1. Mighty Wal-Mart

6. Controversy: Wal-Mart is accused of lowering costs at the expense of its employees, but that is probably an exaggeration.

7. Controversy: Wal-Mart is also accused of employing alien foreigners, but that is probably also an exaggeration.

8. Controversy Of course, Wal-Mart’s headquarters deny any wrongdoings

12. Futian, Shenzen Mentor Media Scanners & Cameras

13. Retail IPG RFID Plan In transit Regional Distribution Walmart Walmart, Sam’s Club and Neighborhood Market Stores Product Completion Center Base Manufacturing Malaysia Flextronics Shanghai Calcomp Shenzhen Mentor Media Bangkok Venture Hong Kong Canon Tokyo Canon Canon China AiO & Personal Printers AiO & Personal Printers Scanners& Cameras AIO Toner Toner/ Personal Laserjet Personal LJ Memphis Flex Memphis Menlo Virginia Sonoco Walmart DC3 De-Soto, Texas Walmart DC1 Sanger, Texas Walmart DC2 Cleburn, Texas FGI Direct FGI Direct FGI Direct IDS Air Various Guadalajara Jabill InkJet Supplies Guadalajara Flex Tag Site Supply Site Delivery Site

14. HP RFID Geographic Scope RFID impacts businesses, operations and Customers in all Regions. Therefore program scope is global and pan HP in nature Commercial sites Retail sites 28 sites now RFID capable 10 more in progress

15. First site to go live in volume in August 2004 We are also working with our large Retailers to synchronize pilot efforts The Memphis Pilot Tagging pallets & cases with EPC Class 1 915Mhz tags Began shipping tagged cases and pallets with full system integration to WalMart April 2004

16. Refining Existing Processes – Integrating with RFID He is scanning every printer engine to capture the serial number And he is applying a barcode label by hand

17. Refining Existing Processes – Integrating with RFID RFID capable printer Integrated RFID tag Integrated RFID tag

21. Receives components and raw material, manufactures printers then ships finished goods to Latin America Region Starting at manufacturing, will then “walk” down the process chain to Shipping Sao Paolo Printer Plant Tags carry quality & control data thru the process with the unit as it is built as well as EPC Code

23. He is scanning one product barcode to ensure the right product is picked Correct pick will be verified on his on board screen If items were tagged then no scan would be necessary. Product would be verified as forklift approaches pallet and failing a warning of incorrect product, driver spends all of his time and effort in moving the product on to the next process Everything stops for this process

25. Outbound Staging Pallet staged for loading – pallet label / tag visible Barcode scanned to confirm staging location

26. Pallet staged for loading Barcode scanned to confirm which dock door pallet went out of

27. Reader would be positioned at dock door Reader suspended above temporary staging lane

29. Tracking Item Movement Previously restricted to Receiving Dock Delivery can now be “proved” at many points in the process