RFID Application in Port Operations - Report Example

RFID Applications in Port Operation Table of Contents 0 3 2.0 Research Objective 4 3.0 Research Methodology 4 4.0 Research Scope 4 5.0 Literature Review 4 6.0 RFID Application in Port Operations 6 7.0 RFID Concept and Working Principle 7 8.0 Frequency 8 9.0 RFID System Architecture 8 10. Cost of RFID System Implementation 9 11.0 Implementation Challenges 10 12.0 Limitation 11 13.0 Conclusion 11 14.0 References 13 1.0 Abstract The need to keep ports secure and therefore protect and monitor cargo and infrastructure has resulted in the development of various security systems among them the radio frequency identification (RFID). This report presents a feasibility of applying the RFID in port operations focusing on the contribution made by the system in making port operations effective and efficient. Information presented in this report is based on research on a number of successful applications in different ports as well as my own experience working with organizations that have employed RFID technology in their operations. 2.0 Research Objective This project explores the adoption of RFID technology into port operations to identify the contribution of the system into overall productivity of the port. The mechanism and concepts that enables the functioning of the RFID system is also determined based on the fixed and recurrent costs of maintain the technology. 3.0 Research Methodology The project is based on available research into the functioning RFID systems with the application being transferred into port operations. 4.0 Research Scope In order to fully conceptualize the functioning of the RFID system in ports operation, this report is based on a number of current researches on the mechanisms of system. 5.0 Literature Review Globalization has led to increased competition that requires increased levels of efficiency and productivity for any organization to be above competitors in attracting business. RFID has been developed to meet these organizational needs with the system relying on information such as knowledge the position of the cargo at any particular moment therefore helping to track movement and determine time of arrival to destination. The continued increase in numbers of containers moving from the approximately 220 ports in the world has made it necessary to come up with measures to ensure security, efficiency and effectiveness in transporting cargo. Narsoo, Muslun and Sunhaloo (2009) notes there are still significant number of containers that move around ports through manual inspection while most of the empty containers are not inspected at all. The authors warn this situation presents a security risk to world ports since security breach in one port might lead to closure of multiple others in the world. RFID becomes an important component in ensuring efficiency, effectiveness and security in port operation based on a number of advantages that the system provides. RFID systems provide various solutions to both the owners and transporters of cargo including detection of the moving containers, instant multi-target capability of identification, which enables the monitoring of multiple containers at the same time, and non-contact identification. There also exist different criteria for classification of RFID systems including classification based on frequency and power mechanisms for the tags. Classification based on frequency gives rise to low-frequency and high-frequency RFID systems while classification on power mechanism leads to identification of active and passive systems (Dempsey 2011; Fang, Kuhn, Weng, Song and Chen, 2008; Landt, 2005). Currently, a number of countries including United States of America, China, South Korea, Germany and Japan among others have adopted RFID systems. The US adopted Container Security Initiative (CSI) after the 911 attack with the aim being to reinforce anti-terrorism measures. The measure was seen as an effective way to protect world cargo in the sea CSI adopted information technology to identify cargo that might be a threat to security. The GPS technology enables monitoring the container through the process of transportation, which ensures there is constant inspection of the cargo. Different companies have also undertaken private initiatives to develop RFID systems to for global cargo inspection. In 2005, General Electronics (GE) security group reported development of electronic system for cargo protection with GE conducting a joint test with Sinotrans. SAVI, a US company has also developed a container transportation inspection system with the CSI program adopting SmartChain system from SAVI to strengthen their inspection and monitoring systems (Fang, Kuhn, Weng, Song and Chen, 2008). 6.0 RFID Application in Port Operations The application of RFID systems into port operations started with the adoption of passive RFID as a security measure but the trend has evolved to include active RFID whose main function has been to automate port processes and to track movement of property. Consequently, the current need for adoption of RFID system can be grouped into four categories with ports developing this system to achieve either one, some or all of the identified needs. The first category of need for RFID installation has to do with being able to monitor the cargo through creation of a visible network of asserts. Creation of a visible network of cargo movement is in line with the need to track and identify cargo within the ports facility or creation of wide spread container logistic network (Dempsey 2011; Lambert-Porter, Seymour and Willuweit, 2010). The second application of a RFID system in port operation is for process automation, which serves the purpose of converting the previously manual processes into one that is automated. The goal of automation of port operation using the RFID system is to improve the productivity of various port operations through elimination of the slow manual processes that are characterized by lengthy queuing and time wastage. Thirdly, application of the RFID system serves to guarantee safety of both human resource and the goods. The system provides easier identification of cargo for determination of proper handling mechanism therefore protecting the goods from damage. The reduction in the level of human labour required at the terminal due to adoption of the RFID system also contributes to safety measures as it minimizes the risk of injury while handling containers. Lastly, the application heightens the security level within the terminal through identification of a suspect cargo or individual that should not be present at a specific location within the port (Dempsey, 2011). 7.0 RFID Concept and Working Principle The essential parts of a basic RFID system consist of readers, tags with the main function of the tags being data storage, and is appended on the cargo. There are two categories of tags-active and passive tags with the difference between active and passive tags is on power mechanism where passive tags do not require power sources for them to function. Passive tags are attached with antenna whose function is to receive electromagnetic waves originating from the reader to power the system. Active tags on the other hand do not need to be powered by the reader making them self-reliant since they have their own power sources. The differences between passive and active tags is therefore the power sources and on signal reception where active tags are developed to receive signals from and send them back to the RFID reader (Gaukler and Seifert, 2007). There are various considerations to be taken into account when making the decision on whether to adopt active tags or passive tags. This decision will ultimately zero in on the cost and efficiency of the tag to meet the needs within a terminal. Considering that passive tags are cheap the management and owners of the cargo will have to factor in the financial position to determine whether this will be the best for them. However, one disadvantage with going for the passive tag is that their communication range is short making them unsuitable for a relatively large scale monitoring of movement of trucks and cargo within the terminal. The active tags cover a long radius of the cargo but are also expensive therefore adoption depends on the number of containers to tag and the financial ability to meet the cost of implementing the project. The reader is the transmitter for a RFID system reader with its function being to receive and interpret information relayed from the tags. The reader then transmits information from tags to a host computer loaded with software to interpret relayed data (Miragliotta, Perego and Tumino, 2007). 8.0 Frequency The RFID systems communication depends on various regions of radio frequency spectrum. Every tag is set to transmit data at a predetermined frequency range with both the passive and active tags sharing the existing frequency ranges. Frequency ranges available for ports are in four categories that include Low frequency (LF) which covers the 125 KHz range, high frequency (HF), ultra high frequency (UHF) and Microwave or ultra wide band (UWB). A majority of the ports exploit the 433 MHz range of frequency, which are especially useful in active tags, and 868 to 915 MHz that can be used for both active and passive tags. Ports have to make decisions about the preferable choice of frequency since each of the existing frequency is characterized by specific speed of data transmission, distances over which communication can be relayed and the level of cost and benefits for specific ports. A significant point to note in designing a RFID system is that the existing frequencies are government monitored. Therefore, it is necessity to acquire licensing for the installation of the system to ensure selection of an appropriate range that will meet the established standards (Dempsey, 2011; Preradovic and Karmakar, 2012). 9.0 RFID System Architecture The RFID System adopted for this report has five layers with the RFID hardware being the first layer. Readers and sensors should be compatible with the software used within the host computers to ensure effective conversion of the data relayed for the necessary action to be taken within the shortest time possible. The protocol layer is the second part of the system with its function being to make sure numerous tag protocols can be added to the system without raising compatibility issues. Compatibility of the tag protocols depends on both the EPC and ISO protocols therefore making it necessary for the system to support multiple protocols. A third layer covers data processing and is concerned with elimination of duplicated reads; counter check tag reads and reconciles advanced records with the tag reads. The importance of this process lies in flashing out inconsistencies by providing alert systems such as emails, messages or user preferred triggers (Prabhu, Ramamurthy, Chu and Gadh, 2006). The next and fourth layer is the XML framework where information collected from the tag is formatted in the system to a new representation particularly the high-level XML. This information is then made available to sanctioned individuals to use based on their role in the ensuring safety for the cargo. The last layer is presentation of data where the function of this layer is to provide extracted information from XML framework for decision-making. 10. Cost of RFID System Implementation Commercialization of RFID systems has led to many security and technological companies investing in the development and production resulting in a drop of prices since 2006. The current market price for tags ranges between twenty-five cents for passive tags whose communication covers a short distance and ten dollars for active tags when in need of long-range coverage. On the other hand, the reader can cost between 500 and 5000 dollars for each device depending on the technology and features. The cost of a reader device for the RFID systems is fixed since it is purchased only ones with repair and upgrading the system being other costs that might affect the overall cost (Gaukler and Seifert, 2007). However, the cost of tags is recurrent since the management will have to purchase a new one for every container entering the port. However, even when the cost of investing in RFID systems might be high, they can be effective in cutting expenditure in the long run since they eliminate the need to have human labour monitoring movement of the goods in the port. This is because the reader can perform automatic scans therefore, being efficient as flow of the goods is not interfered with to enable inspection (Gaukler and Seifert, 2007). Further cost of recurrent devices can be minimized through discounted payback when the port engages in business with specific organization for a considerable period therefore reducing the overall cost (Miragliotta, Perego and Tumino, 2007). The technological situation around adoption of the RFID system also affects the return on investment for the customs authority. This is because there are possible two scenarios for them-one where the cargo enters the port already tagged and one where the containers are tagged within the terminal. Having the cargo tagged before entering the terminal ensures the ports authority shifts part of the recurrent expenditure to the owner and outside business partners. The RFID system has benefits that extend past the fixed and recurrent cost involved in readers, tags and the information technology infrastructure. There are also benefits that are not related to the operation such as higher levels of productivity and increased quality of services. This benefits results from having a reduced amount of time to handle the containers which translates into a reduced cost of labour and fuel. This system has the ability to cut time spent in flow of cargo by 20 percent compared to the more traditional queuing process. Secondly, RFID system has environmental benefits due to a reduction for time spent by the trucks waiting for clearance while queuing at the point of entry. Reduced time spent waiting for clearance results in cutting down the amount of carbon dioxide released to the environment while also saving the amount of gas used (Miragliotta, Perego and Tumino, 2007). 11.0 Implementation Challenges RFID system is an important step towards tracking; security and safety of cargo within and outside the port, however, application of the concepts have come with great challenges due to many organizations. this is due to lack of research providing specific sector guidance on the best measures in successful adoption of the system thereby leaving companies to cope with inefficient systems (Ranganathan and Jha 2005). There are implementation challenges relating to the cost of implementation with most ports having to deal with high costs of devices and infrastructure. Cost of the readers and that of integrating all the tags added to the purchasing costs of each unit makes the system an expensive investment. 12.0 Limitation The RFID system still has a number of limitations in their functioning that might negate their efficiency in tracking the cargo. Among the limitations is the blockage of the radio frequency by both metal and water this is more prevalent for systems, which uses both Microwave and UHF frequencies. Recent discoveries in RFID systems have seen the development of tags with antenna that can send signals as long as it is not completely blocked. Use of multiple readers located at different points can also be effective in solving the problem of blocking although this might prove costly due to investment in more readers. However, since the technology is still relatively new, there are chances that further research will result in better systems with enhanced levels of performance at lower cost (Hollstein, Glesner, Waldmann, Birkholz and Sohr, 2007). 13.0 Conclusion RFID systems have been found to be effective in improving the performance of port operations. A port has an option to either adopt the passive or active tags for their RFID system but this generally depends on both the distance to be covered by the system as well as the available resources to take care of the need for adoption. Depending on the financial ability of the organization to meet the costs of purchase, the system offers a range of services to enhance security, safety and visibility of cargo. The system has also been found to function as part of the automation process that ensures movement of cargo becomes faster thereby saving time. However, the benefits to port operations can be affected by lack of resources, which ultimately threatens enjoyment of perceived benefits of the RFID system. The best approach is therefore to determine a framework that will suit the needs of the port to improve service provision. This can include providing for cargo to enter the port with the tags on already which cuts the recurrent cost used on purchasing tags for every container entering the port. From the foregoing, RFID systems are beneficial to ports aiming at creating an effective mechanism for tracking cargo while also improving service delivery. 14.0 References Dempsey, M., 2011. RFID in ports and terminals. London: Ports Equipments Manufacturers Association. Fang, D., Kuhn, A., Weng, W., Song, Y., & Chen, X., 2008. RFID-aided System Design for Container Customs Clearance between Guangdong and Hong Kong. In Proceedings of the International MultiConference of Engineers and Computer Scientists, 2, 19-21. Gaukler, G. M., & Seifert, R. W., 2007. Applications of RFID in supply chains. In Trends in supply chain design and management (pp. 29-48). Springer London. Hollstein, T., Glesner, M., Waldmann, U., Birkholz, H., & Sohr, K., 2007. Security challenges for RFID key applications. In RFID Systems and Technologies (RFID SysTech), 2007 3rd European Workshop (pp. 1-12). VDE. Lambert-Porter, E., Seymour, L. F., & Willuweit, L., 2010. An RFID Adoption Framework: A Container Supply Chain Analysis. International Federation for Information Processing Digital Library, 274(1), 142-155. Landt, J., 2005. The history of RFID. Potentials, IEEE, 24(4), 8-11. Miragliotta, G., Perego, A., & Tumino, A., 2007. RFId technology in a container port: an activity-based model to assess costs and benefits. In Proceedings of the Logistics Research Network (LRN) Annual Conference, Hull, UK (pp. 101-106). Narsoo, J., Muslun, W., & Sunhaloo, M. S., 2009. A Radio Frequency Identification (RFID) Container Tracking System for Port Louis Harbor: The Case of Mauritius. Issues in Informing Science & Information Technology, 6, 127-142. Prabhu, B., Ramamurthy, X., Chu C., Gadh, R., 2006. “WinRFID – A Middleware for the enablement of Radio Frequency Identification (RFID) based Applications,” In Mobile, Wireless and Sensor Networks: Technology, Applications and Future Directions, Eds. Rajeev Shorey, et al., New Jersey: John Wiley. Preradovic, S., & Karmakar, N. C., 2012. Multiresonator-based Chipless RFID: Barcode of the Future. New York: Springer. Read More