| a. |
Before the "beep" solutions
All the hardware and software needs to prepare the tags with appropriate data and put the tag on items are considered to fall in this category. "Beep" refers to the point where information is read in to the computer system through the readers.
Smart label printers, tag writers are used to prepare the labels or tags. Some vendors offer services to supply ready-made tags as well.
|
| b. |
After the "beep" solutions
As the tag moves through the supply chain, the tag information is read into the system by the reader at all the necessary point.
|
The time-stamp flows into the system with the other integral information stored in the tag. The real challenge lies in managing this information in a useful manner. The middleware software solutions are used to feed all this data into the enterprise applications.
These are some of the software solution categories.
|
| a. |
Middleware
These software solutions read the data from the readers and feed it into the enterprise applications (ERP). The difficult responsibility of this software piece is to filter the load of data to get very precise information for the ERP software. Many niche players have developed core competency in this segment. Most of the big ERP application companies have also announced their middleware software solutions or partner solutions.
|
| b. |
Enterprise Integration Software
This layer gets the filtered data from the middleware and feed it to the enterprise application. Most of the big ERP/Warehouse Management software vendors have their own integration packages. However, this layer needs a lot of customization and configuration. No middleware solution is similar in terms of hardware compliance or interfaces - and it is difficult to find two SAP implementations that look just the same. Several start-up companies offer their services in developing integration and data collection solutions for SAP console applications. This category has many vendors with expertise depending on the domain and ERP package. This segment requires very specialized knowledge of the software packages and domain.
|
Remote Services
|
The offerings of this technology and practical applications in the industry have created a niche market of 'Remote Services'. The remote services include remote asset tracking, diagnosis and maintenance, software upgrades, system monitoring. Most of the businesses find it economical utilize remote services rather than employing their in-house teams.
|
Remote services also bring the challenge of keeping information secure and safe from the outside word. Many proprietary development platforms have in-built communications and security solutions to assist businesses in procuring these remote services.
|
Any of these solutions require quite a bit of business process consulting as well. The SCM consulting companies with core competency in inventory management, warehouse management provides business process consulting to generate value out of such investments.
|
Role of outsourcing - A clear benefit
|
The need for huge investments, the requirement of remote services, and dependency on software solutions triggers the thought around saving money by employing offshore vendors in this niche segment. Executives always like to save the real cash.
|
The role of offshore vendors is many folds:
|
| 1. |
Offshore vendors with US partners or parents
Remote services attract competitive and economic offerings from offshore vendors. The US companies with their offshore partners or offshore companies due to their US presence realize the real benefit of economic value of highly skilled Indian software professionals. They provide the critical business consulting and reliable onsite troubleshooting to the problems, while offshore contractors remotely manage the routine work.
The risk in employing these offshore vendors without any partnership or presence in the local vicinity is significant - First the domain knowledge is limited; second the troubleshooting is difficult at times; Third the accountability is out of your jurisdiction.
|
| 2. |
Outsourced offshore software development
Many of the middleware, enterprise integration software solution vendors and application software providers have realized the urgency of reducing the time to market. They also like to enjoy the cost savings offered by offshore software partners. These software vendors keep the architecture and design work in house while outsourcing the software development work to offshore partners. The software professionals with Java, J2EE and Microsoft .Net technologies with domain expertise in RFID/SCM are available at much economical billing rates in the countries like India.
|
| 3. |
Consulting
Many offshore technology-consulting companies offer the business process reengineering services. The SCM consulting firms utilize these offshore resources on the contract basis to supplement their consulting services. Often, offshore counterparts are employed by consulting firms to manage projects in overseas assignments as well. At the end of the day - it is productive and economical to employ offshore contractors to manage these projects while the US work force oversees the core assignments.
|
Advantages by engaging an Indian Offshore Partner
|
Indian outsourcing partners have many advantages to offer -
|
 |
A large pool of experienced software programmers and architects
|
|
Experience and well defined process to manage cutting edge technology contracts
|
|
Low cost at low risk
|
|
Workers with proficiency in spoken and written English
|
|
Technology savvy workers
|
Conclusion
|
The mandate by giants like Wal-Mart and DOD has created a panic in the manufacturing industry. Executives are trying to evaluate their options while still thinking it as an added cost without any value. The reality is that the RFID technology in isolation is quite mature, but the standards are evolving. The current cost of a tag is considerably higher than the feasible adoption threshold. Analysts predict that this cost would reduce significantly as the adoption rate would increase in the coming years. At this point, the only mantra to success is to prepare your own customized action plan. Make judicious investments in terms of educating your management, finding a reliable partner, and trying out through prototyping and pilot projects.
|
This technology has significant value in the form of inventory shrinkage, enhanced response to demand variability, reduced wastages, better visibility through the supply chain, improved asset tracking, etc. All this directly turn into $$ savings if achieved.
|
| Damnish Kumar |
| Email:askus@hytechpro.com |
Damnish Kumar has worked on developing industrial strength e-commerce, mobile, ERP, SCM and retail applications for several clients in the US , UK , Sweden for the past 6 years. His strength lies in leveraging technology for industrial applications. He has worked for many clients across the Globe.
|
Damnish's technological strength includes expertise in Java/J2EE, C++, C and database applications. He has been involved in all the stages of software product life cycle through out his career.
|
Damnish has expertise in implementing RUP and Extreme Programming development methodology in Project development. Damnish has worked as Process Consultant for one US Firm.
|
| Damnish holds a M.S degree in Mathematics and Scientific Computing from Indian Institute of Technology (IIT), Kanpur . Damnish is PMP certified project manager from PMI. | Top |
|
|
