RFID Automotive
production tool management

For more than a century, General Motors (GM) has been a prominent player in the global automotive industry, producing iconic vehicles and pioneering innovations. To maintain its manufacturing excellence, GM relies on a vast network of 4,000 suppliers who provide the tools necessary to produce automotive parts. These tools have life cycles of up to 20 years and range in size from very small to several tons.

Tracking and managing proprietary off-site production equipment posed a significant challenge for GM and its suppliers until they adopted RFID and Bluetooth Low Energy (BLE) technologies.

Key Takeaways from Using RFID
at General Motors

General Motors (GM), a leader in the automotive industry, faced challenges in tracking thousands of supplier tools with life cycles of up to 20 years. By implementing RFID and Bluetooth Low Energy (BLE) technologies, GM significantly simplified tool tracking, reducing identification time by 85%. The adoption of RFID technology has benefited both GM and its suppliers by:

* Increasing operational efficiency.

*Reducing the effort required for manual tracking.

Challenges Before RFID and BLE Implementation

Before the introduction of RFID technology, GM and its suppliers struggled with a cumbersome tool tracking process:

Manual data entry

Suppliers had to perform time-consuming manual data entry to track tools.

Low recognition rates

Traditional methods often resulted in low first-time recognition rates and lengthy identification times.

Productivity Impact

Inefficient tracking processes negatively impacted productivity and caused delays.

Understanding Supply Chain Tools

Supply chain tools are essential for the production of automotive parts. These tools:

Come in a variety of sizes and frequently change locations within manufacturing environments.

Are exposed to harsh conditions, including extreme temperatures and high-temperature processes.

Have life cycles of up to 20 years, making effective tracking and management critical.

To address these challenges, GM previously relied on a module within SAP (Systems Analyzer) to manage is tools.

To date, the system has documented 800,000 tools, with suppliers adding 60,000 to 100,000 new tools annually.

Each tool is assigned a unique ID number in SAP, accompanied by at least two photographs. Labels include the mandatory identifiers: “Property of GM” and the ID number.

Technology Selection and Pilot Testing

Given the challenging manufacturing environment, GM carefully evaluated technology options to account for factors like:

* Vibration, high temperatures, lubricants, dust, and long storage periods.

* Requirements for reading range, accuracy, and reliability.

The evaluation excluded barcodes (quickly deemed insufficient) and active RFID (found unsuitable for this application). Instead, GM tested passive RFID tags (both hard and soft) alongside BLE tags. Following a five-site, 12-week pilot project, BLE and RFID technologies were identified as the most suitable solutions.

Results and benefits

The adoption of BLE and RFID technologies led to remarkable improvements:

Time Savings

Tool identification time was reduced by 85%.

Accurancy

The first-time targeting rate reached 98%, even in challenging manufacturing conditions.

Efficiency Gains

The new system improved supplier efficiency and significantly reduced manpower requirements.

Cost-Effectiveness

RFID and BLE technologies provided a cost-effective solution compared to other alternatives.

Continuous Improvement

Insights from the pilot project are guiding further refinements to the tool tracking system.