SOURCE: Aberdeen Group

July 08, 2008 10:00 ET

RFID's Business Benefits Grow With Infrastructure Integration

New Research Report Reveals Best-in-Class Companies Increase SLA Compliance, Reduce Unplanned Downtime and "Time to Information"

BOSTON, MA--(Marketwire - July 8, 2008) - Nearly two-thirds (62%) of Best-in-Class companies surveyed are proactively and regularly testing and measuring performance of their Radio Frequency Identification (RFID) and IT infrastructure deployments. These efforts helped those companies enjoy significant business benefits, including increased performance of their infrastructures and business value and ROI of their RFID investments, according to a new study by Aberdeen, a Harte-Hanks Company (NYSE: HHS).

More than 200 survey respondents answered questions regarding their business pressures and the actions being taken to address those challenges. Companies were divided into Best-in-Class, Industry Average and Laggard performers, based on criteria such as year-over-year changes in compliance with external Service Level Agreements (SLAs), unplanned downtime, and "time to information," or the time required to make raw data accessible and actionable for business users. Best-in-Class companies enjoyed an average of:

--  75.4% year-over-year increase in the number of applications meeting or
    exceeding external SLAs
--  16.7% year-over-year increase in IT infrastructure operational
    efficiency and business responsiveness
--  1.92% year-over-year reduction of unplanned downtime
--  6.9% year-over-year reduction in "time to information" for business
    intelligence
    

"The top pressures driving integration of RFID and IT infrastructure management include easing integration and maximizing the business value of RFID-generated data, and meeting SLA," said Michael Dortch, senior research analyst, Aberdeen. "Those companies are meeting these goals and setting the stage for more and better RFID deployments by effective monitoring, testing and optimization of their IT and RFID infrastructures."

In addition, the study found that users are expanding the focus of those RFID deployments. When asked what items they are tagging or planning to tag with RFID technologies, IT assets were cited by the highest percentage of respondents (43%), ahead of more traditional manufacturing work in process, or WIP (35%) and inventory (30%). This demonstrates the growing use and business value of RFID technologies, according to the new study.

This report is made available at no charge due in part by the following underwriters: Acsis, Inc., Fluensee, Inc., Motorola and Xterprise. To obtain a complimentary copy of the report, visit: http://www.aberdeen.com/link/sponsor.asp?cid=4895.

About Aberdeen Group, a Harte-Hanks Company

Aberdeen is a leading provider of fact-based research and market intelligence that delivers demonstrable results. Having benchmarked more than 30,000 companies in the past two years, Aberdeen is uniquely positioned to educate users to action: driving market awareness, creating demand, enabling sales, and delivering meaningful return-on-investment analysis. As the trusted advisor to the global technology markets, corporations turn to Aberdeen™ for insights that drive decisions.

As a Harte-Hanks Company, Aberdeen plays a key role of putting content in context for the global direct and targeted marketing company. Aberdeen's analytical and independent view of the "customer optimization" process of Harte-Hanks (Information - Opportunity - Insight - Engagement - Interaction) extends the client value and accentuates the strategic role Harte-Hanks brings to the market. For additional information, visit Aberdeen http://www.aberdeen.com or call (617) 723-7890, or to learn more about Harte-Hanks, call (800) 456-9748 or go to http://www.harte-hanks.com.

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