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Page 1: © 2006 Hewlett-Packard Development Company, L.P
Page 2: © 2006 Hewlett-Packard Development Company, L.P

© 2006 Hewlett-Packard Development Company, L.P.The information contained herein is subject to change without notice

RFID at HP,

Salil Pradhan

Chief Technologist, RFID

Page 3: © 2006 Hewlett-Packard Development Company, L.P

3 April 10, 2023

Putting our learnings to work for you today……

EXTERNAL

INTERNAL

DEPLO

Y

DEPLO

Y

Standards leader

HP helps develop global standards

Service providerHP provides consulting and integration services for customers implementing RFID

Innovation leaderRFID technology, sensor infrastructure, security and management

Market providerHP provides customers

with RFID-enabled goods

UserHP uses RFID in its

own operations

Page 4: © 2006 Hewlett-Packard Development Company, L.P

4 April 10, 2023

HP Supply Chain today• 137,000 printers shipped daily• 82,000 PCs shipped daily• 2M Industry Standard Servers

shipped annually • 110,000 retail outlets• 20M calls/year at Sales

contact centers• 370M customer orders annually• An eOrder placed every 9

seconds • 77.7M unique visits/month

to hp.com

Page 5: © 2006 Hewlett-Packard Development Company, L.P

5 April 10, 2023

HP Operations

Value Direct

Volume Direct

Value Indirect

Volume Indirect

HP-led

Partner-led

Multipleroutes-to-market

Broadest customer base in the

technology industry

Broadest portfolio of IT products/services in

the world

HP portfolio Customers

Enterprise

SMB

Consumer

Page 6: © 2006 Hewlett-Packard Development Company, L.P

6 April 10, 2023

HP’s supplier base

Major locations of HP product materials, components and services suppliers

Page 7: © 2006 Hewlett-Packard Development Company, L.P

HP’s Journey with RFID

Page 8: © 2006 Hewlett-Packard Development Company, L.P

8 April 10, 2023

Brief Timeline of RFID at HP • 2002

− August - Supply Chain / Logistics Councils authorize RFID pilot

− September - first proof of concept kicked off at Memphis printer facility

• 2003− January - Chester, VA ( inkjet pens ) chosen as the next RFID pilot

site

− April - Memphis POC shows positive ROI, RFID Core Team launched

− June - Wal*Mart issues first retailer request for tagged goods

− July - HP launches NA Retail RFID program worldwide

• 2004− Feb – HP joins EPCGlobal

− April - Memphis in production, HP shipping tagged goods to Wal*Mart

− November - 21 RFID capable sites in Latin America, Mexico, USA and Asia

Page 9: © 2006 Hewlett-Packard Development Company, L.P

9 April 10, 2023

The Wal–Mart requirement – Retaining your customer• Began shipping tagged

product to Wal-Mart April 2004 as part of initial pilot

• Commenced on schedule in January 2005 shipping all Wal-Mart products tagged at case and pallet level

• Today more than 60 tagged products are shipped to Wal-Mart from 28 sites globally

• HP is piloting with many of the world’s largest retailers

Page 10: © 2006 Hewlett-Packard Development Company, L.P

10 April 10, 2023

Retail IPG RFID Plan

AiO & Personal Printers

AiO & Personal Printers

Scanners & Cameras

AIO

Toner

Toner/PersonalLaserjet

Personal LJ

InkJet Supplies

Shenzhen Mentor Media

Base Manufacturing

In transit

Malaysia Flextronics

Shanghai Calcomp

BangkokVenture

Hong KongCanon

TokyoCanon

Canon China

Various

FGI Dire

ct

FGI Direct

FGI Direct

IDS Air

Memphis Flex

GuadalajaraFlex

GuadalajaraJabill

Virginia Sonoco

Memphis Menlo

Product Completion Center

Regional

Distribution

Walmart Walmart, Sam’s Club and Neighborhood Market Stores

Walmart DC1 Sanger, Texas

Walmart DC2 Cleburn, Texas

Walmart DC3 De-Soto, Texas

Supply Site

Tag Site

Delivery Site

Page 11: © 2006 Hewlett-Packard Development Company, L.P

11 April 10, 2023

HP RFID Geographic Scope

RFID impacts businesses, operations and Customers in all Regions. Therefore program scope is global and pan HP in nature

Commercial sites

Retail sites28 sites now RFID capable More in progress

Page 12: © 2006 Hewlett-Packard Development Company, L.P

12 April 10, 2023

Memphis Factory Inkjet Hardware• First to ship tagged cases and

pallets to Wal-Mart April 2004• Full site implemented in

October 2004• Will tag 6M printers in 06• Tagging pallets & cases with

EPC Class 1 915Mhz tags• May 06: Lines Gen2 ready• July 06: Fully converted

Page 13: © 2006 Hewlett-Packard Development Company, L.P

13 April 10, 2023

Sao Paulo FactorySao Paulo performs the full range

implementation:1. Manufacturing +

2. Completion process +

3. Distribution center (inbound & outbound) +

4. Reverse distribution (DOA & warranty repair)1st pilot in 2004

Fully Operational today

1. Tagging Printer Chassis prior to build

2. Gathering Key data during Build (Product DNA)

3. Next: Materials level controls using Tags

Page 14: © 2006 Hewlett-Packard Development Company, L.P

Using RFID to build visibility in the Supply Chain

Page 15: © 2006 Hewlett-Packard Development Company, L.P

15 April 10, 2023

Value proposition for RFID• Could we use RFID to enhance the

flow of goods in our Supply Chain?−Automating identification of items

through the process flow

−Eliminating manual effort

−Increasing granularity of item, location, and time data

−Eliminating processes which only identified items

−Eliminating dwell time between processes

−Using RFID based data to radically change processes

−Carry key data on an item for faster local processing

Page 16: © 2006 Hewlett-Packard Development Company, L.P

Benefits & Learnings

Page 17: © 2006 Hewlett-Packard Development Company, L.P

17 April 10, 2023

Is It ¥ € £ $ Worthwhile ?• Yes…. but it’s not always obvious

as to why and how. The key advantages are :−Labor Savings

−Process Accuracy

−Inventory Accuracy

−Proof Of Delivery

−Improved Operational Data

−Improved Operational Performance

−Advanced Ship Notice ( Dispatch Advice )

−Predictive Event Management

−Common Shared Data

Page 18: © 2006 Hewlett-Packard Development Company, L.P

18 April 10, 2023

Lessons learned…• With “slap and ship” you just spend

money – use the information • pallet logical build process reduced from

minutes to seconds• Improvements in transfer of pallet/case-

level inventory between manufacturing and distribution center sites

• Operational benefits from improvements in outbound processes

• Memphis site receives material from Chester – integration tested

• Automated identification at key stages of the assembly production line to gain manufacturing efficiencies

• Master data management influences the NPI process

• Global deployment not easy

Page 19: © 2006 Hewlett-Packard Development Company, L.P

19 April 10, 2023

Lessons learned (2)• Tags, readers, middleware vendors not

consolidated yet• Scalability, collaboration not proven yet• Data synchronization is KEY• Don’t wait to know everything… or you’ll

have the competitive advantage of a 100M sprinter in a marathon

• You’ll get conflicting advice and information. In the end you need to go and just implement it to learn

• Pilot, learn, adjust then roll out• Start with simple ideas like replacing

barcode scans, then work up to the full EPC architecture

• Crawl, walk, jog, run then sprint seems to work

Page 20: © 2006 Hewlett-Packard Development Company, L.P

20 April 10, 2023

For more information

Contact: [email protected]

Or [email protected]

Page 21: © 2006 Hewlett-Packard Development Company, L.P