Adient Automates Asset Management with RFID

Using RFID technology, Adient initiated a program to tag 875,000 containers of varying types, thus allowing improved visibility into the whereabouts of each container. Adient supplies automotive seating, interiors, and electronics to automakers and had thousands of shipping containers going missing, costing up to $1,500 each.

Adient Automates Asset Management with RFID
Client

Adient

The Challenge

Adient supplies automotive seating, interiors, and electronics to automakers. Adient had a mystery to solve: thousands of shipping containers had gone missing. With values of up to $1,500, the missing containers were more than just an inconvenience—they were expensive too. Containers filled with parts were sent to distribution centers or plants across the nation, with the expectation that they would be returned empty for future use by the company. However, due to the vast number of containers being sent out, and their relative homogeneity in appearance, it became increasingly difficult to track them, and find them once they had gone missing.

The Challenge

Adient supplies automotive seating, interiors, and electronics to automakers. Adient had a mystery to solve: thousands of shipping containers had gone missing. With values of up to $1,500, the missing containers were more than just an inconvenience—they were expensive too. Containers filled with parts were sent to distribution centers or plants across the nation, with the expectation that they would be returned empty for future use by the company. However, due to the vast number of containers being sent out, and their relative homogeneity in appearance, it became increasingly difficult to track them, and find them once they had gone missing.

The Solution

Using the SLS and RFID dock door solution, Adient was able to gain full visibility into their fleet of shipping containers: Reusable containers are tagged with RFID tag chips which correspond to vital information like identity, destination and more. SLS D-Series™ devices are placed on either side of the approximately eight-foot wide dock doors. As containers move in and out of Adient's dock doors, the Speedway readers collect the item's identity, direction of travel, and location. Solution software monitors container availability and location, providing opportunity to address problems if containers are not promptly returned.

The Results

With values of shipping containers ranging from $3 to $1,500, losing thousands of items had added up. Through their investment in a RFID dock door solution, Adient can now see when their containers move through dock doors and easily identify which customers are mis-using or failing to return empty crates and racks. Missing units can be recovered, and returned back into the network, removing costs associated with replacement pieces.

If I have a distribution center sitting on containers for two days, I can see that. We're changing the paradigm. What we're saying is, 'This is an asset of Adient, and we want it back. We know where it is, and if you have it, we're going to come looking for it.'
Brian Kelly, Director of Supply Chain Management at Adient

With over 875,000 containers of varying types, keeping track of those available was difficult, especially when relying on manual or semi-automated processes. With fully automated inventory visibility, Adient could know at any time exactly what was available to carry shipments out to customers. A labor-intensive count process has been reduced from days to mere minutes. With the mystery of the missing containers successfully solved, Adient is now exploring ways they can further implement RFID technology to improve their operations and provide better service.

Ready to achieve similar results?

Contact our team to discuss how we can help transform your business.

Related Case Studies

Zekelman Industries Upgrades to an Integrated Android Mobile Solution with help from Levata

Zekelman Industries

Zekelman Industries Upgrades to an Integrated Android Mobile Solution with help from Levata

Zekelman Industries is the largest independent steel pipe and tube manufacturer in North America with operations across 17 manufacturing locations in the U.S. and Canada. Levata enabled a faster, easier, more accurate inventory transaction solution with improved security and long-term support by migrating from an unsupported Windows CE system to modern Android devices.