 | Monday, July 30, 2007
Issue 651 | | Will Smith, Editor |  |
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Editor's Note: Today's top story is Alien's work-in-process RFID deployment at Italian textile manufacturer Griva, who has reported a 30% return on investment in the nine months since going live.
Schreiner Group has acquired German RFID label converter X-ident, which the company says will augment its annual label production capacity by 160 million. X-ident's major clients include the 2006 FIFA World Cup, for which it provided the tickets, and the Moscow Subway, for which it has supplied 30 million tickets already this year. Schreiner Group is comprised of six divisions, including Munich-based RFID solutions provider Schreiner LogiData. Financial details of the acquisition were not disclosed.
Lastly, business intelligence technology solutions provider MicroStrategy has announced its selection by the US Army to report on and analyze RFID logistics data generated by the Radio Frequency In-Transit Visibility (RF-ITV). RF-ITV is deployed across four continents and provides military personnel with real-time information on cargo, equipment, and supplies. |
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Textile Manufacturer Gets Quick 30% ROI from RFID
RFID products and services provider Alien Technology announced today the successful deployment of a work-in-process RFID application for Griva S.p.A., a textile manufacturer in Italy. In the nine months since the deployment went live, Griva has indicated a 30% return on investment.
Every year Griva manufactures roughly 300,000 rolls of fabric that is used for upholstery, draperies, etc. The company purchases raw thread materials from its suppliers, which it washes, dyes, dries, and weaves into a fabric. Each fabric roll then undergoes a number of other processes and treatments before it is finally sealed and ready for shipment.
Griva sought to increase traceability and automation of the production process. Bar codes had proved an insufficient tracking solution because, among other reasons, they could not be read through the thin plastic film packaging on ready-to-ship rolls. This was an important capability for Griva, and one that the RFID solution offered. Additional criteria included not interfering with the existing processes and being physically robust enough to withstand shrink wrapping, high water and humidity, and harsh dying chemicals.
Alien deployed its 8800 reader and signature Squiggle tags. Simet provided the software that integrates data from the RFID reader with Griva's existing ERP system.
The resulting system, now approaching ten months old, offers Griva automated tracking of fabric rolls from the beginning of the production process to the moment of shipment. Reporting a 30% ROI, the company points to reduced expenses, increased efficiency, and higher customer satisfaction as the key areas of improvement.
Work-in-process (WIP) deployments like Griva's are an increasingly popular application of RFID. A recent survey by research firm Aberdeen found that 38% of enterprises that have deployed RFID did so to improve the cost, safety, and reliability of WIP (see Aberdeen on Managing Work-in-Process with RFID).
The deployment is also an example of a recent thrust by Alien to pursue non-mandate compliance RFID business, which was the company's historic focus. The company announced two other non-compliance deployments earlier this summer, one a work-in-process solution for a door manufacturer, the other a vehicle tracking and access control application (see Alien Looks to Channel, Non-Mandate RFID Adoption).
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