London-based CHEP, an international pallet and container pooling company, has announced a major pilot program testing the use of "intelligent" radio frequency identification (RFID) tags on its pallets for real-time tracking.

This trial follows an intensive period of research and development during which CHEP worked closely with several leading RFID and software vendors to build a prototype "track & trace" solution that provides CHEP and its customers real-time visibility of assets as they flow through the supply chain.
The program combines the use of UHF (ultra high frequency) RFID tags to individually identify CHEP assets with state-of-the-art tracking software all linked into existing CHEP operating systems. The project initially will focus on the tracking of pallets through CHEP repair and inspection facilities.
Benefits of the technology could include product damage identification and reduction by specific location; more accurate measurement of cycle-times and better asset utilization; pallet loss tracking; and fewer discrepancies between audit information and actual stock holdings, thus reducing trade disputes.
But the true potential of this initiative is the ability for CHEP customers to track their goods through the supply chain using the RFID tag, according to the company. Edwin Birnbaum, Vice President and leader of the asset-tracking program at CHEP, explained the initiative would also be a major milestone for the adoption of RFID technologies throughout the supply chain.
"We have already had major endorsement of our approach from the EAN.UCC Global Project Team, GTAG, who are charged with creating RFID standards for global use," he said.
The North American standards body ANSI, part of ISO International, has also endorsed the CHEP technology selection through its MH10 group chairman, Craig Harmon, according to the company.