rfid operations group sec b-1

8/2/2019 Rfid Operations Group Sec B-1

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M S RAMAIAH INSTITUTE OF MANAGEMENT

PGDM(Autonomous) BATCH 2010-2012

PROJECT REPORT SYNOPSIS

GROUP MEMBERS NAME & REGISTER NUMBER

SLNO REG.NO NAME AREA OF

SPECIALISATION

AREA OF

EMPIRICAL

STUDY

SIGN

1 111218 JunoDavies

Operations

2 111222 Manish

Deo

Operations

3 111222 Navneeth Operations

4 111234 Raj

Gaurav

Upadhyay

Operations

5 1112 Shailendra Operations

NAME OF THE GUIDE: .

DESIGNATION & QUALIFICATION: .


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Title:-A studyon impact of Radio Frequency Identification (RFID) on

supply chain in Retail stores in Bangalore.

Aim:-This study facilitates to understand the impact of Radio Frequency

Identification (RFID) on supply chain management of retail stores

(Shoppers stop), in Bangalore and it also provides the data to check the

usefulness of Radio Frequency Identification (RFID) in Shoppers stop.

Statement of Problem:-Radio frequency identification (RFID) is a newrising technology that poses the capability to revolutionize the way

retailers do business. This study will help the Retailers to improve their

supply chain management and enhance their ability by lowering their

error rates and this will help them to reduce the overall cost. We

conduct this study by means of store manager (Primary Data) in retail

stores. To conduct this study we require human resource & technical

support.

Objective:-

1-To analyse the difference between the implementation of RFID

and Barcode.

2-To measure the extent of necessity of RFID in retail stores.

3-To know the RFID usage among retail stores.

4-To know the response of retailers towards RFID.


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HYPOTHESIS:-

NULL Hypothesis:-

RADIO FREQUENCY IDENTITY will positively influence faster inventory

tracking, increase transparency & security in retail stores in Bangalore.

Alternative Hypothesis:-

The influence is due to other factors.


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LITERATURE REVIEW

1. Introduction

The use of Radio Frequency Identification (RFID) technology extends

historically to the 1970s, when the first commercial products emerged.

The introduction of this technology motivated future research that

sought to integrate RFID into various applications ranging from

inventory control to human tracking. However, the practical

significance of this technology was not been fully appreciated until

mass manufacturing of RFID tags and readers, at different scales and

for different ranges, were made possible. Currently, RFID-based

systems are being proposed as alternatives to previously established

technologies

and as extensions to others. A basic RFID system is comprised of three

main elements: RFID tag, RFID reader, and a processing unit.

RFID tags are simple communication devices that are activated by

incoming registration from the RFID reader, when it is in its operating

range, which is between three and ten meters. They usually contain a

small amount of readable/writable memory, which is used to saveimportant information. A RFID reader communicates with and accesses

the RFID tags through an antenna, whose size is influenced by the

preferred range of the reader and its power constraint. On the other

end, it connects to a processing unit, which initiates read/write

operations and is responsible for post processing of the data received.

The processing unit can be either a stationary or a mobile platform. It

integrates the reader-tag subsystem into a higher level application. This

paper will talk about different aspects of RFID technology in thefollowing sections. In section 2, uses of RFIDs will be talked about. In

sections 3 and 4, pros and cons of RFID technology will be discussed.


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2. RFID usage

RFIDs can be used for many different things. Most uses today consist of

tracking material goods, manufacturing, and supply chain management.

Asset tracking is one of the most common uses of RFID. Tags are put on

a companys property that may be lost or stolen often, that are not

used as often or just hard to locate at the time they are requested.

RFIDs used in manufacturing plants are used to track parts and work in

process. They are also used to reduce defects and manage production

of different types of the merchandise. RFID technology has been used

to automate parts of the supply chain within a company's control. Since

standards of RFIDs are emerging, tracking shipments among companies

and its affiliates are beginning to increase. RFIDs are further being used

to implement different applications such as payment systems, security

control, and also utilized in the retail industry. One of the rising uses of

RFID technology is using it as a payment system. The active system can

be used as a quick service at restaurants with using the same active

RFID tags to pay for meals at drive through windows. RFIDs have 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. The RFID is more convenient, towhere an employee can hold up a badge to unlock a door, rather than

looking for a key or swiping a magnetic stripe card. Since there is no

contact between the card and the reader, there is less wear and tear,

and therefore less maintenance. Retailers are currently focused on

improving supply chain efficiency and making sure products are on the

shelf when customers want to take a product.

3. Advantages of RFIDsThe RFID technology has many advantages. Line of sight is not an issue

with the RFID tags because it just has to be in close proximity of the

reader. Replicating an RFID tag is also very complicated to do rather

than with a bar code, thus making security a key advantage. It can be

used as a tracking device on certain manufactured goods to ensure that


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products are not lost or stolen. If products that are tagged with RFID

tags are moved out of their remote location, it can also trigger a

security system so that it knows it is being transported to a site where it

should not be

4. Disadvantages of RFIDs

While having advantages to RFID technology, it also has its

disadvantages. Installation of RFIDs is more expensive than that of a

barcode. Companies find it costly to use in their businesses.

Interference also plays a key role in RFIDs as its waves are sensitive and

easily interrupted by other waves such as from cell phone towers and

walkie-talkies. Different frequencies are being used around the world

by different countries for RFID usage. This makes it mandatory for

international shipping companies and other organizations to be aware

of the working pattern of other nations also, which can be very time-

consuming. RFID technology has also been referred to as an invasive

technology. Consumers are worried about their privacy when they

purchase products with RFID tags. They can be tracked and personal

information can be collected by the RFID reader.


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History

Economics aside, how does a mature technology like bar codingremained viable player in a world increasingly enamored with newer

options, such as chips, tags and sensors, to track and trace equipment,

people and products? Certainly, the higher upfront investment for

radiofrequency identification (RFID) and real-time location systems

(RTLS) may make bar coding more fiscally attractive in the short-term

but whether it can weather falling prices long-term for RFID and RTLS

components represents another debate. In a chip- aid sensor-driven

world, bar coding's sustainability remains in question even as interestsimmers for bedside point-of-care bar coding applications. As a result

Healthcare Purchasing News Senior Editor Rick Dana Barlow reached

out to three key executives immersed in the bar-coding world to briefly

share their insights on the distinguishing characteristics, applications

and endurance of their products as options for healthcare supply chain

management.

Reliability is also a significant consideration, particularly when bar

coding is employed in a medication safety program.For example, B. Braun's Outlook Safety Infusion System's bar coding

capabilities are designed to ensure the right patient is receiving the

right drug and the right dose by an authorized clinician. A torn, wrinkled

or smudged bar-code label can be observed visually and identified as

the

potential cause for a reading error. On the other hand, RFID reading

errors can be associated with several causes not readily observable,

sucb as interference, proximity

or circuit failure. Focus first on the standardization and improvement of

the medication administration work-flow. As bar-code labels are

virtually ubiquitous in a healthcare setting and readers are available

with most bedside IT solutions, choosing a bar-code data entry protocol


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allows the institution to remain focused on the clinical workflows rather

than the implementation of new technology Another important

consideration for medication safety systems is that bar-coding, RFID

and RTLS systems are merely tools utilized to perform data entry}'functions. Effective medication safety programs.

Meaning:- Radio-frequency identification (RFID) is the use of a wireless

non-contact system that uses radio-frequency electromagnetic fields to

transfer data from a tag attached to an object, for the purposes of

automatic identification and tracking. Some tags require no battery and

are powered by the electromagnetic fields used to read them. Others

use a local power source and emit radio waves (electromagneticradiation at radio frequencies). The tag contains electronically stored

information which can be read from up to several metres (yards) away.

Unlike a bar code, the tag does not need to be within line of sight of the

reader and may be embedded in the tracked object.

RFID tags are used in many industries. An RFID attached to an

automobile during production can be used to track its progress through

the assembly line. Pharmaceuticals can be tracked throughwarehouses. Livestock and pets may have tags injected, allowing

positive identification of the animal. RFID identity cards can give

employees access to locked areas of a building, and RF transponders

mounted in automobiles can be used to bill motorists for access to toll

roads or parking.
http://en.wikipedia.org/wiki/Electromagnetic_fieldhttp://en.wikipedia.org/wiki/Radiohttp://en.wikipedia.org/wiki/Electromagnetic_radiationhttp://en.wikipedia.org/wiki/Electromagnetic_radiationhttp://en.wikipedia.org/wiki/Bar_codehttp://en.wikipedia.org/wiki/Bar_codehttp://en.wikipedia.org/wiki/Electromagnetic_radiationhttp://en.wikipedia.org/wiki/Electromagnetic_radiationhttp://en.wikipedia.org/wiki/Radiohttp://en.wikipedia.org/wiki/Electromagnetic_field


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RFID Adoption by Retailers

Retail Store Year of Adoption Country of OriginWAL-MART 2003 USA

Wal-Mart 2003 US

Sainsburys 2000 UK

Tesco 2007 UK

Carrefour 2004 UK

Metro AG 2004 Germany

Home Depot 2005 USA

Mitsukoshi 2007 Japan

Marks & Spencer 2003 UK

Albertsons 2004 US

McDonalds 2000 US

ASDA 2005 UK

Best Buy 2006 US

Sears 2005 US

Target 2006 US

RFID Adoption by Indian RetailerRetail Store Year of AdoptionPantaloons 2005Big Bazaar 2007ITC Wills Lifestyle 2007Reliance 2008Madura Garments 2007Tata 2007

Shoppers Stop 2006

Arvind Mills 2006


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Importance of RFID

During the last decade, most organizations have implemented

enterprise-wide applications and integration platforms. These

implementations have delivered benefits in terms of data

synchronization and information flows within the organization and with

trading partners providing valuable inputs for planning and

optimization of schedules and reporting. However,

automated data capture and tracking in real-time has been a major

bottleneck, affecting the ability of organizations to optimize theirinvestments in supply chain solutions.

Radio Frequency identification (RFID) Technology is emerging as a

technology that could provide the answer lo these problems. Using

tags, readers and radio waves to communicate between the two, RFID

combined with the EPC (Electronic Product Code) would be able to

address these pain points and deliver a whole range of benefits across

various verticals like manufacturing, distribution, retail, logistics and

security. The potential benefits arise from increase in supply chainvisibility, increase in efficiencies and decrease in costs due to better

data

synchronization, increase in responsiveness to changes due to real time

information visibility and a number of additional industry / vertical

specific benefits. RFID promises to have a major impact on supply

chains allowing trading partners to collaborate more effectively and

achieve new levels of efficiency and responsiveness.

RFID is the latest magic bulletin in the technological scope that has the

potential to make a sweeping shift in the way any organizations

approach their supply chain. Leading the way in embracing this

technology are retailers, particularly Wal-Mart and their suppliers. RFID

is enabling companies to see further into the supply chain providing


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more accurate real-time information and improvements in process

efficiency. The increased visibility can result in faster inventory turns,

less shrinkage, reduced labor and higher material flow through

warehouse or distribution center. Greater efficiency means RFID-

enabled processes take less time and effort; entire pallets of product

can be recognized in seconds without the need to break them down

and cycle counting inventory can be accomplished in hours or even

minutes instead of days.


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RFID: Frequency, standards, adoption and innovationMatt Ward

Department of Design

Goldsmiths College, University of London

Types of RFID

RFID products fall into two basic categories: Passive and Active. Passive

tags do not have batteries and have indefinite life expectancies. Active

Tags are powered by batteries and either have to be recharged, have

their batteries replaced or be disposed of when the batteries fail.

Various Types of Antennas (above)

RFID products are then broken up into different frequencies. Tagsand Antennas are tuned or matched much the same way as aradio is tuned to a frequency to receive different channels. These

frequencies are grouped into Four basic ranges: Low Frequency,High Frequency, Very High Frequency and Ultra-HighFrequencies.


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Each frequency range has its advantages and disadvantages. Europe use

868 MHz. for its UHF applications while the US uses 915 MHz. for its

UHF applications. Japan does not allow the use of the UHF frequency

for RFID applications. Low Frequency tags (LF) are less costly to

manufacturer than Ultra High Frequency (UHF) tags. UHF tags offerbetter read/write range and can transfer data faster then other tags. HF

tags work best at close range but are more effective at penetrating

non-metal objects especially objects with high water content.

Various Types of Tags (above)

Once a frequency range is determined, then it is time to choose an

antenna that best fits the application. Antennas come in all sorts of

sizes and shapes. The size of the antenna determines the range of the

application. Large antennas used with Active Tags can have a range of


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100 feet or more. Large antennas used with Passive Tags generally have

a range of 10 feet of less. There are dock door antennas (sometimes

called Portals) that allow a forklift driver to drive between two

antennas. Information can be collected from the tags without the

forklift driver having to stop. There are antennas that mount between

rollers on conveyors for reading/writing from below. While other

antennas are available that mount to the side of or above the

conveyors. Handheld Reader/Writers are available as well.

Controllers are available to communicate with most Networks

(Ethernet, DeviceNet, ProFibus, etc). They typically have serial ports for

programming and data transfer. Controllers are usually shipped with

programming software to set-up and customize the application.Controllers typically operate on 120VAC or 24VDC.

Competitors:

RFID is gaining a lot of momentum, but there are a number of other competing

technologies out there. Not all of them are considered to be true competitors

though. Essentially, any low power, localized wireless technology could

potentially be used for an RFID style application.

Firstly, we have the suite of wireless or "Wi-Fi" technologies. These technologies

could be employed for tracking and communicating with other fixed or moving

devices to determine locations and contents of a remote tag. Long ranges of 300-

900 feet that can be boosted even further using higher-gain antennas. High data

rates may make this option attractive if you want to place a large quantity of

detailed data on a target.

Bluetooth comprise a series of Personal Area Network technologies or PANs.

Bluetooth devices typically hold a range of 30-35 feet and are common in cellular

phones and some wireless keyboard/mouse solutions.

A new competitor to RFID is ZigBee, which is looking to utilize the Ultra Wide

Band (UWB) communications space for it's interactions. Key advantages to UWB


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include extremely low power consumption, routed meshing between all ZigBee

devices without the need for access points, and it's potential to be low cost at less

than 50 cents

Wi-Fi, Bluetooth and ZigBee certainly provide potential alternatives to Active RFIDtag technologies but in some cases at a much higher cost. ZigBee may be the only

competitor that will potentially challenge the passive RFID tag space. Passive

RFIDs require no power, cost less than 5-50 cents each, and hold no processing or

data storage capabilities. Passive RFID tags require that you have the proper

reader/interrogator in order to activate and read the tags and the reader needs to

be in fairly close proximity to the tag.


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System advantage, from Financial point of view

Most companies that sell RFID tags do not quote prices because

pricing is based on volume, the amount of memory on the tag and

the packaging of the tag (whether its encased in plastic or

embedded in a label, for instance), whether the tag is active or

passive and much more. Generally speaking, active tags are $25

and up. Active tags with special protective housing, extra-long

battery life or sensors can run $100 or more. A passive 96-bit EPC

inlay (chip and antenna mounted on a substrate) costs from 7 to

15 U.S. cents. If the tag is embedded in a thermal transfer label on

which companies can print a bar code, the price rises to 15 cents

and up. Low- and high-frequency tags tend to cost a little more.

How much do RFID readers cost today?

It depends on the type of reader. Active readers are typically

purchased as part of a complete system, with tags and mapping

software to determine the tags location. Most UHF readers cost

from $500 to $2,000, depending on the features in the device.

Companies may also have to buy each antenna separately, along

with cables. Antennae are about $200 and up. The price of UHF

readers has been falling as production ramps up with adoption.

Low- and high-frequency readers range in price, depending on

different factors. A low-frequency reader model (a circuit board

that can be put into another device) can be under $100, while a

fully functional standalone reader can be $750. High-frequency
http://www.rfidjournal.com/faq/20/86http://www.rfidjournal.com/faq/20/86


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reader modules are typically $200 to $300. A standalone reader

can be about $500.

How much does a fully functional RFID system cost?

The cost depends on the application, the size of the installation,

the type of system and many other factors, so it is not possible to

give a ballpark figure. In addition to tag and reader costs,

companies might to purchase middleware to filter RFID data. They

will likely need to hire a systems integrator and upgrade

enterprise applications, such as warehouse management systems.

They might also need to upgrade networks within facilities. Andthey will need to pay for the installation of the readers. Not only

do the readers need to be mounted, they need electrical power

and to be connected to a corporate network. All of these factors

are different for each deployment, depending on the application,

the environment and so on.

R
http://www.rfidjournal.com/faq/20/87http://www.rfidjournal.com/faq/20/87


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System advantage, from HR's point of view

The fundamental objective of RFID based production management

technology is to balance production lines and achieve smooth

production flow. Its essence is managing people, assigning the right

people to do the right tasks, and coming up with the right work steps

all to improve productivity.

This means being able to track where, why and who causes the

problem. For example, if in one of the work lines one of the workers

makes collars slowly, RFID can track the problem in every single station

and identify each of these three things: the where - which workstation

has the problem; who - which worker causes the problem; and why -which work step or style has the problem in a production line. By

knowing these, the Industrial Engineer can apply the necessary remedy

to smooth out the problem. This may include retraining the worker,

changing the sequence of the work step, or changing of worker

Advantages of using RFID

RFID can also track bottle necks. WIP tracking is only the means of the

task, as described earlier. The main objective, however, is to achieve asmooth flow. To illustrate an unsmooth line, assume that you have 20

workers in a line, and even if 19 of them are fast and just one is slow,

semi-finished goods will still pile up and slow down the entire line. To

keep a smooth line, the remedial action in this case is to put in people

who have the same productivity rating. The first step is to find the

worker in your entire factory who has the appropriate work rate in such

production step. The next step is to look into the HR system and find

the relevant data to arrange the workers work shift.Measurement and improvement are important because in the

traditional system, the factory manager does not care about the fine

details of the production such as the cost of each work minute in the

factory since the margin is high. But nowadays, the margin has


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dramatically gone down and the factory manager needs to use a more

scientific way to calculate the cost of every work minute and find ways

to reduce the cost.

Difficulties in tracking production status

Garment manufacturing is labor-intensive. It is the most human-

dependent of all the kinds of manufacturing because only a few

robotics can be applied. As a result, it also has to meet social

compliance requirements. One challenge in garment manufacturing is

the difficulty of doing mass data capture. Real time data capture is

difficult to achieve without a device link up with the human work.

Without mass data capture, productivity cannot be monitored.Improvement can only be achieved by visual monitoring in the factory

floor and, due to human nature, a lot of discrepancies can arise

HR and RFID tracking integration is necessary

Integrated HR and RFID has advantages on this area. You can have real

time information in a mass workstation format. Worker informationcan also be captured based on the productivity of their work skill rate,

thus, one can see the level of efficiency of each worker in a certain

work step. Lastly, work step information can be captured based on the

garment features.

Essential feature of HR feature

The HR system has a lot of features., including those of a basic HR

system: being able to keep the workers personal data, reward data,

employment history and interactive payroll. The most important

features are keeping skill data and work shift planning. RFID interactive

can be used to plan the work shift based on the garment work content,


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and to plan for a smooth production line even before the production

starts.

It is important to have the system integrated with the HR system. It is

useless just to track the WIP, as mentioned before, since the focus is tomeasure and improve everyones efficiency. The nuts and bo lts of the

integration are: to implement an effective reward system, it has to be

robust and it has to treat reward fairly in order to increase motivation.

To do this, each individual workers ability needs to be kept and scored,

therefore, the system has to be able to derive a skill matrix.

Skill Matrix

Skill matrix is a table that keeps record of the efficiency of all workers in

every major operation. IE department will then be able to categorize

different levels of workers to plan a smooth production line, know

which workers need to be trained and know what work step need to be

fine-tuned.

Records from the HR system can be used to do a lot of data analysis

such as training history of worker, age of worker, past employment

history, merit & demerit and reward history of worker.

In summary, RFID is a device to constantly measure the worker and beable to appraise each worker as part of your team to achieve your

companys goal.


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Global Scenario of RFID AdoptionIn 2003, global major retailer Wal-Mart requested and issued mandate

to top 100 suppliers to tag RFID pallets for goods supplied by them to

increase operational efficiency. Wal-Mart has introduced RFID attached

to each pallet and storage box that comes into/goes out of their stores

and distribution centers and has almost completely replaced bar codes.

In June 2003, Wal-Mart had communicated to its major suppliers that

in two years, all pallets and boxes should come tagged with RFID.

Information about the contents loaded onto a roller or box can be

tagged onto the tag and easily checked. This helps check if material has

gone "missing" during transport. Looking into the phenomenal success,

major retailers such as Target, Best Buy and others were compelled toissue guidelines to their suppliers to adhere to this system of tagging

RFID pallets, especially the big suppliers. Throughout the European

Union, RFID passes are used for the public transport systems. This

system has now been copied by Canada, Mexico, Israel, Dubai and

Columbia also. All the transport payments and toll charges are

monitored and done through RFID Compliant systems. This can reduce

a lot of time spent by logistics companies along the motorway and can

speed up the checking & inspection stages in the logistics. Thisautomatically brings down the cost of transportation. However, when

RFID was implemented, Metro registered an 11% reduction in out of

stock position at testing sites. Another major retailer of Japan,

Mitsukoshi, commented that adopting RFID and Intelligent telephones

in dressing rooms gave customers access to first hand product

information. This system helped retailers in bringing efficiency in their

overall operations. It also allowed customers to get immediateinformation about product stock position from sales staff.


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Indian Scenario

Retailers, textiles, aviation, energy and auto sectors in India are

switching to this new concept over the last 5 years after seeing theresults of implementation in the developed world. This is also

necessitated by pressures on them by suppliers from abroad to comply

with global business practices, failing which they run the risk of being

left behind. Infosys Technologies is a founding member of EPC and

Wipro technologies have been associated with Auto-ID Lab at MIT for

some years now. Both these companies play a big role in the EPC which

provides standards for implementation of the technology. The Big

Bazaar, Pantaloon has taken initiative in piloting RFID in its TarapurWarehouse. With the help of Wipro InfoTech, the architecture of

implementing RFID is being worked out with existing Pantaloon

infrastructure. The major benefits indicated were increased visibility,

faster and more accurate processes. Other sectors of the industry such

as FMCG, Oil and Gas, Defense have shown interest on RFID

implementation. Government is also keen on becoming one of the large

potential end users of RFID/EPC (Electronic Product Code) for tracing

and tracking equipments and spares, asset management, effectivestock management, zero error production, order processing,

distribution and logistics management etc. With its varied usage and

benefits, RFID is poised and anticipated to be one of the emerging

technologies which have the capability to transform business problems

into profitable and positive outcomes.


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CONCLUSION

Since RFID is in its budding stage in India, it can be perceived as an

immature solution which consist lot of technical and commercial

barriers. However, it is said to rock the supply chain over the next 20

years as it is a logical evolution. It is also projected to be critical for

supply chain in the next 10-20 years and is expected to become a

mainstream technology. Effective implementation of RFID generates

data that can be used to develop segmentation models and can

accurately predict customer usage patterns. Thus, data collected is

comprehensive and can provide bigger picture of the customer than

othersystems of data collection in the market.Though RFID industrypractices are still in the nascent stage and are relatively limited

II Stage- Sample Design

Sample Unit: Retailors

Sample Size: 50 retailors by covering 1 city-

Bangalore (Karnataka),

Sampling Type: Z-test & Correlation analysis.

III Stage- Approaches to Research Design

1.Research Design Exploratory/Conclusive/description/causal

Research

2.2. Data Collection

I.Primary data.


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Questionnaire for the Survey on RFIDA study on impact of Radio Frequency Identification (RFID) on

supply chain in Retail stores in Yesvanthpur.Q.1- Explain the reason you are considering RFID:

a)Improve efficiency

b)Improve productivity

c)Reduce operating costs

d)Required by supplier

e)Reduce labor costs

Reasons No. of Votes

A 9

B 6

C 5

D 4

E 6

0

5

10

a b c d e

Reason for RFID

Reason for RFID


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Q.2- What is your infrastructure installation budget?

a)Not sure yet

b)Less than 10,000c)10,000 - 25,000

d)25,000 -50,000

e)More than 50,000

Reasons No. of Votes

a 3b 5

c 8

d 7

e 7

0

1

2

3

4

5

6

7

8

9

a b c d e

Installation Budget

Installation Budget


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#Customer Services: (Likert Scale)

(1-Very Poor, 2-Poor, 3-Good, 4-Very Good, 5-Excellent)

Q.3- Faster Checkout:

a)1b)2c)3d)4

e)5Likert Scale No. of Votes

1 2

2 7

3 6

4 8

5 7

0

1

2

3

4

56

7

8

9

1 2 3 4 5

Faster Check

Faster Check


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Q.4- Better Information:

a)1b)2c)3d)4e)5

Likert Scale No. of Votes

1 7

2 6

3 5

4 6

5 6

0

1

2

3

4

5

6

7

8

1 2 3 4 5

Better Information

Better Information


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Q-5- Better Inventory Visibility:

a)1b)2c)3d)4e)5


1 3

2 6

3 6

4 7

5 8

01

2

3

4

5

6

7

8

9

1 2 3 4 5

Better Inventory Visibility

Better Inventory Visibility


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#Efficiency: (Likert Scale)


Q.6- Theft Reduction:

a)1b)2c)3d)4


1 6

2 5

3 7

4 6

5 6

0

1

2

3

4

5

6

7

8

1 2 3 4 5

Theft Reduction

Theft Reduction


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Q.7- Labour Efficiency:

a)1

b)2c)3d)4e)5


1 6

2 5

3 5

4 6

5 8

0

1

2

3

4

5

6

7

8

9

1 2 3 4 5

Labour Efficiency

Labour Efficiency


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Q.8- Inventory Reduction:

a)1

b)2c)3d)4e)5


1 3

2 7

3 4

4 8

5 8

0

1

2

3

4

5

6

7

8

9

1 2 3 4 5

Inventory Reduction

Inventory Reduction


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#Security: (Likert Scale)


Q.9- Asset Tracking:

a)1b)2c)3d)4


1 4

2 7

3 5

4 7

5 6

0

1

2

3

4

5

6

7

8

1 2 3 4 5

Asset Tracking

Asset Tracking


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Q.10- Safety:

a)1

b)2c)3d)4e)5


1 4

2 6

3 5

4 7

5 8

0

1

2

3

4

5

6

7

8

9

1 2 3 4 5

Safety

Safety


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Q.11- Retailer Compliance:

a)1

b)2c)3d)4e)5


1 5

2 5

3 6

4 7

5 7

0

1

2

3

4

5

6

7

8

1 2 3 4 5

Retailer Compliance

Retailer Compliance


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#Operational Gains: (Likert Scale)


Q.12- Faster Sales Cycle:

a)1b)2c)3d)4


1 5

2 5

3 7

4 7

5 6

0

1

2

3

45

6

7

8

1 2 3 4 5

Faster Sales Cycle

Faster Sales Cycle


36/41

Q.13-Integration of System:

a)1b)2c)3d)4e)5


1 6

2 4

3 6

4 7

5 7

0

1

2

3

4

5

6

7

8

1 2 3 4 5

Integration of System

Integration of System


37/41

Q.14- Anticipated ROI:

a)1b)2c)3d)4e)5


1 5

2 6

3 5

4 6

5 8

0

1

2

3

4

5

6

7

8

9

1 2 3 4 5

Anticipated ROI

Anticipated ROI


38/41

Methodology:Perceived BenefitsThe primary information was collected by analyzing the secondary

data on benefits sought from RFID and was ranked as per the

importance. Likert type of scale (with 1 being least important and 5

being most important) was used to know the importance the retailers

attach to each of the sub factors. Then weightage of (Likeability and

Dislikability ) was assigned depending on the importance attached on

a Likert scale (1, 2, 3, 4, 5), respectively, with 1 being the leastimportant and 5 being the most important.

From the above Questionnaire it can be understood that among the

various benefits of RFID, retailers perceive Reasons to be the priority

benefits among the factors studied.

0

1

23

4

5

6

7

8

9

10

Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 Q13 Q14

SCALE

SCALE


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2:-Secondary data.

Secondary data source

All secondary sources such as trade publications, industry reports,

conference papers were used wherever necessary. Secondary studies andreview of literature revealed the attributes, which were furtherconsidered for factor analysis.


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Findings and Suggestions :

By doing the correlation analysis of various variables that was selected

for questioner , we can draw conclusion that faster check out and faster

sales cycles have a positive correlation but in a medium range , and

similarly better information we can see that they are poorly correlated ,

in the case of inventory and retailors compliance we can that they are

highly correlated ,similarly in the case of asset tracking and safety they

have high correlation , in the case of theft reduction and safety they have

negatively correlated ie they dont have any impact on each other

In the z-test, from the data the extreme tail value of the graph is

1.95 and the calculated value from the data is 1.236. so the value comes

inside the acceptance region of the graph, so we select the null

hypothesis. There for the implementation of RFID has increased the

efficiency and scope of inventory management. There for we can

conclude that retailors will have a better profit and control of their

resource if they implement RFID.

1.236 1.96-1.96


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Conclusion:-

Research on RFID equipment has proved that the use of the RFID hasincreased the efficiency of retail stores supply chain management.As

per Idtechex (2006), it is estimated that 44% of global RFID marketvalue will be dominated by retail industryin 2016. It is also projected to be critical for supply chain in the next 10-20 years and is expected to become a mainstream technology.Mongelluzzo (2005), in his study, stated that Accenture in 2004 reportedto generate $4 billion net value in the electronic space from full RFIDimplementation. This indicates the potential RFID possesses. ThoughRFID industry practices are still in the initial stage and are relativelylimited, most of the suppliers are catering to minimal compliance inorder to meet the mandates of Wal-Mart and othermajor players.

References:

[1]Association for Automatic Identification and Mobility.

What is RFID.

. Web. 14 June 2010.

[2]Netaji Nagar Day College. An Introduction to RFIDTechnology. < http://www.nndaycollege.com/rfidintro.

html>. Web. 14 June 2010.

[3] Advantages and Disadvantages of RFID Technology.

. Web. 14 June

2010

[4] www.EBSCO.com

rfid operations group sec b-1

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