|
AL Systems Helps SaraMax Meet Wal-Mart RFID Compliance
Rockaway, N.J.February 20, 2006When Wal-Mart expanded its RFID (Radio Frequency Identification) compliance order to include its top 300 suppliers, New York-based SaraMax Apparel Group turned immediately to AL Systems (www.alsystemsinc.com), a provider of integrated solutions that speed the flow of merchandise through distribution centers. With a January 1, 2006 compliance date, SaraMax knew that it had to implement these changes quickly, efficiently and inexpensively. AL Systems had previously played a major role in SaraMax's ascension to Wal-Mart's DSDC (Direct Store Distribution Center) supplier list by helping the company comply with the retail giant's strict vendor guidelines regarding delivery schedules and accuracy. In that instance, AL Systems provided SaraMax with a light directed paperless picking solution that boosted its shipping capabilities to more than 50,000 units per shift with 99.75 percent accuracy. Just three months after the implementation, SaraMax earned its coveted place on the list. Now, with the bar raised once again, AL Systems was tapped to help SaraMax obtain RFID compliance. RFID tags, embedded with EPCs (Electronic Product Codes) that track and identify items at the crate, pallet and item level, are expected to save retailers like Wal-Mart tens of millions of dollars. According to the consulting firm A.T. Kearney, retailers whose top suppliers use RFID technology will see greater profits because of reduced inventory, a cut in store and warehouse labor expenses and increased sales. The study noted that manufacturers, however, already at high levels of supply chain efficiency, would realize few benefits from implementing RFID technology. In recent years the cost of creating radio tags has dropped markedly. Many tags used today comprise a 3-millimeter square silicon chip and conductive carbon ink that functions as an antenna. Attached to a paper label, the RFID tag can store more detailed information than conventional bar codes, enabling retailers and manufacturers to track items with unprecedented accuracy. The task of ensuring that every SaraMax shipment bound for Wal-Mart's apparel distribution center in Sanger, Tex. is properly RFID-tagged, began with a comprehensive study of the company's facility in Sayreville, N.J. AL Systems engineers determined the requisite changes to warehouse layout, equipment, processes and systems for an effective RFID operation. AL Systems provided and installed the RFID-enabled printers and scanners required to make the system functional.
About SaraMax
About AL Systems |