Tuesday, September 1, 2009

Using RFID to measure service level

Seems like recently RFID has found another application use. Service level KPI. Apparently, the postal agencies will be using RFID tags (most probably passive tags) to track the service level of the mail delivery. Each RFID tag will cost about USD0.30, and will be used to track the target for delivering upon the publicized domestic mail standards.

The business process should also be quite simple. Just stick the RFID tag to the mail, tag the RFID unique identifier (uid) with the mail, and you're set to go. The central system will store all the tracking information so that reports can be churned out for the management. The postal agencies will most probably be storing all the mail processing dates to identify the areas for improvement.

Previously when I was in touch with what's happening in the RFID area, I know that there are certain types of passive RFID tags that do not store any information. All it does is to "broadcast" the RFID uid. I'm not sure if they are using this technology, but this type of tag would be quite useful in tracking service level, and I believe it should be cheaper too.

Till now, I'm still think that RFID should only be used in the logistics and supply chain business areas. That's where storing information in the RFID tags make sense. Otherwise, I do not see the point of putting so much information in the RFID tag when all I need is a uid.

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