Tecnology (RFID) at Tesco - SPJCM

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

BARCODE

RFID

The Supply Chainwww.themegallery.com Company Logo

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

Road Ahead

Scanning of Trolley

Auto stock out Notification

Further efficient tracking

THANK YOU !!!

www.themegallery.com Company Logo

This a educational presentation by Students of SPJCM, Tesco logo belongs to Tesco PLC.