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5 years ago... BA moves to high-tech cargo centre

RFID...before we even knew it was controversial...

By silicon.com

Published: 9 January 2004 17:10 GMT

09.01.99: British Airways (BA) is to move into its new cargo handling centre at Heathrow from this month. The airline claims the new barcode system will cut processing times for freight from two hours to half an hour. It also uses radio frequencies to track containers as they enter and leave the building.

BA will effect a step-by-step migration to the £250m building. First to move will be intact container shipments on 19 January. Next will be agent built units, with loose cargo following in six to nine months. Air mail will be the last to move in 12 to 15 months.

09.01.04: This scheme is an ideal example of how RFID technology can be used to speed up otherwise time-consuming processes within an organisation - tracking and monitoring the movement of shipments. However, when Benetton proposed something similar to track sweatshirts from factory to store it came up against serious opposition.

While the clothes manufacturer merely wanted to save time unpacking boxes, counting inventory and repacking them to send out, paranoid consumers grew concerned that the company may monitor them at all times after sale.

Gillette and Marks & Spencer have also come in for criticism following proposed implantations of RFID technology a full five years after BA announced this system.

BA continues to pioneer new technology for improving in-house operations, as well as improving the customer experience as seen with the introduction of self-service check in facilities.

In an exclusive interview with silicon.com late last year, BA's CIO Paul Coby said: "It is still extremely challenging times for airlines. Fundamentally the role of new technology is key to what we are doing to fight back."

However, not all improvements have been universally popular. Last year the company was forced to defend its swipe card security after the controversial scheme sparked rows among staff and airline bosses.

But the bigger picture is one of increased efficiency and cost savings. The airline intends to save £300m through its commitment to new technology and more effectively managed IT.

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