Aug 12, 2020Nest Warehouse and Logistics reports that it has sped up its processes thanks to the implementation of radio frequency identification technology provided by iTag Smart Labels. Osni Tavares, Nest's director of operations, says customers who use RFID are more agile and more reliable. "At Nest, 5 percent of customers use the technology effectively," he explains, "but we understand that in the medium and long terms, the number of potential customers who will be looking for structured operators to read smart tags will increase."
The readers are installed at receiving docks in Nest's warehouse and dispatch areas. There are also mobile data collectors for RFID reading. "There are two readers and two data collectors—Impinj readers and Zebra collectors," Tavares says. The tags are already installed on products. "Nest has around 5,000 excess labels that are not reused, to be used on items that need to be relabeled. The tags are supplied by iTag and manufactured by CCRR, while the inlay is the Monza R6."
The new system offers Nest item traceability, including after-sales, 99 percent stock accuracy and process agility. "With RFID, the confirming of 500 units takes about 15 seconds, whereas the same task done by barcodes can take more than a day," Tavares states. "Another important point is reliability. With an RFID tag, it is possible to read the unit without opening the box."
According to Tavares, the project's biggest challenge was the integration between RFID and the company's warehouse-management system (WMS), which required the development of interfaces to integrate operational steps without allowing breaks in the process. "RFID was a decision by the board of directors," he says, "for understanding that it is a technology that should grow, aligned with the need to be prepared to meet potential customers and new demands."
Nest's RFID deployment follows GS1's EPC UHF passive RFID standard. "The benefits of this are speed of response, traceability, optimized time in operation, operational safety and agility in information," Tavares says. There is an incentive effort to encourage other customers to adopt RFID, he explains. "We present the benefits to our customers to use the label. In addition, we are working to prospect for new customers who operate with the technology. The goal is to triple the volume of operations with RIFD at Nest by the end of 2021. We are at the beginning of the project and there is still a lot to learn, develop and do."
An importer first sends a document containing the label data, which is then fed into Nest's system. The goods are received and the labels are read via the portal, with the data integrated into the WMS. The operator allocates the material in the WMS storage area. Once the material is allocated, it is available to be inventoried via RFID. Upon departure, the entire shipping process is carried out using the WMS. The products then move through the RFID portal again to double-check the accuracy of all items.
The gains already achieved with RFID include agility, reliability and traceability, Tavares reports. "Our expectations have been met," he says. Tasks are divided between the product consultation and Electronic Product Code (EPC) modules, as well as inventory, product movement (input and output) and configurations. "iTag was a great facilitator within our RFID project. Its participation with the technical and practical knowledge of technology was essential. Through researching the technology, we contacted Sérgio Gambim, iTag's CEO."
Regarding the experience of implementing RFID, Tavares says it was positive and rewarding. "As it is a technology that is still little used in Brazil," he states, "it is difficult to locate equipment suppliers and specialized knowledge of the market regarding its operation. The partnership with iTag was—and continues to be—the differential for implementation and operation." The integration of RFID with Nest's system is being carried out using iTag's Alerti 2.0 tool, which is responsible for the operation of the portals, together with iTag's Monitor middleware. Alerti 2.0 manages what was read and sends incoming movement data to the WMS, Tavares says.
