GS1 MobileCom

GS1 MobileComMaking B2C innovation happen

Diane Taillard, GS1 GO

Cameron Green, GS1 GO

GS1 Global Forum 2010 - From vision to action, GS1 united for new opportunities

From more choice of products …


…to more choice of information source


Mobile phones are changing the landscape...

GS1 Global Forum 2010 - From vision to action, GS1 united for new opportunities 5

...of the shopping experience


For 30 years, innovation focused on optimising the B2B Supply Chain

Supplier Manufacturer Retailer

Flow of goods

Flow of information

Consumer


Today, brands and retailers want to bring innovation to the B2C relationship

Supplier Manufacturer Retailer

Flow of goods

Consumer

Flow of information


Consumer

B2B2C is not just about adding the consumer in the flow...

Supplier Manufacturer

Retailer


GS1 and mobile commerce from 2007 to 2010

• From feasibility to development phase

• Growing a new community

• Defining GS1 role and roadmap : Extended Packaging first

• 1D (EAN/UPC) barcode adoption


Concrete deliverables since 2009

• Extended Packaging Pilot Handbook

• 2009-2011 Roadmap

• GS1 MO MobileCom Starter Kit

• Mobile In Retail White Paper

• MobileCom Brochure

• GS1 MobileCom Logo and Branding guidelines

GS1 MobileComBrochure and BrandingFeb 2010

Mobile in RetailWhite PaperJan 2010

Member OrganisationStarter KitFeb 2010

Just released

Just released

Just released


Growing GS1 MobileCom Community

A multi-stakeholder steering committee established

Over 300 people and 180 organisations currently focus on adoption of open standards to support mobile commerce

+ 3 seats currently open to mobile industry and solution providers


We’re in Demand!

Consumers like scanning product barcodes (1D/linear)

• Red Laser in top ten iPhone paid apps• ShopSavvy in top ten of free Android

market apps (1 million users, 4 million scans a day)

However…• People want more than great prices:

Health, Environmental, Advice, Language, Religious

• People expect quality information


Next steps : Launch GS1 MobileCom

Leverage our existing:• Standards (GTIN, Master Data)

• Services (GDSN, GEPIR, Barcode Quality)

Concretely : • GSMP Multiple Barcodes Group

• Access to Trusted Data group to be formed

• Coupon group to be formed

• GS1 MobileCom Day - 15 June 2010


Current MO involvement

Regional representatives in the steering committee

GS1 AlbaniaGS1 AustraliaGS1 AustriaGS1 BelarusGS1 BeluxGS1 BrasilGS1 CanadaGS1 ChileGS1 ChinaGS1 ColombiaGS1 Costa RicaGS1 CroatiaGS1 Czech RepublicGS1 DenmarkGS1 FinlandGS1 FranceGS1 GermanyGS1 Guatemala

GS1 PolandGS1 PortugalGS1 RussiaGS1 Saudi ArabiaGS1 SerbiaGS1 SingaporeGS1 SlovakiaGS1 SloveniaGS1 SpainGS1 SwedenGS1 SwitzerlandGS1 TaiwanGS1 TunisiaGS1 UKGS1 USGS1 Uzbekistan

GS1 Hong KongGS1 HungaryGS1 IndiaGS1 IranGS1 IrelandGS1 ItalyGS1 JapanGS1 KoreaGS1 LatviaGS1 LithuaniaGS1 LebanonGS1 MalaysiaGS1 MaltaGS1 MexicoGS1 NetherlandsGS1 New ZealandGS1 PanamaGS1 Poland

Over 50 MOs active or interested today


RF

IDB

EN

EF

ITS

BU

SIN

ES

SO

BJE

CT

IVE

SD

RIV

ER

SK

EY

FA

CT

OR

SR

FID

IMP

AC

T

ROI RFID Model Diagram

Automaticscanning

Real timeInformation

access

Real timelocationsvisibility

UniqueSerial Numbers

Manual operationsreduction andautomation

Lead timesreduction

Standards based

Materialsflow

enhancement

Detaileddistribution

routes

Inventory level andlocation in real time

Automatic and real timeScanning andConciliations

Distributioninformation

GlobalStandards

OperationalEfficiency

Track &Trace

LowCosts

Service LevelQuality


PHASE 1Conceptual Model / Proof of software and scan equipment / Single delivery test

Retailer warehouseProduction

Products and Information Dispatch Flow

Quantity and ID Control with RFID entering the unit

load.

Quantity and ID Control with RFID entering the unit

load. Product Identification

Product IdentificationTag

placementTag

placement

Products dispatch and data base update. Electronic Proof of purchase including serial numbers of each product in the unit load dispatched by

the 3PL

Products dispatch and data base update. Electronic Proof of purchase including serial numbers of each product in the unit load dispatched by

the 3PL

Point of SaleClient DCLogistics ProviderManufacturer

Dispatch notificationEAN

128

EAN128

EAN128

EAN128

PickingPicking1

2

3

4

5

ConsolidationConsolidationProducts

without tagsProducts

without tags


PHASE 2Infrastructure Implemented

• For the pilot run:• Distribution Center – DINET.• Point of Sales – LG (EFE and Tiendas Peruanas (Oeschle).• Dinet’s transportation unit equipped with GPS of Wisetrack.• Wisetrack Track & Trace system.• 5,000 RFID Tags (UPM).• 1 RFID reader/antennas (Impinj – at dispatch)• 1 RFID mobile reader (Motorola – at destination).


Results of Processes Optimization

Picking Picking Quality Control

ManualRF

Serial Numbers Capture

RF

Load Verification by Carriers

Manual

Truck load in

Manual

Transport

GPS-Wisetrack

UnloadDespatch

GPS-Wisetrack

Quantity Control in Destination

Manual

Proposed Process

Rejection due toErrors in serial

numbers

Manual

Load of order rejected

Manual

Transport ofOrder rejected

GPS-Wisetrack

UnloadOrder rejected

Manual


Manual


Savings Estimate Methodology

1. Identification of processes to be optimized or eliminated.

2. Processes activities definition


3. Timing of activities and measurement of resources used.

4. Value estimation of activities and resources used

Savings estimate Methodology


5. Savings.

6. Financial and Economical Evaluation.

Savings estimate Methodology


ROI

• Investment for this Test Run:• $ 22,500 Initial (on RFID equipment)

• Calculated Savings:• Aprox. $ 9,800 per month.

• Recovery Period:• 3 months.

• IRR:• 43%.


Qualitative Benefits

- Visibility and traceability of items (by serial number) for each Shipping Notice on route

- Load goods confirmation on line

- Reduce time cycles for Distribution and payment documents.- Control of transport units- Document visibility on real time, at each delivery point- Unload confirmation on line

- Proof of Delivery online between systems

- Increased quality on preparation of dispatch goods.

- Eliminate Serial Number capture mistakes.

Transport


Picking Quality Control

Serial Number Capture



Quantitative Benefits

- Return transport elimination due to customer rejects for serial number mistakes

- Credit notes elimination due to customer rejects for serial number mistakes

- Manipulation time elimination due to return logistics for serial number mistakes

- Lost sales elimination due to customer rejects for serial number mistakes

- Eliminate the need for space due to customer rejects for serial number capture.

- Reduce time on serial number capture- Eliminate the need for warehouse space for serial number capture.


- Elimination of this activity.

Transport - Better transportation units disponibility on field


- Product verification reduces times at destination

Picking Quality Control

Serial Number Capture


Quantitative Benefits in LG terms

- 100% recovery of lost sales due to serialnumber and product identification errors

- Savings in administrative expenses for issuings of credit notes.

- Increase of products preparation capacity

by 25%

- The client will receive its products in less time from the time the order is approved. Reduction of order cycle time.

On Time Delivery - Reduction of late deliveries.

Case Fill Rate

Lead Time of Sale Order


Conclusions

• Project is 100% feasible in economic and qualitative terms.

• We achieved the expected benefits of using RFID and GPS technology.

• Simplicity and visibility of the operations along the supply chain using track & trace, GPS and standard RFID/EPC tools.

Contact Details

GS1 Global Office

Avenue Louise 326, bte 10

B-1050 Brussels, Belgium

T + 32 2 788 78 00

W www.gs1.org

GS1 MobileCom

Documents

Transcript of GS1 MobileCom