RFID brings us a good vision, enough to make everyone amazed, but the implementation of this goal is full of obstacles or even twists.
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Recently, a resolution of Wal-Mart, the world's largest retailer, and pushed RFID (Radio Frequency Identification). Wal-Mart requested that 100 suppliers used RFID technology when sending pallets and packages to their distribution centers before January 2005, using this technology in single items before January 2006. Suppliers were urgently ticked by this order, but no one dared to neglect Wal-Mart, otherwise "Your things may be withdrawn from the shelves of the world's largest retailer."
China's suppliers are no exception. The organization of the China National Standardization Management Committee will be responsible for drafting, developing a number of national standards related to electronic labels in China, and will introduce autonomous electronic label national standards as soon as possible before the end of this year.
In fact, the RFID of the public is not a fresh thing. When I was in World War I was used by the US military to identify their own and allied aircraft, but since last year be sought after by everyone. Research institutions, Forrester Research, RFID recently said that RFID is one of the four major IT trends in 2004, "The 'IoT' of Its IoT 'will bring revolutionary changes to the world." IT giants such as IBM, SAP, Microsoft have long been grinding the knife Huo Hu, heavy gold into the development of this technology and solution, trying to divide a piece of 中.
It is worth thinking that the RFID tentacles of these giants are rarely extended to China. China IT companies are almost collective absent to the RFID feast. The traditional enterprises struggled in survival have much power to the "high and far" RFID.
Because of the beautiful temptation, although in front, the current RFID is not perfect. High cost, vital violations, high read error rate, standard is not uniform, etc., which does not perfectly appear in "IoT". RFID wants to achieve the "Internet" view of the "Internet of Things", winning a large-scale application around the world, but how many hurdle is needed? How long is the domestic RFID application "Return to the International" Road?
"Wal-Mart effect"
Shopping in large stores (such as Carrefour), you are most upset by you, pushing a full car, there is a long team, there is less waiting for three or five minutes. But in the future, you can take a big step of the store, and the e-reader will browse the items in the shopping cart, automatically draw from your bank debit card. Of course, it is not only these, when you remove the DVD "Terminator 3" from the shelf, the radio signal reminds the store employee to replenishment, and inform him that "Terminator 3" can be found in the warehouse. If you mistakenly put it on the shelf of the code to put "no triath", you will hear a warning of "咻".
In addition, if a part of your computer is broken, with the electronic label above, the manufacturer can find out where to go out, where is it, which process is in the process, and it is easy to solve the problem. .
A truck filled with containers enters a warehouse. When it goes, the reader will tell us what objects are there, and do not have to open one by one.
......
Yes, all this is a star technology - RFID's credit.
RFID (RF Identity, Radio Frequency Identification) is a non-contact automatic identification technology. The simplest RFID system consists of three parts: tag (TAG), Reader and Antenna) - other hardware and software support are required in practical applications. Its working principle is not complicated: After the label enters the magnetic field, the radio frequency signal emitted by the reader is received, and the product information stored in the chip is transmitted over the energy obtained by the sensing current (Passive Tag, Passive Tag or Passive Tag), or active Send a signal (Active Tag, active tag or active tag), after reading information and decoding, sending to the central information system for related data processing. In the retail industry, RFID is considered a terminator of the barcode. For the past two years, RFID has been sought after by many companies, and Forrester Research even believes that RFID will become an important factor in reversing IT three years.
"This is attributed to the automatic identification technology of the MIT (MIT) (Auto-ID Center) for nearly three years of the spare effort for the application of RFID technology." This non-profit organization has an ambitious Plan: Build a network that tracks all the electronic tag products, and EPC Server as the node of the network, the product information identified by the electronic tag is stored, and the so-called "Internet of Things" will be used. Completed tracking function. According to the Standardization Association of China Standardization Association, Wang Shujun, the Standardization of the IoT Standardization Working Group, as each machine has its own IP address, under the management of the EPC network, every product has its only "IP" "Address, when the idea of" Internet of Things "becomes a reality, the world's Chinese matter (including people) will be associated with each other, and" Communication "will be" exchanged ", and the face of the whole world will be new. The response from the application terminal finally lets the "Internet of Things" expose the angle. Wal-Mart's "Buy" in RFID, can't do anything about the demonstration effect.
In fact, before Wal-Mart, in April 2003, Germany's largest retailer Madon has established a "future supermarket" in Rhineberg, using low-cost RFID logo; Gillette, Kaw, P & G and other companies have also joined Metro RFID testing; the largest retail enterprise TESCO in the UK starts in June 2003, lasts for 3 months "to reduce RFID reading probe costs through a shelf that can feel RFID reflections Test, Tesco uses a smart shelf, and each price is installed with multiple antennas and two RFID readers. Although it is functionally read, it is greatly reduced; in February 2004, the United States The fourth largest retailer Target CIO Paul Singer sent a letter to all partners, and the letter pointed out that Target will ask its "main" supplier to use RFID tags on pallets and packages before 2007.
The enthusiasm of retailers comes from the cost of large-scale application RFID. Sanford C. Bernstein's retail analyst estimates, by using RFID, Wal-Mart can save $ 8.35 billion each year, most of which save labor costs because there is no need to manually check the boss of the goods. Although some analysts believe that the number of $ 8 billion is too optimistic, there is no doubt that RFID helps to solve two largest puzzles in retail: items and losses (products lost due to theft and supply chain), Nowadays, it is theft. Wal-Mart's loss is almost 2 billion US dollars. If a legal company's turnover can reach this number, you can rank 694 in the list of 1,000 largest enterprises in the United States. Research institutions estimate that this wireless RF identification tag can help reduce theft and inventory levels by 25%. All effects are attributed to the advantage of RFID has an indispensable advantage over the current barcode technology commonly used in the retail industry. Essensale Laboratory's Chief Scientist Ferguson talked about RFID in the end of last year, he believes that RFID is a breakthrough technology: "First, RFID can identify a single very specific object, rather than identifying like a barcode. A type of object; second, which uses radio radio frequency, and can read data through an external material, and the barcode must be read on the laser; third, RFID can simultaneously read multiple objects, and the barcode can only be one One way. In addition, the amount of information stored is also very large. "About the last point, Wang Shujun has an image of an image:" (RFID) will pay a code for each rice in the world, it can accommodate 2 96 times Code, 268 billion code. "
"Outside" heat "
Analysts predict that due to retailers and the US Department of Defense in Wal-Mart began to require suppliers to give the pallet and packaging of RFID tags, RFID applications will be strongly promoted. IDC predicts that the US retail supply chain is used in RFID software, hardware and service, will increase from $ 8.5 million in 2002 to nearly $ 1.3 billion in 2008. The seductive market has touched many IT companies' heart, but, inadequate heart, we won't see that there is a lot of differences between IT companies at home and abroad in specific actions.
"IBM spent a lot of work on the interface between R & D middleware and RFID." IBM Wireless E-Commerce Solutions and Services Asia Pacific General Manager Fan Yu received the interview with this reporter: "RFID is a supply chain transformation in business transformation An important means, while the latter is a part of e-commerce on demand. "According to IDG, the news that IBM and Philips will be in supply chain management, retail and asset management. Joint hands to cooperate and cooperate in smart card technology for financial, e-government, transportation and event tickets. As part of this cooperation, IBM Global Service will develop an RFID system that applies to semiconductor facilities and sales activities in Philips and Hong Kong Special Zone.
Software vendor SAP has started the development of related products as early as six years ago, the Auto-ID Center China Working Group Executive Director, SAP China Research Institute Senior Manager Wang Tianyang said: "From six years ago, SAP has developed support RFID technology. The receipt and delivery of two modules are used for warehouse management applications. So far, SAP has an intermediate module that supports any RFID hardware platform and software platform, and a set of supply chain management solutions that support RFID technology. 2004 6 The month will be formal promotion, nearly ten US and European customers are implementing the system. "It is reported that SAP will become the first e-commerce solution provider of the first successful integrated agent technology and radio frequency identification technology (RFID). At the same time, SAP also further enhances the visibility and adaptive functions of the MYSAP-Supply Chain Management System (MySAP SCM) based on RFID technology, helping customers implement full visibility and adaptability of the entire supply chain.
On the other hand, Microsoft is also on the scene. It finds a small company KIMS Danmark A / S of Scandinavia to help it develop a supply chain automation system that includes a test item using the RFID tag. According to Microsoft Supply Chain Manager Bjarne Schon, the project launched in September last year and put into operation on December 15 last year, will run 6 months. In addition, Microsoft cooperates with Samsys Technologies, Canada, and produces RFID readers and UHF (UHF) RFID pallet tracking systems, while this tracking system can deliver data to Microsoft Axapta. In addition, Oracle also announced the addition of RFID capabilities to the next version of the warehouse management software, which will be launched this summer. The software will provide integration with RFID middleware in Oracle Application Server 10g, and is compatible with RFID tags, readers, readers, and print devices from vendors, including Alien Technology, Intermec Technologies and Zebra Technologies.
TI Asia's president Cheng Tian said in an interview that Ti is also doing this technology, paying attention to related applications.
"RFID applications can bring IT companies to commercial opportunities on the entire industry chain, including chip manufacturing, system integration, consulting services, etc." Dai Ding, Vice President of China Logistics and Purchase Federation, said.
But relative to foreign IT giants, domestic IT companies look a bit cold.
The Lenovo Institute said that this technology is concerned, but there is no business involved. Wang Tianyang believes that Shanghai Huahong Integrated Circuit is very good in this regard, but the general manager of Huahong Integrated Circuit, Yan Hao, for the remembering the reporter's interview.
"Domestic enterprises first consider survival issues, the funds of themselves are limited, only 1 to 2 years of technology," Dai Ding is a matter of understanding. Fan Yu believes that domestic companies must participate in this work, must have powerful service capabilities, which is very familiar with the core operation process of the company and can help customers integrate RFID technology to core work.
Similar to domestic companies, although foreign IT giants are frequent on RFID, they don't extend the tentacles to China, their institutions in China, even very little involve RFID business.
"There is no big demand in China. The needs of the international market come from retailers, such as Wal-Mart, Metro, etc. China, but China has no retailers are willing to do this." SAP Lab Senior Manager Wang Tianyang analyzed: " Whether it is foreign giants or domestic companies, they must guarantee that they can earn money in the market. In the current situation, any company enters the Chinese market, it is difficult to get the required return in two or three years, so everyone can only take the wait and see attitude."
China Electronic Label National Standard Working Group Leader, Wang Lijian, director of the Information Technology Research Center of China Electronic Technology Standardization Research Institute: "Domestic application has not played, what is it called IT companies?"
In 2003, SAP combined with Auto-ID CHINA was jointly survey to 300 customers: "Do you want to apply this technology and solution? When will I use?" The results found that many customers still hold their own attitude. When the reporter called Wal-Mart China, his public relations department said that the Plan of Wal-Mart United States did not involve China, and those who are unwilling to reveal names are not mature in China's application RFID.
RFID's sun
The reason for the user's wait-and-see is from RFID, there are still many problems that have not yet resolved, such as high cost issues, violation of privacy issues, standards, uniform issues, high errors, unsuccessful business model, etc. . Only if these problems are solved, RFID has the day of the day. But we also see that solving these problems is not just through a certain or several IT vendors, it requires the general cooperation of the whole society.
"RFID technology popular in China is from the cost of chip," as a positive promoter of RFID technology applications, Wang Tianyang does not say its defect. At present, the lowest price of an electronic label in the United States is 20 cents. "This is obviously unable to use certain single-piece items in the supermarket." Wang Shujun agreed to Wang Tianyang's view: "The single price of the label fell below 10 cents. It is possible to apply a large-scale product; only if it falls to 3 cents or less, it is possible to apply to one piece packaging consumer goods. "Of course, large-scale applications can make costs. Allen claims that as long as the annual production capacity is more than 10 billion (more than 100 companies with sponsor for the Auto-ID center, about 550 billion items are produced throughout the year, of which Wal-Mart is about 60 billion pieces), and the cost of a single label can be Lower 10 cents or even lower. "In addition, the update of the entire information system caused by the application of RIFD is also a huge burden," Wang Shujun analyzed. IT systems and readers require huge disposable investment, currently the price of RFID readers is more than 1,000 US dollars, and a company will need to install dozens of dozens of machines, even thousands of machines, if plus Computers, LAN, application software, system integration, etc., the majority of small and medium-sized enterprises will not only hope. So many suppliers are urged tooth the roots by Wal-Mart's Rifd, and only more than 20 companies have a substantial trial operation of new technologies. AMR Research is estimated that only to meet Wal-Mart requirements, ordinary consumer goods production will cost $ 1.3 million to $ 2.3 million. Indeed, Jie Jie Company's supply of online innovation business said that the offset product is reduced by 10% to 20%, and the annual sales can be increased from $ 400 million to 1.2 billion US dollars. However, such a big income. Only when each company began to analyze the data to reduce stock and make a better reaction to consumer demand fluctuations.
However, Fan Yu believes that prices are not the most important factors that hinder RIFD applications. "Over time, the participation of various manufacturers and large-scale manufacturing, chip prices will look minimal in the entire solution." "In Europe, America, RFID is the biggest problem," Wang Tianyang said: To this end, the United States has set up a group, which greatly opposes RFID applications, and American business weekly published an opponent's appeal in the form of cover articles. . Many manufacturers have also seen this, and in seeking solutions, "RFID is queried and tracking information with wireless ways, which is easy to cause infringement of privacy. IBM is actively studying how to add encryption technology to make infringers The issue is solved, "Fan Yu said. But in China, privacy issues will return. According to the SAP survey, Wenzhou suits enterprises have hoped to join the RFID tag in their suit, and they think this can explain a grade in its suits.
The standard non-uniform is another factor that restricts RFID to be promoted. It was established in March this year's "pan in the ID center" that has directly formed confrontation with the Auto-ID center. According to Japan BP, the current two centers have developed their respective infrastructure, but the 96-bit electronic product coding (EPC) and corresponding support systems proposed in the center of Auto-ID are different. In the ID center, 128-bit encoding and corresponding special protocols are proposed. "Multiple standards have no hurt, just like mobile communications with CDMA, GSM standards, can also be used. But 'Internet of Things is a global unified network across regions and cross-states, if the standard is not unified, to' Internet of Things' The implementation of the program is a very big obstacle, "Fan Yu analysis said. For China, "Establishing a Standard Group as soon as possible to formulate autonomous and international compatible standards, will standardize domestic RFID applications," Wang Lijian explained the mission of China's electronic label national standard working group. Higher error rate is also a reason for people who criticize RFID technology. "Important products do not allow mistakes, while RFID is misreaded by 20%," Dai Ding a comment. However, R4, San Francisco, in October last year, with Alien, Intermec, in RFID reading test, the correct rate reached between 95% and 98%.
In addition, Wang Tianyang believes that there is no one of the truly collaborative business models in China, "RFID is applied to industry, and the information between enterprises must exchange each other, but China has some companies don't understand why, why Let you see? "
"Perfect appearance" road long
RFID outlines a worldless "Internet of Things" world, but we can't help but ask, when can this wonderful ideal become a reality? In the process of interview, we obviously feel that "the road to the perfect star" is still very long ", especially the domestic market needs a long-term cultural period. Although we don't rule out the development of science and technology, it is surprising, but The popularity of RFID is not just the problem of technology.
"The large-scale application of RFID, about three years and five years." Whether it is the Chinese standard, Wang Lijian, active promoters Wang Tianyang and Wang Shujun, or the user representative Dai Ding, there is no way to use "3 ~" 5 years "to describe the RFID application process. But they don't have cautiously, many forecasts are difficult to accurately, "science and technology is unexpected".
Essen Chief Scientist Ferguson believes that RFID is an important application technology in the next five years. Wal-Mart's president and CEO H. Lee Scottscott also cautiously, RFID is "very important innovation", but it will have a long period of time, not in 2004.
However, IBM's global RFID personal Evelien Vredeveld has different opinions: "2004 will be a real madness of RFID, this year, consumers will begin to understand a lot of benefits of this technology." For example, if a piece of stickers have RFID The label products are broken, you need to return, this consumer does not need an invoice because all the information required will be included in the tag data. Vredeveld predicts that due to RFID technology to reduce operating costs, completely different industries such as automobiles, electronics, pharmaceuticals, and tourism will quickly join the ranks of RFID tags.
According to reports, about 5,000 RFID systems have been installed around the world, and the actual annual sales of approximately $ 964 million, but mainly for pets and wildlife tracking, road and parking charges. In fact, RFID is expected to have a general area of the exhibition. Now, many companies are experimentally used to use them to some new areas, such as Nestlé, Toyota Auto, Gillette, Bentet (Benetton, Italy) and Metro and other companies are doing this. It is the most representative of Gillette, Toyota and Metro. The US Food and Drug Administration (FDA) published a schedule in February, which plans to require the prescription drug supply chain management system to fully apply RFID technology in 2007. The FDA spokesperson claims that new technologies will ensure that the US drug supply chain is safer and legal. It is alleged that RFID technology in the administration of prescription drug management can be strongly contained. "RFID is not applicable to all areas, just like Mercedes-Benz cars that are not suitable for driving on the road of rural roads," IBM Fan Yu said: "But in the core of the industry, such as transportation, food safety, etc. Get up. "Fan Yu said that IBM has a successful case, for example, in Europe, in Europe, participated in the construction of Metro's" Future Store "; in Greater China, they provide solutions for a very famous electrical manufacturer.
Wang Tianyang analyzed that: "The needs of the international market are mainly from retailers, such as Wol, Metro, etc. China, but there is currently no retailers to do this. The first reason is because foreign labor costs are quite high, such as when Metro The goods on the smart shelves of the "Future Store" did not appear in the checkout station, the automatic identification system will tell the stealing behavior or the product to make the wrong place, but in China's small supermarkets, there is a person standing every corner. On the other side. China's cost is much lower than the cost of the last system, and the cost of foreign systems is far below labor costs. The second reason is that foreign supply chain management has been developed for a long time, while China The company's own ERP management has not been perfect. The demand for supply chain management may not be very high. In this case, China's retail industry is not big. "In interview, everyone generally believes that domestic applications will lag In foreign countries.
However, and abroad is not a matter of fact that domestic comparison is from manufacturing, and many manufacturing companies are very interested in this technology, and some are being implemented, such as FAW Volkswagen. There are two reasons for the manufacture of RFIDs: The first is because China is a world manufacturing center, which is a large country in manufacturing; the second is to hinder the high cost of the RFID application electronic label can be relieved during manufacturing.
Although Wal-Mart's plan in 2005 did not involve China, China's potential demand for RFID still exists. "In Wal-Mart's plan, it involves a direct procurement and indirect procurement. Wal-Mart purchased things from the United States, many of China production, so it faces two options: The first choice is to put label first in China Second, the goods are sent to the US, but it will also choose the price. But it will often choose the former, because the US artificial cost is very expensive. So Chinese companies should prepare early, otherwise the electronic label will become a technical trade barrier. "Wang Tianyang believes that the formation of global supply chains, as well as China as an indispensable part, will be the largest driving force for RFID applications.
"We are currently tested in the United States unless you are in terms of the United States, we will not use RFID technology to request international partners. As of now, I will not provide accurate date and specific details." Wal-Mart International Amy Wyatt, Manager of the Transaction, said in an interview.
Obviously, RFID large-scale application promotion first has to pass "test".