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Bring RFID to Enterprise Asset
Management
E-ISG Asset Intelligence (www.e-isg.com)
February, 2016
RFID – Key Benefits
Use of Radio Frequency
Identification (RFID) technology for
automated inventory control
eliminates costly user-initiated line
of sight inventory activities that
other technologies require.
RFID Eliminates Line of Sight Scanning
How RFID Technology Add Value to
Asset Management?
1 . Reduce counting/audit t ime by 6.5x – save Labor
costs
2 . Automate the update of asset location – save t ime
in locating assets
What RFID Technology Doesn’t Do
Manage the Lifecycle Infor mation of Individual
Asset or the Relat ionships among Assets
Schedule and track asset Cal ibrat ion/Maintenance
Suppor t workflows
Generate routine and customized repor ts for
decision making and compliance repor t ing
What Asset Management Software
Does
Manage Financial , Physical , Contractual
Infor mation of Physical Assets
Manage Asset Li fe Cycle events – record, change of
custody, inventor y audit , maintenance, ret irement
Automate Repor t ing – Operation, f inancial ,
Compliance
Automate business processes through workflows
7
1. Enterprise wide visibility to physical assets – improve
operation
What
Where
Who
2. Streamlined data entry and reporting – save labor hours
and reduce risks
Purchase orders feed into asset management systems
Data from asset management systems feed into
Finance to prepare for depreciation and tax reporting
Benefits from Asset Management System
8
Reduce labor hours spent on locating assets
Reduce labor hours on auditing assets
Prevent loss of assets by setting up geo fencing for
assets
Collect additional information from assets to assist
decision making, e.g. temperature, meters
Benefits of Bringing Physical RFID to Asset Management
Active
Passive
Battery Assisted (BAP)
GPS/A-GPS
RFID Tag Types
10
Passive RFID Technology – How It works
• Specialized Handheld Readers
– Mobile Computers
– Bluetooth attached readers
• Fixed Position Readers
– Mounted near doors/areas
– Fully automated operation
Passive RFID Technology --Options
Don’t know where the materials, parts and equipment are
Expensive tool gets moved around in the plant, but nobody is
alerted
Plant engineers spent overtime labor to inventory parts and
equipment – cost overrun
Unable to track the components in an assembled
workstation (parent/child relationship)
Unable to report to Customs the duration of the individual
equipment in the plant since imported to Mexico
Case Example -- Automobile Manufacturing Facility
Case Example – What We Did at the Facility
Tag all assets with Passive RFID tags
at receiving
Install read points at doorways
Establish Zones throughout Floorplan
Logged events on:
Units movement outside of
designated zones
Track Assets within Floor/Zones
Track Assets Moved Outside of Designated Zones
Case Example – Post Implementation
1. Eliminated daily cycle count
2. Eliminated overtime hours for
inventory audit
3. Eliminated $2 Million in Customs
fines for inaccurate records
