Spain Joins NATO and Allied Defense's Interoperable RFID Solutions

Real-time active RFID network forms foundation for country's implementation of Savi's consignment management solution

Real-time active RFID network forms foundation for country's implementation of Savi's consignment management solution

Sunnyvale, CA — February 9, 2006 — The Spanish Armed Forces (SAF) has contracted with Savi Technology to deploy Savi's Consignment Management Solution (CMS), which includes an active radio freuqnecy identification (RFID) network that interoperates with similar networks deployed by Savi for NATO countries and other allies.

The Spanish Armed Forces are deploying the Savi Consignment Management Solution to gain visibility of defense consignments transported through Spain, Afghanistan, Haiti, the Balkans, Kosovo and Bosnia-Herzegovina. Savi's CMS software solution uses real-time information from a family of Savi's RFID products, helping international defense forces to more effectively and efficiently track the movement of tagged assets and supplies through the supply chain, Savi said.

"Through Savi Technology, our country has committed to building an RFID-based information system for defense consignments that will also be interoperable with complementary systems operated by allied forces during multi-national joint operations," said Col. Enrique Porras, technical director of the Logistic Resources Tracking System Program. "We expect that Savi's proven solution will improve the accuracy and timeliness of supply chain information driving efficiencies, enhancing service to deployed forces and enabling us to collaborate more closely with allies in more complex joint operations."

Implementation of Savi CMS for the Spanish Armed Forces already has begun and is expected to be operational by mid-2006, after which assessments will determine possible additional deployments.

"Savi CMS enables users to locate consignments, manage consignment processes, and accurately forecast when they will arrive at their destination to ensure that deployed forces are always properly equipped," said Bruce Jacquemard, Savi's Executive Vice President of Worldwide Sales. "Additionally, Savi CMS is interoperable with RFID-based networks used by allied defense forces, enabling all allied countries to leverage each other's networks when engaged in joint multi-national deployments, resulting in greater efficiency for every participant."

Defense Agencies Increase RFID Adoption

Savi said its Consignment Management Solution (CMS) leverages more than a decade of real-time defense supply chain solutions that Savi has developed for the U.S. Department of Defense and other defense forces. In addition, CMS complies with recently agreed NATO standardization and agreements (STANAGs), which provide a framework for RFID-based interoperability among NATO countries to track consignments and assets.

Savi said that its RFID networks and related software solutions have been deployed for a growing number of international defense organizations, including the U.S. Department of Defense, NATO headquarters, United Kingdom Ministry of Defense, Australian Defense Forces and Denmark's Ministry of Defense, among others.

Recent findings from defense organizations show that Savi's solutions based on active RFID technologies, when used with improved supply chain processes have significantly improved fill rates, reduced backlog orders by 70 percent and reduced inventory by many tens of millions of dollars, according to Save. In addition, Savi said its active RFID solutions for defense organizations have proved to improve operational efficiency and improve the confidence of war fighters in their logistics operations to get the right supplies to the right place at the right time.

Savi said its RFID solutions have been implemented in over 2,000 locations in over 50 countries and are the foundation for the largest interoperable RFID networks deployed worldwide. Savi has also sold more than 1.5 million tags to defense forces, and the combined networks track about 35,000 consignments a day.

These RFID-based networks, which can function independently or interoperate with each other during multi-national deployments, are based on ISO's 18000-7 standards operating at 433.92 MHz. Active RFID operating at 433.92 MHz, with its ability to bend around metal objects, has been proven to be the most effective RFID frequency in environments where large metal ISO containers are tracked and stored, according to Savi. Many other frequencies face significant challenges in this harsh environment, which can lead to decreased performance or require significant additional readers and other infrastructure to be as effective as Savi's RFID networks, the technology provider said.

Additional Articles of Interest

— A recent independent study revealed that Wal-Mart customers are finding the items they wanted in stock more often due to the retailer's use of RFID technologies when compared to control stores. Read more in "Wal-Mart Achieving Improved On-shelf Availability with RFID, Study Finds" on

— Leading crafts company Creativity Inc. has found that, with a bit of trust and a lot of teamwork, a little consulting can go a long way in addressing supply chain pain points. Read more in "Crafting Success in Supply Chain Transformation," cover story in the December 2005/January 2006 issue of Supply & Demand Chain Executive.

— Successful supply chain executives differentiate themselves — and their companies — from the competition. Here are the skill sets you need to focus on. Read "Critical Skills for Effective Supply Chain Leaders" in the December 2005/January 2006 issue of Supply & Demand Chain Executive.