Customer/ Industry Pull Customer

Technology & Innovation Management
Department Auto-ID & Standards
Marcel Schirmer
Troisdorf, August-26-2008
RFID in the Logistic

CONTENTS
Technology & Innovation Management
RFID Introduction & Business Perspective
RFID Projects
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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CONTENTS
Technology & Innovation Management
RFID Introduction & Business Perspective
RFID Projects
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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1. Technology & Innovation Management
V6, Global Business
Services
Mr. Allan DPWN Business
Consulting
TIM Projects Auto-ID &
Standards
Hr. Freitag
Marketing &
Communication
DHL Technology
Innovation
Do it!
Technology and Innovation
Management (TIM)
Dr. K. Ulrich
Patent
Management
Patent
Management
Protect it!
Show it!
Management DHL Innovation
Center
DHL Innovation
Center
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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1. Technology & Innovation Management
DHL Innovation Center
Showroom
Test and
Prototyping Lab
Area for technical
tests of all business
units and
customers.
Demonstrate future
orientation of DPWN as
the world‘s leading
logistics, express and
mail provider.
Conference
Area
Intensify talks with
customers and industry
partners
A milestone for
innovation at DPWN
� Official opening:
March 27, 2007
� 3,600 m² workspace for:
• Demonstration
• Laboratories,
• Conferencing
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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CONTENTS
Technology & Innovation Management
RFID Introduction & Business Perspective
RFID Projects
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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The RFID can support a lot of processes along the supply chain
Production
RFID
Item Reader
Production
Consolidation
Center
Cross-Docking/
Assembly
RFID
Reader
Global
Forwarding
Transport
RFID
Reader
End-to-end RFID application 2. RFID Introduction & Business Perspective
Supply Chain
Distribution
Center
RFID
Reader RFID
Reader
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
Stock
Domestic
Transport
…
Point of Sale
RFID
Reader
7

2. RFID Introduction & Business Perspective
How does RFID Technology work?
� RFID tags allow the identification of individual items or transport units without line-of-sight
� RFID uses radio frequency to read the data stored on the RFID chips
� RFID tags are available with multiple characteristics:
– With or without energy supply (active/ passive)
– Varying size of memory
– Varying read ranges (few centimeters to few meters, 100 meters max for active tags)
– Read only/ Write-once/ Write -capabilities
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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2. RFID Introduction & Business Perspective
Definition RFID-Middleware Layer
Communication & Network Integration
Software Applications (e.g. PROLOGS)
Device Management
Application Interfaces
Event Management
Data Management
Hardware Abstraction
Devices
Data Collection, Filtering,
Conversion
„RFID -
Enterprise
Infrastructure“
„RFID -
Edgeware“
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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2. RFID Introduction & Business Perspective
Implementation of RFID over the next years is externally and internal driven
Customer / industry pull:
�More and more customers show
high interest in RFID technology
and explicitly demand RFID
enabled logistic solutions
�Industry/country specific
regulations increasingly
demand for RFID solutions
Competitor push:
Competitor
Push
Customer/
Industry
Pull
RFID relevance for
DPWN’s BUs
Corporate
Technology
Availability
�All major competitors have sped up their RFID activities, incl.
launches of RFID test centres
�Competitors are trying to lock-in important market players by
cooperating in joint RFID test & trials or industry initiatives
Technology Availability:
�Tag prices are one of the major
driver for the starting shot of RFID
roll-outs in the market
�Sufficient and stable read rates
need to be achieved
�Establishment of RFID standards
will significantly help to overcome
existing restrictions for RFID
adoption
RFID relevance for DPWN’s BUs:
�Based on the different business
models the urgency for RFID
adoption differs between the
Business Units
Corporate:
�Supporting activities provided by
corporate can significantly
accelerate the process for RFID
adoption in the Business Units
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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2. RFID Introduction
Key Advantages of RFID tags compared to Barcodes
Identification independent of position
and direction of item
Simultaneous reads of numerous tags
Works in dirty environments
Additional functionality, e.g. temperature
control, read/ write capability
Key Business Benefits of RFID
Process Acceleration
� Reduction of manual activities (e.g. barcode scans)
� Automated quality control of commissioning processes
Improved Quality/ Service Level
� Reduced of error rates
� Enhanced control in the supply chain (more scan events,
more detailed data captured)
New or better Service Offerings
� Increased security process within the supply chain
� New value added services e.g. temperature control
� Seamless Tracking & Tracing (item tracking)
Therefore, RFID technology can be considered as a possible substitute of bar code
with significant advantages which directly translate into business benefits
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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CONTENTS
Technology & Innovation Management
RFID Introduction & Business Perspective
RFID Projects
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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4. RFID Projects (Current RFID liked projects)
1
Technology
Scouting
Telematics
Route
optimization
2
3
4 5
Concept Phase Detailing Phase Implementation Market success
Intelligent
Container
Geodata/ GIS
RFID
Electronics
RFID Fashion
RFID Pharma
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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4. RFID Projects (Project 1)
Introduction
� Pallets from an electronic company which are labelled with RFID-Transponders on pallet-
and case-level where checked on acquisition, readability and completeness with an UHF-
Gate.
Test setup
� Equipment
– UHF-RFID-Gate installed in the
DHL Freight Center in Cologne
�Test-Software
– Evaluator-SW based on SQL-Server database
with reporting functionality
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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4. RFID Projects (Project 1)
� Different carrying options have been tested
– Hand lift truck
– Fork lift
– Lifting Cart
� Different kind of vehicles were unloaded
– Trailer
– Swap body
� Pallets have been moved individually and in groups up to 3
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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4. RFID Projects (Project Corporate Wear)
Based on the process design we defined the following test scenarios:
� Inbound:
– Goods Receipt Inspection
with belts, ties, caps, Goretex-jackets and as reference T-shirts
� Outbound:
– Box Packing (RFID Packing Station)
– Box Completeness Check (same hardware as for box packing)
– Pallet Completeness Check (RFID Smart Gate)
Item picking & box packing Box completeness check Pallet receiving & checking
Caps Ties Belts
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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4. RFID Projects (Project Corporate Wear)
Processes in Field Test - Process Overview
Producer
Labeling
Courier
Anprobe!
DHL ESC Distribution Center
Inbound Labeling Case Packing Pallet Packing Outbound
DHL ESC Receiver Warehouse
Case Checking Pallet Checking
DHL Freight
Pallet Checking
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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4. RFID Projects (Project Corporate Wear)
System architecture
Edgeware
Components
Transponder
3 rd Party Software Applications
NETZWERK
Enterprise Integration
• Device Management
•
•
Hardware Abstraction
Monitoring
EPC IS
• Data collection and
buffering Process steering Data Management
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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Contact
Technology & Innovation Management Marcel Schirmer
Department Auto-ID & Standard Project Manager
Junkersring 55 +49 (2241) 12 03 144
53844 Troisdorf / Spich m.schirmer@deutschepost.de
DPWN RFID Introduction and Capabilities | Troisdorf | August-26-2008 Confidential Page
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