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RFID Case Study：Asahi Breweries, Ltd.
Asahi Breweries applies UHF-RFID to track CO2 tanks for dispensing tap beer.
Japan Pallet Rental Corp. (JPR) is the biggest pallet rental company in Japan and has been developing the use of Radio Frequency IDentification (RFID) to manage logistics equipment in the pallet rental business since 2000. Through our research, we have accumulated a great deal of expertise including technical know-how in managing such equipment equipped with RFID tags.
This is a case study of distributing CO2 tanks using RFID.
Asahi Breweries, a major Japanese beverage company, applies JPR’s “epal” system to manage the distribution of CO2 tanks used for dispensing tap beer and to improve operational efficiency and cash flow. The epal is an inventory control system for logistical equipment released in 2002, to which Ultra High Frequency-RFID compatibility was added in 2006.
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Japanese breweries are mandated to manage ID level inventory of CO2 air tanks for dispensing tap beer. Yet Asahi Breweries faced three major difficulties in managing its CO2 tank distribution operation: excessive processing times, errors in filling in transmittal forms, and extra costs for replacement tanks.
Firstly, it spent a considerable amount of time counting its more than 400,000 tanks, and writing transmittal forms by hand when the tanks are shipped out and when they are returned.
Secondly, Asahi Breweries often made mistakes in filing transmittal forms, especially during its busy season when distribution volume doubles.
Thirdly, the operation lacked a tracking system, so the firm had to buy additional tanks when tanks went missing or were not returned, resulting in extra costs.
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Asahi Breweries applied the epal to solve these problems at the proposal of JPR. The brewery numbered RFID tags and attached them to each tank. Handheld RFID terminals were introduced, enabling immediate data reading when tanks were shipped and when they were returned. The data were uploaded to the epal server so the information could be shared by employees. Also, a Bluetooth printer was installed at the operation center so transmittal forms could be printed instantly.
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The time it takes to process each tank has been shortened from 30 seconds to just 3 seconds as the RFID terminals enable data reading without removing the tanks from the mesh-box pallet in which they are shipped. Also, the accuracy of data reading is now almost perfect.
Moreover, the firm can find any lost tanks thanks to the tracking system and thus identify the underlying causes of tanks going missing. This has cut costs by reducing the need for replacement tanks. |
Asahi Breweries will likely improve cash flow further by shedding unnecessary assets and cutting costs, such as those for replacement tanks. A representative at the company said “the logistics department will have to think of ways to improve cash flow, and the use of RFID and the epal may help increase profitability.”
JPR will continue to improve clients’ operational efficiency and cash flow by allowing them to get the most out of our unique know-how and our epal system with RFID technology.
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