic identification and data

capture. This type of RFID tag
has been considered by many to be the next generation of the Universal Product Code, or
UPC for short, or the traditional bar code.



What RFID will do


The competition that RFID is up against is still the UPC and tradition
al bar codes.
However the RFID and the traditional bar code have some very important and
fundamental differences. Firstly, traditional bar codes identify only a category of
products. For example, all Gillette Mach 3 razor blades have the same bar code.

However, with RFID tags, each packet of these blades would have its own unique
identifier that can be transmitted to suitably located readers for monitoring. At the
moment, the Electronic Product Code, or EPC for short, is the dominant standard for the
d
ata contained RFID tags for item
-
level tracking.


The EPC can hold more data than a bar code, and becomes in some sense a mini database
embedded in the item. Secondly, RFID allows data capture without the need for a line of
sight, another significant adv
ance over the bar code. This means that the need for
physical manipulation or access to individual items (often stacked or piled) is virtually
eliminated for purposes of identification and tracking. This is not the case with the bar
code, which must be “
seen” at close range by scanners in order to be identified. Some
applications limit the read range of RFID tags to between .15
-
0.20 meters, but the
majority have a range of around a meter. Newer tags in the UHF frequency bands could
even have a range of
6
-
7.5 meters.


RFID technology might not replaced the UPC bar code technology, at least not any time
soon. Besides the fact that RFID tags still cost more than UPC labels, different data
capture and tracking technologies offer different capabilities. Man
y businesses will
likely combine RFID with existing technologies such as barcode readers or digital
cameras to achieve expanded data capture and tracking capabilities that meet their
specific business needs.




BACKGROUND OF RFID


Radio frequency identif
ication is not based upon a new idea. One can trace the origins of
radio back to the discovery of electromagnetic energy, and its early understanding by
Michael Faraday in the 1840s. During the same century, James Clerk Maxwell
formulated a theory for th
e propagation of electromagnetic radiation. In the early 20
th

century, human beings were first able to use radio waves. Soon thereafter, the 1920s saw
the birth of radar. This technology detects and locates objects (position and speed)
through the refle
ction of radio waves.


RFID is the combination of radio technology and radar. An early application of RFID
emerged during World War II. The “identification of friend or foe” (IFF) program saw
the first generation of identification tags into military airc
raft. But perhaps one of the
first studies exploring RFID is the landmark work by Harry Stockman entitled
“Communication by Means of Reflected Power” in 1948.


Following the development of radio and radar, RFID techniques were explored further in
the 1950
s. In the late 1960s, radio frequency began to be used for the identification and
monitoring of nuclear and other hazardous materials.


Work on RFID began to blossom in the 1970s and 80s when developers, inventors,
companies, universities, and governments

actively developed RFID applications in their
laboratories. The technology underwent enhancements aimed at reducing cost and size,
as well as power requirements and communication range. This set the stage for mass
market RFID. In the 1990s, millions of

RFID tags made their way into applications
including toll roads, entry access cards and container tracking. The first mass
-
market
deployment of RFID was in electronic to
ll collection, which took place in Oklahoma.
Since then, technical standards have em
erged, together with new applications (such as
RFID in athletics), and the technology is slowly becoming party of everyday life. RFID
is being used as a generic term that can be used to designate the identification at a
distance by radio frequencies. It
has the key advantage of suffering very little from
obstruction or interference.


Many companies have invested in RFID systems to get the advantages they offer. These
investments are usually made in closed
-
loop systems
-
that is, when a company is trackin
g
goods that never leave its own control. That’s because all existing RFID systems use
proprietary technology, which means that if company A puts an RFID tag on a product, it
can’t be read by Company B unless they both use the same RFID system from the sa
me
vendor. But most companies don’t have closed
-
loop systems, and many of the benefits of
tracking items come from tracking them as they move from on company to another and
even one country to another.





BENEFITS


There are a lot of benefits to RFID te
chnology however. The RFID system allows
manufacturers, retailers, and suppliers to efficiently collect, manage, distribute, and store
information on inventory, business processes, and security controls.






Problem Solving


RFID will allow retailers t
o identify potential delays and shortages; grocery stores to
eliminate or reduce item spoilage; toll systems to identify and collect auto tolls on
roadways; suppliers to track shipments; and in the case of critical materials, RFID will
allow receiving auth
orities to verify the security and authentication of shipped items.
These uses are seen as only the beginning, and as RFID is deployed across different
sectors and services, increasing efficiency and visibility, several other applications and
benefits may

arise.


The technology itself offers several improvements over its predecessor technologies, the
barcode and magnetic stripe cards. The central data feature of RFID technology is the
Electronic Product Code (EPC), which is viewed by many in the industry
as the next
-
generation barcode or UPC. This EPC code can carry more data, than the UPC code and
can be reprogrammed with new information if necessary. Like the UPC, the EPC code
consists of a series of numbers that identify the manufacturers and product
type. The
EPC code also includes an extra set of digits to identify unique items.






ISSUES


RFID is such a potentially dangerous technology because RFID chips can be embedded
into products and clothing and covertly read without our knowledge. This
makes privacy
a growing concern among the consumer base. If tags can be applied to products, then a
person can be tracked and marketed towards what the buy and use.



Today’s Business


Companies that are pushing RFID tags into our lives should adopt rules

of conduct. They
should be an absolute ban on hidden tags and covert readers. The tags should then be
deleted once a consumer has taken the product home. This technology should not be sold
to third parties as well, because that would create a very larg
e security issue. Stores
could track each customer’s comings and goings.



Customers


The problem to consumers is that RFID tags can be read through your wallet, handbag, or
clothing. It’s not hard to build a system that automatically reads the proximi
ty cards, the
keychain RFID “immobilizer” chips, or other RFID enabled devices of every person who
enters a store. A store could build a list of the consumer who walks through the front
door by reading these tags and then looking up the owners identities

in a centralized
database. None exist today, but it is fairly easy to build one.



SPECIFIC ISSUES


There is no standard uniformity of RFID tags. Therefore not all tags can be read by
certain companies. There is also a high cost associated with RFID ta
gs, including the
cost of acquiring, installing, and maintaining an RFID system. The privacy as discussed
before is also a determining factor in how RFID tags can be turned into profiling material
for certain companies.



Security


Collision problems mean

that two or more tags are close enough to “cancel the signals,”
according to an American Library Association publication, making them undetectable by
the RFID checkout and security systems. This could allow for no access into certain
areas, and false inf
ormation on what you have bought or what you have already bought.

Information technology experts warn that lingering security issues are making RFID
another uncontrolled tool for identity theft.







Cost


RFID system cost is composed of tags, readers, an
d processing and supporting
information technology hardware and software. Higher adoption rates will cause system
costs to drop and encourage more RFID users.


Current tag costs range from anywhere from 25
-
40 cents per tag. This makes it really
expensi
ve for low
-
end consumer items. Middleware costs are also very expensive,
including computer hardware, software, data processing, data mining, personnel salaries,
and personnel training.


Some companies suggest
generating

economic value from
RFID;

compan
ies must look
beyond the control, and use it to gather intelligence that enables them to interact better
with customers. However that is an invasion of privacy, which many consumers will not
want to have happen.



COMPETITION


Verisign Inc. has just plann
ed for a
first
-
ever industry contest for EPC and RFID
application d
evelopment
. Sun Microsystems is currently leading the way of EPC/RFID
technology. From Sun’s website “
Sun is committed to delivering the market leading
RFID/EPC standards
-
based infrastruc
ture and solutions for deploying enterprise RFID
applications
.”

As of right now, because there is such a high price umbrella on RFID tags and related
products, there is an invitation to other companies to provide some good competition.
However, until mo
re competition enters the market, the price for the product will
continue to remain fairly high.

RECOMMENDATIONS

As of right now RFID is too costly to implement on a full scale basis. The fact that it
also has to be uniform with every other company’s tags

makes it very hard to implement
on a wide
-
scale basis.

However RFID use is likely to increase in the near future because of the high umbrella
price tag. At present though it is unclear whether the effects of the use of RFID
technology will be evident in
broad measures of economic activity like output or
productivity growth.

Technology is inherently evolutionary, meaning that eventually something will come
along to make RFID more cost
-
effective and user
-
efficient. I would definitely
recommend
getting

into

this business however, because of the low amount of
competition, and it is marked to be the next generation of labeling products.

WORKS CITED

RFID Journal. (2005).
Report shows How Wal
-
Mart Did It
. Retrieved November 19
th
,
2005 from
http://www.rfidjournal.com/article/articleprint/1983/
-
1/1/

ITU Workshop. (2005).
Ubiquitous Network Societies: The Case of Radio Frequency
Identification
. Retrieved November 19
th
, 2005 from
http://www.itu.int/osg/spu/ni/ubiquitous/Papers/RFID%20background%20p
apers.pdf

Homeland Security
.
(2005).
Fact Sheet: Radio Frequency Identification Technology.
Retrieved No
vember 14
th
, 2005 from
http://www.dhs.gov/dhspublic/display?content=4307

RFID 101.com
.
(2005).
RFID Frequently Asked Questions
. Retrieved November 13
th
,
2005 from
http://www.rfid
-
101.com/rfid
-
faq.htm

The Nation (2004).
The Trouble with RFID
. Retrieved November 14
th
, 2005 from
http://www.thenation.com/doc/20040216/garfinkel

Wikipedia. (2005).
RFID
. Retrieved November 14
th
, 2005 from
http://en.wikipedia.org/wiki/RFID

Consumer Research. (2004).
What is RFID?
. Retrieved November 13
th
, 2005 from
http://consumer
-
research
-
guide.com/rfid.htm

Electronic Product Code.(2004).
ECPglobal
. Retrieved November 13
th
, 2005 from
http://EPCglobalus.org/N
etwork/Electronic%20Product%20Code.html

Symbol.(2005).
Business Benefits from RFID
. Retrieved November 13
th
, 2005 from
http://www.symbol.com/products/whitepapers/rfid_
business_benefits.html

Wireless Data Research Group.(2003).
RFID
. Retrieved November 14
th
, 2005 from
http://www.wdrg.com/News/CurrentPR/RFID.html