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An Application of RFID Technology in Hong Kong - part 2 of 2

traveling luggage bags

The need for sorting of outgoing (from HKIA) luggage bags was a result of centralized baggage handling for all airlines in Hong Kong International Airport. Incoming luggage bags (arrival to HKIA), as was mentioned by one of the hosts, was sorted by passengers themselves. If the bags are RF-tagged, then the usage of these tags ceased. The "end-to-end" applications of RFID technology in this case would be from one end of the HKIA (checking in) to the other end of HKIA (loading into an aircraft).

This end-to-end view defines the application of RFID for within a company, a warehouse, or a manufacturing plant. There are many case studies described in the literature often fall into this company-level adoption of the RF technology. Of course, this end or that end can be extended - in a supply chain, to include upstream and/or downstream partners. Is there a similar 'supply chain' concept in moving passengers around the world with their luggage bags? When the ends are extended, what are the partners?

For the luggage bags, the destination is usually not the final destination of the luggage bags. So, this end can be extended to the destined place of the luggage bags - a home or an hotel or a transfer (we will not consider this here). Would it be nice if luggage bags arrived in the destination airport's carousel, be scanned by, say, UPS or some 3PL, sorted, and delivered to the owner's home or hotel? The passenger chooses to take care of other matters first before returns to the destined location. Naturally, one would ask who would pay for the costs of equipping the carousel with RFID technology? Well, costs is often a sticky issue in a partnership when the benefits are not clearly defined. Then, there are the issues of imcompatible frequencies and different air protocols when international borders are crossed. [This is a problem exists in other situations - for example, a distribution center operator in Hong Kong that I visited today can provide a better end-to-end solution to a client if RFID tags can be read by a 3PL when the products arrive, say, the UK from Hong Kong.]

Would this 'consolidation' of luggage bags for delivery be the same issue for a distribution center to repackage received goods for distribution to different retails centers (even assuming there are all local stores)? I am sure there are some common threads where if products, goods, or luggage bags are viewed as just RFID tags, relying on an effective information system to manage them.

The use of RFID technology in HKIA (since August 2005) is no doubt reduced handling errors and improved efficiency. Even a few percentage points of improvement will reduce the risk of mistaken luggage getting on an aircraft in the wrong time and the wrong place. We are lucky to speak of low risk of terrorism, the reduced risk does not register much to traveller to and from Hong Kong. To higher risk cities and airports, the reduced risk could be significant.

This story of HKIA will continue, hopefully, in an academic paper, and in here as we look into this case further.


Tagging Incoming (Departing) Bags Manually