Radio Frequency ID (RFID) background information

Vision:

To simplify airline logistics management with the use of RFID technology.

Benefits:

Customers:

  • Improved airport efficiency provides better customer service

Use of RFID in the baggage environment results in:

  • Fewer delays from no-show passengers
  • Fewer mishandled bags

Airlines:

  • Improved logistics management

Use of RFID in the baggage environment results in:

  • Tags can be updated to reflect itinerary changes
  • RFID read rates average 95-99%, while barcode is 80-90%
  • Reduce the 20 pieces of baggage per 1000 passengers mishandled each year
  • Full RFID implementation will generate US$760 million per year in industry savings (based on US$ 0.10/tag cost)
  • IA transition plan implementing RFID at 80 airports shows industry annual savings of US$200 million

Airports:

  • Improved capacity utilisation
  • Improved baggage service
  • Improved efficiency

IATA's action plan:

  • Support ongoing trials for RFID
  • Confirm the business case for RFID in baggage
  • Investigate other areas of RFID application in aviation