UPM Raflatac RFID tags enhance supply chain management at Hyundai/Kia Motors

(UPM Raflatac, Tampere, February 23, 2007) - Hyundai/Kia Motors Group, a leading South Korean vehicle manufacturer, is to implement RFID technology to improve the visibility of its automotive parts supply chain. In March 2007, Glovis, an affiliated company of Hyundai/Kia Motors Group in charge of the supply chain management (SCM), will begin receiving RFID tagged boxes of automotive parts from more than 200 suppliers.

In the first phase of the project, approximately 130,000 UPM Raflatac DogBone UHF RFID tags will be applied to parts boxes and packaging cases from five major suppliers for exportation to Hyundai/Kia Motors’ overseas factory in Alabama, USA. In the second phase, 20 million UPM Raflatac RFID tags will be used annually to track all boxes and containers of automotive parts through the supply chain.

Using RFID technology, Glovis will be able to track corrugated cardboard boxes of automotive parts through the major SCM processes, including delivery to the distribution centre, the repacking process, leaving the distribution centre, delivery to the overseas distribution centre and final delivery to Hyundai/Kia Motors’ overseas factory. In the RFID-enabled SCM, the completion reports for each process are automatically collected by passing the parts boxes through an RFID interrogator gate. Until now, Glovis has applied bar code labels with shipping marks to the parts boxes, which has made it difficult to automate distribution and acquire real-time distribution information.


For further information please contact:
Mr Edward Lu, Sales & Marketing Director APAC, RFID, UPM Raflatac,
tel +65 6238 3705

About UPM Raflatac
UPM Raflatac is a world-leading supplier of self-adhesive label materials for a wide variety of needs in product and information labelling. In addition, the company is at the global forefront in the development and high-volume production of HF and UHF radio frequency identification (RFID) tags and inlays. UPM Raflatac has around 2,500 employees and sales of approximately EUR 1 billion in 2006. The company has a global service network consisting of 11 factories on five continents and a broad network of distribution and slitting terminals and sales offices worldwide. UPM Raflatac is part of UPM. Further information is available at www.upmraflatac.com.