The
RFID-enabled WIP monitoring process, going live now in a different John Deere factory, is more complex, though Moran declines to name a specific location, or reveal which products are involved. Parts are placed in totes tagged with
EPC Gen 2 inlays, and the RFID system monitors the loaded totes as they leave the factory, are transported via a third-party logistics provider to a supplier that paints the parts, and are returned to John Deere. RFID interrogators have been installed at the factory, and at a facility operated by the logistics provider. According to Moran, the pilot will involve the tagging of 300 totes used to transport about 75 different types of parts.
Prior to launching the RFID tracking system, John Deere tracked the parts in different types of totes as they moved through the WIP, by manually scanning bar codes attached to the totes. The bar codes represented what Moran calls kanban ID numbers, and were correlated with specific parts and processes in John Deere's
SAP enterprise resource planning (ERP) system.
The company leverages just-in-time manufacturing and kanban processes throughout its operations, ensuring that parts and materials arrive when needed for production, rather than ending up as inventory. Kanban, the Japanese term for signal, establishes a "pull" instead of "push" system of moving goods through the factory. Kanban numbers are utilized to signal the start of steps, such as raw-material replenishment, that flow in reverse order (from shipping of goods to receiving supplies) in a production line.
Previously, the bar-code system had not been as reliable as needed. Workers sometimes failed to scan the bar codes, or the system was unable to
read them. In fact, Moran notes, the company found that bar-code scans were accurately captured only 85 to 98 percent of the time.
Missed bar-code scans can cause a parts shortage that ultimately shuts down a manufacturing line—a costly event that can happen four to six times a year, Moran says. Even if the line isn't stopped, he adds, many resources are wasted when parts need to be tracked down.
Therefore, John Deere now plans to test EPC Gen 2 tags affixed to the totes via adhesive. Each tote will contain four RFID labels, which will have the same serialized kanban and EPC numbers encoded to their chips. Reads of the kanban number will be used the same way as the bar codes:
Middleware will push the numbers up to the SAP system, where the kanban numbers and their correlated information reside. Reads of the unique ID number on the four tags will then be used to document tag-read accuracies and failures.