Training Tool Kit - Bridge

Building Radio frequency IDentification for the Global Environment

Training Tool Kit

Author: Alexandre Vican (GS1 France)

June 2009 This work has been partly funded by the European Commission contract No: IST-2005-033546

About the BRIDGE Project:

BRIDGE (Building Radio frequency IDentification for the Global Environment) is a 13 million Euro RFID project running over 3 years and partly funded (€7,5 million) by the European Union. The objective of the BRIDGE project is to research, develop and implement tools to enable the deployment of EPCglobal applications in Europe. Thirty interdisciplinary partners from 12 countries (Europe and Asia) are working together on : Hardware development, Serial Look-up Service, Serial-Level Supply Chain Control, Security; Anti-counterfeiting, Drug Pedigree, Supply Chain Management, Manufacturing Process, Reusable Asset Management, Products in Service, Item Level Tagging for non-food items as well as Dissemination tools, Education material and Policy recommendations. For more information on the BRIDGE project: www.bridge-project.eu This document results from work being done in the framework of the BRIDGE project. It does not represent an official deliverable formally approved by the European Commission.

This document:

This deliverable is a comprehensive presentation on reusable assets and the learning gained on this topic from the BRIDGE project.

Disclaimer:

Copyright 2009 by (GS1 France) All rights reserved. The information in this document is proprietary to these BRIDGE consortium members This document contains preliminary information and is not subject to any license agreement or any other agreement as between with respect to the above referenced consortium members. This document contains only intended strategies, developments, and/or functionalities and is not intended to be binding on any of the above referenced consortium members (either jointly or severally) with respect to any particular course of business, product strategy, and/or development of the above referenced consortium members. To the maximum extent allowed under applicable law, the above referenced consortium members assume no responsibility for errors or omissions in this document. The above referenced consortium members do not warrant the accuracy or completeness of the information, text, graphics, links, or other items contained within this material. This document is provided without a warranty of any kind, either express or implied, including but not limited to the implied warranties of merchantability, satisfactory quality, fitness for a particular purpose, or non-infringement. No licence to any underlying IPR is granted or to be implied from any use or reliance on the information contained within or accessed through this document. The above referenced consortium members shall have no liability for damages of any kind including without limitation direct, special, indirect, or consequential damages that may result from the use of these materials. This limitation shall not apply in cases of intentional or gross negligence. Because some jurisdictions do not allow the exclusion or limitation of liability for consequential or incidental damages, the above limitation may not apply to you. The statutory liability for personal injury and defective products is not affected. The above referenced consortium members have no control over the information that you may access through the use of hot links contained in these materials and does not endorse your use of third-party Web pages nor provide any warranty whatsoever relating to third-party Web pages.

http://www.bridge-project.eu/�

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Building Radio frequency IDentification solutions for the Global Environment

BRIDGE D9.6.4 Training Tools Kit CD ‘How to improve Reusable Asset Management’

WP 9 – Reusable Transport Items [RTI]

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Objectives

• To provide an overview of how Asset Management is currently carried out

• To analyse how GS1 and EPCglobal standards based solutions can help

• To understand what are the organizational changes and how solutions have to be implemented

2Bridge WP9: 9.6.4 Training Tool Kit

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agenda

1. Asset Management description2. What are GS1 standards ?3. Needs of Asset Management4. Implementation of standardized solutions5. Summary6. Operational changes for the companies7. Implementation Methodology


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WP9 Overview

• Step 1 Market analysis

• Step 2 Requirements analysis

• Step 3 Business Case analysis

• Step 4 Description of the pilots

• Step 5 Results and recommendation analysis

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Market Survey

Pilot

Matching Pilot vs. requirements

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WP9 Overview

• Step 6 Dissemination work:– Application guideline– Technical guideline– Costs/Benefits analysis– Training Tool Kit


Help company in implementation

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Asset Management description


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Market description

• 3 models of Asset Management :– Pooling model– Exchange model– Loss model

• Current context : – Asset Management is not a priority (too expensive)– Asset Management is inefficient


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Pooling model _ description

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Pool operator, the heart of the pooling system

The ActorsThe Stream

Bridge WP9: 9.6.4 Training Tool Kit

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Pooling model _ Analysis

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WeaknessesSize of the pool

Loss of assets

Relationship between pool operators and non-customers

Conflict between pool operator and final location of assets

Non-transparency rental costs


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Exchange model _ Description

• Multi-owner pool system

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The Stream


The Actors

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Exchange model _ Analysis

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WeaknessesOver-stock

Loss of assets

Misunderstanding between trading partners

Counterfeiting

Lack of information system


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Loss Model _ Description

• No pallet recycling or maintenance

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The ActorsThe Stream


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Loss model _ Analysis

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WeaknessesImpact on the cash flow

Assets’ quality and damages

Extra-costs

Over-stock


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To Summarize

• The most common problem :

Conclusion and first report : Communication issues and inefficient exchanges between trading partners

How could it be improved ?14Bridge WP9: 9.6.4 Training Tool Kit

•Number of assets lost (10% of the pool)•Oversize asset stock•Non transparency in rental costs•Non identification of responsibilities for problems

•Dispute and tension with trading partners•Inefficient logistic process•Substantial number of counterfeited asset

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What are GS1 Standards ?


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GS1 designs and

implements a global system

of supply chain

standards

GS1: A global system of standards

GS1 standards provide a frameworkthat allows products, services, and information about them to move efficiently and securely for the benefit of businesses and the improvement of people’s lives, everyday, everywhere.


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GS1 brings together

companies representing

all parts of the supply chain

GS1: A global system of standards

Manufacturers, distributors, retailers, hospitals, transporters, customs organisations, software developers, local and international regulatory authorities, and more work togetherunder our leadership to create standards


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GS1 : a complete system


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GS1 for physical stream

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Global standards for automatic identificationRapid and accurate item, asset or location identification

Global standards for RFID-based identificationMore accurate, immediate and cost effective visibility of information

GLN/ GTIN/ SSCC/ GRAI for codificationEAN 13 / ITF 14 / GS1 128 for automatique identification

SGLN/ SGTIN/ SSCC/ GRAI for codificationRFID tag for automatique identification


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GS1 for information Stream

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Global standards for electronic business messagingRapid, efficient & accurate business data exchange

The environment for global data synchronisationStandardised, reliable data for effective business transactions

Global standards for RFID-based identificationMore accurate, immediate and cost effective visibility of information

ORDERS/DESADV… and all other messages used on eCom with EANCOM langage

Trade item information and electronic catalogues

EPCIS and ONS to improve information on supply chainComing soon Discovery Service


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EPC & RFID?

• EPC for a unique Identification code

• RFID for a automated Data Capture technology

• EPCglobal Network for Data Exchange solution


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To resume

• Standard are efficient in the supply chain to improve product visibility

• How can Standards be effectively introduced into Asset Management


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Asset Management needs


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Business needs

What are the business needs in pooling model and exchange

model?


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Business needs_Pooling model

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Pool operator Pool operator’s customers

Goods recipients

Competitiveness of the rental pricing

Rental cost reduction Limited stock of empties

Reactivity to customer demand

Supply chain management


Identification of responsibilities

Invoicing efficiency

To propose new services to customers


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Business needs_Exchange model

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Trading partners Pool providers

Reduce asset over-stock Reduce Counterfeiting

Optimize exchange with partners

Optimize recondition processes

Efficiency of trading partner’s accounts management

Propose new service to end-users



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Functional needs

What are the functional needs in pooling model and exchange

model?


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Functional needs_identification

• Asset Management :– To identify asset type (to sort)– To identify unique asset number (to Track &

Trace)• Supply Chain Management :

– Association between goods ID and asset ID in order to track and trace goods by tracking and tracing assets


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Functional needs_automation data capture

• Capture must be automated.– Process productivity: reduce time per process– Process efficiency: better quality of data collected

• Data carrier must be resistant in order to face unpredictable supply chain condition:– Longevity– Robustness– Temperature and humidity– UV Resistance– Cleaning


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Functional needs_data exchange

• Both the pooling model and the exchange need to include the following data in their flow

• Five types of data :

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Identification Time Quantity Location State


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To resume

• Functional needs : identification, resistant data carriers and exchange information.

• In term of supply chain management, GS1 standards have already filed these needs

What are the Standards to use for Asset Management and Supply

Chain Management?


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Implementation of Standardized

Solutions


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GRAI to identify an Asset

• Global Returnable Asset Identifier (GRAI) is the identification key used in GS1 systems to identify an asset.

• GRAI is used for:– Pallets, crates, roll boxes, etc.

• GRAI makes each asset unique.


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GRAI Description

• GRAI structure is divided into 3 parts:– Company prefix– Asset type– Serial number


Company Prefix Asset Type Serial number

LPREPALCHEP…

Wood pallet 120X80,Wood pallet 120*120Plastic case 60X30X15…

000000000000010000000000000200000000000001…

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SSCC to identify a shipping unit


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• Serial Shipping Container Code (SSCC) is the identification key used in GS1 system to identify an Expedition Unit

• SSCC is used for goods loaded on assets

• SSCC make each Expedition Unit unique

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SSCC description

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• SSCC structure is divided into 3 parts:– Additional position– Company Prefix– Serial number

Additional position

Company Prefix Serial number

From 0 To 9 CarrefourCarrefourBonduel

000000000000010000000000000200000000000001


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What are the useful data carrier

• There are two data carriers:– EPC UHF class1 Gen2 tags in RFID– GS1 128 in BarCodes

• BRIDGE recommends using RFID for Asset Identification and Barcodes as a backup


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GRAI in GS1 & EPCglobal systems

• GRAI structure in the GS1 128 barcode:

GRAI structure in the Gen 2 tag:


GS1 Company Prefix Asset Type Check Digit

Serial Number

0 N1 N2 N4 N5 N6 N7 N8 N9 N10 N11 N12 N13 X1 variable to X16

Header Filter Value

Partition Value

CompanyPrefix

Asset Type

Serial Number

8 3 3 20-40 24-4 38

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Location of the tags

• RFID is not a plug and play technology : Test RFID before decide

• Most of the time:– Two tags per pallet– One or two tag(s) per crate

• Recommendation issued from BRIDGE Pilot:


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Hardware Infrastructure Focus on readers

• 3 types of RFID Readers for asset identification :– Hand Held reader

– Embedded reader

– Fixed reader


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EPCglobal recommendation• For Pallet:

– 2 tags minimum per pallet:

– Each tag with the same 96 bits GRAI– Association between SSCC and GRAI in the Information

SystemBridge WP9: 9.6.4 Training Tool Kit 41

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Software Infrastructure

2 infrastructures:

• Middleware to connect readers to IT system

• Exchange data with partners to improve visibility:– EDI messages– EPCIS Events


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EDI Messages

• EDI messages: DESADV, RECADV, INVRPT


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EPCIS Events

• EPCIS Events:– Object Event– Aggregation Event– Transaction Event– Quantity Event


What• EPC number (GRAI or SSCC)• Manufacturing Data (lot, batch, expiration date)• Transactional Data (PO, Shipment, Invoice)

Where • Location (can be fixed or moving - leverage master data – GLN)

When• Event Time• Record Time

Why

• Business Process Step - e.g. Receiving, Shipping, collecting, reconditioning…

• Product State - e.g. Saleable, Active, In Transit• Current Conditions - e.g. Temperature

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EPCIS Events

• Currently, two models are available to recover EPCIS events:– Company knows the EPCIS Repository address of the partner– Company does not know the EPCIS Repository of the partner


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How exchange and research EPCIS Events

Manufacturer 3PL Customs

EPCIS instances at each enterprise communicate via the ONS

Companies have information and share it with their partners

Carrier Importer

EPCIS

Query

Capture

EPCIS

Query

Capture

EPCIS

Query

Capture

EPCIS

Query

Capture

EPCIS

Query

Capture

ONSThe heart of

EPC Network

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SUMMARY


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Example


Shipping of empties asset:EPCIS event : transaction EventList of GRAIBusiness Transaction: Number of OrderTime of shipping: Event timeLocation of Shipping: SGLNBusiness step: ShippingDisposition: in transit

+ DESADV with list of GRAIs shipped

Receiving of empties asset:EPCIS event : Object EventsList of GRAITime of shipping: Event timeLocation of Shipping: SGLNBusiness step: ShippingDisposition: in transit

Recommended tagging solution :Pallets :SSCC + GRAI

AssetsNumber of tags (2)Localization (opposites plots)

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Operational changes for companies


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Operational changes

• Asset Management improvement will trigger changes in every company organization

• What are the change:– For the pooling model– For the exchange model


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Pooling model changes

• Pool operator needs maximum visibility on assets

• Changes will impact both:– The pool operator– The pool operator’s customers– The final destination of asset


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Changes for the pool operator

• New procedures must be integrated into the Pool Operation organization:– Asset codification– Asset tagging– Asset sorting– Asset identification during inbound/outbound– Asset identification during collection and

reconditioning– Inventory of stock


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The gains for pool operator

• This new procedure will bring information on:– Asset location– Empty stock level– Customer demand– Empties delivery status– Empties collection– Asset reconditioning


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Changes for the pool operatos’s customer

• New procedures have to take place at Pool Operator’s customer location: – Asset sorting– Asset identification during inbound/outbound– Inventory of stock– Aggregation during preparing/picking


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The gains for pool operator’s customer

• This new procedure will bring information on :– Empties delivery– Empty stock level– Aggregation information– Asset shipment


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Changes for the final destination of asset

• New procedures have to take place at the final location:– Asset sorting– Inventory of stock– Asset identification during collection


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The gains for final destination of asset

• This new procedure will bring information on:– Empty stock level– Empties collection


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Exchange model changes

• Each company’s IT system manages it’s own assets

• Changes will impact both:– The trading partners– The pool provider


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Changes for the trading partners

• New procedures have to take place in the trading partners organization:– Asset sorting– Asset identification during inbound/outbound– Inventory of stock– Aggregation during preparation/picking


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The gains for trading partners

• This new procedures will bring information on:– Empties delivery– Empty stock level – Aggregation information– Asset shipment– Empties collection


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Changes for the pool provider

• New procedures must be put in place in the pool provider organization:– Asset codification– Asset tagging– Asset sorting– Asset identification during inbound/outbound– Asset identification during collection and

reconditioning– Inventory of stock


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The gains for pool provider


• This new procedure will bring information on:– Empty stock level– Customer demand– Empties collection– Asset reconditioning

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Implementation Methodology


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How to success your implementation?

• There is:– A complex technology– Important evolutions to plan in companies and

with the partners– Costs and profits must be confirmed

The solution is to go there gradually


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Methodology

Initialization Preliminary study Pilot Deployment


Initialization: to understand/ to get acquainted/ to imagine,Preliminary study: to analyze/ to convince/ to define,Pilot: to validate/ to improve/ to prepare deployment,Deployment: to implement step by step

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What Can Help?

• 3 documents are available from BRIDGE:– Application guideline– Technical Guideline– Cost Benefit Analysis


Training Tool Kit - Bridge

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