1) The document proposes integrating an RFID baggage handling system (BHS) at the Incheon International Airport Corporation (IIAC) to improve efficiency. 2) Current issues with IIAC's barcode-based BHS include misreads (3.74%) and mis-sorting of baggage (0.005%). RFID allows bulk scanning and has higher read rates (95-99% vs. 80-90% for barcodes). 3) A case study shows Hong Kong International Airport saved $85 million annually using RFID due to reduced lost and misidentified baggage from higher read rates (99% vs. 85-90% for barcodes).

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Radio Frequency Identification
Baggage Handing System
(RFID BHS)
Group 1
Team Members :
Onwuyali C. James
Lim Kian Ming (Jonathan)
Zhang Peng (Charlie)

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Contents
Opening Remarks
What is RFID ?
How RFID BHS works ?
Existing Issues of BHS at IIA
RFID : Airport Applicability
Case Study
Why Integration of RFID BHS at IIA ?
Policy Recommendations
Conclusion

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Opening Remarks
“ A forward looking airport must be able
to offer travelers excitement and lasting
value through new and specialized
experiences ”
(Mr. Jaehee Lee President & CEO IIAC , My first
year in office, IIAC News Letter July 2006)

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What is RFID ?
Radio Frequency Identification DeviceRadio Frequency Identification DeviceRadio Frequency Identification DeviceRadio Frequency Identification Device
RFID
Appeared first in 1980s
AutomaticAutomatic
IdentificationIdentification
DeviceDevice
DatabaseDatabase
SystemSystem
RFIDRFID
TagTag
RFIDRFID
ReaderReader

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How RFID BHS Works ?
Implementation AfterBefore
1-to-1 manual scan RFID Baggage
Handling System
Scan baggage in
bulk
RFID reader
Radio
frequency
RFID
tag

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Existing Issues of BHS at IIAC
Current barcode baggage
reader has
96.26% good read &
3.74% bad read
60,000 baggage/day (off-peak)
90,000 baggage/day (peak)
Mis-sorting ratio of
departure baggage 0.005%
IIAC BHS
1. Departure/Transfer Baggage Handling System
2. Arrival Baggage Handling System

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RFID: Airport Applicability
Quicker baggage
recovery and fewer
baggage mishandlings
Improves capacity
utilization and
baggage service
RFID read rate 95-99%
Barcode read rate 80-90%
RFID can deliver a 2% reduction
in the no. of lost & delayed bags
Full RFID implementation will
generate US$760 million per year
in industry savings
(based on $0.10 tag cost)
Reinforced baggage
security screening
processes
Creates “U-Airport”
Based on RFID BHS
Traceability and
Efficiency
Benefits
Source: IATASource: IATA

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Case Study
Economical
Bar code system
- Good read : 85%-
90%
Hong Kong International Airport
EfficiencyRead Rates
Radio frequency
identification system
- Good read : 99%
RFID system save the
airport at least
- $85 million a year
in
costs related to lost
and misidentified
baggage
- Handles about 38 million passengers and 17 million bags each year
- Manages 50 takeoffs and landings per hour at its peak
- 40% of the passengers passing through the airport are transferring from
one flight to another
High, Long range and
accurate read rates
- Increase efficiency
by reducing the
minimum connecting
time at the airport

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Why integration of RFID is Necessary Beneficial
to IIAC BHS System
11
Current Barcode reading coverage is
10 centimeters.
22
RFID reading coverage with silicon
implanted chips is 6-8 meters.
33
Create U-Airport based on RFID BHS
system.
44
Traceability provides the ability to
trace baggage in real-time
55
Reduction in manual/labor costs and
customer complains

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Why integration of RFID is Necessary Beneficial
to IIAC BHS System (cont)
66
RFID baggage handling system as a
group centered approach
77
Real time location of baggage as it
moves through the system
88
Systematic notification of baggage
that has (has not) passes certain check
points.
99
Prioritization of baggage handling
based on classification and departure
time
1010
Cost effective, reliable read & write
rates for processing baggage (99.95%)
(source : Passenger Terminal Journal June 2006)

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Remote Baggage Check-in using RFID Bag Tag
Hotel/Office/Apartmen
t
Remote Baggage check-in
E-tagged
Delivery
To airport
Check-in
Airport
Baggage status
Depart
Hands free travel
Baggage
screening
Baggage information/tracing
can be retrieved
by using PDA, computers &
handsets in real time
Hotel, Air City terminal,
business center

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Hands Free Travel
Implementation AfterBefore
Heavy bags
Time-consuming check-
in process
RFID Baggage
Handling System
(E-tags)
Hands Free Travel
Convenience/Reliability
Express check-in
E-tag

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Policy Recommendation
IIAC RFID BHS
Pilot Project
March,2007
Open Skies
Policy
Policy
A B
No big-bang
approach
D
Low Cost
C
In line with current
development on open
skies, North East
Asian hub, nothing
can be more timely
than for IIAC to
aggressively develop
fine tune modalities
for the
implementation of
RFID systems in its
BHS systems.
RFID can be
implemented without
adopting a big-bang
approach due to the
development of
multi-protocol
readers
Expended beyond
the present scope
include
other major
destination
RFID tags are
expected to
decrease in cost
as low as 10 cents
(Source: IATA)

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Conclusion
“ Creating a synergy effect that
galvanizes the national economy. This
evolves turning the airport into a virtual
self contained city that encompasses
air transportation logistics, business
and culture under one roof ”
(Mr. Jaehee Lee President & CEO IIAC , My
first year in office, IIAC News Letter July
2006)
- Compressive baggage handling system based on RFID
technology is on sure way of benefits the participation of groups
and ensures greatest return on investment.
- Cost reductions and improvement in RFID by many pilot
projects have ensure that these new exciting application will soon
become more common in today’s airport.

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RFID Baggage Handling System For IIAC