Tracking Technologies. The Perfect Recipe for Efficient Logistics.

Tracking Technologies. The Perfect Recipe for Efficient Logistics.

CNH Industrial is investing in Radio Frequency Identification technology in its manufacturing plants to enhance traceability.

CNH Industrial is investing in Radio Frequency Identification technology in its manufacturing plants to enhance traceability.

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.@CNHIndustrial is modernizing manufacturing traceability with the use of RFID to streamline #tractor production.https://bit.ly/3c7MvrY
Tuesday, May 19, 2020 - 2:00pm

Advanced tracking technologies are a cornerstone of efficient and sustainable logistical and production processes. This is nothing new, and has been embedded in CNH Industrial N.V., one of the world’s largest capital goods companies, working methodologies for many years. However, the key to unlocking the most efficient supply chains is the use of real-time tracking technologies (RFID [radio frequency identification], GPS), which achieve very accurate product flows, while drastically reducing manual operations.

CNH Industrial has recently adopted just such technology at its UK tractor plant in Basildon. The 100-acre manufacturing facility located in the south east of England, is the UK’s only remaining volume tractor plant, and manufactures 120 – 315hp tractors for the Company’s New Holland Agriculture and Case IH global agricultural brands, which are exported all over the world. As such, the need to streamlines and simplify production is essential. To this end, the facility’s outdoor cab yard, which stores tractor cab frames, delivered from a sister plant in Croix, France, has introduced an automated system to manage scheduling and an RFID system for real-time stock checks. This improves operational efficiency and also simplifies the work of the production scheduler and forklift driver. This is also just one of the many projects and initiatives that CNH Industrial had established that relate to the United Nations Sustainable Development Goal number eight, Decent Work and Economic Growth. 

In addition to enhancing traceability, the new set-up reduces production schedule disruptions and the consequent need for urgent shipments (hence also reducing CO2 emissions). This system also improves forklift driver safety, as they no longer need to dismount the vehicle to perform tasks, and it reduces the risks related to loading and unloading of goods. Other benefits include automated tracking and stock-taking, less time required to ship, receive, and invoice goods, adherence to schedules, and improvements in meeting customer demand.

This Proof of Concept has now become CNH Industrial’s new logistics standard, and is currently being extended to the main inter-Company flows.

But why is material traceability so important to the Company? Well, it enables the identification, mitigation, and/or prevention of disruptions, to achieve more efficient logistics and production processes.