WEBVTT

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STEVE MILES: So in the interest
of time and to keep going,

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our next speakers are
in the aeronautic space.

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And we have Alan Thorne,
who's the manager

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of the Manufacturing
Automation Program at Cambridge

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University, who will
be our next speaker.

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And as I think was
mentioned-- and Ken, actually,

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do you want to come up
and sit on the panel here?

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As was mentioned in the
beginning of the session,

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this is the example of
a market opportunity

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that looks like it's
going to require a higher

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level of academic collaboration,
and then with our standards

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organization and so on, to
ensure that the aircraft parts

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industry comes up to meet
the kinds of requirements

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that the OEMs are
placing on the industry.

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ALAN THORNE: Hello, everyone.

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My name is Alan Thorne.

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I'm actually one of
the associate directors

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at the Cambridge
Auto-ID Lab in the UK.

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I'm afraid one of my
colleagues, Duncan MacFarlane,

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was going to be here
today and speak to you,

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but he couldn't make it.

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So making up for that in
[? gray ?] [INAUDIBLE]

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is Ken Porad from
Boeing, who's going

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to be talking at the
end of my presentation

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about some of the industrial
requirements in this area.

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So the kick off in
this [INAUDIBLE] today,

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basically I'm going
to go over the aim.

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What we've been doing is putting
together a research forum

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to help with the adoption of
RFID in the aerospace sector.

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So I'm going to go over
the aim of that work, some

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of the background
work we've been doing,

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the development of the
research consortium,

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the research themes that
we've been looking at,

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and then we'll move over to
Ken to get Ken's view on some

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of the industrial requirements
and how the research program is

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feeding into his work.

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So the aim of the program is
to remove barriers to widescale

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automated ID deployment
in the aerospace sector

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through timely and
effective R&D--

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a noble goal.

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And that's one of the things
I do want to point out here--

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is we're looking
at ID technology.

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So we're not specifically
looking at RFID,

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because one of the things we
have found in the aerospace

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sector is there's going to
be a number of ID solutions

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that we'll be using.

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And we have to think about which
appropriate ID technology works

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for which particular solution.

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So if we look at the
background, I mean,

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the Cambridge Auto-ID Lab
is based at the engineering

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department in Cambridge, we
have a lot of work going off

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into the aerospace sector.

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And there's been
a lot of requests

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to understand how
our RFID work could

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impact some of the aerospace
work that's been going on.

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And the aerospace companies
we've been speaking to

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over the last few years have
been thinking quite broadly

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about how RFID would
affect their business

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across a wide scale, all the
way from the production level,

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right through to end-of-life
information about products.

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So that made it
quite exciting to us

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as a research area
to be tackling.

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There's been many one-off
trials using 1D and 2D barcodes,

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and RFID as well.

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And really, it was
recognized quite early

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on that it wasn't going to be
just a simple case of taking

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knowledge from the fast-moving
consumer goods area,

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and moving out of into
the aerospace sector.

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There were some definite
differences there.

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And one of the quick
ones you can see here

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is the aerospace industry is
very much interested in what

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happens to a product
during its life phase,

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rather than up to
the point of sale,

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which we find in
the retail area.

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So there's been numerous
industrial trials

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and activities going on, and
I've listed just a few here.

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But you can see that Boeing,
Airbus, General Electric, BAE

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systems to name a few, have been
really diving into this work.

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And of course, the
standards development area

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is really pushing ahead as well.

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We've got EPCglobal looking
at how the EPC network will

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support this area, as well as
organizations, such as ATA,

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[? SETA, ?] and IATA.

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And of course, there's been a
number of industrial forums,

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such as the Aviation RFID
Forum run by Boeing and Airbus,

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as well as RFID Journal.

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So it was recognized
that there was really

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a need for a research
program to help

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with the adoption of this work.

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And really, it was to add some
research rigor behind some

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of the activities
that were going on,

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as well as provide an
independent research

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body to support solutions
and development of some

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of the standards for work to
go towards the standards area.

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So I've just listed here a
few of the key differences

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that you can find between the
retail sector and the aviation

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sector.

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If we look at product
lives, you find

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that in the retail sector, most
of our products, [INAUDIBLE]

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we can measure in months.

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Whereas in the
aerospace sector, we

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find that many of
the products are

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going to be out there
between 20 and 50 years.

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So we're going to
actually be capturing

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a lot more information about
the way these products are used.

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And of course,
the technology has

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to last the lifetime
of that product.

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So we're looking for much
more robust technologies

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to be used there.

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Product characteristics--
we find in the retail sector

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most of the products are low
value, low complexity items,

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whereas in the
aviation sector, we

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find that they're high value,
high complexity items, where

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we can start to look at using
more expensive technologies,

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such as expanding into some
of the active technologies

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and the more sophisticated
tag classifications that

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will give us more information
about these products.

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Key application areas--
in the retail sector,

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it's mainly been focused
in the logistics area.

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In the aerospace
sector, we're really

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looking at how the
product's being used--

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lifecycle information,
repair services,

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[? spares ?] management, as
well as the logistic services.

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And of course,
environmental conditions--

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the environmental conditions
in the retail sector

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are actually quite nice compared
to in the aerospace sector.

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It is quite a harsh
environment that these parts

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are going to be used in.

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So we went about setting a
research consortium together

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to support some of this work.

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And we started it off
in December of 2004.

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And this was really
going around,

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getting industrial
consultation to understand

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what the requirements were.

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So in April 2005,
we announced that we

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were going to be putting
together a program,

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and then we started
on the background work

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for that program--

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background investigations,
membership process.

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So this is an industry-sponsored
program, getting members

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to join the program,
and of course,

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forming a core research team
that would be working on it.

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The program has
just been launched.

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It was launched on [? the ?]
9, 2005, basically, at one

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of the Boeing facilities.

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And really since
then, we've been

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moving into initial
scoping activities

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to understand the
research area more widely.

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Those research scopes are going
to be delivered, actually,

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at the beginning of February.

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Our next meeting's in London
on the 1st and 2nd of February.

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Then we'll be launching into
the full research program.

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And of course, the
important thing

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is to make sure that these
industrial requirements are

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getting fed back into the
program as it continues on.

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So to give you an idea,
the industrial consultation

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meetings that we've been
having, the initial one

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was in Cambridge
in December 2004,

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with [? MBNA ?] in Germany
and DaimlerChrysler in 2005.

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And of course, we did
quite a lot of work

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at the Paris Air Show.

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So this is really
consulting with the industry

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and finding out what their
needs were and requirements.

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And the kind of people we've
been working with are airframe

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manufacturers, parts suppliers,
airline organizations,

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aerodefense organizations,
the Ministry of Defence,

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maintenance service
organizations,

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and some light
aircraft manufacturers,

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so as to get a broad feel of the
kind of requirements that were

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needed.

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The kind of organizations we're
involving in the program--

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again, it is an
industry-funded program.

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We have end user
membership to the program.

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We have technology
membership to the program.

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And of course, we have standards
bodies involved in the program,

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as well as the research
side, where we are using

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the Cambridge Auto-ID Lab.

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It is primarily managing
the program as such

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and adding its research
activities to it.

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Auto ID labs-- the rest
of the auto-ID labs

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are supporting us in this work,
and providing their research

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skills as they fit the
needs of the program.

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And of course, what
we're also doing

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is looking for other
research organizations

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to help us out, where
they got specific skills

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or add to our activity.

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So to give you an idea
of some of the labs

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that are helping us
out at the moment,

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the Korean Auto-ID Lab
is keen to get involved,

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as well as the
Japanese Auto-ID Lab

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has been very hard at
work on this program.

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And we've got two
other labs that

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are becoming pushed by
the sponsors, if you like.

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So UNICAMP in Brazil
is a university

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that is sponsored by
Embraer, an aviation

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organization in Brazil, who
are keen to work with us,

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as well as Magdeburg, one of
the front [INAUDIBLE] in Germany

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who works with Airbus.

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So to give you an idea
of who our sponsors are

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at the moment, the user
sponsorship, as you can see,

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technology membership, and
the standards bodies involved.

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So the way we've
been moving forward

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with this is, each member
that joins the program

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gets a vote on the themes
and the way the program

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goes forward.

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And basically,
everyone, what we do

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is we take these initial
themes that we found.

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We present on them.

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We allow the
membership to vote on

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how they would
like to go forward,

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and which themes
will be taken on.

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What we do have is
a governing body

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to ensure that any
disputes get resolved.

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And the governing bodies
really been pulled together

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from the end user
membership of the program.

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So that's to make
sure that we're still

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[? in there ?] meeting the
requirements of the aerospace

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sector, and not
necessarily just meeting

00:10:29.790 --> 00:10:30.990
technology vendors' needs.

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So the program structure is, we
have a bunch of research teams

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that we're working on, and
we're pulling organizations in

00:10:40.020 --> 00:10:43.100
to support the research work
in those different areas.

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So the kind of research
themes that we're working on

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come out as ID lifecycle
management, application

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matching, sensor fusion,
security, track and trace,

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and data synchronization.

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So these are key areas
that have been identified

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by the aerospace organizations
as being important research

00:11:03.370 --> 00:11:05.270
tracks that should
be solved to help

00:11:05.270 --> 00:11:09.010
with the adoption
of this technology.

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So lifecycle ID management,
the background of this

00:11:12.100 --> 00:11:15.370
is we're finding that
a product can have

00:11:15.370 --> 00:11:16.960
a number of identities in it.

00:11:16.960 --> 00:11:19.540
It can have a number of
databases or data repositories

00:11:19.540 --> 00:11:21.597
within a system holding
information on it.

00:11:21.597 --> 00:11:23.680
So for example, it can
have production information

00:11:23.680 --> 00:11:24.340
about it.

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It could have maintenance
information about it,

00:11:26.360 --> 00:11:28.510
and it could use this
information about it.

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As components in
that product get

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changed, how do we thread
together this information

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to maintain information
throughout the product

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lifecycle of that part, which
is quite an important issue.

00:11:38.457 --> 00:11:40.540
And we've got a number of
industrial collaborators

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that are working
on that program.

00:11:43.250 --> 00:11:47.390
ID application matching-- again,
as I said before, RFID is not

00:11:47.390 --> 00:11:48.295
the only ID solution.

00:11:48.295 --> 00:11:49.670
And there is
actually going to be

00:11:49.670 --> 00:11:53.220
a number of ID solutions
used in the aerospace sector.

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If we look at people
like Rolls-Royce,

00:11:55.730 --> 00:11:58.485
they're very keen-- they use
data matrixes on fan blades

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for identifying them.

00:11:59.360 --> 00:12:02.790
It's a way in which they can
uniquely identify fan blades.

00:12:02.790 --> 00:12:05.690
So we've got to deal with
a mix of IT technologies.

00:12:05.690 --> 00:12:07.160
What this work
here is looking at

00:12:07.160 --> 00:12:09.740
is different processes
within the aerospace industry

00:12:09.740 --> 00:12:12.710
and understanding which
ID technologies fit most

00:12:12.710 --> 00:12:14.820
appropriately to those needs.

00:12:14.820 --> 00:12:16.290
Once we can do
that, we can start

00:12:16.290 --> 00:12:18.380
to understand the
different ID technologies

00:12:18.380 --> 00:12:22.010
that we use in different areas
within a particular process.

00:12:22.010 --> 00:12:24.620
And we can work out which
would be appropriate technology

00:12:24.620 --> 00:12:26.600
or best match across
the different processes

00:12:26.600 --> 00:12:30.180
that that part or product
has to go through.

00:12:30.180 --> 00:12:32.923
And again, we have a number
of industrial collaborators

00:12:32.923 --> 00:12:33.590
working on that.

00:12:37.960 --> 00:12:42.850
Sensor fusion-- this is coming
through health care monitoring

00:12:42.850 --> 00:12:44.800
on aircraft.

00:12:44.800 --> 00:12:47.740
So we're very interested
in knowing how we can best

00:12:47.740 --> 00:12:50.680
use sensory information that
comes from aircraft systems,

00:12:50.680 --> 00:12:53.245
as well as ID information
that comes from parts that

00:12:53.245 --> 00:12:57.370
are in that aircraft to make
best decisions on has there

00:12:57.370 --> 00:13:00.700
been a problem with the aircraft
or future maintenance that

00:13:00.700 --> 00:13:02.050
has to happen on an aircraft?

00:13:02.050 --> 00:13:03.840
Or is there a failure
mode about to occur?

00:13:07.760 --> 00:13:10.870
Data synchronization--
we're finding

00:13:10.870 --> 00:13:12.820
that, on many of
the applications,

00:13:12.820 --> 00:13:15.610
it may be that the
product might not

00:13:15.610 --> 00:13:17.810
be in a networked environment.

00:13:17.810 --> 00:13:20.050
So we might have to
store information locally

00:13:20.050 --> 00:13:22.390
on the tag for a
number of processes,

00:13:22.390 --> 00:13:24.880
or it might be that it's
a safety-critical kind

00:13:24.880 --> 00:13:27.580
of information that has
to be stored on the tag.

00:13:27.580 --> 00:13:29.260
So how do we deal
with products that

00:13:29.260 --> 00:13:31.750
are moving in and out of
networked environment,

00:13:31.750 --> 00:13:35.050
and making sure the data is
updated in an appropriate way,

00:13:35.050 --> 00:13:36.850
and the correct
synchronization processes

00:13:36.850 --> 00:13:40.330
are happening so that's another
very important research topic

00:13:40.330 --> 00:13:42.990
that's been brought forward.

00:13:42.990 --> 00:13:44.820
And of course, track and trace--

00:13:44.820 --> 00:13:46.800
as in many different
areas, track and trace

00:13:46.800 --> 00:13:48.840
is very important in
the aerospace sector.

00:13:48.840 --> 00:13:50.760
I mean, it's a
legislative requirement

00:13:50.760 --> 00:13:54.630
to provide good track and
trace of aerospace parts.

00:13:54.630 --> 00:13:57.293
So currently, we've got
some scoping activities,

00:13:57.293 --> 00:13:59.460
understanding what the
legislative requirements are,

00:13:59.460 --> 00:14:02.760
as well as the business needs in
the aerospace sector for track

00:14:02.760 --> 00:14:05.010
and trace, and thinking
about what the future will

00:14:05.010 --> 00:14:06.750
be of track and trace.

00:14:09.390 --> 00:14:11.070
And everyone's in agreement.

00:14:11.070 --> 00:14:13.170
Basically, the security
is an enormous here

00:14:13.170 --> 00:14:14.340
that has to be covered.

00:14:14.340 --> 00:14:16.950
And really, this hit all
of our research areas

00:14:16.950 --> 00:14:18.700
that we've been looking at.

00:14:18.700 --> 00:14:20.940
So we can see here,
in this diagram

00:14:20.940 --> 00:14:24.180
here, I've tried to show from
right down at a hardware level

00:14:24.180 --> 00:14:26.490
up to the business level
on the left-hand side,

00:14:26.490 --> 00:14:29.007
and the different research
topics we're working on.

00:14:29.007 --> 00:14:30.840
You can see that there's
quite a good match.

00:14:30.840 --> 00:14:33.720
We're hitting quite a few of the
areas with the research topics

00:14:33.720 --> 00:14:34.780
that we're looking at.

00:14:34.780 --> 00:14:37.830
And you can see on the far
right that actually, security

00:14:37.830 --> 00:14:40.260
goes across a whole bunch
of those research teams

00:14:40.260 --> 00:14:43.122
that we were investigating.

00:14:43.122 --> 00:14:45.580
And actually, our security work
team is working quite well.

00:14:45.580 --> 00:14:47.470
That's now moved into
an industrial work

00:14:47.470 --> 00:14:51.970
team that are actually looking
into that work right now.

00:14:51.970 --> 00:14:55.180
So deliverables are coming
out of the program--

00:14:55.180 --> 00:14:57.520
tools to support
deployment analysis,

00:14:57.520 --> 00:15:00.400
guidance on pilot
results, guidelines

00:15:00.400 --> 00:15:03.010
on complex requirements,
demonstrations

00:15:03.010 --> 00:15:07.060
to clarify applications and
issues, software prototyping,

00:15:07.060 --> 00:15:09.890
and white papers.

00:15:09.890 --> 00:15:13.310
And for our next meeting that's
going on on the 1st and 2nd

00:15:13.310 --> 00:15:15.962
of February, we've got a number
of industrial white papers

00:15:15.962 --> 00:15:18.170
that are coming out on each
of these research topics.

00:15:18.170 --> 00:15:20.960
And these are basically
the scoping activities

00:15:20.960 --> 00:15:22.990
that have been going on
for the last few months.

00:15:25.910 --> 00:15:29.120
So to give you an idea of
some of the current research

00:15:29.120 --> 00:15:33.320
team that's involved
in the program,

00:15:33.320 --> 00:15:35.720
basically what we're
looking for here

00:15:35.720 --> 00:15:37.993
is really to find research
organizations that

00:15:37.993 --> 00:15:39.410
are interested in
getting involved

00:15:39.410 --> 00:15:40.400
in some of these areas.

00:15:40.400 --> 00:15:43.943
And it'd be very good if you
could get in touch with me

00:15:43.943 --> 00:15:45.860
to talk further about
how we could collaborate

00:15:45.860 --> 00:15:48.370
on this program.

00:15:48.370 --> 00:15:51.300
So that covers what we're doing
as putting together a research

00:15:51.300 --> 00:15:52.680
program for this area.

00:15:52.680 --> 00:15:55.620
What I would like to
do is move over to Ken

00:15:55.620 --> 00:15:59.220
to allow him to talk about some
of the requirements that Boeing

00:15:59.220 --> 00:16:01.590
and his vision for where some
of the commercial aircraft

00:16:01.590 --> 00:16:02.540
activities are going.

00:16:07.540 --> 00:16:08.540
Thank you.

00:16:08.540 --> 00:16:12.040
[APPLAUSE]

00:16:14.040 --> 00:16:16.210
KEN PORAD: Are we going
to take a break first?

00:16:18.856 --> 00:16:20.570
ALAN THORNE: What
did he put here?

00:16:44.580 --> 00:16:46.880
KEN PORAD: Good
afternoon, everybody.

00:16:46.880 --> 00:16:48.310
My name is Ken Porad.

00:16:48.310 --> 00:16:50.290
I'm the Boeing
engineering representative

00:16:50.290 --> 00:16:53.890
to the Air Transport
Association [INAUDIBLE]

00:16:53.890 --> 00:16:56.710
automated identification
and data capture.

00:16:56.710 --> 00:16:59.470
And I'm leading the effort at
Boeing Commercial Airplanes

00:16:59.470 --> 00:17:04.089
to get RFID-enabled shipping
labels all over our factory

00:17:04.089 --> 00:17:07.420
to reduce unit cost, cycle
time, and defects, and also

00:17:07.420 --> 00:17:12.220
on shipping labels and packing
slips, and on airplane parts.

00:17:12.220 --> 00:17:16.210
And Alan asked me to talk
about some of the progress

00:17:16.210 --> 00:17:18.725
on deploying RFID on
the airplane parts,

00:17:18.725 --> 00:17:21.100
because it's the most exciting
and it's the most complex.

00:17:24.800 --> 00:17:27.380
I want to start with how
we do business today.

00:17:27.380 --> 00:17:30.350
In commercial aviation, we
have barcoded nameplates

00:17:30.350 --> 00:17:32.630
to identify products
on the airplane.

00:17:32.630 --> 00:17:34.220
And typically,
there's three elements

00:17:34.220 --> 00:17:36.740
of data that are on
these nameplates that

00:17:36.740 --> 00:17:38.450
are a pointer to
a global database

00:17:38.450 --> 00:17:40.370
of unlimited information
about the life cycle

00:17:40.370 --> 00:17:42.080
history of that product.

00:17:42.080 --> 00:17:43.790
And we use a unique
serial number

00:17:43.790 --> 00:17:46.460
within a manufacturer's
code and a part number.

00:17:46.460 --> 00:17:49.040
Those three elements
today define uniqueness

00:17:49.040 --> 00:17:50.930
to an airplane part.

00:17:50.930 --> 00:17:52.770
And there's a problem with that.

00:17:52.770 --> 00:17:54.760
The problem is that's
a static device.

00:17:54.760 --> 00:17:56.330
So once it's printed,
that barcoded

00:17:56.330 --> 00:18:00.170
name plate, that's the way
it is for 20 or 30 years.

00:18:00.170 --> 00:18:02.690
And in my industry,
we change our numbers

00:18:02.690 --> 00:18:04.310
to make it more complicated.

00:18:04.310 --> 00:18:07.010
Any time that we add a
service bulletin or a mod kit

00:18:07.010 --> 00:18:09.500
to improve reliability
of an airplane part,

00:18:09.500 --> 00:18:11.780
if we change form, fit,
or function of that part,

00:18:11.780 --> 00:18:13.950
we have to roll the part number.

00:18:13.950 --> 00:18:17.130
So you can imagine,
what's up on the screen,

00:18:17.130 --> 00:18:20.330
if this identifies the product
on an airplane, that lower

00:18:20.330 --> 00:18:22.040
nameplate, that's
good for 30 years.

00:18:22.040 --> 00:18:23.917
That's the Social
Security number of a part.

00:18:23.917 --> 00:18:26.000
And you'll see that there's
a unique serial number

00:18:26.000 --> 00:18:27.110
and a manufacturer code.

00:18:27.110 --> 00:18:29.420
That's in human-readable
text in English,

00:18:29.420 --> 00:18:31.040
and it's also in a barcode.

00:18:31.040 --> 00:18:34.160
That upper nameplate has
the supplier's part number.

00:18:34.160 --> 00:18:36.480
That supplier's part number
of changes over time--

00:18:36.480 --> 00:18:39.360
sometimes many times
over the years.

00:18:39.360 --> 00:18:42.620
So what we do today is we
have to install a revised

00:18:42.620 --> 00:18:45.740
upper nameplate in a
service bulletin or mod kit,

00:18:45.740 --> 00:18:48.170
so any third-party
maintenance provider worldwide

00:18:48.170 --> 00:18:51.020
could install this on any
Boeing customer's airplane

00:18:51.020 --> 00:18:54.550
without linking it to a specific
serial number to end item.

00:18:54.550 --> 00:18:57.470
So you can imagine the
logistics challenge it is.

00:18:57.470 --> 00:19:01.370
You can imagine the
benefits for RFID.

00:19:01.370 --> 00:19:03.480
Let's talk about benefits.

00:19:03.480 --> 00:19:06.020
A lot of times, when we
present, we have Airbus with us.

00:19:06.020 --> 00:19:08.690
Airbus, as you know, is
our major competitor.

00:19:08.690 --> 00:19:10.520
But they're not our
competitor to implement

00:19:10.520 --> 00:19:12.560
standards initiatives.

00:19:12.560 --> 00:19:14.270
You may not know that
Boeing and Airbus

00:19:14.270 --> 00:19:17.360
share 70% common suppliers.

00:19:17.360 --> 00:19:20.600
So to provide inconsistent
requirements and direction

00:19:20.600 --> 00:19:22.820
to common suppliers would
be costly and foolish

00:19:22.820 --> 00:19:24.650
for Boeing and Airbus.

00:19:24.650 --> 00:19:27.398
And what's worse would be to
have an inconsistent solution

00:19:27.398 --> 00:19:29.690
to a common customer that
flies a mixed fleet of Boeing

00:19:29.690 --> 00:19:31.610
and Airbus Jets.

00:19:31.610 --> 00:19:34.070
So we've been working
with Airbus for 10 years

00:19:34.070 --> 00:19:40.632
now, first to deploy barcoded
nameplates, and now on RFID.

00:19:40.632 --> 00:19:42.590
Without spending a lot
of time on the benefits,

00:19:42.590 --> 00:19:45.230
this is worth a lot
of money to Boeing.

00:19:45.230 --> 00:19:48.890
As I said, we're going to be
putting RFID-enabled shipping

00:19:48.890 --> 00:19:51.440
labels on packages
incoming to Boeing.

00:19:51.440 --> 00:19:54.830
Just in Boeing Seattle,
we get 50,000 packages

00:19:54.830 --> 00:19:58.100
per day incoming to support
the production of an airplane

00:19:58.100 --> 00:19:59.430
program.

00:19:59.430 --> 00:20:00.407
So 50,000 per day.

00:20:00.407 --> 00:20:02.240
If you want to know
about the business case,

00:20:02.240 --> 00:20:05.870
today, we have nine linear
barcodes on each box.

00:20:05.870 --> 00:20:11.060
So nine times 50,000,
that's 450,000 times someone

00:20:11.060 --> 00:20:13.490
has to read a barcode.

00:20:13.490 --> 00:20:16.970
In Wichita, Kansas, we set up a
portal that incoming receiving,

00:20:16.970 --> 00:20:19.820
and we pushed palleted shipments
from all of the logistics

00:20:19.820 --> 00:20:22.925
providers like FedEx
and UPS and DHL.

00:20:22.925 --> 00:20:25.550
They'd all just come right into
our incoming or receiving door,

00:20:25.550 --> 00:20:29.150
or at our dock door, and go
right into our ERP system.

00:20:29.150 --> 00:20:30.740
That was worth
millions right there.

00:20:30.740 --> 00:20:32.750
I'm not allowed to tell
you the exact numbers,

00:20:32.750 --> 00:20:34.910
but they're huge.

00:20:34.910 --> 00:20:38.240
Also in our factory, reducing
cycle time unit costs

00:20:38.240 --> 00:20:39.560
and defects.

00:20:39.560 --> 00:20:42.800
You probably know there's six
million parts on a jetliner.

00:20:42.800 --> 00:20:44.990
We're not going to be
putting RFID tags on all six

00:20:44.990 --> 00:20:49.340
million parts, but I will show
you what we have planned for.

00:20:49.340 --> 00:20:51.208
Another major
benefit for Boeing is

00:20:51.208 --> 00:20:53.000
that this information
that we're exchanging

00:20:53.000 --> 00:20:56.550
with our partners, our airline
customers and our suppliers,

00:20:56.550 --> 00:20:59.240
this is helping us reduce the
cycle time to solve problems

00:20:59.240 --> 00:21:00.560
that occur.

00:21:00.560 --> 00:21:03.650
The airplane is one of the most
complex products ever created

00:21:03.650 --> 00:21:04.850
by man.

00:21:04.850 --> 00:21:06.260
And as there's
growing pains when

00:21:06.260 --> 00:21:07.718
we introduce a new
product, there's

00:21:07.718 --> 00:21:09.560
a lot of technical problems.

00:21:09.560 --> 00:21:11.810
And before, it would
take up to 18 months

00:21:11.810 --> 00:21:14.660
to fault isolate why these
problems are being caused

00:21:14.660 --> 00:21:17.960
and to get a technical fix
deployed into the field.

00:21:17.960 --> 00:21:20.810
With RFID, we think we'll
get sharing of information

00:21:20.810 --> 00:21:24.430
to reduce that cycle time
down to three months.

00:21:24.430 --> 00:21:26.470
All these other benefits
up on the screen

00:21:26.470 --> 00:21:28.780
provide accurate as-delivery
configuration helps

00:21:28.780 --> 00:21:31.000
us with warranty
claim processing,

00:21:31.000 --> 00:21:33.940
helps airlines track
their rogue units,

00:21:33.940 --> 00:21:36.010
helps reduce the risk
of suspected unapproved

00:21:36.010 --> 00:21:37.540
and counterfeit parts.

00:21:37.540 --> 00:21:40.000
This is all going to be
very wonderful with RFID

00:21:40.000 --> 00:21:41.470
that barcode could
not really do.

00:21:44.250 --> 00:21:46.110
The way this is going
to work is that, when

00:21:46.110 --> 00:21:49.093
we create the airplane,
we develop a birth record.

00:21:49.093 --> 00:21:51.510
That birth record has the
serial numbers and part numbers.

00:21:51.510 --> 00:21:53.970
We turn that over to
an airline customer.

00:21:53.970 --> 00:21:56.520
That customer has agreed to
tell us all of their flight

00:21:56.520 --> 00:21:59.100
hours and landings, their
unscheduled component

00:21:59.100 --> 00:22:01.560
removals by part number
and serial number, and all

00:22:01.560 --> 00:22:03.540
their dispatch delays--
their air turnbacks,

00:22:03.540 --> 00:22:06.780
their cancellations, their
delays, cancellations.

00:22:06.780 --> 00:22:09.270
We keep track of this
through a teradata mainframe,

00:22:09.270 --> 00:22:11.430
and it's available
24/7 worldwide

00:22:11.430 --> 00:22:15.570
to Boeing customers using
Microsoft Excel as a platform.

00:22:15.570 --> 00:22:18.300
We've actually been doing
this since June of 1995

00:22:18.300 --> 00:22:20.640
when we launched
the 777 airplane,

00:22:20.640 --> 00:22:23.670
but we were doing it
without auto-ID technology

00:22:23.670 --> 00:22:25.690
and it was very inefficient.

00:22:25.690 --> 00:22:28.410
So now with RFID, we're
getting very excited

00:22:28.410 --> 00:22:30.555
on the new Dreamliner
to launch this.

00:22:30.555 --> 00:22:35.650
And we'll get to what Cambridge
is doing for us in a moment.

00:22:35.650 --> 00:22:37.200
First, I wanted
to explain, we're

00:22:37.200 --> 00:22:41.040
not putting RFID on six
million parts on an airplane.

00:22:41.040 --> 00:22:44.340
It's going to be on the new
Dreamliner 2,000 end items--

00:22:44.340 --> 00:22:45.360
only 2,000.

00:22:45.360 --> 00:22:47.755
You're probably
wondering why 2,000.

00:22:47.755 --> 00:22:50.130
Well, they really drive the
cost of ownership of a Boeing

00:22:50.130 --> 00:22:52.395
airplane, those 2,000 parts.

00:22:52.395 --> 00:22:54.270
What you see up on the
screen is the criteria

00:22:54.270 --> 00:22:57.270
the airlines told Boeing and
Airbus that's important to them

00:22:57.270 --> 00:22:59.940
to track through a life
cycle-- up to 30 years.

00:22:59.940 --> 00:23:02.820
And they said focus on
line-replaceable units.

00:23:02.820 --> 00:23:05.940
Repairable parts-- not
consumables or throwaways,

00:23:05.940 --> 00:23:08.280
but parts that are
recommended as spare,

00:23:08.280 --> 00:23:10.080
and parts with a high
frequency of removal.

00:23:10.080 --> 00:23:11.880
That drives cost of ownership.

00:23:11.880 --> 00:23:13.520
And expensive spare parts--

00:23:13.520 --> 00:23:16.020
parts that are on what's called
the master minimum equipment

00:23:16.020 --> 00:23:16.687
list that means.

00:23:16.687 --> 00:23:18.188
They're dispatch-critical.

00:23:18.188 --> 00:23:20.730
So if they're not working, an
airline cannot put the airplane

00:23:20.730 --> 00:23:21.605
into revenue service.

00:23:21.605 --> 00:23:24.780
So they want to manage
why they have delays.

00:23:24.780 --> 00:23:27.090
Anything that's a life-limited
or time-controlled part,

00:23:27.090 --> 00:23:29.010
like landing gear,
that's a great candidate

00:23:29.010 --> 00:23:31.118
to have an RFID nameplate
on, because we're

00:23:31.118 --> 00:23:32.910
going to be housing
the maintenance history

00:23:32.910 --> 00:23:34.360
right on the nameplate.

00:23:34.360 --> 00:23:36.870
And I'll show you in a moment
how that's going to work.

00:23:36.870 --> 00:23:39.240
And also, all of the emergency
equipment on the airplane

00:23:39.240 --> 00:23:40.560
will have an RFID tag.

00:23:43.300 --> 00:23:45.060
We've talked to
many world airlines

00:23:45.060 --> 00:23:47.610
about this program,
even more than depicted

00:23:47.610 --> 00:23:48.360
on this world map.

00:23:48.360 --> 00:23:51.300
And they all said this
is of high value to them.

00:23:51.300 --> 00:23:53.340
There's a very big
return on investment

00:23:53.340 --> 00:23:54.915
in commercial
aviation for RFIDs.

00:23:58.170 --> 00:24:01.170
Unlike in our factory, with
supply chain management

00:24:01.170 --> 00:24:03.970
and logistics, when you
put these on the airplane,

00:24:03.970 --> 00:24:06.300
you have to worry about
continued airworthiness

00:24:06.300 --> 00:24:08.520
and safety of flight.

00:24:08.520 --> 00:24:11.160
And Boeing has to certify
to the regulatory agencies

00:24:11.160 --> 00:24:13.140
that we do not impact
any installed system

00:24:13.140 --> 00:24:16.380
or equipment on the airplane,
because these RFID tags,

00:24:16.380 --> 00:24:19.890
even as to identify a
nameplate, the FAA considers

00:24:19.890 --> 00:24:23.340
this a transmitting
portable electronic device.

00:24:23.340 --> 00:24:25.320
And as such, typically,
we have to demonstrate

00:24:25.320 --> 00:24:27.470
through a failure mode
and effects analysis

00:24:27.470 --> 00:24:29.970
that the probability of a single
point failure bringing down

00:24:29.970 --> 00:24:33.360
an airplane is 10
to the minus 9th.

00:24:33.360 --> 00:24:35.340
What we've done it
Boeing is that we

00:24:35.340 --> 00:24:38.040
decided to do some in-service
evaluations instead, which

00:24:38.040 --> 00:24:39.593
I'll show you in a moment.

00:24:39.593 --> 00:24:41.760
But this is the official
Boeing engineering position

00:24:41.760 --> 00:24:45.097
on passive RFID on
one of our jetliners.

00:24:45.097 --> 00:24:46.680
And this is for an
existing, currently

00:24:46.680 --> 00:24:49.560
in-production jetliner,
or our new Dreamliner.

00:24:49.560 --> 00:24:51.750
We're saying that for
passive RFID technology,

00:24:51.750 --> 00:24:53.640
because there's no
on site power source

00:24:53.640 --> 00:24:57.000
and no active transmitter
and our schema is to use this

00:24:57.000 --> 00:24:58.800
while the airplane is
parked on the ground,

00:24:58.800 --> 00:25:01.830
not on an active taxiway
and not in flight--

00:25:01.830 --> 00:25:04.200
and we have adequate
electromagnetic shielding

00:25:04.200 --> 00:25:06.540
on the Boeing airplane
today, and we're

00:25:06.540 --> 00:25:11.730
going to use part 15 certified
unlicensed use FCC rules,

00:25:11.730 --> 00:25:13.950
we believe that
passive devices do not

00:25:13.950 --> 00:25:16.170
impact form, fit, or function
of any installed system

00:25:16.170 --> 00:25:18.840
or equipment on a
Boeing airplane.

00:25:18.840 --> 00:25:22.470
And we've got already the
FAA, JA, EASA, Air Transport

00:25:22.470 --> 00:25:23.670
Canada to agree to this.

00:25:26.740 --> 00:25:30.330
In fact, we received on May
13 a National Policy Memo

00:25:30.330 --> 00:25:33.240
from the FAA allowing
passive RFID tags

00:25:33.240 --> 00:25:35.320
we put on Boeing jetliners.

00:25:35.320 --> 00:25:40.920
So that's the basis for the new
airplane, the 787 Dreamliner.

00:25:40.920 --> 00:25:43.210
To prove that this
worked, we wanted

00:25:43.210 --> 00:25:44.340
to do a proof of concept.

00:25:44.340 --> 00:25:47.430
And we picked one of our
good customers, FedEx,

00:25:47.430 --> 00:25:50.400
who had an MD-10 going through
the conversion from a passenger

00:25:50.400 --> 00:25:52.080
plane to a freighter.

00:25:52.080 --> 00:25:54.650
And we got to do
a science project.

00:25:54.650 --> 00:25:56.400
For the first time in
commercial aviation,

00:25:56.400 --> 00:25:59.610
we outfitted the airplane
with passive RFID tags

00:25:59.610 --> 00:26:02.340
in all zones-- the flight
deck and the wheel well,

00:26:02.340 --> 00:26:05.100
the avionics compartment,
the E&E bay, and the cargo

00:26:05.100 --> 00:26:06.570
compartment.

00:26:06.570 --> 00:26:10.020
And we flew this airplane 18
hours per day, multiple flight

00:26:10.020 --> 00:26:12.630
segments per day, out
of Memphis, Tennessee,

00:26:12.630 --> 00:26:14.890
for 90 consecutive days.

00:26:14.890 --> 00:26:17.123
And we also left the
tags on for one year.

00:26:17.123 --> 00:26:19.290
And I'm here to tell you,
there was not one failure.

00:26:22.510 --> 00:26:25.600
Here are the objectives
as officially stated.

00:26:25.600 --> 00:26:28.120
We wanted to identify any
potential electromagnetic

00:26:28.120 --> 00:26:31.660
interference or any detrimental
environmental effects.

00:26:31.660 --> 00:26:34.280
As you well know, there's a
lot of changes in temperature,

00:26:34.280 --> 00:26:35.740
pressure, humidity.

00:26:35.740 --> 00:26:37.810
There's caustic
chemicals, like skydrol,

00:26:37.810 --> 00:26:39.518
which is hydraulic fluid.

00:26:39.518 --> 00:26:41.060
All these can affect
the performance.

00:26:41.060 --> 00:26:43.255
There's also quite a bit
of metal in the airplane.

00:26:43.255 --> 00:26:45.630
So we wanted to evaluate the
integrity of the application

00:26:45.630 --> 00:26:48.610
to make sure none of the
data got corrupted over time.

00:26:51.370 --> 00:26:53.240
This was our test coupon.

00:26:53.240 --> 00:26:56.560
You'll see a standard barcoded
nameplate with human readable.

00:26:56.560 --> 00:26:59.140
This complies with the Air
Transport Association Spec 2000

00:26:59.140 --> 00:27:01.240
chapter 9 standard.

00:27:01.240 --> 00:27:04.060
What you don't see inside
is a laminated inlay,

00:27:04.060 --> 00:27:07.390
which is the microchip
with the antenna package.

00:27:07.390 --> 00:27:10.930
On the back of this device,
we had iron-loaded silicone,

00:27:10.930 --> 00:27:13.250
which is to make this work
directly applied to metal,

00:27:13.250 --> 00:27:15.370
so there wouldn't
be interference.

00:27:15.370 --> 00:27:17.080
We ran this test twice.

00:27:17.080 --> 00:27:20.530
The first test we did
with 13.56 megahertz,

00:27:20.530 --> 00:27:23.620
using an inlay from Infineon
technologies in Germany,

00:27:23.620 --> 00:27:26.110
with a 10,000-bit EPROM.

00:27:26.110 --> 00:27:29.620
That test worked fabulously,
but it had one limitation.

00:27:29.620 --> 00:27:33.430
The read range was, like, 6
to 8 inches in the airplane--

00:27:33.430 --> 00:27:35.810
6 to 8 inch read range.

00:27:35.810 --> 00:27:37.540
And that didn't fulfill
the vision we had

00:27:37.540 --> 00:27:39.165
of walking through
the passenger cabin,

00:27:39.165 --> 00:27:42.040
reading all of the life vests,
or reading behind side wall

00:27:42.040 --> 00:27:45.643
panels, devices, or up in
the passenger service units,

00:27:45.643 --> 00:27:47.560
where the oxygen masks
come down when you lose

00:27:47.560 --> 00:27:49.630
cabin pressure of the airplane.

00:27:49.630 --> 00:27:51.867
So that read range
didn't work for us.

00:27:51.867 --> 00:27:53.950
So we decided, let's go
back to the drawing board.

00:27:53.950 --> 00:27:56.690
Let's go to
ultra-high frequency.

00:27:56.690 --> 00:27:59.470
So we partnered at that time
with Intermec Technologies.

00:27:59.470 --> 00:28:01.660
They created some
inlays for us--

00:28:01.660 --> 00:28:06.070
915 megahertz, metal
mount-compatible, and we

00:28:06.070 --> 00:28:08.320
ran the test again.

00:28:08.320 --> 00:28:11.770
And at 915 megahertz
in a Boeing airplane,

00:28:11.770 --> 00:28:15.040
we got 10 to 12 feet read
range, and it worked really

00:28:15.040 --> 00:28:16.015
fabulously.

00:28:16.015 --> 00:28:19.010
We were very pleased.

00:28:19.010 --> 00:28:22.520
Here's our test airplane,
tail number N370FE

00:28:22.520 --> 00:28:25.190
We've used it for
two tests now--

00:28:25.190 --> 00:28:27.800
the high frequency, the
ultra-high frequency.

00:28:27.800 --> 00:28:29.330
And we have plans
this year to do

00:28:29.330 --> 00:28:32.090
the same airplane, the same
parts, with active tags.

00:28:34.467 --> 00:28:37.050
I wanted to show you some of the
applications in the airplane.

00:28:37.050 --> 00:28:39.780
This is an electronics
avionics box.

00:28:39.780 --> 00:28:41.520
It's in a benign
application, where

00:28:41.520 --> 00:28:43.312
the temperature,
pressure, and humidity are

00:28:43.312 --> 00:28:45.633
relatively constant.

00:28:45.633 --> 00:28:47.800
This is the inertial reference
unit of the airplane.

00:28:47.800 --> 00:28:49.540
This is also a
temperature-controlled

00:28:49.540 --> 00:28:51.470
environment.

00:28:51.470 --> 00:28:53.180
This controls the
flaps of the airplane.

00:28:53.180 --> 00:28:55.520
It's in the left wheel well.

00:28:55.520 --> 00:28:58.910
It's a pretty caustic
environment, actually.

00:28:58.910 --> 00:29:00.300
This is the smoke detector.

00:29:00.300 --> 00:29:02.930
This is on the ceiling
of the cargo compartment.

00:29:02.930 --> 00:29:06.140
We did every other smoke
detector of the airplane.

00:29:06.140 --> 00:29:07.640
This was in the
right wheel well.

00:29:07.640 --> 00:29:09.050
This is a Vickers
hydraulic pump.

00:29:09.050 --> 00:29:13.220
It runs the hydraulic
system on the MD-10.

00:29:13.220 --> 00:29:15.710
This is the handheld products
portable data terminal

00:29:15.710 --> 00:29:17.900
that the mechanics at
FedEx use to read and write

00:29:17.900 --> 00:29:20.240
to these devices
during the test.

00:29:20.240 --> 00:29:21.770
What's interesting
about this device

00:29:21.770 --> 00:29:23.510
is that it reads barcodes.

00:29:23.510 --> 00:29:25.580
It reads and writes RFID.

00:29:25.580 --> 00:29:28.970
It takes a digital photograph,
and it will send this through

00:29:28.970 --> 00:29:32.450
an 802.11b wireless LAN network.

00:29:32.450 --> 00:29:37.010
The United States Postal Service
just ordered 350,000 of these,

00:29:37.010 --> 00:29:39.920
so that's your Insider
trading tip of the day.

00:29:39.920 --> 00:29:42.290
I didn't say that.

00:29:42.290 --> 00:29:44.030
Findings of the
evaluation-- there

00:29:44.030 --> 00:29:47.300
was no detrimental effects,
and there was no suspected

00:29:47.300 --> 00:29:49.520
electromagnetic interference.

00:29:49.520 --> 00:29:51.530
And so the FAA gave
us the go-ahead

00:29:51.530 --> 00:29:55.940
as the new basis for our new
airplane, the Dreamliner.

00:29:55.940 --> 00:29:58.850
So on October 3, we
made the announcement.

00:29:58.850 --> 00:30:01.880
Significant line replaceable
units on the Dreamliner--

00:30:01.880 --> 00:30:06.800
2,000 of them, actually,
will have passive UHF RFID.

00:30:06.800 --> 00:30:10.370
We're calling them just
ubiquitous term smart labels.

00:30:10.370 --> 00:30:13.790
But it's going to have
human-readable barcodes

00:30:13.790 --> 00:30:16.130
and between 860
and 960 megahertz

00:30:16.130 --> 00:30:18.280
a global interoperable
frequency.

00:30:18.280 --> 00:30:20.030
And I'll get to a
moment the requirements,

00:30:20.030 --> 00:30:23.790
but ISO 18000-6C air
interface protocol.

00:30:23.790 --> 00:30:26.870
I'll show you those requirements
in a moment, but it's official.

00:30:26.870 --> 00:30:29.420
The Dreamliner will be
the first Boeing platform

00:30:29.420 --> 00:30:35.550
to have RFID-enabled smart
labels on significant parts.

00:30:35.550 --> 00:30:38.585
We're not just focusing
on parts identification.

00:30:38.585 --> 00:30:40.710
Like I said, the shipping
labels and packing slips,

00:30:40.710 --> 00:30:43.080
we have a team that
are about 90% done.

00:30:43.080 --> 00:30:46.050
That will also be
EPC class 1 gen 2.

00:30:46.050 --> 00:30:47.850
We've already decided that.

00:30:47.850 --> 00:30:52.020
Boeing actually joined
EPCglobal last quarter.

00:30:52.020 --> 00:30:54.390
I will become the
co-chair of the Aerospace

00:30:54.390 --> 00:30:58.200
and Defense Business
Action Group for EPCglobal.

00:30:58.200 --> 00:31:02.040
That was announced
yesterday by Mike Miranda.

00:31:02.040 --> 00:31:05.010
As far as the total integrated
automation of our airplane

00:31:05.010 --> 00:31:07.470
final assembly, we're
experimenting right now

00:31:07.470 --> 00:31:09.990
with active tags with
real-time locating systems

00:31:09.990 --> 00:31:11.208
in our factory.

00:31:11.208 --> 00:31:13.500
And there will be passive
tags on returnable containers

00:31:13.500 --> 00:31:16.290
and tooling also.

00:31:16.290 --> 00:31:18.270
Finally, we have a new
aftermarket process,

00:31:18.270 --> 00:31:21.270
which is like what's called
power by the hour, which

00:31:21.270 --> 00:31:23.207
will be managing the
spare parts business

00:31:23.207 --> 00:31:25.290
and managing the maintenance
for airline customers

00:31:25.290 --> 00:31:26.840
after we deliver the Dreamliner.

00:31:26.840 --> 00:31:29.970
And that will be centered around
predictive maintenance based

00:31:29.970 --> 00:31:34.530
on information from
the RFID smart labels.

00:31:34.530 --> 00:31:37.990
These are the key requirements
for the on-airplane tags.

00:31:37.990 --> 00:31:40.650
It's a passive reader
talk first protocol.

00:31:40.650 --> 00:31:43.570
It's 860 to 960 megahertz.

00:31:43.570 --> 00:31:45.540
It'll be read/write
secure memory.

00:31:45.540 --> 00:31:48.570
It complies with the
text element identifiers

00:31:48.570 --> 00:31:51.180
and the data syntax and
semantics of ATA Spec

00:31:51.180 --> 00:31:53.860
2000 Chapter 9.

00:31:53.860 --> 00:31:54.480
Here's a rub.

00:31:54.480 --> 00:31:57.330
We have to pass the DO
160 environmental tests.

00:31:57.330 --> 00:32:01.020
That's, like, vibration, salt
spray, fungus, humidity--

00:32:01.020 --> 00:32:02.430
pretty severe testing.

00:32:02.430 --> 00:32:05.340
That's going to drive the
cost of these tags from cents

00:32:05.340 --> 00:32:07.020
up to dollars--
probably a target

00:32:07.020 --> 00:32:10.290
price of $15 for an
integrated smart label.

00:32:10.290 --> 00:32:11.980
That's because of the
sophisticated test

00:32:11.980 --> 00:32:14.130
it has to go through.

00:32:14.130 --> 00:32:17.640
The air interface
is the EPC protocol.

00:32:17.640 --> 00:32:20.010
These will be metal mount,
surface-insensitive packages.

00:32:20.010 --> 00:32:22.800
We're asking for a
10-year data service life,

00:32:22.800 --> 00:32:24.720
and it has to comply
with the FAA policy

00:32:24.720 --> 00:32:27.763
memo released on May 13.

00:32:27.763 --> 00:32:29.430
We had a meeting at
the Museum of Flight

00:32:29.430 --> 00:32:31.080
in October of last year.

00:32:31.080 --> 00:32:33.540
We had 40 companies attend.

00:32:33.540 --> 00:32:37.500
This was all of the people
like Philips and Intel

00:32:37.500 --> 00:32:42.090
and Symbol Technologies
and Teleflex.

00:32:42.090 --> 00:32:45.360
Everybody was invited,
and we said this

00:32:45.360 --> 00:32:46.920
is what our requirements are.

00:32:46.920 --> 00:32:48.690
Boeing's a requirements holder.

00:32:48.690 --> 00:32:51.330
We're a system integrator,
a type 2 certificate holder.

00:32:51.330 --> 00:32:54.060
We do not have a core
competency in RFID technology.

00:32:56.460 --> 00:32:57.960
Some of the data
elements that we're

00:32:57.960 --> 00:32:59.742
going to be writing
to these tags

00:32:59.742 --> 00:33:01.950
is things like the part
number and the serial number,

00:33:01.950 --> 00:33:05.550
the manufacturer, the date of
manufacture, country of origin,

00:33:05.550 --> 00:33:08.250
the mod level, the
weight of the part,

00:33:08.250 --> 00:33:10.500
the lot number, things
like this, many more.

00:33:10.500 --> 00:33:12.692
This is all being standardized.

00:33:12.692 --> 00:33:14.400
If you're a supplier
to Boeing or Airbus,

00:33:14.400 --> 00:33:16.525
you'll be happy to know
that these requirements are

00:33:16.525 --> 00:33:20.070
all the same for Boeing,
for Airbus, for Bombardier

00:33:20.070 --> 00:33:22.080
for Embraer, for
[INAUDIBLE] Aviation

00:33:22.080 --> 00:33:24.580
and for Cessna-- for everybody.

00:33:24.580 --> 00:33:28.853
ATA Spec 2000 across
industry global team--

00:33:28.853 --> 00:33:30.270
everything's going
to be the same.

00:33:33.670 --> 00:33:35.610
What we've accomplished--
we've accomplished

00:33:35.610 --> 00:33:37.720
the passive in-service
evaluations.

00:33:37.720 --> 00:33:39.930
We've held global forums
with airline customers

00:33:39.930 --> 00:33:41.520
and suppliers.

00:33:41.520 --> 00:33:45.210
They've been held in Hong Kong,
in Munich, in Orlando, Florida,

00:33:45.210 --> 00:33:46.080
and Atlanta.

00:33:46.080 --> 00:33:48.420
And this year, it will be
held in Chicago, and also

00:33:48.420 --> 00:33:51.660
in Chongming, China,
later this fall.

00:33:51.660 --> 00:33:53.640
The FAA has approved it.

00:33:53.640 --> 00:33:57.272
We've got the smart labor
requirements defined.

00:33:57.272 --> 00:33:59.730
We've done our internal studies
and our planning directives

00:33:59.730 --> 00:34:00.540
at Boeing.

00:34:00.540 --> 00:34:03.180
We've joined EPCglobal
We're forming

00:34:03.180 --> 00:34:06.300
an Aerospace and Defense
Business Action Group.

00:34:06.300 --> 00:34:08.699
We've joined the Cambridge
University Aero-ID research

00:34:08.699 --> 00:34:09.840
program.

00:34:09.840 --> 00:34:13.346
We're especially interested
in data synchronization.

00:34:16.920 --> 00:34:20.310
Planned next steps-- continue
this effort with Cambridge

00:34:20.310 --> 00:34:23.110
on the data synchronization
and the sensor networks.

00:34:23.110 --> 00:34:24.960
We're very interested.

00:34:24.960 --> 00:34:28.139
We're going to be conducting
more supplier forums this year,

00:34:28.139 --> 00:34:32.755
continue to develop the smart
label, more airline forums.

00:34:32.755 --> 00:34:34.380
We're developing our
service-ready plan

00:34:34.380 --> 00:34:37.560
for the Dreamliner, finalizing
our certification plan

00:34:37.560 --> 00:34:40.290
with the FAA, finalizing
the data content

00:34:40.290 --> 00:34:42.300
and doing an active tag
in-service evaluation

00:34:42.300 --> 00:34:43.889
this year.

00:34:43.889 --> 00:34:46.050
But my message to you is
that we couldn't do this

00:34:46.050 --> 00:34:48.360
without academia.

00:34:48.360 --> 00:34:51.120
Sanjay started this all
at MIT, and now we're

00:34:51.120 --> 00:34:53.020
with Cambridge University.

00:34:53.020 --> 00:34:57.030
And so Boeing, we're a
great industrial concern.

00:34:57.030 --> 00:34:59.190
But we don't have the
competency that you have.

00:34:59.190 --> 00:34:59.700
I thank you.

00:34:59.700 --> 00:35:01.470
Thank you for inviting me here.

00:35:01.470 --> 00:35:03.327
We're working very
closely with you.

00:35:03.327 --> 00:35:05.160
There's lots of
opportunities for continuing

00:35:05.160 --> 00:35:07.320
working together.

00:35:07.320 --> 00:35:09.390
We do have time for
questions and answers,

00:35:09.390 --> 00:35:12.525
if that allows, for
Alan or myself--

00:35:12.525 --> 00:35:13.650
anything about our program.

00:35:13.650 --> 00:35:16.872
[APPLAUSE]

00:35:20.316 --> 00:35:25.740
AUDIENCE: [INAUDIBLE]
[? before we get there. ?]

00:35:25.740 --> 00:35:27.710
Can you talk about the
active testing, what's

00:35:27.710 --> 00:35:30.170
the purpose of that, why are
you interested in doing that?

00:35:30.170 --> 00:35:33.250
But you said you're
using passive labels?

00:35:33.250 --> 00:35:35.330
KEN PORAD: We have a
plan for active tags

00:35:35.330 --> 00:35:38.630
on the airplane, where upon
demand from the flight deck,

00:35:38.630 --> 00:35:41.510
they'll interrogate the entire
airplane in a broad way.

00:35:41.510 --> 00:35:46.790
Active tags in our airplane
test will broadcast anywhere.

00:35:46.790 --> 00:35:49.400
They're bouncing off the
walls of the fuselage.

00:35:49.400 --> 00:35:51.440
It's really worked well
on our static tests.

00:35:51.440 --> 00:35:53.720
We want to do a
test on an airplane.

00:35:53.720 --> 00:35:55.130
Then we can send
that information

00:35:55.130 --> 00:35:56.720
through a high-speed
internet link

00:35:56.720 --> 00:35:58.940
through connections by
Boeing to a main operating

00:35:58.940 --> 00:36:00.300
base on the ground.

00:36:00.300 --> 00:36:04.770
We've got all these great plans
to use RFID on the airplane.

00:36:04.770 --> 00:36:09.120
That's the next logical step,
but we have to get a certified.

00:36:09.120 --> 00:36:11.040
AUDIENCE: [INAUDIBLE]
flight or [INAUDIBLE]??

00:36:11.040 --> 00:36:13.492
KEN PORAD: We're going
to do it in flight.

00:36:13.492 --> 00:36:15.700
You'll know that there's
actually a supplemental type

00:36:15.700 --> 00:36:19.150
certificate that was given to
Savvy Technology on a Boeing

00:36:19.150 --> 00:36:22.510
767-300 for active tags,
and they were the ones

00:36:22.510 --> 00:36:24.385
for the ULD monitoring.

00:36:24.385 --> 00:36:26.080
But their supplemental
type certificate

00:36:26.080 --> 00:36:27.910
says it has to be
turned off in-flight.

00:36:27.910 --> 00:36:30.160
But as you know, they tested
that on the United Parcel

00:36:30.160 --> 00:36:32.440
Service airplane, and they
did transmit continuously

00:36:32.440 --> 00:36:34.610
for hours in-flight every day.

00:36:34.610 --> 00:36:37.970
So it was a very
safe proposition.

00:36:37.970 --> 00:36:38.500
Next.

00:36:38.500 --> 00:36:39.000
Sir?

00:36:39.000 --> 00:36:41.840
AUDIENCE: Yes, concerning the--

00:36:41.840 --> 00:36:45.596
STEVE MILES: Could the
you use the mics, please?

00:36:45.596 --> 00:36:47.060
AUDIENCE: Concerning
this direction

00:36:47.060 --> 00:36:51.730
of [INAUDIBLE] that you use
RFID [INAUDIBLE] manufacturing

00:36:51.730 --> 00:36:53.360
[INAUDIBLE] flight [INAUDIBLE].

00:37:01.980 --> 00:37:04.970
That's different from
where you [INAUDIBLE]

00:37:04.970 --> 00:37:07.825
consider [INAUDIBLE] where you
want to [INAUDIBLE] replaceable

00:37:07.825 --> 00:37:09.805
[INAUDIBLE].

00:37:09.805 --> 00:37:18.460
So you mentioned
[? that ?] 2009 [INAUDIBLE]

00:37:18.460 --> 00:37:24.150
different items that
you use [INAUDIBLE]??

00:37:24.150 --> 00:37:26.330
KEN PORAD: Yes, great question.

00:37:26.330 --> 00:37:28.860
What I showed was the criteria
for the on-airplane part

00:37:28.860 --> 00:37:30.360
marking that would
last for 30 years

00:37:30.360 --> 00:37:31.770
be on the fly with
the airplane--

00:37:31.770 --> 00:37:33.960
fly away part of
airborne equipment.

00:37:33.960 --> 00:37:36.780
We're also going to put RFID
tags, typically active tags,

00:37:36.780 --> 00:37:39.030
on large assemblies
inside of our factory,

00:37:39.030 --> 00:37:41.880
so we can find them
during our final assembly.

00:37:41.880 --> 00:37:43.590
Believe it or not,
this Dreamliner

00:37:43.590 --> 00:37:45.510
will only take three
days, 72 hours,

00:37:45.510 --> 00:37:47.190
to put together every copy.

00:37:47.190 --> 00:37:48.330
Don't get nervous.

00:37:48.330 --> 00:37:53.060
Today, it takes up to 26
days, depending, like a 747--

00:37:53.060 --> 00:37:54.960
26 days in final assembly.

00:37:54.960 --> 00:37:57.115
737 is a couple of weeks.

00:37:57.115 --> 00:37:59.490
The Dreamliner, we have a
different procurement strategy,

00:37:59.490 --> 00:38:01.860
a different way of
building the airplane.

00:38:01.860 --> 00:38:02.970
So we have to stage them.

00:38:02.970 --> 00:38:06.120
You can imagine, coming from
Mitsubishi, Kawasaki, and Fuji

00:38:06.120 --> 00:38:08.280
[? have ?] industries in
Japan, they make about 35%

00:38:08.280 --> 00:38:09.810
of the airplane.

00:38:09.810 --> 00:38:11.310
Different parts of
the airframe come

00:38:11.310 --> 00:38:12.720
from all over-- stuff sections.

00:38:12.720 --> 00:38:15.760
And we're putting the airplane
together like a LEGO set.

00:38:15.760 --> 00:38:17.938
And so we have to stage
them, so active RFID

00:38:17.938 --> 00:38:19.230
will be all over that airplane.

00:38:19.230 --> 00:38:21.120
But it won't fly
on the airplane.

00:38:21.120 --> 00:38:23.250
Today, it's these passive
tags with that criteria.

00:38:28.040 --> 00:38:30.940
There was one other question.

00:38:30.940 --> 00:38:31.650
Thank you

00:38:31.650 --> 00:38:35.620
AUDIENCE: So given that Boeing
is adopting RFID technology, as

00:38:35.620 --> 00:38:38.230
well as your mention
of Boeing and Airbus

00:38:38.230 --> 00:38:42.130
sharing some of their
manufacturer supply chains,

00:38:42.130 --> 00:38:45.230
how do you see the NTSB and some
of the safety boards reacting

00:38:45.230 --> 00:38:45.730
to it?

00:38:45.730 --> 00:38:47.772
What kind of changes do
you foresee in the future

00:38:47.772 --> 00:38:50.895
where I, as an
individual, speculate

00:38:50.895 --> 00:38:53.020
more stringent requirements
on aircraft maintenance

00:38:53.020 --> 00:38:53.920
and safety?

00:38:53.920 --> 00:38:57.070
But I'm curious what
you as the Boeing

00:38:57.070 --> 00:39:01.000
think tank would feel
about lawmakers reacting

00:39:01.000 --> 00:39:02.762
to these changes as well.

00:39:02.762 --> 00:39:05.080
KEN PORAD: The FAA
is very pleased

00:39:05.080 --> 00:39:06.760
that we're going
to have maintenance

00:39:06.760 --> 00:39:09.610
history on the part, as
opposed to in a database.

00:39:09.610 --> 00:39:11.630
But I want to mention,
it'll also be redundant.

00:39:11.630 --> 00:39:13.960
It will be duplicate in a
synchronized database that's

00:39:13.960 --> 00:39:15.640
encrypted and secure.

00:39:15.640 --> 00:39:19.148
So in case a tag is damaged in
service, it can be replicated.

00:39:19.148 --> 00:39:21.190
That's one of the things
Alan's team at Cambridge

00:39:21.190 --> 00:39:22.390
is helping us with.

00:39:22.390 --> 00:39:25.270
What's the most efficient
way to get this every day

00:39:25.270 --> 00:39:27.547
when information
around the world

00:39:27.547 --> 00:39:30.130
is added to these tags about a
serviceable [? incorporated. ?]

00:39:30.130 --> 00:39:32.590
How does it get back to Boeing?

00:39:32.590 --> 00:39:35.028
And so the information will
be in a separate database.

00:39:35.028 --> 00:39:37.570
And to your question about the
National Transportation Safety

00:39:37.570 --> 00:39:40.870
Board, they're excited
that it helps communicate.

00:39:40.870 --> 00:39:44.170
Anything to help communicate
is what they're interested in.

00:39:44.170 --> 00:39:45.760
And they're not
legislating this.

00:39:45.760 --> 00:39:49.490
This is an initiative pushed
forward by Boeing and Airbus.

00:39:49.490 --> 00:39:51.190
We're not being
mandated to do this.

00:39:54.178 --> 00:39:56.668
AUDIENCE: Could I ask one more?

00:39:56.668 --> 00:39:58.660
How is [INAUDIBLE]?

00:40:03.660 --> 00:40:09.464
How is your experimentations
going to affect your suppliers?

00:40:09.464 --> 00:40:12.460
KEN PORAD: The suppliers of
the affected 2,000 parts,

00:40:12.460 --> 00:40:15.850
and that affects about 65
different suppliers to Boeing.

00:40:15.850 --> 00:40:18.880
Out of our 2,500, it's
about 65 suppliers.

00:40:18.880 --> 00:40:20.980
We've already
informed them that we

00:40:20.980 --> 00:40:23.440
intend to deploy
RFID-enabled smart labels

00:40:23.440 --> 00:40:25.533
on these significant
airplane parts,

00:40:25.533 --> 00:40:27.700
and that this would be a
condition of doing business

00:40:27.700 --> 00:40:28.900
with us.

00:40:28.900 --> 00:40:30.610
And there's obviously
some resistance,

00:40:30.610 --> 00:40:32.652
and there's what they call
cost assertions, where

00:40:32.652 --> 00:40:34.120
they want us to pay them.

00:40:34.120 --> 00:40:36.520
And they want some
non-recurring engineering money

00:40:36.520 --> 00:40:38.630
to be given back to them.

00:40:38.630 --> 00:40:43.210
So the cost aside, they're all
for promoting new technology

00:40:43.210 --> 00:40:45.167
when there's a
business case for them.

00:40:45.167 --> 00:40:46.750
We're helping them
actually understand

00:40:46.750 --> 00:40:49.690
how this will help them reduce
their cost of building products

00:40:49.690 --> 00:40:52.030
and maintaining them
in the aftermarket.

00:40:52.030 --> 00:40:54.770
Some of our suppliers,
they get it.

00:40:54.770 --> 00:40:56.110
They understand.

00:40:56.110 --> 00:40:58.780
Some of them are not going
to be early adopters,

00:40:58.780 --> 00:41:02.260
and they won't be
dragged unwillingly.

00:41:02.260 --> 00:41:06.950
But we have a big enough
stick, we can do that.

00:41:06.950 --> 00:41:09.660
So thank you for-- one more.

00:41:09.660 --> 00:41:12.190
AUDIENCE: One quick one.

00:41:12.190 --> 00:41:16.390
How many times a day
will you read this data?

00:41:16.390 --> 00:41:18.280
You said that--

00:41:18.280 --> 00:41:20.120
KEN PORAD: Daily
if it's updated.

00:41:20.120 --> 00:41:22.870
It'll need to be brought
back the same day to us.

00:41:22.870 --> 00:41:26.200
Some of these tags will
not be touched for months.

00:41:26.200 --> 00:41:28.960
They'll only be touched in
the event there's a failure.

00:41:28.960 --> 00:41:30.550
If there's a no-fault
found, there's

00:41:30.550 --> 00:41:33.008
an indication of failure, the
part is removed and replaced.

00:41:33.008 --> 00:41:36.070
If there's a mandated
inspection from the FAA,

00:41:36.070 --> 00:41:37.900
or if an airline is
doing an inventory,

00:41:37.900 --> 00:41:40.870
they might read the tag,
but not write to it.

00:41:40.870 --> 00:41:43.150
Typically, if they do a
service bulletin or a mod kit,

00:41:43.150 --> 00:41:45.733
or if there's a failure, would
be the two most important times

00:41:45.733 --> 00:41:47.480
they would touch this tag.

00:41:47.480 --> 00:41:49.250
May go for months.

00:41:49.250 --> 00:41:50.750
A lot of things on
the airplane have

00:41:50.750 --> 00:41:54.470
a mean time between removal
of over 10,000 flight hours.

00:41:54.470 --> 00:41:57.290
A typical jet airplane only
flies 3,000 flight hours

00:41:57.290 --> 00:41:58.310
a year.

00:41:58.310 --> 00:41:59.930
Based on your
quantity per airplane,

00:41:59.930 --> 00:42:02.750
the mathematical model would
say that some items won't

00:42:02.750 --> 00:42:06.230
be visited very often, and
some items like coffeemakers

00:42:06.230 --> 00:42:09.860
have a mean time between removal
of every 80 flight hours.

00:42:09.860 --> 00:42:14.430
And on a 747, there's, like,
12 coffeemakers on an airplane.

00:42:14.430 --> 00:42:18.650
So you do the math and
they'll be visited frequently,

00:42:18.650 --> 00:42:20.990
depending on the commodity.

00:42:20.990 --> 00:42:22.140
Thank you for inviting me.

00:42:22.140 --> 00:42:23.015
It's been a pleasure.

00:42:23.015 --> 00:42:24.490
[APPLAUSE]