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• Field Trial Projects in the Industries in FY2004

• RFID Projects in the industries in FY2005

• The Achievements of the Field Trial Projects in FY2004- FY2004 Project 1- FY2004 Project 2- FY2004 Project 3- FY2004 Project 4- FY2004 Project 5- FY2004 Project 6- FY2004 Project 7

AppendixField Trial Projects on RFID Applications sponsored by METI( 4 projects in FY2003 / 7 projects in FY2004 / 8 projects in FY2005 )

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Field Trial Projects in the industries in FY2004Field Trial Projects in the industries in FY2004

Factories / Distribution Centers / Factories / Distribution Centers / Department Stores / Retail ShopsDepartment Stores / Retail ShopsDepartment Stores Department Stores

And ApparelAnd Apparel

Factories / Distributors / HospitalsFactories / Distributors / HospitalsMedical and Pharmaceutical Medical and Pharmaceutical ProductsProducts

PortsPorts(Marine Container)(Marine Container)International Marine and Land International Marine and Land

Container TransportationContainer Transportation

CD/DVD Media CD/DVD Media and Retail/Rental Storesand Retail/Rental Stores

Publishing, Publishing, Book stores and LibrariesBook stores and Libraries

Construction Machineries, Construction Machineries, Industrial Vehicles and Agricultural MachineriesIndustrial Vehicles and Agricultural Machineries

Electric Home Appliances Electric Home Appliances and Electronic Equipments/Devices and Electronic Equipments/Devices

Project areaProject area

Factories / Distribution Centers / Factories / Distribution Centers / Retail Shops / Rental ShopsRetail Shops / Rental Shops

Factories / Distribution Centers / Factories / Distribution Centers / Book Shops / LibrariesBook Shops / Libraries

Parts Factories / Assembly Factories /Parts Factories / Assembly Factories /DealersDealers

Factories / Distribution Centers /Factories / Distribution Centers /Retail ShopsRetail Shops

Test LocationTest Location

- 7 industry areas- UHF RFID was tested in all projects

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RFID Projects in the industries in FY2005RFID Projects in the industries in FY2005METI decided to fund the 8 projects on RFID System, in FY2005.

CategoryCategory IndustryIndustry PointsPoints

Industrial restructuring

1. Electric Appliances and Electronic Products Using RFID on electronic parts in terms of recycling.

2. PharmaceuticalProducts

Putting RFID on animal origin products. Verifying traceability of the products in the supply-chain. Testing impact of RF to medical equipments, etc.

3. Supply Chain of Japan Self Defense Forces

Using RFID for efficient logistics in Self Defense Forces. Aiming collaboration with US DOD system in the future.

Developmentof

new industry4. Self-control Robots Self-control robots using RFID for spatial awareness and

recognition of human and things

Inter-industrycoalition

5. Books, CD/DVD Targeting item level tagging (direct attachment) , CRM in the book store, and theft detection in supply-chain

6. Retail (supermarket, department store, convenience store)

Targeting CRM in retail store. Using smart shopping-cart,kiosk, cell-phone, etc. (Japanese Future Store)

7. Automotive Parts Attaching RFID on parts and returnable containers for efficient SCM of the automotive parts industry in ASEAN countries

8. Office EquipmentAiming efficient SCM in the office equipment Industry in Japan, China and South Korea. Attaching RFID on parts and pallet.

Internationalcooperation

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◆◆ Economy is defined as a mechanism where flows of information, gEconomy is defined as a mechanism where flows of information, goods and servicesoods and services　　 create addedcreate added--value in the society. In this sense, RFID Tags technology can favalue in the society. In this sense, RFID Tags technology can facilitatecilitate　　 those flows and can be utilized for the total optimization of those flows and can be utilized for the total optimization of the economy.the economy.◆◆ Hence, we assessed that RFID Tags would have the potentials to Hence, we assessed that RFID Tags would have the potentials to maximize maximize

the outcomes of economic and industrial activities.the outcomes of economic and industrial activities.

The Achievements of the Field Trial Projects in FY2004The Achievements of the Field Trial Projects in FY2004

Construction-machinery/Industrial-truck/Farm-machinery Industries

・ Saved ¥2.7 billion (in terms of personnel cost) through efficient delivery reception-process.

Industry Outcome of the Pilot Tests (in comparison with bar-code)

Book-related industry

・ Reduced inspection time by 90%.Appliance-industry/Electronic & Electric industry

Pharmaceutical industry

Department stores/Apparel-industries

・ Reduced ¥10 billion by shortening inventory and shipping/receiving time.・ Boosted sales by 10%, since the real-time inventory information reduced

significant opportunity cost.・ Some department stores have started the full-scale implementation of the

RFID Tags system in April 2005.

Logistics industry ・ Saved ¥20.5 billion (in terms of personnel cost) through efficient inspectionprocess.

Record industry, DVD/CD industry ・ Reduced inventory process time to a quarter of its average.

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FY2004 Project１（International Marine and Land Container Transportation）

Issues to be verified

Issues to be Issues to be verifiedverified

Ensuring distribution status of containers and visibility of conEnsuring distribution status of containers and visibility of contents tents Aiming efficiency of inspection, and prevention of incorrect shiAiming efficiency of inspection, and prevention of incorrect shipmentspmentsTracing temperature, humidity, light and impact history (qualityTracing temperature, humidity, light and impact history (quality control)control)

Project Owner : Japan Federation of Freight IndustriesSystem Integrator : Mitsubishi Research Institute, IIJ, Nihon Unisys, Toppan Printing, Mitsui & Co., Ltd., etcTrial Period : Dec. 2004 – Mar. 2005

An Electronic Seal for containers

(Active-type 433 MHz)

Domestic Ports

Partner Ports

Cargo

Import / Export

RFID tag attachment

Corporate Participants

Product

Case

Container

Tokyo

Hong Kong

toys

Import

Bandai

○

○

Tokyo

Dailan

wood

Import

SankyoDistributors

○

○

Yokohama

Hong Kong

copier parts

Export

Fuji Xerox

○

○

○

Kobe

Antwerp

water-absorbingpolymers

Export

NipponShokubai

○

○

① ② ③ ⑤

Nagoya

Los Angeles

plasma TVs

Export

Sony

○

○

④

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FY2004 Project ２（ Medical and Pharmaceutical Products）

・Ensure traceability of biologic origin medical product・Prevent medication error, Ensure the safety of patients・Improve the efficiency of checking of incoming merchandise

ampul of biologic origin medical product

Use unit Sales unit Package unit Pallets/Cargo unit

Maker

Hospital

Maker Maker/wholesaler

wholesaler

Traceability in the process from manufacturers to hospitals

Developed very small RFID for 1ml ampul

Issues to be verified

Issues to be Issues to be verifiedverified

Project owner : The Federation of Pharmaceutical Manufacturers’ Associations of JAPANSystem Integrator : Toppan Printing, Sap Japan,Trial Period : Jan. 2005 – Mar. 2005

wholesaler

Hospital

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・Real-time inventory management of pumps and boots shop・SCM in retailing

FY2004 Project３（ Pumps and Boots shop in Department Stores）

Project Owner : Japan Department Stores Association, Japan Apparel Industry CouncilSystem Integrator : NTT Communications, NTT Comware, Nihon Unisys, Dai-Nippon Printing, etc.Trial Period : Oct. 2004 – Feb. 2005

Issues to be Verified

Issues to be Issues to be VerifiedVerified

retailer

POS

Self searchingterminal

PDA searching

Inventory check

Manufacturer wholesaler

shipping

Tagging

Stock control

Inspection

Tagging

★inventory check per rack Barcode15min.⇒RFID 4min.

Inspection

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・Optimize SCM through the visualization of manufacturing process・Improve the efficiency of distribution systems of components

FY2004 Project ４（ SCM in Construction Machineries Industry）

Issues to be verified

Issues to be Issues to be verifiedverified

Main Implementation : Japan Construction Equipment Manufacturers Association, etc. (Komatsu etc.)System Development : Mitsui & Co., Ltd., Nihon Unisys, Toppan Printing, etc.Trial Period : Jan. 2005 – Mar. 2005

After the adoption of RFIDpresent situationSCM Components Maker～Assembly Maker

Developed On-Metal RFID

Production delay

Production delay or

Overproduction

difficultcoordination

Assembly MakerComponents Maker

Inefficient logistics

Stock-Out or

Overhang of stocks STOP

O ptim umProduction

Optimumstock

Communication by telephone or fax

Communication by telephone or fax

RFIDRFIDVisualization

Assembly MakerComponents Maker

abrupt change of plans

Efficient logistics

O ptim umProduction

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PublisherPublisherPublisher Subscriptionagent

SubscriptionSubscriptionagent agent

Book storeLibrary

Book storeBook storeLibraryLibrary ReaderReaderReader Secondhand

bookstore SecondhandSecondhandbookstore bookstore

・efficient Inspection・efficient sorting・ efficient stockcontrol・ efficient order processing

・efficient Inspection・efficient stockcontrol・efficient sale management・advancement of marketing information ・efficient order processing・prevention of shoplifting

prevention of buying shoplifted books

・efficient Inspection

・efficient stockcontrol

・efficient accepting order

・advancement of marketing information

・CRM service・Information of the book

Develop the binding processes of the RFID in the bookDevelop the new services using the mobile phone devices with built-in RFID reader Coordinate with the library RFID systemsPrevent the distribution of shop-lifted books

FY2004 Project ５

Issues to be verified

Issues to be Issues to be verifiedverified

Project Owner : Japan Publishing Infrastructure OrganizationSystem Integration: NTT Communications, Matsushita electric industries, densowave, etc.Trial Period : Jan. 2005 – Mar. 2005

( Publishing, Book stores and Libraries）

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Home Second-hand shop

efficient Inspection

Inventory checkPOS

Audition systemRental

Maker Stock control

Wholeseller

Retail shop Home Second-

hand shop

Logistics CenterJDSNRC Shinseido

(CD shop)TSUTAYA

(DVD rental shop)

SCM Manufacture ～ Retailer ～ second-hand shop

Develop the new services using the mobile phone devices with built-in RFID reader

Download a special ringing

melody (song) to purchaser’s

mobile.

Issues to be verified

Issues to be verified

Project Owner : Recording Industry Association of JapanSystem Integrator : Mitsubishi Research Institute, RF Japan, Matsushita electric industries, etc.Trial Period : Jan. 2005 – Feb. 2005

Improve the efficiency of checking of incoming merchandiseAutomatize the inventory managementDevelop the new services using the mobile phone devices with built-in RFID reader

FY2004 Project ６( CD/DVD Media and Retail/Rental Stores ）

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ComponentsMaker

ComponentsComponentsMakerMaker

SetMaker

SetSetMakerMaker

AssemblyMaker

AssemblyAssemblyMakerMaker LogisticsLogisticsLogistics

mass merchandise

outlet

mass mass merchandise merchandise

outlet outlet shopshopshop consumerconsumerconsumer RecycleRecycleRecycle

・Response to restrictingthe use of HazardousSubstances

・Management of product information

・Efficient production process

・Skip Inspection

・Skip Inspection

・Skip Inspection

・Efficient stock control・Efficient

POS・Greater customer satisfaction

・ Greater customersatisfaction

・Searching repair record

・Efficient recycle process

Ensure traceability of electronic components to control of substanceshazardous to Health

Verify efficiency of SCM in manufacturing process, logistics, salesPromote a recycling-oriented society

Issues to be verified

Issues to be Issues to be verifiedverified

Project Owner : Association for Electric Home Appliances, Japan Electronics and Information Technology Industries Association

System Integrator : Hitachi, Mizuho Research Institute, etc.Trial Period : Feb. 2005 – Mar. 2005

FY2004 Project ７( Electric Appliances and Electronic Equipments/Devices））