Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 69

Search results for: RFID

69 Privacy of RFID Systems: Security of Personal Data for End-Users

Authors: Firoz Khan

Abstract:

Privacy of RFID systems is receiving increasing attention in the RFID community. RFID privacy is important as the RFID tags will be attached to all kinds of products and physical objects including people. The possible abuse or excessive use of RFID tracking capability by malicious users can lead to potential privacy violations. In this paper, we will discuss how the different industries use RFID and the potential privacy and security issues while RFID is implemented in these industries. Although RFID technology offers interesting services to customer and retailers, it could also endanger the privacy of end-users. Personal data can be leaked if a protection mechanism is not deployed in the RFID systems. The paper summarizes many different solutions for implementing privacy and security while deploying RFID systems.

Keywords: RFID, privacy, security, encryption.

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68 Preliminary Evaluation of Passive UHF-Band RFID for Identifying Floating Objects on the Sea

Authors: Yasuhiro Sato, Kodai Noma, Kenta Sawada, Kazumasa Adachi, Yoshinori Matruura, Saori Iwanaga

Abstract:

RFID system is used to identify objects such as passenger identification in public transportation, instead of linear or 2-dimensional barcodes. Key advantages of RFID system are to identify objects without physical contact, and to write arbitrary information into RFID tag. These advantages may help to improve maritime safety and efficiency of activity on the sea. However, utilization of RFID system for maritime scenes has not been considered. In this paper, we evaluate the availability of a generic RFID system operating on the sea. We measure RSSI between RFID tag floating on the sea and RFID antenna, and check whether a RFID reader can access a tag or not, while the distance between a floating buoy and the ship, and the angle are changed. Finally, we discuss the feasibility and the applicability of RFID system on the sea through the results of our preliminary experiment.

Keywords: RFID, Experimental Evaluation, RSSI, Maritime use.

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67 An Approach to Adaptive Load Balancing for RFID Middlewares

Authors: Heung Seok Chae, Jaegeol Park

Abstract:

Recently, there have been an increasing interest in RFID system and RFID systems have been applied to various applications. Load balancing is a fundamental technique for providing scalability of systems by moving workload from overloaded nodes to under-loaded nodes. This paper presents an approach to adaptive load balancing for RFID middlewares. Workloads of RFID middlewares can have a considerable variation according to the location of the connected RFID readers and can abruptly change at a particular instance. The proposed approach considers those characteristics of RFID middle- wares to provide an efficient load balancing.

Keywords: RFID middleware, Adaptive load balancing.

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66 A Study on RFID Privacy Mechanism using Mobile Phone

Authors: Haedong Lee, Dooho Choi, Sokjoon Lee, Howon Kim

Abstract:

This paper is about hiding RFID tag identifier (ID) using handheld device like a cellular phone. By modifying the tag ID of objects periodically or manually using cellular phone built-in a RFID reader chip or with a external RFID reader device, we can prevent other people from gathering the information related with objects querying information server (like an EPC IS) with a tag ID or deriving the information from tag ID-s code structure or tracking the location of the objects and the owner of the objects. In this paper, we use a cryptographic algorithm for modification and restoring of RFID tag ID, and for one original tag ID, there are several different temporary tag ID, periodically.

Keywords: EPC, RFID, Mobile RFID.

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65 Efficient and Timely Mutual Authentication Scheme for RFID Systems

Authors: Hesham A. El Zouka, Mustafa M. Hosni

Abstract:

The Radio Frequency Identification (RFID) technology has a diverse base of applications, but it is also prone to security threats. There are different types of security attacks which limit the range of the RFID applications. For example, deploying the RFID networks in insecure environments could make the RFID system vulnerable to many types of attacks such as spoofing attack, location traceability attack, physical attack and many more. Therefore, security is often an important requirement for RFID systems. In this paper, RFID mutual authentication protocol is implemented based on mobile agent technology and timestamp, which are used to provide strong authentication and integrity assurances to both the RFID readers and their corresponding RFID tags. The integration of mobile agent technology and timestamp provides promising results towards achieving this goal and towards reducing the security threats in RFID systems.

Keywords: RFID, security, authentication protocols, privacy, agent-based architecture, time-stamp, digital signature.

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64 Ontology for Semantic Enrichment of Radio Frequency Identification Systems

Authors: Haitham S. Hamza, Mohamed Maher, Shourok Alaa, Aya Khattab, Hadeal Ismail, Kamilia Hosny

Abstract:

Radio Frequency Identification (RFID) has become a key technology in the emerging concept of Internet of Things (IoT). Naturally, business applications would require the deployment of various RFID systems developed by different vendors that use different data formats and structures. This heterogeneity poses a challenge in developing real-life IoT systems with RFID, as integration is becoming very complex and challenging. Semantic integration is a key approach to deal with this challenge. To do so, ontology for RFID systems need to be developed in order to annotated semantically RFID systems, and hence, facilitate their integration. Accordingly, in this paper, we propose ontology for RFID systems. The proposed ontology can be used to semantically enrich RFID systems, and hence, improve their usage and reasoning.

Keywords: IoT, RFID, Semantic, sparql, Ontology.

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63 Using Radio Frequency Identification Technology in Supply Chain Management

Authors: Eleonora Tudora, Adriana Alexandru

Abstract:

The radio frequency identification (RFID) is a technology for automatic identification of items, particularly in supply chain, but it is becoming increasingly important for industrial applications. Unlike barcode technology that detects the optical signals reflected from barcode labels, RFID uses radio waves to transmit the information from an RFID tag affixed to the physical object. In contrast to today most often use of this technology in warehouse inventory and supply chain, the focus of this paper is an overview of the structure of RFID systems used by RFID technology and it also presents a solution based on the application of RFID for brand authentication, traceability and tracking, by implementing a production management system and extending its use to traders.

Keywords: RFID, RFID Tag, Electronic Product Code (EPC), EPC network, Object Naming Service (ONS), Authentication, Traceability.

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62 Privacy Threats in RFID Group Proof Schemes

Authors: HyoungMin Ham, JooSeok Song

Abstract:

RFID tag is a small and inexpensive microchip which is capable of transmitting unique identifier through wireless network in a short distance. If a group of RFID tags can be scanned simultaneously by one reader, RFID Group proof could be generated. Group proof can be used in various applications, such as good management which is usually achieved using barcode system. A lot of RFID group proof schemes have been proposed by many researchers. In this paper, we introduce some existing group proof schemes and then analyze their vulnerabilities to the privacy. Moreover, we propose a new attack model, which threats the privacy of user by tracking tags in a group.

Keywords: grouping proof, privacy, RFID, yoking proof

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61 Autonomous Movement in Car with The Base of RFID

Authors: Sasan Mohammadi, Samaneh Gholi Mesgarha

Abstract:

Radio Frequency Identification (RFID) system is looked upon as one of the top ten important technologies in the 20th century and find its applications in many fields such as car industry. The intelligent cars are one important part of this industry and always try to find new and satisfied intelligent cars. The purpose of this paper is to introduce an intelligent car with the based of RFID. By storing the moving control commands such as turn right, turn left, speed up and speed down etc. into the RFID tags beforehand and sticking the tags on the tracks Car can read the moving control commands from the tags and accomplish the proper actions.

Keywords: RFID, Intelligent car, Application of RFID in cars

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60 Security Enhanced RFID Middleware System

Authors: Jieun Song, Taesung Kim, Sokjoon Lee, Howon Kim

Abstract:

Recently, the RFID (Radio Frequency Identification) technology attracts the world market attention as essential technology for ubiquitous environment. The RFID market has focused on transponders and reader development. But that concern has shifted to RFID software like as high-valued e-business applications, RFID middleware and related development tools. However, due to the high sensitivity of data and service transaction within the RFID network, security consideration must be addressed. In order to guarantee trusted e-business based on RFID technology, we propose a security enhanced RFID middleware system. Our proposal is compliant with EPCglobal ALE (Application Level Events), which is standard interface for middleware and its clients. We show how to provide strengthened security and trust by protecting transported data between middleware and its client, and stored data in middleware. Moreover, we achieve the identification and service access control against illegal service abuse. Our system enables secure RFID middleware service and trusted e-business service.

Keywords: RFID Middleware, ALE (Application Level Events), Security.

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59 Noise Factors of RFID-Aided Positioning

Authors: Weng Ian Ho, Seng Fat Wong

Abstract:

In recent years, Radio Frequency Identification (RFID) is followed with interest by many researches, especially for the purpose of indoor positioning as the innate properties of RFID are profitable for achieving it. A lot of algorithms or schemes are proposed to be used in the RFID-based positioning system, but most of them are lack of environmental consideration and it induces inaccuracy of application. In this research, a lot of algorithms and schemes of RFID indoor positioning are discussed to see whether effective or not on application, and some rules are summarized for achieving accurate positioning. On the other hand, a new term “Noise Factor" is involved to describe the signal loss between the target and the obstacle. As a result, experimental data can be obtained but not only simulation; and the performance of the positioning system can be expressed substantially.

Keywords: Indoor positioning, LANDMARC, noise factors, RFID.

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58 Use of RFID Technology for Identification, Traceability Monitoring and the Checking of Product Authenticity

Authors: Adriana Alexandru, Eleonora Tudora, Ovidiu Bica

Abstract:

This paper is an overview of the structure of Radio Frequency Identification (RFID) systems and radio frequency bands used by RFID technology. It also presents a solution based on the application of RFID for brand authentication, traceability and tracking, by implementing a production management system and extending its use to traders.

Keywords: Radio Frequency Identification, Tag, Tag reader, Traceability.

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57 Implementing a Prototype System for Power Facility Management using RFID/WSN

Authors: Young-Il Kim, Bong-Jae Yi, Jae-Ju Song, Jin-Ho Shin, Jung-Il Lee

Abstract:

Firstly, research and development on RFID focuses on manufacturing and retail sectors, because it can improve supply chain efficiency. But, now a variety of field is considered the next research area for Radio Frequency Identification (RFID). Although RFID is infancy, RFID technology has great potential in power industry to significantly reduce cost, and improve quality of power supply. To complement the limitation of RFID, we adopt the WSN (Wireless Sensor Network) technology. However, relevant experience is limited, the challenge will be to derive requirement from business practice and to determine whether it is possible or not. To explore this issue, we conduct a case study on implementing power facility management system using RFID/WSN in Korea Electric Power Corporation (KEPCO). In this paper we describe requirement from power industry. And we introduce design and implementation of the test bed.

Keywords: Power Facility Management, RFID/WSN, Transmission Tower, Underground Tunnel, ZigBee.

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56 Requirements and Design of RFID based EManufacturing System

Authors: Gamal Darwish, Ahmed ElShafee, Dina Darwish

Abstract:

This paper proposes the requirements and design of RFID based system for SFC (Shop Floor Control) in order to achieve the factory real time controllability, Allowing to develop EManufacturing System. The detailed logical specifications of the core functions and the design diagrams of RFID based system are developed. Then RFID deployment in E-Manufacturing systems is investigated..

Keywords: RFID, E-Manufacturing System, Requirementsspecifications, Design Diagrams, real time controllability.

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55 Anti-Counterfeiting Solution Employing Mobile RFID Environment

Authors: Juhan Kim, Howon Kim

Abstract:

EPC Class-1 Generation-2 UHF tags, one of Radio frequency identification or RFID tag types, is expected that most companies are planning to use it in the supply chain in the short term and in consumer packaging in the long term due to its inexpensive cost. Because of the very cost, however, its resources are extremely scarce and it is hard to have any valuable security algorithms in it. It causes security vulnerabilities, in particular cloning the tags for counterfeits. In this paper, we propose a product authentication solution for anti-counterfeiting at application level in the supply chain and mobile RFID environment. It aims to become aware of distribution of spurious products with fake RFID tags and to provide a product authentication service to general consumers with mobile RFID devices like mobile phone or PDA which has a mobile RFID reader. We will discuss anti-counterfeiting mechanisms which are required to our proposed solution and address requirements that the mechanisms should have.

Keywords: EPC, RFID, Anti-Counterfeiting, Mobile RFIDenvironment.

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54 Security Analysis on Anonymous Mutual Authentication Protocol for RFID Tag without Back-End Database and its Improvement

Authors: Songyi Kim, Kwangwoo Lee, Seungjoo Kim, Dongho Won

Abstract:

RFID (Radio Frequency IDentification) system has been widely used in our life, such as transport systems, passports, automotive, animal tracking, human implants, library, and so on. However, the RFID authentication protocols between RF (Radio Frequency) tags and the RF readers have been bring about various privacy problems that anonymity of the tags, tracking, eavesdropping, and so on. Many researchers have proposed the solution of the problems. However, they still have the problem, such as location privacy, mutual authentication. In this paper, we show the problems of the previous protocols, and then we propose a more secure and efficient RFID authentication protocol.

Keywords: RFID, mutual authentication, serverless, anonymity.

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53 Touching Interaction: An NFC-RFID Combination

Authors: Eduardo Álvarez, Gerardo Quiroga, Jorge Orozco, Gabriel Chavira

Abstract:

AmI proposes a new way of thinking about computers, which follows the ideas of the Ubiquitous Computing vision of Mark Weiser. In these, there is what is known as a Disappearing Computer Initiative, with users immersed in intelligent environments. Hence, technologies need to be adapted so that they are capable of replacing the traditional inputs to the system by embedding these in every-day artifacts. In this work, we present an approach, which uses Radiofrequency Identification (RFID) and Near Field Communication (NFC) technologies. In the latter, a new form of interaction appears by contact. We compare both technologies by analyzing their requirements and advantages. In addition, we propose using a combination of RFID and NFC.

Keywords: Touching interaction, ambient intelligence, NFC, RFID.

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52 Design and Implementation of Active Radio Frequency Identification on Wireless Sensor Network-Based System

Authors: Che Z. Zulkifli, Nursyahida M. Noor, Siti N. Semunab, Shafawati A. Malek

Abstract:

Wireless sensors, also known as wireless sensor nodes, have been making a significant impact on human daily life. The Radio Frequency Identification (RFID) and Wireless Sensor Network (WSN) are two complementary technologies; hence, an integrated implementation of these technologies expands the overall functionality in obtaining long-range and real-time information on the location and properties of objects and people. An approach for integrating ZigBee and RFID networks is proposed in this paper, to create an energy-efficient network improved by the benefits of combining ZigBee and RFID architecture. Furthermore, the compatibility and requirements of the ZigBee device and communication links in the typical RFID system which is presented with the real world experiment on the capabilities of the proposed RFID system.

Keywords: Mesh network, RFID, wireless sensor network, zigbee.

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51 Tag Broker Model for Protecting Privacy in RFID Environment

Authors: Sokjoon Lee, Howon Kim, Kyoil Chung

Abstract:

RFID system, in which we give identification number to each item and detect it with radio frequency, supports more variable service than barcode system can do. For example, a refrigerator with RFID reader and internet connection will automatically notify expiration of food validity to us. But, in spite of its convenience, RFID system has some security threats, because anybody can get ID information of item easily. One of most critical threats is privacy invasion. Existing privacy protection schemes or systems have been proposed, and these schemes or systems defend normal users from attempts that any attacker tries to get information using RFID tag value. But, these systems still have weakness that attacker can get information using analogous value instead of original tag value. In this paper, we mention this type of attack more precisely and suggest 'Tag Broker Model', which can defend it. Tag broker in this model translates original tag value to random value, and user can only get random value. Attacker can not use analogous tag value, because he/she is not able to know original one from it.

Keywords: Broker, EPC, Privacy, RFID.

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50 A Microstrip Antenna Design and Performance Analysis for RFID High Bit Rate Applications

Authors: Ibrahim S. Alnomay, Jihad Y. Alhammad

Abstract:

Lately, an interest has grown greatly in the usages of RFID in an un-presidential applications. It is shown in the adaptation of major software companies such as Microsoft, IBM, and Oracle the RFID capabilities in their major software products. For example Microsoft SharePoints 2010 workflow is now fully compatible with RFID platform. In addition, Microsoft BizTalk server is also capable of all RFID sensors data acquisition. This will lead to applications that required high bit rate, long range and a multimedia content in nature. Higher frequencies of operation have been designated for RFID tags, among them are the 2.45 and 5.8 GHz. The higher the frequency means higher range, and higher bit rate, but the drawback is the greater cost. In this paper we present a single layer, low profile patch antenna operates at 5.8 GHz with pure resistive input impedance of 50 and close to directive radiation. Also, we propose a modification to the design in order to improve the operation band width from 8.7 to 13.8

Keywords: Microstrip Antenna, RFID, U-shaped, double layer, circular antenna.

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49 RFID-ready Master Data Management for Reverse Logistics

Authors: Jincheol Han, Hyunsun Ju, Jonghoon Chun

Abstract:

Sharing consistent and correct master data among disparate applications in a reverse-logistics chain has long been recognized as an intricate problem. Although a master data management (MDM) system can surely assume that responsibility, applications that need to co-operate with it must comply with proprietary query interfaces provided by the specific MDM system. In this paper, we present a RFID-ready MDM system which makes master data readily available for any participating applications in a reverse-logistics chain. We propose a RFID-wrapper as a part of our MDM. It acts as a gateway between any data retrieval request and query interfaces that process it. With the RFID-wrapper, any participating applications in a reverse-logistics chain can easily retrieve master data in a way that is analogous to retrieval of any other RFID-based logistics transactional data.

Keywords: Reverse Logistics, Master Data Management, RFID.

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48 An Empirical Study about RFID Acceptance- Focus on the Employees in Korea -

Authors: Mi Sook Lee

Abstract:

The number of the companies accepting RFID in Korea has been increased continuously due to the domestic development of information technology. The acceptance of RFID by companies in Korea enabled them to do business with many global enterprises in a much more efficient and effective way. According to a survey[33, p76], many companies in Korea have used RFID for inventory or distribution manages. But, the use of RFID in the companies in Korea is in the early stages and its potential value hasn-t fully been realized yet. At this time, it would be very important to investigate the factors that affect RFID acceptance. For this study, many previous studies were referenced and some RFID experts were interviewed. Through the pilot test, four factors were selected - Security Trust, Employee Knowledge, Partner Influence, Service Provider Trust - affecting RFID acceptance and an extended technology acceptance model(e-TAM) was presented with those factors. The proposed model was empirically tested using data collected from employees in companies or public enterprises. In order to analyze some relationships between exogenous variables and four variables in TAM, structural equation modeling(SEM) was developed and SPSS12.0 and AMOS 7.0 were used for analyses. The results are summarized as follows: 1) security trust perceived by employees positively influences on perceived usefulness and perceived ease of use; 2) employee-s knowledge on RFID positively influences on only perceived ease of use; 3) a partner-s influence for RFID acceptance positively influences on only perceived usefulness; 4) service provider trust very positively influences on perceived usefulness and perceived ease of use 5) the relationships between TAM variables are the same as the previous studies.

Keywords: RFID, TAM, Security Trust, Employee Knowledge, Partner Influence, Service Provider Trust.

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47 RFID Logistic Management with Cold Chain Monitoring – Cold Store Case Study

Authors: Mira Trebar

Abstract:

Logistics processes of perishable food in the supply chain include the distribution activities and the real time temperature monitoring to fulfil the cold chain requirements. The paper presents the use of RFID (Radio Frequency Identification) technology as an identification tool of receiving and shipping activities in the cold store. At the same time, the use of RFID data loggers with temperature sensors is presented to observe and store the temperatures for the purpose of analyzing the processes and having the history data available for traceability purposes and efficient recall management.

Keywords: Logistics, warehouse, RFID device, cold chain.

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46 Traffic Violation Detection System based on RFID

Authors: S. Hajeb, M. Javadi, S. M. Hashemi, P. Parvizi

Abstract:

Road Traffic Accidents are a major cause of disability and death throughout the world. The control of intelligent vehicles in order to reduce human error and boost ease congestion is not accomplished solely by the aid of human resources. The present article is an attempt to introduce an intelligent control system based on RFID technology. By the help of RFID technology, vehicles are connected to computerized systems, intelligent light poles and other available hardware along the way. In this project, intelligent control system is capable of tracking all vehicles, crisis management and control, traffic guidance and recording Driving offences along the highway.

Keywords: RFID, Intelligent highway, Traffic violation

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45 A Supply Chain Perspective of RFID Systems

Authors: A. N. Nambiar

Abstract:

Radio Frequency Identification (RFID) initially introduced during WW-II, has revolutionized the world with its numerous benefits and plethora of implementations in diverse areas ranging from manufacturing to agriculture to healthcare to hotel management. This work reviews the current research in this area with emphasis on applications for supply chain management and to develop a taxonomic framework to classify literature which will enable swift and easy content analysis and also help identify areas for future research.

Keywords: RFID, supply chain, applications, classification framework.

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44 The Tag Authentication Scheme using Self-Shrinking Generator on RFID System

Authors: HangRok Lee, DoWon Hong

Abstract:

Since communications between tag and reader in RFID system are by radio, anyone can access the tag and obtain its any information. And a tag always replies with the same ID so that it is hard to distinguish between a real and a fake tag. Thus, there are many security problems in today-s RFID System. Firstly, unauthorized reader can easily read the ID information of any Tag. Secondly, Adversary can easily cheat the legitimate reader using the collected Tag ID information, such as the any legitimate Tag. These security problems can be typically solved by encryption of messages transmitted between Tag and Reader and by authentication for Tag. In this paper, to solve these security problems on RFID system, we propose the Tag Authentication Scheme based on self shrinking generator (SSG). SSG Algorithm using in our scheme is proposed by W.Meier and O.Staffelbach in EUROCRYPT-94. This Algorithm is organized that only one LFSR and selection logic in order to generate random stream. Thus it is optimized to implement the hardware logic on devices with extremely limited resource, and the output generating from SSG at each time do role as random stream so that it is allow our to design the light-weight authentication scheme with security against some network attacks. Therefore, we propose the novel tag authentication scheme which use SSG to encrypt the Tag-ID transmitted from tag to reader and achieve authentication of tag.

Keywords: RFID system, RFID security, self shrinkinggeneratior, authentication, protocol.

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43 Design of an Authentication Protocol for Secure Electronic Seals

Authors: Seongsoo Park, Mun-Kyu Lee, Dong Kyue Kim, Kunsoo Park, Yousung Kang, Sokjoon Lee, Howon Kim, Kyoil Chung

Abstract:

Electronic seal is an electronic device to check the authenticity and integrity of freight containers at the point of arrival. While RFID-based eSeals are gaining more acceptances and there are also some standardization processes for these devices, a recent research revealed that the current RFID-based eSeals are vulnerable to various attacks. In this paper, we provide a feasible solution to enhance the security of active RFID-based eSeals. Our approach is to use an authentication and key agreement protocol between eSeal and reader device, enabling data encryption and integrity check. Our protocol is based on the use of block cipher AES, which is reasonable since a block cipher can also be used for many other security purposes including data encryption and pseudo-random number generation. Our protocol is very simple, and it is applicable to low-end active RFID eSeals.

Keywords: Authentication, Container Security, Electronic seal, RFID

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42 Secured Mutual Authentication Protocol for Radio Frequency Identification Systems

Authors: C. Kalamani, S. Sowmiya, S. Dheivambigai, G. Harihara Sudhan

Abstract:

Radio Frequency Identification (RFID) is a blooming technology which uses radio frequency to track the objects. This technology transmits signals between tag and reader to fetch information from the tag with a unique serial identity. Generally, the drawbacks of RFID technology are high cost, high consumption of power and weak authentication systems between a reader and a tag. The proposed protocol utilizes less dynamic power using reversible truncated multipliers which are implemented in RFID tag-reader with mutual authentication protocol system to reduce both leakage and dynamic power consumption. The proposed system was simulated using Xilinx and Cadence tools.

Keywords: Mutual authentication, protocol, reversible gates, RFID.

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41 Counterfeit Drugs Prevention in Pharmaceutical Industry with RFID: A Framework Based On Literature Review

Authors: Zeeshan Hamid, Asher Ramish

Abstract:

The purpose of this paper is to focus on security and safety issues facing by pharmaceutical industry globally when counterfeit drugs are in question. Hence, there is an intense need to secure and authenticate pharmaceutical products in the emerging counterfeit product market. This paper will elaborate the application of radio frequency identification (RFID) in pharmaceutical industry and to identify its key benefits for patient’s care. The benefits are: help to co-ordinate the stream of supplies, accuracy in chains of supplies, maintaining trustworthy information, to manage the operations in appropriate and timely manners and finally deliver the genuine drug to patient. It is discussed that how RFID supported supply chain information sharing (SCIS) helps to combat against counterfeit drugs. And a solution how to tag pharmaceutical products; since, some products prevent RFID implementation in this industry. In this paper, a proposed model for pharma industry distribution suggested to combat against the counterfeit drugs when they are in supply chain.

Keywords: Supply chain, RFID, pharmaceutical industry, counterfeit drugs, patients care.

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40 The Use of Information for Inventory Decision in the Healthcare Industry

Authors: H. L. Chan, T. M. Choi, C. L. Hui, S. F. Ng

Abstract:

In this study, we explore the use of information for inventory decision in the healthcare organization (HO). We consider the scenario when the HO can make use of the information collected from some correlated products to enhance its inventory planning. Motivated by our real world observations that HOs adopt RFID and bar-coding system for information collection purpose, we examine the effectiveness of these systems for inventory planning with Bayesian information updating. We derive the optimal ordering decision and study the issue of Pareto improvement in the supply chain. Our analysis demonstrates that RFID system will outperform the bar-coding system when the RFID system installation cost and the tag cost reduce to a level that is comparable with that of the barcoding system. We also show how an appropriately set wholesale pricing contract can achieve Pareto improvement in the HO supply chain.

Keywords: Efficient consumer response program, healthcare, inventory management, RFID system, bar-coding system.

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