Tecnology (RFID) at Tesco - SPJCM
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RFID @ TescoWhere technology meets service!
By Group 7
Abinav | Apurva | Sagar | Narinder | Sharath | Akshat
This a educational presentation by Students of SPJCM, Tesco logo belongs to Tesco PLC.
Road Ahead
Operations in UK
• 1800 out of 2300 stores were in UK
Expanding
• East Europe – Hungary, Warsaw, etc.
• East Asia – Korea, Thailand
• Automation in place
SCM it is…!
SCM Objectives
High efficiency
Continuous Replenishment
• From centralized ordering to check-out counter ordering
• Zero stock out
Low costs
Is RFID Simpler, Better and Cheaper???
RFID-What it is?
Radio-frequency identification (RFID) is an Identification method, relying on storing and remotely retrieving data using devices called RFID tags or transponders.
Invented in 1948 by Harry Stockman.
Initial application was during World War II-The United Kingdom used RFID devices to distinguish returning English airplanes from inbound German ones. RADAR was only able to signal the presence of a plane, not the kind of plane it was..
Came into commercial use only in 1990s.
Active Vs Passive
Active RFID Passive RFID
Tag Power Source
Internal to tag Energy transferred using RF from reader
Tag Battery Yes No
Availability of power
Continuous Only in field of reader
Required signal strength to Tag
Very Low Very High
Range Up to 100m Up to 3-5m, usually less
Multi-tag reading
1000’s of tags recognized – up to 100mph
Few hundred within 3m of reader
Data Storage Up to 128Kb or read/ write with sophisticated search and access
128 bytes of read/write
RFID vs Barcode
RFID Barcode
Forging is difficult Forging is possible
Scanner not required. No need to bring the tag near the reader
Scanner needs to see the bar code to read it
RFID is comparatively fast
Can read multiple tags Can read only one tag at a time
Relatively expensive as compared to Bar Codes
(Reader 1000$, Tag 05 -10 cents a piece)
Inexpensive
Can be reusable within factory premises
Cannot be reused
Is RFID it?
Is it Better – for customers?
• Improve Availability
•Know where it is?
Is it Simpler – for staff?
•One touch replenishment
Is it cheaper – for TESCO?
•Reduced costs
•Reduced waste
•Reduced stocks
Testing Grounds
Jan 2003 … Gillette products
• Will technology work?
June 2003 … Entertainment UK (DVDs)
• Active partners
• RFID Tagging in the packaging
• Information sent to central system, accessible by both TESCO and Entertainment UK
Testing Waters
September 2003 … Milton Keynes D/C
From D/C to 2 stores in
Peterborough & St. Neots
Tagged at the D/C
December 2003
Tagged at point of production
Tracking from supplier to D/C
to stores
2004
Six suppliers
Implemented
• 35 D/C & 1300 stores
• 16000 antennae
• 4000 readers
January 2005
• Extended to other categories of items
• 98 other superstores
December 2005
• Deadline for suppliers to tag RFID
September 2006
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