Reverse Logistics and RFID

Intellareturn Helps Re-invent Postal Mail

2007-12-28T23:36:00.000-05:00

Intellareturn has developed a patent-pending system that integrates an RFID-based transponder (with a unique identification code digitally recorded inside) onto the outer addressable surface of an envelope or package prior to sending it through the postal service. The electronic interface then links to supplemental images, text, photos, videos or music files associated with a mailing. These files are connected through Internet-based TCP/IP methods and the RFID/EPC tags inside the labels that are applied to the surface of a specific physical mailing.

Systems like this one from Intellareturn help create "mailstream innovations" that are similar to Earth Class Mail (www.earthclassmail.com), which allows people to view their postal mail online. The Intellareturn systems are under continuous development and work with both RFID-based transponders and various printable barcode indicia formats to represent Electronic Product Codes ("EPC"). By linking to a specific RFID/EPC transponder URL, users can retrieve supplemental text ... even without the need to affix the wireless transponder to the envelope or package.

Intellareturn Take: The Postal Service is ready for "Postal 2.0," where the Internet adds value to sent mail.

Airline RFID security luggage tag with passenger privacy-protection features

2007-12-04T22:45:00.000-05:00

The newly patented Privatag^™ tag system combines microchip technology with a visual passenger luggage and carry-on bag identification tag. This novel system helps verify, identify and track passengers and their baggage. The new tag can leverage ALL existing airline investments in passenger ticketing and kiosk systems to provide plug-and-play interfaces and product development partnerships, delivering a rapid solution for future TSA tracking requirements.

The new Intellareturn "BagTag" provides an airline passenger travel ID tag and recovery system that is affordable, bag-attached and electronic. BagTag allows airlines to offer accurate and immediate bag identification by both visual and ISO microchip tagging.

The plastic tag case includes a hollow cavity that is part of a novel property ID tag, which can be attached to any accessory including checked or carry-on bags to assist in helping to identify a bag and/or its owner. The tag is configured to hold an optional RFID transponder within the hollow cavity that includes passenger-controlled privacy protection features.

Intellareturn's BagTag is encased within a thin metallic coating or can incorporate another suitable radio-frequency shielding material designed to protect and disable wireless RFID tags from being read by unauthorized methods. Customers or authorized TSA professionals can activate the transponder capsule function by manually opening a protective ID tag cavity seal (or other protective "Faraday Cage"), which effectively enables the tag within the cavity to be externally read by TSA-approved radio frequency transponder methods with our Internet-linked security layer functions. The Privatag system disables the antenna and related circuits of the RFID transponder, so it cannot transmit data unless manually activated by the baggage item's owner.

* What is the product value?

This is the first airline passenger baggage microchip product to combine traditional baggage ID tag features with advanced microchip technology. The "PrivaTag" BagTag will deliver an affordable airline passenger tagging solution in the form of a permanent identification tag with replaceable RFID capsules affixed to passenger items.

The microchip built into the ReturnMe BagTag can be read 24/7 using a nationwide network of special electronic handheld readers, which can be distributed at TSA locations, police departments, baggage staff locations and/or courier/airline networks -- including airlines, FedEx, DHL and others.

RFID and privacy make TSA the winner!

Intellareturn Take: Part of the problem is that while RFID is simple, it's also misunderstood. Significant air passenger and RFID industry research has been published that documents a deep fear that "someone" can discretely "sniff" a tag while walking just inches from a person with their tag exposed -- or in their pocket. This fear has shown its ugly head most recently with the U.S. Passport program and Intellareturn doesn't think that the TSA wants to go down this same path of controversy with public perceptions and fear. If implemented, media sources and the passenger traveling public will say: "TSA got it." They "... understand the issues and have addressed them in a way that provides new levels of security and protection, balanced with the new demands of consumer privacy."

Customer Returns Without Receipt?

2007-09-06T20:28:00.000-05:00

A new patent-pending product purchase date system predicts a product’s purchase date without a customer receipt. The Internet-based predictive purchase system permits manufacturers and retailers to provide groundbreaking customer service by making it easy to return products when a purchase receipt or point-of-sale records are unavailable. Whether under store 30-day return policy, warranty or exchange, the hassle of proving date and source of purchase at the point of return is possible with Electronic Product Code (“EPC”) platforms being integrated into next-generation supply chain networks.

For the first time, a predictive computer analytic system helps customers, retailers and manufacturers track products through their sales lifecycles by analyzing a product’s EPC code ... a “fingerprint” that can be electronically monitored by trading partners across the supply chain and at retail point-of-sale terminals. EPC data can be tracked from an individual purchase at a store or during transit by participants in the emerging EPCglobal network.

Reading the EPC number and entering it at any Internet-connected return location provides an estimated date of sale, including source location of purchase, with an associated confidence level. For example, a digital camera can be returned to a store or e-tailer for credit, repair or other service warranty just by reading the EPC tag number on the product. Upon a return, the seller or manufacturer scans the product tag using an Internet-connected browser terminal, that reports:

“The estimated purchase date for this Canon EOS camera (Model EOS1-21), purchased from Wal-mart Store #239, was the week of July 5, 2007—with a predictive confidence/accuracy score of 85 percent.”

Intellareturn's Take: The future of customer service and returns is here.

DHL Readies for RFID

2007-02-01T09:01:00.000-05:00

Intellareturn is pleased to report that DHL continues to “walk the talk,” taking bold steps to prepare its courier system for RFID applications. Specifically, a new generation of handheld scanning devices (Motorola HC 700s) are being deployed nationwide by the third quarter 2007.

According to a January 16, 2007 DHL press release, the “new generation” Wi-Fi system enables DHL to transmit customer shipment information automatically –- from pickup to final delivery –- without the need to wait and place a device within a transmission cradle. The information will be immediately fed into DHL back-end systems, providing instant visibility to customers looking for shipment status through various venues including calls to customer service, visits to the DHL web site or other DHL shipping systems.

"In addition, the new DHL scanning technology is RFID-ready (Radio Frequency Identification), affording DHL the ability to integrate the new technology with future RFID products already in development. DHL is committed to bringing the benefits of RFID to the U.S. market and worldwide, and has taken a leadership position to support further development and international standardization of RFID technology. RFID is used to read and store data without the need for contact or direct line of sight and promises improvements in supply chain management for industries worldwide."

Intellareturn Take: Intellareturn believes that this new handheld device and Wi-Fi system creates the “plumbing” and network/infrastructure system to take RFID and related EPC applications to the next phase of development and implementation. Intellareturn founder Elliot Klein notes, "DHL continues to take the lead and impress us by taking all the right steps to support the benefits and new applications made possible by emerging RFID, EPC and serialized tag-related applications for parts, warranty, returns and other value-added DHL services."

Web 2.0 Services and the "New" Supply Chain

2006-12-24T22:29:00.000-05:00

Strong interest in the many new Web 2.0 platforms and services will set the perfect backdrop for enhanced 3PL logistics offerings. Web 2.0 has been defined as a global platform of reusable services and data. This information is consumed and integrated from counteless sources, particularly user generated areas.

Regarding 3PL, user-generated data includes warranty information, product lifestyle pedigrees and track & trace capabilities that can be built-into leading courier shipping Web platforms. A great piece of this movement is the continuous and seamless updating of data -- rapidly, combined with rich and interactive user-based interfaces.

Intellareturn Take: Intellareturn believes that the second generation of the Internet will bring about the creation of superior information models enhanced by radio-frequency identification (RFID) with forward-looking supply chain professionals that want and need to see everything at one time to make automated decisions. Courier services must re-think their traditional notion of bar code service for track & trace services, complementing them with RFID/EPC solutions to maintain competitive advantage while building new revenue streams for the demand-driven 21st century with its rapid product lifecycles.

Welcome 2007 ... we're looking forward to watching what the new year brings to the table!

Embed Marketing in Products: Add Warranty & Return Services Convenience

2006-11-05T22:41:00.000-05:00

Intellareturn believes the future of customer service is great products that have marketing and service features embedded in them.

In a recent DM News article, creative shop Crispin Porter + Bogusky CEO Jeff Hicks was highlighted as he raised the bar for ad agencies during a packed keynote session at Forrester's Consumer Forum 2006 conference. He said: “The future of advertising is that there isn't any. Yes, that's coming from an agency, which created memorable ads for clients like Burger King, Volkswagen and Miller Brewing."

While he noted that Google and Starbucks both don't use much traditional media to get their message across, he emphasized that their marketing is embedded in the brand itself. The role of advertising is to push consumers toward products, where the product is at the center and Advertising is at the periphery ... with packaging, CRM and distribution as the layers between it and the product. The agency's job is not to interrupt but to create content that’s entertaining.

Intellareturn Take: Ad agencies, as marketing leaders for their clients, should see the value of convenient and automated return processing with RFID tagging as a real competitive advantage with customer relationship management. That's what Intellareturn can provide with RFID tagging embedded into products, enhancing warranty and return services so consumers say "WOW" as loyal, repeat and lifetime customers.

WSJ Names IBM's RFID Clipped Tag Innovative ...

2006-09-11T20:40:00.000-05:00

We highlighted IBM's "Clipped Tag" technology a few months ago as a solid advancement for the utilization of RFID and advancement of privacy protection. Today, the Wall Street Journal was highlighted as a winner of the Innovation Awards.

With concerns over consumer privacy protection with RFID initiatives taking a significant place in debates, IBM's clipped tag technology will help to offer the benefits while safeguarding people against inappropriate uses. The IBM solution provides consumers with the ability to easily "opt out."

Intellareturn Take: IBM has stepped forward to enable the proliferation of RFID usage by protecting consumers against safety concerns. Intellareturn applauds this great step and looks forward to new ones as the technology continues to be utilized throughout the world in every industry.

The Logistics Transformation Continues ...

2006-09-07T10:26:00.000-05:00

According to a survey by EyeonTransport, Europe's 3PLs companies are expanding their operations, technological capabilities and services to satisfy customer demands.

The EyeonTransport website states: "Companies in the global marketplace are finding that supply chain engineered logistics is not a commodity, and understand it is a vital means to boost their cost savings, enhancing their cash flow and improving servicing levels for getting their products to market."

Intellareturn Take: Perhaps one of the most interesting factors of this study were the promising opportunities with reverse logistics. As organizations in the logistics arena learn how to better service their customers with new innovation (for example 49% of all the respondents said they intend to provide RFID capabilities within two years), they gain competitive advantage and better equip their end-users to succeed, optimize processes and streamline operational costs. The transformation of the industry continues ...

Tony Bennett left his heart in San Francisco, but what about his baggage?

2006-08-31T14:41:00.000-05:00

According to an article in RFID Journal today, the San Francisco airport has approved an RFID-based baggage tracking pilot program in collaboration with Asiana Airlines, Korean Air and Incheon International Airport to improve baggage handling.

By attaching RFID tags to checked luggage for sorting and tracking, these airlines and airports are hoping to improve on the barcode-based technology used today. Since RFID does not require line-of-sight, it captures information more reliably. According to the Transportation Security Administration (TSA), RFID has increased the read rates by more than 90%.

Intellareturn Take: Utilizing the benefits of RFID in day-to-day activities is an important step for realizing the potential of this technology. Baggage handling for travelers is often a tedious process with a significant failure rate.

In fact, the Aviation Consumer Protection Division estimates that 3.6 million pieces of luggage were lost by airlines domestically last year. While the process is extremely manual and will always be, this is a positive step for improving what has left travelers around the world searching for their lost belongings. What's the real reason to do this?

The International Air Transport Association (IATA) believes that RFID can improve baggage-handling accuracy and save airlines and airports $760 million a year if implemented worldwide. With the state of the airlines in severe distress, an extra $760 million each year could be the savior that industry professionals have been looking for.

Impinj?

2006-08-12T17:36:00.000-05:00

Yup, that's right - Impinj.

Good news! This RFID chipmaker has developed new RFID chips that focus on enhanced user data and product authentication.

According to the company, the Monaco/64 chip reinforces applications where adding rewritable data to a tag is important:

Product information, warranty or expiration and lot data for manufacturers
Baggage inspections and baggage logs for airlines using RFID-enabled tags
Encoding a drug's "chain of custody" (pharmaceutical companies)

The Monaco/64 chip is compliant with the EPCglobal Gen 2 standard and can be password-protected for authorized people and/or organizations.

The Monza/ID chips focus on encoding unique, unalterable identifiers that will be used to authenticate products or assets -- reducing counterfeit situations. By incorporating a serialized, unique ID with each chip and relevant EPC data, manufacturers and their supply-chain trading partners can work together to stop illegal product activities.

Intellareturn Take: Incorporating high-memory RFID chips with EPC data is a terrific way for organizations to authenticate their products. Intellareturn has been a proponent of and evangelist for the utilization of RFID innovation through serialization with EPC data for authentication, warranty and returns -- or the whole gambit under "reverse logistics." This is yet another step in the right direction ... reverse!

"Google Lost & Found (BETA), anyone?"

2006-06-21T13:23:00.000-05:00

The RuBee developments and commentaries got all of us at Intellareturn thinking ... imagine if we could utilize the RuBee protocol to enable the Intellareturn ReturnMe platform to create a lost & found Internet system for laptops and other valuables.

How?

An item's RFID/EPC number can be associated with the item-specific data sent over the Internet. The methodologies and patents developed for ReturnMe have the ability to utilize the active RuBee protocols to help locate, identify and return missing items. Such a system would allow for a "Google-like system" to report on where products are at any time.

What do you think? Keep an eye out ... there may be a "Google Lost & Found system" soon, powered by Intellareturn.

RuBee - A hidden jewel or an RFID killer?

2006-06-18T21:08:00.000-05:00

RuBee. No, it’s not an imitation jewel, but rather a new protocol (IEEE 1902.1) for retailers and manufacturers to consider as an alternative or complement to RFID item-level tagging.

Is this the end of RFID as we know it?

Probably not. While the RuBee efforts include backers like Best Buy, Tesco, Metro Group, HP, Intel, IBM, Sony, Panasonic, Motorola and NCR, it should work with the plans for RFID and those applications or areas that can’t be best served by radio-frequency identification – especially since the RuBee protocol focuses primarily on magnetic rather than radio transmissions.

In an IEEE statement, RuBee is described as "a bidirectional, on-demand, peer-to-peer, radiating, transceiver protocol operating at wavelengths below 450 Khz. This protocol works in harsh environments with networks of many thousands of tags and has an area range of 10 to 50 feet."

Why is this important? It helps with the areas that RFID has problems with, primarily liquid and metal deployment challenges. Therefore, RuBee could support many high-end items that contain metal -- iPods, cellphones, televisions and most other appliances.

So why would people use RuBee?

Simply, RFID’s high bandwidth capability allows for many/multiple tags to be read in a short period of time. As a result, RuBee wouldn’t be applicable to low-end products for inventory management. Instead, according to John Stevens, chair of the IEEE's P1902.1 Working Group, “RuBee is a visibility tool, whereas RFID is a tracking tool. If you've got 50 items on a conveyor that need to be read in under a second, RFID will work, but if you have a product where you want access to internal records inside a warehouse and [want to] find out about its history from the day it was born ... that's visibility."

Intellareturn Take: Innovation and exploration are the keys to progress as we continue to research and create new technologies.

While RuBee transmission technologies have some extremely advantageous attributes and possibilities, RF transponders do as well. Both RFID and RuBee transponder standards are still evolving and we suspect both will continue to progress. For Intellareturn, our intellectual property for warranties and reverse logistics covers many protocols for providing and utilizing unique identifiers. In fact, we welcome more innovative options as that's what allows the market and technology to improve.

Remember the start of the Internet's commercialization? These efforts are similar and the opportunities are still unfolding.

FedEx Critical Inventory Logistics - RFID Connection?

2006-06-13T15:53:00.000-05:00

Earlier today, FedEx announced the launch of a new supply chain service that will enable customers to more efficiently manage high value and time critical inventory by utilizing the power and reach of the FedEx portfolio of companies. Dubbed FedEx® Critical Inventory Logistics, this will include customers in:

telecommunication
semiconductor
biomedical
and other high technology industries.

Intellareturn Take: In recent discussions with the folks at FedEx, we believe that this Critical Inventory Logistics service will soon include the incorporation of RFID technology for a number of areas -- including reverse logistics and warranty actions.

FedEx is a global leader in handling the supply chain processes of many organizations throughout the world and we are confident that our discussions with them will lead to enhancements for reverse logistics through RFID. Intellareturn has supported the use of courier networks for some time, especially with FedEx Kinko's and FedEx Express locations (for distribution of parts or devices) and FedEx Custom Critical and FedEx Express for urgent, same day service (for repair and warranty services).

These solutions could reinforce the efficiency and visibility of operations at a moment's notice, whether by phone, in-person at a FedEx location or online. Get ready for the future of logistics!

Microsoft plans for continuing RFID support

2006-06-06T22:28:00.000-05:00

According to an article today in Network World, Microsoft's roadmap for BizTalk Server includes support for RFID technology.

The article noted that BizTalk Server 2006 R2 will feature APIs for third-party vendors to tie their RFID wares into the platform -- which will also include a set of business rules and events management capabilities to connect RFID events to back-end business processes.

Intellareturn Take: Based on our recent discussions with Microsoft, the upcoming plans for RFID will provide an enhanced business intelligence platform that is both extensible and dynamic.

We're looking forward to collaborating with them, especially as they create new solutions to improve the way that third-party organizations use information from RFID to streamline processes and uncover new opportunities ... particularly with the reverse logistics, warranties and other customer interaction initiatives we find necessary but lacking in the market now.

Is RFID the white knight for Product Lifecycle Management?

2006-06-01T21:52:00.000-05:00

Among the many discussions regarding RFID, one particularly interesting one is using the technology to enhance product lifecycle management (PLM). The integration of RFID and PLM creates a strong opportunity for warranty repairs, returns and product registration.

RFID Journal's Mark Roberti wrote an insightful article ("RFID Gets Itemized") about early adopters and item-level tagging in many industries:

U.S. drug manufacturer Purdue Pharma tagging/tracking individual pill bottles
German health-care provider Saarbrücken Clinic Winterberg tracking individual bags of blood
U.S. jeans maker Levi Strauss, Japanese retailer Mitsukoshi, U.K. retailer Marks & Spencer and others tracking apparel and footwear
Swiss watchmaker and jeweler de Grisogono tracking watches and diamond rings
Japanese retailer Yodobashi Camera tracking individual digital cameras.

While there are many reasons to consider RFID - from product lifecycle management to inventory tracking, many are planning RFID pilots and AMR Research found that: "42 percent of respondents say that item-level tagging will be their organization's most strategically important technology investment over the next 12 to 24 months."

Intellareturn Take: Why the interest? Simply, item-level tagging enhances visibility within a company's operations and allows for better customer service. This is increasingly important with high-value items and can improve the total lifetime value of a customer relationship.

Have RFID tags with privacy protection arrived?

2006-05-25T18:38:00.000-05:00

One of the leading challenges for RFID adoption is privacy. While the bulk of RFID utilization is now either in the supply chains (for pallets) or in the military, the growth of this technology is sure to increase. It's here that many are worried about the abuses of consumer privacy with item-level tagging.

Many have been working on potential solutions and IBM announced one viable possibility earlier this month. Known as the "clipped tag," IBM has developed an RFID tag that gives consumers a choice to disable it without eliminating options for returns or recalls later on. It's simple: once a person purchases an item with this tag, they can "tear" the label along perforations. This removes part of the tag's antenna and reduces transmission capability from a few feet to a mere inch.

Intellareturn Take: IBM's patent-pending RFID tag is an important step in moving the adoption of this technology into mainstream use. By limiting the capability to transmit information, organizations like retail stores and suppliers can incorporate RFID, safeguard the privacy of their customers and better manage the inventory and warranty processes ... without "killing the tag" and still reinforcing Electronic Product Codes.

We're excited to see how this progresses!

Can Privacy Protection Move RFID Ahead?

2006-05-11T02:34:00.000-05:00

What's holding RFID back these days? Many believe that it's cost or a strategic business foundation. However, many opponents play the privacy card. The security and privacy of data is considered a major obstacle for many RFID efforts, but security is a top concern for many - including Intellareturn and now IBM through their new protective measures.

Consumer privacy protection needs a solid plan, especially for the proliferation of item-level RFID tagging. IBM recently created "an RFID tag with a disabling feature that limits — but doesn’t kill — a wireless chip's ability to broadcast item information," called the Clipped Tag.

Allowing customers to disable an RFID tag on items they purchase without eliminating the tag's ability to expedite product returns or recalls is key and validates many of the pateted solutions that Intellareturn has been advocating for years.

While EPCglobal created a "kill command" for the Gen2 protocol, tags can’t be revived and used afterwards ... and requires retailers to manage passwords for every item. This new protection from IBM could be what's needed to push RFID beyond the pallet! Let's keep an eye on this one ...

Baggage Tracking System? Not Us.

2006-04-23T07:58:00.000-05:00

What happens when airlines lose your luggage? Good question ... and it's happening more often too.

Based on a recent report from SITA, airlines around the world mishandled about 1 percent of the 3 billion bags checked last year. How did they find the 30 million that went missing? Manual search parties.

Most airlines use bar-coded tags, but this doesn't help when they're lost. Instead, airports and airlines should be incorporating RFID solutions that can track the baggage at many checkpoints through readers in the chain. Once cost factors are dealt with, it shouldn't be long before we see this more around the world's travel facilities.

Intellareturn has addressed many of these areas and today offers the ReturnMe Luggage Tag ID System as a solution that can grow with the industry, but focuses on customer involvement. The numbers are growing - and with 30 million bags being lost with the number growing, you're likely to suffer to. All RFID players need to help the market mature and solve these issues -- it's possible today.

Wal-Mart and RFID - Beyond Dillman

2006-04-20T12:58:00.000-05:00

The proliferation of RFID continues beyond the scope of Wal-Mart visionary and former CIO Linda Dillman. This is good, since many throughout the industry wondered about the company's true strategy for and commitment to RFID.

As a pioneer in applying this technology to the retail world, Wal-Mart mandated that 100 suppliers tag their products starting in 2005 under Linda Dillman's role as CIO ... resulting in an extraordinary 16% reduction in out-of-stock items.

Today, Wal-Mart Stores' new chief information officer -- Rollin Ford -- continues to expand on technology enhancements like RFID. "There will be no slowing down. RFID will transform the way we do business."

Ford did get one thing wrong - RFID will actually transform the way EVERYONE does business.

Web Merchants Fighting Costs of Fraud

2006-04-16T18:05:00.000-05:00

The Associated Press ran a story today on web merchants and how they plan to fight the increasing costs of fraud - now pegged at hundreds of millions of dollars each year with Internet sales. Why?

According to the article, payment fraud plagues Internet merchants more than bricks-and-mortar outlets since online transactions don't require customer signatures or credit card imprints.

Intellareturn Take: While there are many ways to address these acts of fraud, the techniques of those committing the crimes will always change. EBags takes a non-tech approach by calling before shipping orders. While effective, this is also a time-consuming process. To optimize time and costs, we believe that RFID can provide a great platform with substantiating returns -- both for legitimate and unethical customers.

DHL to Test Tags on Returns -- Sound Familiar?

2006-03-16T17:16:00.000-05:00

According to an article today from RFID Journal, DHL will be spearheading a trial for return solutions with RFID as part of the larger RFID plans with partners like Philips, IBM, SAP and Intel.

This proof-of-concept in the United States is one of the first RFID technology efforts under the "DHL Innovation Initiative" strategy with the aforementioned partners for the logistics industry.

Intellareturn Take: By having an industry leader in the courier space continue to focus on RFID strategy and deployment, the entire industry will benefit and push improved services for vendors, manufacturers and end customers. Adoption will enable better technology that solves many issues costing millions each year for companies ... returns, repairs, counterfeit goods and more.

Stay tuned, as we anticipate increasing activity throughout the courier industry.

RFID Customer Cards in Asia - Improving Service

2006-02-02T03:09:00.000-05:00

Recently, NEC Corp. launched their RFID-enabled customer loyalty cards to improve how customers have their products serviced - and enhancing the company's own operations and processes.

As with many areas of technology like the Internet, a major factor is customer convenience. By improving service and solutions with RFID, NEC will also be able to add valuable information into their CRM strategy.

Essentially, NEC is providing a special customer card with embedded RFID to customers in Asia. The unique ID number of each customer's RFID-enabled NECare Customer Card is linked to that customer's purchase details. The goal: simplify and speed up customer service and support.

"There is no need for them to present invoices, purchase receipts and warranty cards, or even complete lengthy forms at the NECare Center," says David Ng, senior vice president of the business services group of NEC Solutions Asia Pacific.

David is an innovator and understands the power of RFID for warranty and customer service convenience. Intellareturn expects expansion of this application for RFID and warranty service and repair that enables express courier and parcel networks to support NEC and other consumer electronic return programs.

Kudos to NEC for introducing an Intellareturn style system for warranty convenience. While these efforts are taking place across the Asia Pacific region, Intellareturn is hopeful that it will be expanded to other markets of the world to demonstrate the value of RFID in customer service ... or as we call it, "intelligence at the point of return."

Pfizer fights fake Viagra with RFID

2006-01-07T01:55:00.000-05:00

As with many industries, the threat of counterfeit products pose many problems. However, when these fake products enter the pharmaceutical arena, there's more at stake than lost revenue -- the risk expands to health and possibly death. This is the case with one of the most talked about drugs of our time - Viagra.

Given the financial and health risks associated with "fake Viagra" medication, Pfizer is combatting these counterfeits through radio-frequency identication (RFID) technology and started to affix these tags to all U.S. shipments of Viagra.

Pfizer plans to spend about $5 million on the project and Intellareturn only expects this use to grow. While privacy advocates are concerned about these measures, it really is about protecting the consumer and counterfeit drugs pose real harm. Strict guidelines are needed for these practices, but Intellareturn applauds Pfizer for taking a stand against counterfeiters and other fraudulent activities.

LoJack Widens Stolen Vehicle Dragnet

2005-12-30T16:39:00.000-05:00

Well folks, looks like Intellareturn is officially part of the debate over LoJack's support from the FCC for expanding their operations.

According to an article from TelecomWeb, the "LoJack operations were limited to recovering stolen vehicles, and it wasn’t authorized for any general-purpose vehicle tracking and monitoring, but the FCC waiver allows the company to use its system for tracking and recovery of cargo and hazardous materials."

While the company gained the support of industry heavyweights like Motorola, there was opposition from companies like The Walt Disney Company and (yours truly) Intellareturn Corp. Why?

Disney worried a waiver would cause interference with its television stations. Intellareturn is concerned that these efforts would block competition through an unfair competitive advantage for recovery and tracking services. The debate continues ...

Report: RFID in the Postal and Courier Service

2005-11-18T03:13:00.000-05:00

Based on a new IDTechEx report, "RFID for Postal and Courier Services 2006-2016," the potential market for RFID applications in the postal and courier service arena is second only to the retail supply chain for item-level tagging. Futher highlights:

1. The potential market is huge ...

2. RFID is an idea whose time has come in postal, courier and high volume light logistics ...

3. The global market for RFID systems in this sector will grow extremely rapidly to $3 billion by 2016!

Intellareturn Take: Validation is an important piece for business success. Intellareturn's vision for the utilization of RFID through courier and postal systems for better managing the reverse logistics and warranty return aspects clearly has a bright future. More important, this research illustrates the importance in taking advantage of existing resources to offer new and better customer solutions that can impact an organization's bottom-line -- especially when considering the lifetime value of loyal customers. Sometimes the market just needs time to catch-up with innovation ... so get ready!

Third-Party Logistics (3PL) Providers Need to "Reinvent" Themselves

2005-11-01T01:35:00.000-05:00

A new report was released this week by Capgemini and the Georgia Institute of Technology to offer more strategic and standardized solutions for users. The findings stress the importance of using technology in the 3PL supply chain process to balance cost concerns and strategic needs.

While 90 percent of respondents agreed that IT capability is a necessary element of overall 3PL provider expertise, only 38 percent are satisfied with their providers' capabilities.

This suggests that as more firms progress further into outsourced logistics relationships, the complexity requires the use of effective IT services for a broad spectrum of supply chain processes.

Survey respondents identified the top three future requirements of IT-based services:

radio frequency identification (RFID)
Internet-based transportation/logistics markets
supplier management systems.

Intellareturn Take: Based on this research, express logistics couriers – including FedEx, DHL, UPS and the U.S. Defense Logistics Agency – need to begin evaluating pilots for RFID-based reverse logistics applications to provide a new level of service beyond traditional asset-focused "slap and ship" processes.

The U.S. Navy Completes RFID Pilot for Reverse Logistics

2005-10-08T00:39:00.000-05:00

According to a story posted on RFID Journal, the U.S. Navy recently completed an RFID trial for tracking return shipments.

Each year, the Naval Inventory Control Point (NAVICP) tracks more than 500,000 broken parts, worth a total of $25 billion, as they move from locations overseas to Advanced Traceability and Control (ATAC) facilities in Norfolk, Va., and San Diego, Calif., then either to warehouses run by the Defense Logistics Agency (DLA) or to any one of more than 100 contractors enlisted to effect repairs.

The pilot began in January 2005 and was handled by SAIC (who recently acquired ProcureNet - a government procurement company), tracking retrograde parts moving from Iraq, to the ATAC facility in Norfolk.

According to sources, the total value of parts tagged during the pilot was more than $200 million. Using RFID, the project resulted in 99.6 percent of the 11,904 tagged items being confirmed as delivered to the DLA facility. In addition, the RFID system identified more than 350 items—worth a total of $12.6 million—that were not captured with ATAC's existing bar code system. The bar code system confirmed only 97.1 percent of items as having been delivered.

Intellareturn Take: Like any organization, the Navy needs to justify the utilization of and expense associated with new technologies. This pilot for RFID to enhance the reverse logistics processes of military needs provides a solid model for return-on-investment and the capabilities of RFID to handle returns and logistical needs for organizations of all sizes and types.

Intellareturn has been a long-time supporter of the miliary's use of RFID for tracking supplies and handling reverse logistics and we believe that it will continue to expand in scope. For more information, please review our DoD Warranty Compliance Automation white paper (PDF) from Intellareturn CEO Elliot Klein that was published on the Defense Acquisition Regulations Directorate site.

The Shared Vision - EPC for Transforming Business

2005-09-10T08:41:00.000-05:00

In the past, having the most innovative solutions internally was enough to drive business processes forward while improving the bottom line. Today, collaboration and cooperation among industry leaders is becoming a critical component for advancing many leading-edge technology solutions like RFID and the Electronic Product Code (EPC) initiatives. Why?

Take today - a group of 20 senior global retail and consumer products leaders worked with industry bodies on a shared analysis for the collaborative path toward an EPC-enabled supply chain. Top-level conclusions of report concluded that these efforts:

Require process transformation to truly deliver benefits
Will vary, driven by category-specific dynamics
Depend on the information - free, standards-based, secure and in context
Need cost declines and new ways to create supply chain value.

The joint assessment explains the need to implement business process changes and improvements to unlock the value of RFID and EPC. The free report is available in full from the GCI website.

Intellareturn Take: The collaborative report illustrates what Intellareturn has experienced for almost 8 years of RFID-based innovation. When you look at the history and adoption of barcode technology, RFID implementation has significantly close parallels regarding costs, benefits, education, awareness and overall confidence in the importance. To fully embrace the possibilities of these efforts, manufaturers, retailers, technology organizations and actual consumers must collaborate and cooperate to capture EPC's full potential. When this happens, Intellareturn will have yet another channel to improve the experiences and interaction between organizations and their customers.

Symbol and Intermec Reach Agreement

2005-09-06T09:46:00.000-05:00

Like any technology on the brink of adoption, RFID has many proponents and antagonists. Regardless, for all of the issues to be addressed and resolved for moving forward, patent disputes between the industry players does nothing but push the path off course.

When Intermec and Symbol Technologies opened up this battle over RFID to a potential legal venue, the industry was preparing to take another step back. Today, the two companies have settled one issue and plan to resolve four additional lawsuits.

According to the joint press statement, Intermec will withdraw the suit over RFID intellectual property that it filed against Symbol (Matrics before the acquisition)in June 2004. This agreement to access and share RFID-based intellectual property (IP) has also become a major force behind an RFID IP constortium that Symbol is spearheading -- but Intermec has yet to join. While not all details of the settlement have been revealed, one major element is that both companies will have access to each other's RFID-related IP through licensing agreements pursuant to Intermec's Rapid Start Licensing Program, which Symbol has joined.

Intellareturn Take: We believe that these disputes waste valuable time and resources on trivial matters, rather than pushing the technology and industry forward for mass adoption. Look at barcodes - it took years for them to be incorporated by manufacturers and now they are on each and every product. While the rapid adoption of RFID hasn't come to fruition yet, Intellareturn believes that RFID is a technology that will enhance the value chain for all involved -- manufacturers, distributors, marketers, retailers and - most importantly - consumers.

RFID - Beyond the Hype ...

2005-07-31T22:43:00.000-05:00

A comment by Philippe de Matteis in "RFID Tribe" describes how RFID adoption is following the 'Hype Cycle' to a tee.

Philippe notes how return-on-investment (ROI), tag unit price and global adoption have been discussed in recent weeks. His observations on RFID's ROI:

"On which period? How many years? 3 months? 1 year? 3 years? More? Will you consider only the financial approach? In that case - perhaps, you're better to invest in real estate, nowadays ... what about the Company goals and purposes, innovation and entrepreneurship? Fortunately, most of innovation has never been based on ROI ... I agree with the well-known writer, George Bernard Shaw, who spoke about The Unreasonable Man: the only one able to change the world. Perhaps, are we too much led by accountants or financial managers? For progress, finance is a mean not a goal. We need entrepreneurs!"

Intellareturn's take: Replace ROI with ROCR, or ROKMJ. Let's have our financial folks -- or our customer's financial group -- calculate ROCR ("return-on-customer-retention"), or ROKMJ ("return-on-keeping-my-job").

Calculate the cost of losing your top retail account and calculate how long the Board of Directors will keep us employed if we don't meet a mandate. No vendor welcomed Wal-Mart's request to add barcodes to items and look where we are today? We can't live without them. History repeats itself. Welcome RFID!

UPDATE: Microsoft to Build RFID Into Windows

2005-07-09T10:54:00.000-05:00

A few days ago we learned that Microsoft was "supposedly" planning to integrate RFID capabilies into the Windows operating system. Today, according to an article in Computer Business Review Online, this was a mistake. Now, Microsoft says it is developing RFID software to run in "a Windows environment" as either a stand-alone product or an application for software vendors to embed in their own offerings and platforms. How can a senior executive make such a wrong statement? We think there's more to this story than they are letting out - probably not ready to make the announcement yet. Either way, it will be interesting to see what they develop and showcase, since the rest of the industry is moving forward quickly in the RFID space.

Original Posting from July 9, 2005: According to an article in Silicon.com on July 6, 2005, Microsoft is planning to make RFID applications and tag-readers compatible with Windows. According to Scott Woodgate, group product manager of business processes forMicrosoft, the company is trying to integrate RFID programs with the operating system and make the majority of devices work with plug-and-play functionality.

"RFID has not been widely adopted because of the cost of devices and implementation of management. One of the things we'redoing is working on standards-based and non-standards-based RFID readers. There's a whole host of them out there and they'll work on Windows asplug-and-play devices."

RFID tags broadcast unique identifier signals over a radio frequency, whichmeans their movement can be tracked over long ranges. Woodgate said compliance and business needs are driving the demand for RFID tags: "People will build applications that use RFID. You will get visualisation of what stock you have in your warehouse, or what stock is on the way from San Francisco to Detroit. You'll get that information in realtime and it'll be faster than chasing people and checking inventories."

Intellareturn Perspective: As other industry players get involved in adopting and implementing RFID, the technology and issues surrounding this will improve. With anything, the more awareness and understanding the better these solutions will be. Microsoft's support in making RFID readers and processes a plug-and-play capability with Windows illustrates the power and influence that this will have on a number of initiatives. The proliferation of RFID in the mainstream arena has begun, especially with major heavyweights behind it -- Wal-Mart, Microsoft, IBM, Accenture, VeriSign and the Defense Department. Stay tuned for more on MS RFID XP ...

UPS Expands Technology for Greater Inbound Visibility

2005-07-07T01:51:00.000-05:00

The world's largest package delivery company has unveiled a technology enhancement that automatically notifies customers of every package in the UPS system moving toward them, providing a new tool to better manage the demands of business. Called UPS Quantum ViewSM Inbound, the new software technology provides proactive notification to help businesses better prepare for delivery activities. Click here for the full release and demo at UPS.com ...

Intellareturn Perspective: "Mission critical" repair and services are becoming a crucial component of post-sales activity for both businesses and the courier industry. A warranty repair service can now plan ahead and staff their operations better by understanding what will arrive and when. With UPS (and Intellareturn), the Maytag repairman isn't waiting on the service bench to see what UPS brings in today. Thanks UPS -- this is a tremendous validation for Intellareturn's business case and value!

UPS and Newgistics Fight on "Smart Label" Trademark

2005-07-02T21:14:00.000-05:00

UPS has initiated a cancellation proceeding against Newgistics, contending the marks 'Smart Label' and 'UPS Smart Label' have been in prior use by UPS and that Newgistics' continued use application should be formally cancelled.

As of July 1st, the two parties are attempting to negotiate a settlement without a formal trademark trial. We at Intellareturn wouldn't be surprised by a strategic alliance or other business relationship to help resolve this dispute between two leaders in the reverse logistics space.

Bill Gates, DHL and UA = Big Times for RFID

2005-06-28T00:45:00.000-05:00

Recently, we came across John R. Johnson's RFID Weekly blog. In this particular one, he highlights how RFID is hitting the big time with a focus from industry leaders like Bill Gates and DHL.

"If Wal-Mart's 2003 retail mandate was the shot heard around the world when it comes to radio-frequency technology, then the news that hit the market over the past several days represents the sector's perfect storm.

Just when the RFID industry appeared mired in an early summer lull, with most players on the sidelines awaiting the release of Gen 2 products, technology giant Microsoft rocked the industry by unveiling its strategy to enter the RFID market in 2006. As if that news weren't enough to jump start the RFID sector, consider that a veritable who's who of RFID heavy hitters also convened in Fayetteville, Ark., last week for the grand opening of a $2 million RFID Research Center at the University of Arkansas (UA).

The perfect storm was completed this week when parcel express giant DHL told Information Week it planned to stamp RFID tags on all of the packages it ships by 2015. Trevor Peirce, RFID global program director for DHL, told RFIDWatch Weekly that DHL's parent company, Deutsche Post, had already invested several million dollars in RFID research.

While the convergence of these three events hints at an impending major rollout of RFID in the supply chain, clearly the biggest news is that Bill Gates is talking RFID ..."

Clearly, as a member of the DC Velocity team, he understands the workings of industry and significance of more industry heavyweights getting involved. For John's full blog highlights, click here.

Intellareturn agrees that the more awareness and adoption in the news, the better informed people will be about the value and potential of RFID. Just think: barcodes took some time to gain traction, but with the adoption of the UPC code as a standard in the late 1970s they became an everyday experience for most people.

With RFID, we're just at the beginning of a long ride. Stay tuned ...

FAA Approves RFID Use for Planes on Ground

2005-06-21T19:48:00.000-05:00

According to May 2005 memo from the Federal Aviation Administration, radio frequency identification has been granted for use with planes on the ground. The signed announcement states: "The use of passive-only devices is restricted to ground operations only, i.e., aircraft not in motion."

While RFID for in-flight applications have not been approved yet, this significant government support complements the many airports and airlines now experimenting with RFID pilots. In addition, the impending efforts with RFID mandates and passports will make this industry a leading player in RFID technology.

For now, RFID for planes on the ground will ensure efficiency and safety, providing airlines with better tools for quicker maintenance with repair parts and tracking cargo using passive tags -- areas that Intellareturn focuses on. FAA officials also don't anticipate any safety or privacy issues with this approval and utilization, just potential hardware or software malfunctions that any technological solution can be exposed to.

RFID and Merchandise Returns at Sears

2005-06-21T01:48:00.000-05:00

According to a recent InformationWeek article, SEARS is using RFID to improve shipping accuracy and productivity at a merchandise-returns center in Atlanta. The retailer is one of the first to experiment with RFID for returns process.

William Littlejohn, manager of project operations at Sears, says: "We're still in the process of doing the analysis and gathering the data, but we can see a distinct difference between facilities that don't have RFID-enabled shipping processes with those that do."

Intellareturn Perspective: Intellareturn believes this early testing will generate big rewards for return cost reduction and better vendor relations at Sears. We look forward to seeing how this develops and actually expands the use of RFID throughout the operations and customer services at the company.

Bill Razzouk Joins SmartLabel(r) Firm as CEO

2005-06-21T01:45:00.000-05:00

Bill Razzouk was the former Chief Operating Officer and Executive Vice President at Federal Express, spending thirteen years at the company. He was integral in building the sales and marketing organizations that transformed Federal Express from a $700 million dollar company to an $11 billion dollar industry giant. Now, with the help of mega-search firm Heidrick & Struggles, he's been hand-picked to lead Newgistics in their next phase of expansion.

Newgistics offers a great barcoded return solution for returns processing that has snared many new clients. The company is growing rapidly but lacks an RFID solution to ensure long-term
growth. Similarly, it is having difficulties with receiving approvals on U.S. filed patents that can impact it's long-term competitive advantage and attracting new investors (i.e. one of its most recent patent applications received a Final Rejection in June 2005).

Intellareturn Perspective: We believe that Newgistics' hiring of Bill is a great move to make an IPO happen within 18-months. Alternatively, Bill may use his strong connections with UPS and FedEx to explore a a strategic sale to one of them or, more likely, DHL -- which already has established a returns service co-marketing partnership with Newgistics under its former CEO's leadership.

RFID Patent Facts

2005-06-19T12:13:00.000-05:00

In perusing the United States Patent and Trademark Office site we learned that UPS has 15 pending U.S. patent filings incorporating Radio Frequency Identification, while FedEx and DHL have no active ones we could find or identify. The UPS intellectual property leadership combined with the UPS Strategic Enterprise Fund investments in Savi Technology and Impinj demonstrate their committment to RFID and new related business models.

UPS: Solutions and Initiatives (Industry Presentation)

2005-06-19T00:55:00.000-05:00

Following DHL's announcement to RFID-enable it's supply chain, Bob Nonneman, Industrial Engineering Manager at United Parcel Services (UPS), continues to lead the company's RFID packaging initiatives. You can follow the progress of Bob/UPS and their pilot tests whenever he speaks at industry conferences.

Next up: June 28, 2005 at the IDTechEx Smart Labels Conference
Visit http://www.idtechex.com/products/en/presentation.asp?presentationid=242 for more information.

IBM Announces RFID Privacy Consulting & Printer

2005-06-15T00:20:00.000-05:00

According to the company press release and article in RFID Journal, IBM has created a service to help companies establish privacy policies around the use of RFID, and has also announced a new RFID-enabled printer and RFID starter kits.

Intellareturn Perspective: Big Blue has clearly become a dominant proponent of RFID, establishing research centers and programs -- and now privacy consulting and RFID-based printers.

These IBM workshops will help customers develop strong opt-in policies for RFID-tagged items. A policy like this could be used to provide consumers the option of keeping an RFID tag linked to a product after the item has been purchased. The tag could then be used at a later date to process a warranty. Intellareturn is looking forward to seeing how this develops!

DHL Plans RFID Tags For Every Package It Ships

2005-06-11T00:01:00.000-05:00

DHL International announced that they plan to incorporate RFID tags in every package shipped by 2015 to gain tighter control of shipments, cut costs and improve operating performance by reducing paperwork and data collection -- a monstrous IT infrastructure initiative for a company that handles more than a billion packages each year.

"You could look at it as a huge, overwhelming challenge, but if you break the elephant into bite-size chunks, there's a way to tackle it," says Trevor Peirce, RFID global program director for the DHL global coordination center. "It requires lots of thought, and most people in RFID don't sleep much because they're always thinking."

Known as an expert in the RFID arena, Peirce's sentiments are not surprising. His efforts have been underway in a number of pilot programs and RFID pursuits at DHL for years. DHL is already supporting a number of the RFID initiatives throughout Europe and gained significant capabilities from its acquisition of Airborne Express in 2003.

According to the full InformationWeek article, DHL began testing RFID in 1998 and has since conducted 20 trials with passive and active technology. UPS Inc., by comparison, says it has conducted three big tests, such as using RFID to replace bar codes on packages.

Intellareturn Perspective: This is truly significant news, validating the solutions of Intellareturn as important needs in the industry as RFID adoption continues to expand and couriers explore new opportunities to provide better services and revenue generators.

2005-06-06T19:22:00.000-05:00

British Airways Now Supports RFID ...

2005-06-06T19:08:00.000-05:00

According to a Silicon.com article, British Airways (BA) will likely invest in RFID to cure the hassles and expenses associated with lost luggage. Up to this point, BA CEO Rod Eddington was quite reluctant to consider a large-scale RFID implementation. However, that position has clearly changed resulting from the airline's baggage chaos last year when 11,000 bags were lost following strikes.

SITA estimates that using RFID could save airlines over $1 Billion on their lost luggage costs. In addition to supporting the implementation of RFID, Eddington also believes that a one-system approach can avoid interoperability problems between airlines.

Intellareturn Perspective: Many have considered RFID to be a worthwhile initiatives for solving travel issues like lost baggage. While a number of airlines and airports have been testing pilot programs, the announcement by British Airways illustrates the importance of considering new solutions that answer the issues plaguing the airline industry. As competition and consolidation continue, these companies will find it increasingly important to address problem areas that are cost-intensive and turn them into competitive advantages that promote loyalty and passenger satisfaction.

The UPS Delivery Information Acquisition Device (DIAD IV)

2005-06-01T11:24:00.000-05:00

The UPS DIAD wireless unit is now being rolled out.

For more information, you can review the:

Couriers are upgrading their wireless networks and systems -- and Intellareturn would expect an upgrade to the current DIAD and/or the next generation of equipment to include full RFID
read/write tag capabilities.

Thinking outside -- or inside -- the box?

2005-05-28T13:13:00.000-05:00

A new study evaluates the impact that RFID (radio-frequency identification) deployment will have on corrugated box suppliers over the next three years and beyond. The study, commissioned by the Fibre Box Association (FBA) RFID Task Group, will be used to help corrugated packaging suppliers understand and plan for the future as vital partners in the supply chain.

With RFID a rapidly emerging trend in the consumer goods and retail industry, it is very likely that RFID tags will soon be requested on finished corrugated boxes, bearing a significant cost impact on a corrugated box plant. Since the corrugated industry has a long history of being a supportive supply-chain partner to its customers and end users, the FBA Board of Directors created a task force to investigate the impact of RFID.

The RFID Task Group recognized that studies had already been done examining the impact of RFID on other portions of the supply chain, specifically retailers and consumer goods firms, but no work had been published regarding the impact on packaging suppliers. Therefore, the RFID Task Group commissioned Forrester Consulting to develop a study in July-September 2004. The purpose of the study was to estimate the net effect on a corrugated box manufacturer of supplying RFID-enabled corrugated containers.

Intellareturn Take: Today's cost of tags are too high for corrugated box-making operations. At present, solutions adding a smart label to selective boxes is the appropriate strategy. Expect to see all printed cartons potentially available with RFID printing options as organic materials and lower cost in-line print production techniques with printed inks and electronics mature. Expect a three to five year timeframe as well. The first phase will likely be with couriers that supply or sell re-usable packaging for shipments that are pre-embedded with RFID identification and shipping solutions.

See the Fibre Box Assocation (http://www.fibrebox.org/) for more information. The summary report and model are available to FBA member companies, which produce more than 90 percent of all corrugated material manufactured in the U.S.

Wireless Evolution Continues to Add Value To Logistics Operations

2005-05-26T12:39:00.000-05:00

In the May 2005 edition of SupplyChainBrain.com, Jean V. Murphy explores how early adopters are leveraging wireless networks in many new ways as a core competence in logistics and, even more important, as a competitive advantage.

The article cites how a number of the leading express delivery companies like United Parcel Service, DHL and Federal Express are utilizing their sophisticated networks. As the adoption and proliferation of RFID continues, these players will look for new opportunities to expand their operations. Intellareturn is preparing for this as well, with the expansion of intelligent warranty and returns.

For an in-depth look at the wireless efforts behind logistics, don't miss this article. We look forward to hearing your thoughts on how these changes will impact both you and the industry.

UPS opens 40,000 drop boxes to UPS Authorized Return Service packages

2005-05-24T10:09:00.000-05:00

UPS announced that they are now accepting UPS Ground Authorized Return Service packages and other ground return services at its 40,000 drop box locations. Previously, customers would have to drop return packages at a UPS facility or hand it to a UPS driver. “In essence we’ve opened up our channels by 40,000 locations,” a spokesman says.

There are no extra charges for the retailer or customer.

“It’s a strong competitive edge for us, it enhances our value to catalogers and e-retailers out there because they can add that greater convenience for their customers, and just make it easier for them to do business,” he says.

Drop box ground packages must be labeled as a UPS returns package. These include Authorized Return Service, UPS Electronic Return Labels, UPS Returns on the Web, UPS Print Return Label and UPS Print and Return Label. The package dimensions cannot exceed 16x13x2 inches.

Intellareturn Perspective: This announcement is significant, as it shows the importance that reverse logistics plays for industry organizations -- and their courier partners like UPS. Once these companies learn about the innovative solutions for warranty and return efforts from companies like Intellareturn, the interest in RFID is sure to gain additional traction. With DHL running a number of programs with RFID, we're sure that this is now on their radar as well -- illustrating that market return solutions are important.

Logistics giants voice concern over expense and accuracy

2005-05-23T14:27:00.000-05:00

Industry giants such as FedEx, UPS and DHL do not expect to offer a full RFID service to customers for at least two to three years and will only be supporting limited roll-outs to comply with the RFID policies of retailers such as Tesco, Metro in Germany and Wal-Mart in the US. UPS has no short-term plans to deploy RFID for shipping small packages, which account for 90% of its business, said Graham Nugent, UPS strategic IS manager for Europe. However, the firm has established a group of specialists to experiment with RFID. FedEx cited the cost of RFID and its existing investment in barcode technology as the biggest challenge to adoption. "RFID is just not ready to implement," a company spokeswoman said.

In an internal paper discussing the company's RFID strategy, Sherry Aaholm, senior vice-president of international and freight solutions, said, "It would be monumental for us to replace barcode technology, so we will start off with RFID acting as a supplemental offering with some suppliers." DHL believes common technology standards will be crucial to the uptake of RFID. "We are looking to achieve an ISO standard across all industries," said Trevor Peirce, leader of RFID at DHL. To facilitate this, DHL has become a board member of RFID standards group EPCGlobal. Peirce plans to have a common RFID standard across DHL in 2006, ahead of a wider roll-out in 2007.

TNT, another global logistics company, was reluctant to talk about its RFID strategy. See all comments in the full article from ComputerWeekly.

Intellareturn comment: The first of either DHL, UPS or FedEx to integrate RFID into their shipping networks will see competitive advantage and new business. Imagine just the business to Wal-Mart or DoD as RFID easily integrates and becomes supported across their networks. Further, new appplications (temperature sensing, track and trace, warranty and returns solutions) will add value.

UPS Technology Facts

2005-05-23T08:24:00.000-05:00

UPS uses an IBM DB2 database (at 18.41Tbytes, one of the largest known databases in the world).

UPS, which delivers 13.6 million documents and packages every day, recently rolled out a new GPRS-based version of its delivery information acquisition device (Diad) to drivers across its UK and German operations.The Diads, which were designed by a subsidiary research and development company at UPS, are based on Motorola processors with Symbol scanner units and LCD screens from Hitachi.

Bob Nonneman, industrial engineer manager at UPS, has concluded that much progress needs to be made before radio-frequency identification sees widespread industry adoption. Still, Nonneman is optimistic that EPCGlobal's new Generation 2 standard will be a step in the right direction.

Did you know FedEx has one of the world's leading RFID engineers on its team?

2005-05-22T23:12:00.000-05:00

Yes, his name is Randall Jackson. He's one the world's leading experts and has been atFedEx HQ for several years. Randall has a personal website in which he explains the history of RFID and other facts on the technology in easy to understand terms. Worth a look! http://home.att.net/~randall.j.jackson/rfid.htm

Welcome to the Intellareturn Blog!

2005-05-20T09:04:00.000-05:00

As thought leaders in the RFID space, we'll frequently be commenting on the state of the industry and various topics related to the adoption and incorporation of this technology -- especially related to reverse logistics, warranty solutions and product registration.

Intellareturn, based in New York City, focuses on intregrating RFID with the logistics infrastructure of courier shipping companies to enhance brand loyalty, operating efficiencies and profitability with intelligence at the point of return.

We welcome your thoughts and look forward to sharing the perspectives of the Intellareturn team!