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Wal-Mart expands RFID requirements

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killdamon Subscriber

Lord Nibbler - OG id 126286
User ID: 333551
1/30/2008 7:22 PM

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Wal-Mart expands RFID requirements

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Wal-Mart Stores Inc. is looking to accelerate its RFID rollout, and once again the Dallas area is at the heart of the effort.

The company is requiring all suppliers shipping products to its Sam Club's distribution center in DeSoto to start applying the radio tags to their pallets starting today.

If they don't, Wal-Mart will charge the suppliers $2 per pallet to do it for them, the company informed them in a letter earlier this month.

"I think everyone recognizes that it's the future of how products are going to move through the supply chain, and not just at Wal-Mart, but everywhere," said Wal-Mart spokesman John Simley.

Wal-Mart and radio frequency identification vendors say the new timeline – with additional distribution centers around the country coming online later this year – highlights the fact that the wireless technology is working as intended, cutting down on out-of-stock problems and boosting sales.

And it's another sign that the Dallas area is one of the major centers of RFID development and implementation.

Dean Frew is president and chief executive of Carrollton-based Xterprise Inc., which helps other companies, including many Wal-Mart and Sam's Club suppliers, implement RFID systems.

Mr. Frew said the new timeline for shipping RFID-tagged pallets to the Sam's Club distribution center will definitely help Wal-Mart, although the payoff for the suppliers themselves might be a bit further off.

"There's clearly a benefit for the suppliers," he said. "Is it as immediate as they would like to see? No, probably not.

"But you can't ignore the fact that if they're able to keep the shelf stocked more efficiently, in the end suppliers are going to benefit as well."

RFID technology includes a paper-thin tag with a tiny chip and antenna. When in range of a wireless scanner – at a loading dock in a warehouse, for example – the chip is activated and transmits a small burst of data about the product it's attached to.

The goal is an automatic electronic inventory system that can track when products come in the warehouse, when they get shipped to stores, and, eventually, when they get sold off the shelf.

After the DeSoto distribution center ramps up, suppliers will have to add four more Sam's Club distribution centers – including one in Dayton, Texas – to their list by the end of October, and then 17 more by the end of January 2009.

The DeSoto facility will also be the first Sam's Club distribution center in the country where suppliers will be required to tag every case on a pallet (Oct. 31, 2008) and then every single item that makes it on to store shelves (Oct. 31, 2009).

The timelines should remove any confusion that suppliers have about what they need to do, Mr. Simley said.

"A lot of suppliers of Sam's were asking for some clarity," he said. "What do you want us to do and when do you want us to do it by?"

Making DeSoto the launching pad for that effort makes sense.

The Dallas area's reputation as a top spot for RFID technology can be traced to a variety of sources, from technical work done by researchers at Dallas-based Texas Instruments Inc. to Wal-Mart's own RFID pilot program, which started in the region.

The area is home to scores of RFID-focused start-up firms, while the Metroplex Technology Business Council is trying to brand the Dallas-Fort Worth region as the "RFID Hub."

The annual RFID World convention has been held in Grapevine for several years, although the 2008 event is being held in Las Vegas.
[link to www.dallasnews.com]

Just passing thru.

killdamon Subscriber

Lord Nibbler - OG id 126286
User ID: 333551
1/30/2008 7:22 PM

Re: Wal-Mart expands RFID requirements	Quote
Just passing thru.

Anonymous Coward
User ID: 365046
1/30/2008 7:23 PM

Re: Wal-Mart expands RFID requirements	Quote
So far we've been able to keep them out of our neighborhood. Thank God!

Anonymous Coward
User ID: 365059
1/30/2008 7:25 PM

Re: Wal-Mart expands RFID requirements	Quote
I stopped going to Wally World 3 yrs ago and haven't looked back.

killdamon Subscriber

Lord Nibbler - OG id 126286
User ID: 333551
1/30/2008 7:27 PM

Re: Wal-Mart expands RFID requirements	Quote
I stopped going to Wally World 3 yrs ago and haven't looked back. Quoting: Anonymous Coward 365059 Alright ! good deal ! :) I used to go once a week, but i am down to once every 5 weeks now. Just passing thru.

killdamon Subscriber

Lord Nibbler - OG id 126286
User ID: 333551
1/30/2008 7:35 PM

Re: Wal-Mart expands RFID requirements	Quote
Soon they will be offering to chip the customers with the ploy " Take the chip and get a 5% discount on goods " and thats how it will start . Just passing thru.

picesnator Subscriber

User ID: 318318
1/30/2008 7:45 PM

Re: Wal-Mart expands RFID requirements	Quote
wally-world sometimes i view it like a cancer.....sucking the life outa of us

ambiguity unlimited
User ID: 364701
1/30/2008 8:12 PM

Re: Wal-Mart expands RFID requirements	Quote
it's a radio barcode for the inventory....not rfid implants....the auto industry has used them for more than a decade(prevents having to have a trimtag follow a frame through the line).....they use them in retail and manufacturing all over europe....but feel free to panic, and jump to unrealistic conclusions......

Anonymous Coward
User ID: 365102
1/30/2008 8:44 PM

Re: Wal-Mart expands RFID requirements	Quote
stay away from china-mart. I did not buy anything made in china for christmas this year.

Anonymous Coward
User ID: 352837
1/30/2008 8:51 PM

Re: Wal-Mart expands RFID requirements	Quote
Wal-Mart used to maybe be something. But they ain't shit anymore. Go visit one of their busted ass run down stores. Dumpy like a run down k-mart. Target is a nice store, but they don't have anything I ever need. I don't traffic any of those places. Eat out and don't buy things. You can afford to eat out all the time that way. No dishes and no shopping at the grocery store.

Anonymous Coward
User ID: 355377
1/30/2008 9:23 PM

Re: Wal-Mart expands RFID requirements	Quote
I hate Wal-mart!

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