The Benefits of RFID for Slab- and Coil-Logistics - Falken Secure ...

2_Introduction
Automatic identification, or Auto-ID,
technologies such as radio-frequency
identification (RFID) are increasingly
important for streamlining production
and logistics operations in almost every
industry. Radio-frequency identification
enables process automation, reducing
the need for manual labor, speeding
the completion of critical business
processes and simultaneously increasing
process security.
2.1 Background
After conducting several successful
pilot projects using RFID for slab and
coil logistics, ThyssenKrupp Steel and
Accenture are collaborating with steel
customers from the automotive and
industrial construction segments, other
Figure 1 – Benefits of using RFID in slab and coil logistics
Benefits
Asset Utilization
Operational
Efficiency
Safety and Security
Customer Service
global steel producers, industry bodies
and standardization organizations to
leverage their knowledge and experience
and to create standards of benefit
to the entire industry.
Implementing RFID in slab and coil
logistics results in several benefits in
the following key areas:
•Asset use
• Operational efficiency
• Safety and security
• Customer service
Maximized Usage of Handling Equipment
Maximized Usage of Transport Vehicles
Reduction of Safety Stocks
Improved Stock Management
Improved Supply Chain Visibility
Reduced Detention / Demurrage Costs
Reduced / Simplified Labor
Improved Worker Safety
Improved Process Security
Faster Receiving Process
Improved Production Control
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2.2 Why standardization matters to
the steel industry
Standardization will be key to success
and to the realization of the many benefits.
It is paramount for the following
reasons:
Customer acceptance: Most steel companies
sell their products (largely coils)
and intermediary products (slabs and
coils) to a uniform customer base in the
automotive and industrial segments. If
steel producers adopt diverging RFID
solutions to identify slabs and coils, this
places the onus on customers to work
with multiple systems. Conversely, as
has already occurred in the retail, military
and pharmaceutical sectors, if the
steel industry proposes anything other
than a standardized approach, cus-