Pharmaceuticals Industry Expected To Lead In RFID Tags On Items - InformationWeek
IoT
IoT
Software // Enterprise Applications
News
7/13/2004
03:06 PM
50%
50%

Pharmaceuticals Industry Expected To Lead In RFID Tags On Items

Their higher price tag and margin justifies the expense, says ARC Advisory Group in a new study.

Although retailers such as Wal-Mart Stores Inc. and Target Corp. are considered the heavy hitters when it comes to radio-frequency identification technology, the pharmaceutical industry may be the first to put passive RFID tags on individual items, according to a new study released this week by the ARC Advisory Group.

The supply chain research and consulting firm expects that by 2007, pharmaceutical manufacturers will be tagging items in addition to cases and pallets. That's because pharmaceuticals have a higher price tag and margin relative to retail products, according to ARC. In addition, this past February, the Food and Drug Administration asked pharmaceutical makers and distributors to adopt RFID within the next three years. Though the FDA hasn't set mandatory implementation guidelines, the agency expects that by 2007 all pallets, cases, and most individual packages of the drugs it regulates will be tracked using RFID.

The market is huge, ARC says in its study, with more than 12 billion units as candidates for tagging. In the retail sector, many experts don't expect item-level tagging of low-cost consumer goods to occur for five or more years, when passive RFID tags are expected to cost 5 cents or less. The study says RFID also can help with a number of issues in the drug industry, including recalls, tracking a product's history through the supply chain, and anti-counterfeiting measures.

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
[Interop ITX 2017] State Of DevOps Report
[Interop ITX 2017] State Of DevOps Report
The DevOps movement brings application development and infrastructure operations together to increase efficiency and deploy applications more quickly. But embracing DevOps means making significant cultural, organizational, and technological changes. This research report will examine how and why IT organizations are adopting DevOps methodologies, the effects on their staff and processes, and the tools they are utilizing for the best results.
Register for InformationWeek Newsletters
White Papers
Current Issue
Digital Transformation Myths & Truths
Transformation is on every IT organization's to-do list, but effectively transforming IT means a major shift in technology as well as business models and culture. In this IT Trend Report, we examine some of the misconceptions of digital transformation and look at steps you can take to succeed technically and culturally.
Video
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll