Inventory Management

Transcription

1 1 PRECONFERENCE SEMINAR RFID for Warehouse and Inventory Management Targeting the Correct RFID Technology for the Right Project (Professor UQAM, Co-founder ) 2

2 Preconference seminar Agenda RFID for Warehouse and Inventory Management 11h30 AM: Linking RFID to Inventory Management Best Practices 12h15 PM: Targeting g the Correct RFID Technology for the Right Project 1h00PM: Lunch 1h45 PM: Key Steps in Building an Inventory Mgt. RFID Solution: Build Your Own RFID Portal 2h30 PM: Designing Your RFID Solution 3h15 PM: Break 3h30 PM: Building Your RFID Business Case 4h15 PM: Preconference Seminar Conclude 3 Objective of the presentation Understand how RFID can be used to gain visibility over your inventory? Define the RFID strategy & select the right project Use a Methodological approach to solve problems & identify opportunities Target the appropriate RFID technology for your specific case

3 1-Define the RFID strategy (Vision & orientation) Is RFID right for my (Warehouse) inventory management? How effective and efficient are the existing operations & business processes? What are the Strategic Tactical Operational goals of my warehouse/inventory project? How can RFID help me reach these goals? You can t improve what you don t measure Impacts (e.g. performance improvement ) Select the right RFID project Project Portfolio Management Strategies Resource allocation based on priorities Financials Methods Popular but. Bubble diagrams or portfolio maps Classification XY, E.g. P( technical success) and benefits (NPV)) Scoring Models Selected criteria's Check lists Complexity risk & effort Yes No; Go Kill points (Stage gate model) P (Technical Success) Net Present Value

4 Objective of the presentation Understand how RFID can be used to gain visibility over your inventory? Define the RFID strategy & select the right project Use a Methodological approach to solve problems & identify opportunities Target the appropriate RFID technology for your specific case 2-Identify opportunities & Solve problems Use a Methodological approach to identify opportunities & Solve problems Set of practices, procedures & rules used in the inquiry/investigation of RFID potential With the goal to understand different situations & acquiring new knowledge Based on gathering observable, empirical & measurable evidence in your warehouse! It is not a formula!

5 2 Methodology Different Methods & tools at different phases of the project 1. Problem definition 2. Data gathering 3. Data analysis and Solution Development 4. Cost Impacts and pay off Analysis 5. Implementation See : Bendavid Y. and Cassivi L (2010), Bridging the gap between RFID/EPC concepts, technological requirements and supply chain e business processes, Journal of Theoretical and Applied Electronic Commerce Research, VOL 5 (3) pp Methodology & Tools Defining the problem 1.Problem definition 2.Data gathering 3.Data analysis and Solution Development 4.Cost Impacts and pay py off Analysis 5.Implementation Employee surveys Issues Trees Root cause analysis Cause & Effect Diagrams (Ishikawa) (ABC)Pareto analysis Impact analysis Gap Analysis Organization analysis Industry analysis See : Chase et al, (2009). Operations Mgt for Competitive Advantage, 12/e, McGraw-Hill

6 2.1Methodology & Tools Defining the problem Camion de livraison arrivé au CDM Déchar ger les transfos Transfos déchargés Entreposer les transfos (temporairement) Transfos entreposés temporairement BOL Vérifier transfos vs BOL BOL vérifié et non conforme BOL vérifié et conforme Rapport de non conformité Effe ctuer le s opérations de contrôle Réception ne peut pas être procédée (BOL) Réception peut être procédée (BOL) 2.1Methodology & Tools Defining the problem: an example using an issue tree Business Goals Drivers Higher Revenues Lower Costs Reconciliation/ Deduction Higher Market Share Build a root Quality cause of Products & Services analysis Identify where RFID can have an impact Causes Theft during Distribution Price Issues Quality issues Process Failure Wrong Qty Shipped Wrong Prod. Shipped Split Vs. Block Shipment RFID Impact Real Time alert: mismatch loaded vs. unloaded items Real Time alert: mismatch order vs. loaded items RFID enabler Door (light) Sensor Automatic Scanning Real time Access to back end sys. Unique (EPC) ID On tags Source: Adapted from EPC Global US, EPC Value Model for Consumer products

7 2.2 Methodology Data gathering to document your understanding of the current situation 1. Problem definition 2. Data gathering 3. Data analysis and Solution Development 4. Cost Impacts and pay off Analysis 5. Implementation Business Plant tour/audits Flow charts/business Processes Pareto charts Org. Charts Work sampling Value chain Design Technical Site Survey IT Infrastructure/system maps IT portfolio Wireless Network See : Chase et al, (2009). Operations Mgt for Competitive Advantage, 12/e, McGraw-Hill 2.2 Methodology & Tools Data gathering : a process perspective Business Activities Layer 0 Sub Activities Layer 1 Business Processes Layer 2 Initial Event Doc Entitytyp Function Position Screen Final Event E Doc Subprocess Layer 3 n... OrgUnit Use Process Modeling Methods & standards (ANSI, EPDC) Concentrate on core processes (Receive, put away, pick, ) Use Key Performance Indicators (KPIs) to assess/measure your processes

8 2.2 Methodology & Tools Data gathering Map your processes 2.3 Methodology Methods & tools for data analysis & Sol. Development 1. Problem definition Value chain analysis Business process analysis 2. Data gathering (BPA) value analysis 3. Data analysis and Use case & requirements definition Solution Development Computer simulation 4. Cost Impacts and ROI Problem Analysis (SPC Tools) Analysis Labor productivity 5. Implementation Laboratory experiments/ Pilot See : Chase et al, (2009). Operations Mgt for Competitive Advantage, 12/e, McGraw-Hill

9 2.3 Methodology & Tools Process Map & value analysis (and waste) Camion de livraison arrivé au CDM Reduce the amount of late orders delivery Waiting time Déchar ger les transfos Transfos déchargés Entreposer les transfos (temporairement) Added value Non added Non added value value (but necessary) Transfos entreposés temporairement A1 A2 An A1 A2 An A1 A2 An BOL vérifié et non conforme Rapport de non Effe ctuer le s conformité opérations de contrôle Réception ne peut pas être procédée (BOL) Over stock Vérifier transfos BOL vs BOL Réception peut être procédée (BOL) BOL vérifié et conforme Monday 17 Jan. (10h 12h) Tuesdayi 25 jan. (10h 12h) Mardi 25 jan. (14hmaterial 17h) Unnecessary movement See: James P. Womack & Daniel T. Jones Lean Thinking: Banish Waste And Create Wealth In Your Corporation Shipping/packaging level 2.3 Methodology & Tools Methods & tools for data analysis & Sol. Development: an example Rail Car Truck 6 Transport Truck Arrived Go to office For BOL validation Truck Driver BOL Pallet RFID tag 3 Put away 4A Pallet picking 5 Shipping 7 Receiving.. BOL Not OK BOL OK Office Associate Case 2 Case packing 4B Case picking (for mix pallet) Assign one Ware. Employee Approve BOL & Assign one Dock Door WMS RFID tag Employee Assigned Dock Door Assigned Item RFID tag 2D barcode 1 Dispensing Portal Fixed readers (external antennas) Mobile UHF hand held reader RFID/label printer Truck Driver Move Truck to Ass. Dock Door Synchronize Info. (SAP vs RFID Terminal) BOL Info. Synchronized WMS RFID Readers Manufacturer

10 2.4 Methodology Methods & tools for ROI analysis Decision Tree 1. Problem definition Business Process 2. Data gathering Performance/Analysis (BPA) 3. Data analysis and Balance scorecards (BSCD) Solution Development SCM frameworks (e.g. Supply chain council SCOR) 4. Cost Impacts and ROI Infrastructure cost analysis Analysis Lab. scenario design and testing 5. Implementation (trade off) RFID system decision matrix See : Chase et al, (2009). Operations Mgt for Competitive Advantage, 12/e, McGraw-Hill 2.5 Methodology Methods & tools for implementation 1. Problem definition IT Project management guidelines & methodologies 2. Data gathering (e.g. PMBOK, APMBOK) 3. Data analysis and New Product development Solution Development (e.g. stage gate model) ERP/IOS implementation 4. Cost Impacts and ROI methodologies (BPR) Analysis Laboratory experiments 5. Implementation Pilot project See : Chase et al, (2009). Operations Mgt for Competitive Advantage, 12/e, McGraw-Hill

11 Objective of the presentation Understand how RFID can be used to gain visibility over your inventory? Define the RFID strategy & select the right project Use a Methodological approach to solve problems & identify opportunities Target the appropriate RFID technology for your specific case 3 Select the appropriate RFID technology Some Basic Questions Which application / business process(es)? Which products? What level of tagging? What functionalities are required for the tags/readers? What is the level of process automation? Automated? Semi-automated? Where will items need to be identified? How Many products (tags) at a time? What is the speed (reading, commissioning tags, etc.)? What is the reading/writing distance? Where? What is the reading/writing distance? Where? What is the required level of Security? With who to share the info? Why? etc

12 3 Select the appropriate RFID technology A classification Source of energy & frequency Passive Active Semi Passive D technology Data management Mobile Apps ERP/ WMS TMS (6) RFID Middleware (5) Com. Networks e.g. Warehouse Management engine e.g. Logistic management engine (6) Enterprise Info. Sys. (7) Inter Org. Info. Sys. Data Sharing 3 Select the appropriate RFI Data capture an nd identification Wired and wireless LAN (Wi Fi, 802.1x access points) (3) RFID Readers & antennas Mobile RFID readers e.g. Bar Codes (stacked, linear, 2D) Mounted RFID readers Passive RFID Tags Fixed RFID readers (4) Ancillary Devices (2) AIT including RFID Tags Active, semi passive, & hybrid RFID Tags (1) The physical world - tagged Objects Source, Bendavid Y. (2012). Inter. J. Automated Id. techno. 4 (1)., pp

13 3 Select the appropriate RFID technology for your specific case? The technology will support your case Requirement management Passive RFID (LF, HF, UHF) Active RFID (proprietary 433Mhz, UWB, RFID/IR, RFID/WIFI) Active RFID with sensors Semi Passive RFID (BAP) Hybrid solutions d i Thank you! UQAM, School of business 315 Ste Catherine est Local R 3570 Montréal (Québec) Canada H2X 3X2 Tel: (x 2429) Web site: Côte de liesse, Montréal QC Canada H8T 1A1 Tel: Fax: Web site:

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