|
|
|
Pharmaceutical
RFID |
| |
RFID Pharmaceutical:
Health Industry Insights Identifies Pharmaceutical Industry's
Top Roadblocks To RFID Adoption
Other Topics: Automated
Medication Dispensing,
Clinical Decision Support Tools
Health Industry Insights
April 23, 2007
Framingham, MA -- Recently, market research firm Health Industry
Insights, an IDC company, announced survey findings that
identify the top factors contributing to pharmaceutical
industry's slow adoption of radio frequency identification
(RFID). Results from a survey of 143 life sciences industry
leaders names technology cost and lack of demonstrated return on
investment (ROI) as the number one roadblock contributing to
slow RFID adoption, followed closely by the lack of an
item-level frequency standard. Other reasons, in order of
importance, cited by respondents include security/privacy
concerns, lack of pressure from Federal Drug Administration, and
unreliable read rates (i.e., the percentage of RFID tags, or
microchips attached to an antenna, that can be accurately read
within a certain period of time). |
| |
|
|
| |
"While many
pharmaceutical companies are eager to begin their RFID pilot
work, we're seeing a freeze on project funding until an
item-level frequency standard is established. Evaluations are
being hindered by corporate fear of investing in the wrong
infrastructure," says Eric Newmark, senior research analyst at
Health Industry Insights. "It is unfortunate that patient and
consumer safety is being delayed due to something this trivial."
The report goes on to spotlight the slower-than-expected RFID
adoption with additional survey findings. Results reveal less
than one in five (16%) pharmaceutical companies are currently
evaluating the benefits of RFID technology, and even fewer (15%)
companies adopting RFID in some capacity. Overall, the report
indicates average life science company spend on RFID technology
is approximately $25,000, although this level is expected to
triple to $75,000 over the next 12 months.
Additionally, the report discusses read rate results from
commercial RFID pilots in the pharmaceutical industry. The
report reveals that initiatives utilizing high-frequency (HF)
technology for item-level tagging are achieving better read
rates than those using ultra-high frequency (UHF). Findings show
initiatives using HF are experiencing read rates in the Four to
Six Sigma (a well-know management practice used to help
companies achieve exceptional performance levels) range, and
exceeding Six Sigma in some cases, whereas those using UHF are
typically between Three and Four Sigma.
Adds Newmark, "Although we're seeing higher item-level read
rates from HF technology, it’s unlikely that we'll see an
industry mandate for an item-level frequency. Manufacturers need
to realize there is minimal risk and move forward by choosing
whichever frequency they believe will deliver the best results
for their situation."
Newmark's report, which also delves in to decision criteria
surrounding RFID implementation and more, is entitled
"Item-Level Tagging: Moving Beyond the Frequency Dilemma" (Doc #
HI206122) and available on www.healthindustry-insights.com.
Survey Methodology
This Health Industry Insights' survey was conducted in March
2007 among 143 leaders in the life sciences industry to capture
quantitative information on the topic of RFID. Findings were
also complemented in the report by direct interviews used to
capture more qualitative industry sentiment.
About Health Industry Insights
Health Industry Insights, an IDC company, provides health and
life sciences industry executives, and the suppliers who serve
them, with market research and advisory services. The company's
integrated coverage spans the entire health industry value chain
and closely follows the payer, provider and life sciences
markets with special emphasis on developing and employing
strategies that leverage IT investments to maximize
organizational performance. Staffed by expert analysts and
consultants with extensive industry experience, Health Industry
Insights delivers a portfolio of offerings relevant to both IT
and business needs. IDC is a subsidiary of IDG, the world's
leading technology media, research and events company. For more
information, visit www.healthindustry-insights.com. |
| |
|
|
| |
|
|
