Track and trace is key in the distribution of pharmaceuticals. RFID could offer one solution but Mark Beauchamp, European marketing manager for Citizen Systems Europe, argues barcoding has better credentials
Ensuring that packaged pharmaceuticals can be handled and tracked efficiently is increasingly important. Rising costs are putting pressure on manufacturers to simplify processes to protect profit margins, yet at the same time these companies need to provide complete traceability of drugs along the entire supply chain, to comply with legislation and to protect consumers.
This makes it crucial that any labelling solution chosen is both costeffective and sophisticated enough to allow detailed and accurate data to be communicated. Radio Frequency
Identification (RFID) has emerged as a labelling system that arguably offers greater sophistication than the now ubiquitous bar code, However, this increased functionality comes at a premium. So which is the best solution for today's pharma manufacturers?
RFID has been heralded as a potential successor to bar coding in the packaging and distribution of drugs. The technology is said to offer companies the ability to streamline product handling and improve stock management, among numerous other benefits.
However, manufacturers have largely been reluctant to make the considerable investment needed to implement the new technology. Many companies find it difficult to justify this cost, partly because of a lack of clear and reliable information. Additionally, a lack of examples of where the technology has proven itself in real life applications has made many unsure about committing to such a high and potentially open-ended level of investment.
unravelling the rhetoric
According to research by KRC on behalf of BEA Systems in 2005, only 33% of 150 companies surveyed in the UK and Finland could see tangible benefits in implementing an RFID strategy. Although over 60% agreed that the technology showed promise, they remained unsure of where to start, and unclear about RFID's functionality. Likewise, a survey carried out in February 2007 of 56 members of the Computing Technology Industry Association found that 70% believe that the shortage of RFID experts will adversely affect the take-up of the technology.
What has largely been obscured by the recent press coverage surrounding RFID, is the fact that bar code technology continues to offer a versatile and cost effective labelling solution for the majority of pharmaceutical manufacturers. In fact, bar code systems can offer considerably greater performance and functionality in many instances.
For example, a traditional 1D bar code contains as much information as an EPC RFID tag, while the latest 2D bar codes can already hold considerably more information than the next generation of EPC tags.
2D data matrix bar codes are increasingly used for batch labelling in pharmaceuticals manufacturing and packaging, as they allow large amounts of complex information to be captured and read as products pass along the supply chain. This provides an effective solution to the traceability requirements of manufacturers, that can monitor or recall products relatively easily and cost effectively if necessary. Furthermore, by being able to track individual batches of drugs, stock levels can be managed more efficiently and detailed sales information collected and analysed.
One of the most commonly promoted advantages of RFID is the ability for tags to be scanned at a distance, as opposed to bar codes, which require a proximity reader. However, in many applications this is unnecessary or undesirable and a simple bar code scanner remains an effective option. It is worth noting that bar code readers offer a virtually zero failure rate in comparison with RFID tags, which are typically quoted as having a read failure rate of between 5% and 12%; furthermore, with RFID, the number of tags that need to be re-printed due to read-errors can be as high as 30%.
cost-effective solution
For drug manufacturers and processors looking for a cost-effective labelling solution, RFID can be impossible to justify. The costs associated with implementing and operating an RFID system are relatively high in comparison with bar code solutions, with hardware currently four times as expensive as bar code alternatives. Additionally, the overall price of buying and implementing an RFID network is estimated to make the outlay for applying each tag up to eight times that required for a bar code label containing the same level of information.
It is estimated that the complexity of RFID systems, together with the need for major cultural change throughout the supply chain, means that up to half of all RFID projects currently being implemented will fail within their first three years. The accuracy of this figure may be arguable, however what is clear is that the same problems do not exist with comparable bar code systems, which can be installed and upgraded at low cost, and without the need for extensive management and training. As the technology is tried and tested and is in widespread use, it is familiar to everybody from senior managers down to the most junior staff.
With the choice of RFID equipment and suppliers currently limited, and the demand for products and systems yet to reach the point where critical mass allows unit costs to be driven down, bar code systems offer a number of commercial advantages over the competition. The availability of bar code equipment also ensures that hardware and software costs remain competitive, while the large number of experienced suppliers has created a pool of expertise and qualified support.
material concerns
With pharmaceuticals being transported over increasing distances and durations, and many products now requiring cold chain distribution, finding a robust labelling solution is essential. As bar codes are simply ink printed on paper or a plastic substrate, they are unaffected by extremes or fluctuations of temperature or humidity. RFID tags, which consist of a chip and circuit, are less resilient to sustained handling and can be adversely affected in more challenging conditions.
The environmental impact of each solution should also be considered. RFID tags are difficult to recycle, comprising a metal and silicon tag. Although this is likely to change in the future, at present, waste management regulations are being introduced faster than alternative RFID materials can be developed. The printed bar code however is simple to recycle.
For manufacturers looking for a more sophisticated system than the traditional 1D bar code but unconvinced of the viability of RFID, the latest generation of 2D bar codes can provide a cost effective solution. In contrast with an RFID system, which requires significant development and training, 2D bar codes operate in much the same way as conventional bar codes making the upgrade of systems easier.
Whereas a traditional 1D bar code has a single row of bars with all the data encoded in the horizontal width, two dimensional versions contain encoded data in both the horizontal and vertical dimensions, enabling more data to be encoded while minimising the size of the label. In fact, an entire database record can be stored in a 2D bar code, with no costly modifications to existing software, allowing the system to be implemented quickly and cost effectively.
Adding to the affordability of 2D bar code systems is their ability to be easily printed on- or off-site using the latest specialised label printers. These dedicated printers are easy to use and more robust than conventional machines, making them particularly suited to factory or warehouse environments. The printers are compatible with a wide range of sizes and types of media, making it possible to print 2D bar coded labels of between 12.5mm and 118mm in many formats including metallic, polyethylene or anti-microbial labels. Increasing printer reliability still further is a range of in-line validation systems that can check and validate automatically all the printed bar codes for accuracy and possible degradation.
combined approach
If after careful consideration, RFID is perceived as the most suitable solution for an application, but the risk of failure remains a barrier to implementing the system, one answer can be to proceed with a combined approach that introduces RFID technology into a company's processes together with a proven bar code system.
Technically, there is nothing stopping both bar code systems, which can be installed or upgraded at low cost and without the need for extensive training and management control, and elements of RFID technology being used in unison. This approach can not only safeguard a business against the risks of rushing into uncharted technological territory, it can also be a more straightforward and user-friendly way of increasing efficiency, traceability and, ultimately, profitability.