RFID Technologyx

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November 2, 2010

Presentation #1

RFID Technology

Management Information Systems Group Projec
t

By: Coty Hutchinson


Radio frequency identification (RFID) is a generic term that is used to describe a system that transmits
the identity (in the form of a unique serial number) of an object or

person wirelessly, using radio waves
,
by a portable device, called a tag
.
It is considered to be an automatic identification system. (The use of
RFID in tracking and access applications first appeared during the 1980s).

Categories RFID technologies can b
e grouped into:

1.

EAS (Electronic Article Surveillance) systems:


Generally used in retail stores to sense the
presence or absence of an item. Products are tagged and large antenna readers are placed at
the exits to detect unauthorized removal of such produ
cts.

2.

Portable Data Capture Systems:

Characterized by the use of portable RFID readers.

3.

Network Systems:

Characterized by fixed position readers which are connected directly to a
central information system, while transponders are positioned on people or mov
able items.

4.

Positioning Systems:

Used for automatic location identification of tagged items or vehicles.

How it is equipped:

1.

Individual objects are equipped with a small, inexpensive tag which contains a transponder with
a digital memory chip that is given

a unique electronic product code, or serial number.

2.

The interrogator, which is an antenna packaged with a receiver and a decoder, emits a signal
activating the RFID tag so it can read and write data to it.

3.

When the RFID tag passes through the electromagn
etic zone, it detects the readers’ activation
signal.

4.

The reader decodes the data encoded in the tag’s integrated circuit (silicon chip).

5.

The data is passed to the host computer for processing.

Types of RFID tags:

1.

Hard plastic anti
-
theft tags:

attached to

merchandise in stores

2.

Animal tracking tags:

implanted beneath the skin of family pets or endangered species and are
no bigger than a small section of pencil lead.

3.

Even smaller tags have been developed to be embedded within the fibers of national
currency.

Current and Potential Uses of RFID:

1.

Asset Tracking
: Companies can put RFID tags on assets that are lost or stolen often, that are
underutilized or that are just hard to locate at the time they are needed.

November 2, 2010

Presentation #1

2.

Manufacturing
: Can be used to track parts and work

in process and to reduce defects, increase
throughput and manage the production of different versions of the same product.

3.

Supply Chain Management

: used in closed loop supply chains or to automate parts of the
supply chain within a company's control for
years.

4.

Retailing
: Retailers such as Best Buy, Metro, Target, Tesco and Wal
-
Mart are currently using
RFID technology. By using RFID technology in retail stores, companies can locate a product and
its location at any given time through the unique serial numb
er and transmission of radio waves.

5.

Payment Systems
: One of the most popular uses of RFID today is to pay for road tolls without
stopping (EZ
-
Pass). Because of the fast pace environment that we are currently living in, quick
-
pay options are becoming incre
asingly popular. Quick
-
service restaurants are experimenting
with using the same active RFID tags to pay for meals at drive
-
through windows.

6.

Security and Access Control
: RFID has long been used as an electronic key to control who has
access to office
buildings or areas within office buildings. The first access control systems used
low
-
frequency RFID tags. Recently, vendors have introduced 13.56 MHz systems that offer
longer read range. The advantage of RFID is it is convenient (an employee can hold up
a badge
to unlock a door, rather than looking for a key or swiping a magnetic stripe card) and because
there is no contact between the card and reader, there is less wear and tear, and therefore less
maintenance.

May 1, 2007:

During Wal
-
Mart’s RFID conference, Wal
-
Mart Executive Vice President and CIO Rollin Ford , said: “Our
focus on using RFID to improve in
-
stocks for our customers means eliminating extra trips they may make
to our store, or to others. On a daily basis, more

than 24 million people shop our stores. If 100,000 extra
trips are avoided by having items in stock, we will save customers $22.8 million a year in gas savings and
reduce greenhouse gases by 80,209 metric tons.”

Apart from the larger packages for warehous
e and distribution use, Wal
-
Mart has begun inserting RFID
chips into some of its men’s clothing, including jeans and socks. This is the first time that the store has
used this technology for individual products taken home by customers.

Aside from just bei
ng about to locate an item in effort to keep the shelves stocked, the tags will remain
readable from the short range even after they are removed from the store.




Currently RFID tags are not widely used in consumer products because the price of the tags is
still expensive, but the increasing demand and production of RFID technologies will help to
drive down the prices.



By being able to track a product after it has left the store, retailers will be able to see where
and how the products are being used, in eff
ort to make future decisions about a product and
its features and benefits.

November 2, 2010

Presentation #1