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The Brazilian subsidiary of jeans company Levi’s has deployed RFID technology for inventory tracking and control. The deployment of the system is under the responsibility of iTag Tecnologia, and the system has shown positive results in the second half of 2017.
At the beginning of this year, Brazil’s Levi’s decided to try out RFID solutions in stores. Brazil’s Levi’s has 78 self-operated sales points in total, which use the same ERP system. Rui Araújo Silva, general manager of Levi’s Brazil, said that this year’s Black Friday, the solution was tested for the first time, and this year’s event sales increased by 56% compared to last year. But thanks to several factors, the company cannot judge how much RFID has contributed.
Silva said: “I believe that easily and quickly changing the items on the shelf is one of the factors that increase sales. I can’t calculate how much sales increase RFID brings, because this year we have carried out a series of process improvements, and the national economy The situation has also clearly recovered.”
Silva said that all signs indicate that RFID technology allows stores to more efficiently meet customer needs. If the company fails to deploy the technology, some sales may be lost due to shortages. Currently, the company consumes 50,000 RFID tags every month, 20% of which are produced locally in Brazil.
Levi’s is using RFID to track products received from the company’s distribution center (DC), and use this technology for item confirmation, transfer, inventory counting and anti-theft.
The company prints labels in the distribution center and attaches them to all products so that the company can more easily control the location of inventory and goods. In the store, the company uses the RFID system to count and count the goods sent from the distribution center. The cashier at the cashier also uses RFID for sales, automatically marking the items that have been sold, and all tags in use comply with GS1 standards. Sérgio Gambim, CEO of iTag, said: “We use SGTIN-96 / EPC Gen 2 encoding, the logistics chain uses SSCC standards and DataMatrix GS1, and the information flow of the entire network uses EPCIS data.”
The store uses Identix’s rPad UHF RFID desktop reader to check purchased items
In the distribution center, iTag uses Iprint middleware to check the quantity of items and power the SATO CL4NX printer to print labels that meet the GS1 standard. The marked products are placed in a sealed box, identified by an RFID channel reader, and then delivered to the store through the company’s picking process.
For large or partial counts of inventory items, Levi’s uses Zebra Technologies’ RFID 8500 reader, which is linked to iTag’s Android Alert mobile application. In this way, the operator can read and obtain the item location and related information directly in the application.
In Levi’s stores, items marked with tags are displayed in the sales area. When purchasing, consumers bring the items to the cashier, and the entire sales process will be completed by the iTag Monitor integrated with the Levi ERP system. In order to prevent the product from being stolen, iTtag’s anti-theft 2.0 software will record the invoice numbers of all purchased items. When a consumer takes an uninvoiced and unrecorded product out of the store, the software will send a reminder to the store manager’s tablet through iTag Alert.
To help control inventory, the product code of each product will be sent to Levi’s EPCIS solution when entering the warehouse. In this way, staff can view the merchandise displayed in the sales and inventory areas.
The product checkout uses an Identix rPad UHF RFID desktop computer for reading. The device integrates a circularly polarized antenna, which reduces hardware procurement costs and facilitates deployment.
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