Woolworths PLC Wins Supply Chain Solution of the Year Award

June 1, 2003
NASHVILLE, TN - - One year after deploying a full complement of Savi Technology's real-time asset management and security solutions, Woolworths (LSE:

NASHVILLE, TN - - One year after deploying a full complement of Savi Technology's real-time asset management and security solutions, Woolworths (LSE: WLW) has been awarded the "Supply Chain Solution of the Year" accolade at the prestigious European Retail Solutions Awards for their innovative system to improve visibility and reduce theft of product shipments within Woolworth's distribution network.

Savi, based in Sunnyvale, Calif., announced its role in the award-winning project at the opening of the National Cargo Security Council conference, where Geoff O'Neill, who oversaw the United Kingdom-based project on behalf of Woolworths, is making a presentation, entitled, "How Technology Can Reduce Your Security Threat." The award to Woolworths was first announced during ceremonies at the European Retail Solutions Award Conference in Birmingham, UK.

Woolworths has already seen significant benefits such as increased visibility and awareness surrounding the issues of shrinkage, and widespread change in attitude towards RFID and the role it can play in providing visibility of stock without impinging on operational procedures.

The award, presented in association with Deloitte & Touche, acknowledges the vital role technology plays within the Retail Supply Chain. Recognition was given to companies for excellence within their supply chain, where proven efficiencies and improvements can be seen following the introduction of a new technology driven solution. In addition to Savi Technology, other solution providers who shared acknowledgement from Woolworths were Microlise and Integrated Product Intelligence. The project also received support from the UK Home Office's "Chipping of Goods" initiative.

"We have said all along that this solution is world leading and to have this recognized by our competitors in the retail industry is fantastic," said O'Neill, Head of Woolworths Central Logistics for New Sales Channels. "We have worked closely with Savi Technology in developing this solution. Savi's solutions and expertise is helping Woolworths pioneer better ways to make our supply chain more efficient and secure."

"This award validates the wide range of benefits that retailers and other supply chain participants can derive from a powerful software applications that are designed from the ground up to fully leverage the real-time visibility provided by automatic identification technologies," said Mark McGlade, Savi's Regional Vice President - Europe. "The full family of Savi's hardware and software applications were integrated with an existing system used by Woolworths."

Dollies and other conveyances are equipped with smart RFID tags that identify the shipment and can be automatically tracked at long- and short-ranges by mobile and stationary readers, which relay information on the location and status of the shipment to computers. This provides real-time visibility of the asset and the inventory it transports.

Savi's EchoPoint Series 600 active RFID tags were affixed to dollies and other conveyances moving store-shelf products back and forth from a major distribution center to retail outlets throughout the United Kingdom. To maximize real-time security, visibility and management of its supply chain assets and their contents, Woolworths also deployed the Savi Asset Management System software application for Reusable Transportation Containers (RTCs), and the Savi SmartChain platform, which transforms raw data into actionable information. In addition, the Universal Data Appliance Protocol (UDAP), Savi's openly licensable protocol linking data from different wireless tracking systems to the Savi SmartChain(tm) software platform.

Savi and Microlise partnered to integrate these and other automatic identification technologies, including bar codes, WWAN communications and GPS satellite tracking for extended visibility of assets and inventory.

The integrated solution is aimed at individually identifying and controlling the loading of conveyances to stores and back to the warehouse, checking on store deliveries and shortages, real-time status, location and collection of returned products, such as CDs and DVDs, and reports about error rates, picking-to-loading times and asset utilization. The real-time solutions deployed by Savi at Woolworths is based on technology developed over the past decade for the U.S. Department of Defense, in helping to build the Total Asset Visibility (TAV) network, the world's largest RFID cargo tracking system, as well as in Smart and Secure Tradelanes, a rapidly growing global intiative to improve the security and efficiency of transporting cargo containers worldwide.

Woolworths Group plc. is Britain's leading general merchandise retailer. The Group has one of the highest customer-footfalls of any UK retailer and today is amongst the largest non-food retail chains in the UK. For more information, visit www.woolworthsgroupplc.com.

With over 12 years of global logistics infrastructure experience, Savi is a proven leader in real-time supply chain asset management and security solutions. For additional information, visit www.savi.com