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CASE STUDY




Saudi Arabia’s luxury retailer Jade Jewellery
implements Motorola’s RFID technology to
improve inventory management and security
             “Since implementing Motorola’s RFID solutions in                                                               Customer profile

             January 2008, there have been no internal thefts,
                                                                                                                            Jade Jewellery
             providing Jade Jewellery with an ROI of approximately
                                                                                                                            Company
             400%. Prior to implementing DEPCO Systems’ RFID                                                                Jade Jewellery
             solution, missing items would go unnoticed until a month                                                       Location
                                                                                                                            Kingdom of Saudi Arabia
             or two later. Periodic inventory done manually usually
                                                                                                                            Industry
             took 2-3 working days to audit all stores, costing valuable                                                    Retail
             company time and resources. With the new RFID system,                                                          Motorola products
                                                                                                                            • XR480 RFID readers
             it takes about 10 minutes to audit the entire stock.”
                                                                                                                            Applications
                                                  Mrs. Sukaina H. Mackie, Owner, Jade Jewellery                             • Trail-Intelligent Stores

                                                                                                                            Partner
                                                                                                                            • DEPCO Systems
             The company: Jade Jewellery                                                                                    Benefits
             Jade Jewellery is a Saudi-based jewellery company that operates four stores                                    • 400% return on investment
             across Saudi Arabia and specializes in European jewellery. The company                                         • Internal theft reduced to zero
                                                                                                                            • Real-time email & SMS alerts
             also trades in diamonds and provides exquisite designs that attract a very
                                                                                                                              for mishandled goods
             selective clientele.                                                                                           • Better inventory management
                                                                                                                              and stock control
             The challenge: Problems with Security and Inventory                                                            • Instantaneous auditing of
                                                                                                                              in-store inventory
             In the past, Jade Jewellery experienced substantial financial loss as a result                                 • Real-time view of in-store
             of missing jewellery attributed to internal theft. Close to a million Saudi Arabia                               operational activity
             Riyals (approximately US$267  ,000) worth of jewellery had been written off                                    • Reports on customer behavior
             and the company could not accurately prove theft to the police due to lack                                       and preferences
             of evidence.

             The situation led to major accounting problems with inventory, and Jade
             Jewellery approached Depco Systems, a Motorola partner and leader in
             Radio Frequency Identification (RFID) solutions, to look for a technology
             solution which could monitor sales and in-store activities. Depco Systems
             sourced three RFID hardware manufacturers, including Motorola, to conduct
             a six-month trial.




             1   CASE STUDY: Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security
The solution: Jade Jewellery Implements                                   enables them to access the jewellery without
“The RFID                                                                                           setting off any alarms. The system is programmed
                          RFID technology
implementation            Following the trial, Jade chose Motorola’s XR480                          to give Jade Jewellery employees one minute to
has made Jade             RFID reader because of its ability to integrate with                      transfer an item of jewellery from its case to the
                          a wide range of other applications. This included                         customer display tray or any other display. When a
Jewellery the first       Depco System’s software application called Asset                          mobile display tray is put on the viewing table, it is
and only “intelligent     Trail-Intelligent Store, which monitors, controls and                     monitored by an antenna installed in its mid section
                          tracks tagged jewellery.                                                  until it is returned back on the shelf or display case.
store” of its kind in                                                                               Any abnormal behavior in handling the goods while
Saudi Arabia.             Each piece of jewellery in the shop is fixed with a                       executing operations such as sales, transfers,
                          passive RFID tag before being placed on display.                          consignments or safe replenishment will set off
Mrs. Sukaina H. Mackie,                                                                             an alarm.
                          The RFID tags carry stored data and use radio
Owner, Jade Jewellery
                          waves to automatically identify items.
                                                                                                    At the end of each day, the employees initiate a
                          Motorola XR480 RFID readers are installed within                          process in Asset Trail-Intelligent Store which notifies
                          the shelves, at the entry and exit point of the shop,                     the system that the goods are being secured in
                          and in front of the safe door. A complete system                          the safe. The Jewellery is put on the POS table
                          including the hardware, the Asset Trail application                       where the system identifies and commits the
                          and the integration with existing proprietary ERP                         goods being transferred to the safe. The system
                          software, was customized to monitor, track and                            validates the committed goods going into the safe
                          control all items within the store based on company                       with a dedicated antenna in front of the safe door,
                          policies. The system reacts and responds to                               confirming the transfer before being cut off as the
                          the behavior of employees, and alarms alert the                           safe door is closed. Additional services, such as
                          manager if company policies in handling goods                             the transfer of items from one shop to another,
                          are not met.                                                              consignments, and returns from clients, are all
                                                                                                    tracked by Asset Trail using the RFID readers.
                          To further improve security measures, each
                          employee is issued an RFID badge which is used
                          to log their activities on the main server and




                          2   CASE STUDY: Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security
The results: RFID Improves Business                                          greatly improved our operational efficiency.                              “Motorola’s RFID
“Since implementing Motorola’s RFID solutions                                We are looking to implement this system in all
in January 2008, there have been no internal                                 our stores following this successful pilot project,
                                                                                                                               ”                       solution together
thefts, providing Jade Jewellery with an ROI of                              Mackie concluded.                                                      with the Asset Trail
approximately 400%., said Mrs. Sukaina H. Mackie,
                      ”
Owner, Jade Jewellery. “Prior to implementing                                As a result of the successful implementation,
                                                                                                                                                   Application has met
DEPCO Systems’ RFID solution, missing items                                  Jade Jewellery is now looking at additional ways                      all our concerns and
would go unnoticed until a month or two later.                               to improve their systems. The team is investigating
                                                                             solutions to make the current RFID hanging tags
                                                                                                                                                    enabled us to grow
Periodic inventory done manually usually took 2-3
working days to audit all stores, costing valuable                           more resilient and tamperproof, as well as creating                          our business.”
company time and resources. With the new RFID                                a mobile solution for road shows.                                       Mrs. Sukaina H. Mackie,
system, it takes about 10 minutes to audit the                                                                                                        Owner, Jade Jewellery
entire stock.”                                                               About Depco Systems
                                                                             DEPCO Systems a Saudi-based company with
With the help of the Asset Trail-Intelligent Store                           headquarters in Jeddah. DEPCO Systems is
application, Jade Jewellery is able to track all                             specialized in high-end Telecom & IT systems
processes and activities relating to managing a                              integration. DEPCO’s core business is the
profitable retail business.                                                  development of RFID solutions spanning multiple
                                                                             markets and subsequently has become a leader
“Because we work with very expensive pieces of                               in Radio Frequency Identification (RFID) solutions
jewellery, the company cannot risk losing any of its                         with several leading edge clients paving the way
pieces by internal or external theft and therefore                           for closed loop RFID systems. The company was
we needed top security, tight in-store management                            created in 2005 for the sole purpose of targeting
and a monitoring scheme we could depend on,     ”                            the growing need for state of the art RFID solutions
continued Mackie. “Motorola’s RFID solution                                  envisaged in Saudi Arabia and the GCC region. For
together with the Asset Trail Application has met all                        more information on our products & solutions please
our concerns and enabled us to grow our business.   ”                        visit www.depcosystems.com

Additional benefits include screen reports showing                           About Motorola
in-store goods activity. This will capture customers’                        Motorola is known around the world for innovation
behavior, tastes and preferences towards the                                 and leadership in wireless and broadband
selected jewellery. Jade Jewellery can now clearly                           communications. Inspired by our vision of seamless
and quickly establish the type of goods that are                             mobility, Motorola is committed to helping you
popular with customers per store; this helps the                             connect simply and seamlessly to the people,
team as they select which new lines they should                              information, and entertainment that you want
introduce when ordering new stock from suppliers,                            and need. We do this by designing and delivering
which can reduce stock turnaround time.                                      “must have” products, “must do” experiences and
                                                                             powerful networks -- along with a full complement
“By giving Jade’s management the ability to track                            of support services. A Fortune 100 company with
sales, and employees’ activity inside the shop,                              global presence and impact, Motorola had sales of
performance bonuses can then be justified based on                           US $42.8 billion in 2006. For more information about
exerted efforts to close a sale with a new customer                          our company, our people and our innovations, please
or an existing one, said Mackie.
                   ”                                                         visit www.motorola.com

“The RFID implementation has made Jade Jewellery
the first and only “intelligent store” of its kind in
Saudi Arabia. The RFID system monitors our daily
operations in real time and allows us to apply
company policies in handling goods, which has




3   CASE STUDY: Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security
motorola.com

Part number CS-JADEJEWEL Printed in USA 10/08. MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark
Office. All other product or service names are the property of their respective owners. ©Motorola, Inc. 2008. All rights reserved. For
system, product or services availability and specific information within your country, please contact your local Motorola office or Business
Partner. Specifications are subject to change without notice.



4   CASE STUDY: Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security

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RFID Retail Solution

  • 1. CASE STUDY Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security “Since implementing Motorola’s RFID solutions in Customer profile January 2008, there have been no internal thefts, Jade Jewellery providing Jade Jewellery with an ROI of approximately Company 400%. Prior to implementing DEPCO Systems’ RFID Jade Jewellery solution, missing items would go unnoticed until a month Location Kingdom of Saudi Arabia or two later. Periodic inventory done manually usually Industry took 2-3 working days to audit all stores, costing valuable Retail company time and resources. With the new RFID system, Motorola products • XR480 RFID readers it takes about 10 minutes to audit the entire stock.” Applications Mrs. Sukaina H. Mackie, Owner, Jade Jewellery • Trail-Intelligent Stores Partner • DEPCO Systems The company: Jade Jewellery Benefits Jade Jewellery is a Saudi-based jewellery company that operates four stores • 400% return on investment across Saudi Arabia and specializes in European jewellery. The company • Internal theft reduced to zero • Real-time email & SMS alerts also trades in diamonds and provides exquisite designs that attract a very for mishandled goods selective clientele. • Better inventory management and stock control The challenge: Problems with Security and Inventory • Instantaneous auditing of in-store inventory In the past, Jade Jewellery experienced substantial financial loss as a result • Real-time view of in-store of missing jewellery attributed to internal theft. Close to a million Saudi Arabia operational activity Riyals (approximately US$267 ,000) worth of jewellery had been written off • Reports on customer behavior and the company could not accurately prove theft to the police due to lack and preferences of evidence. The situation led to major accounting problems with inventory, and Jade Jewellery approached Depco Systems, a Motorola partner and leader in Radio Frequency Identification (RFID) solutions, to look for a technology solution which could monitor sales and in-store activities. Depco Systems sourced three RFID hardware manufacturers, including Motorola, to conduct a six-month trial. 1 CASE STUDY: Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security
  • 2. The solution: Jade Jewellery Implements enables them to access the jewellery without “The RFID setting off any alarms. The system is programmed RFID technology implementation Following the trial, Jade chose Motorola’s XR480 to give Jade Jewellery employees one minute to has made Jade RFID reader because of its ability to integrate with transfer an item of jewellery from its case to the a wide range of other applications. This included customer display tray or any other display. When a Jewellery the first Depco System’s software application called Asset mobile display tray is put on the viewing table, it is and only “intelligent Trail-Intelligent Store, which monitors, controls and monitored by an antenna installed in its mid section tracks tagged jewellery. until it is returned back on the shelf or display case. store” of its kind in Any abnormal behavior in handling the goods while Saudi Arabia. Each piece of jewellery in the shop is fixed with a executing operations such as sales, transfers, passive RFID tag before being placed on display. consignments or safe replenishment will set off Mrs. Sukaina H. Mackie, an alarm. The RFID tags carry stored data and use radio Owner, Jade Jewellery waves to automatically identify items. At the end of each day, the employees initiate a Motorola XR480 RFID readers are installed within process in Asset Trail-Intelligent Store which notifies the shelves, at the entry and exit point of the shop, the system that the goods are being secured in and in front of the safe door. A complete system the safe. The Jewellery is put on the POS table including the hardware, the Asset Trail application where the system identifies and commits the and the integration with existing proprietary ERP goods being transferred to the safe. The system software, was customized to monitor, track and validates the committed goods going into the safe control all items within the store based on company with a dedicated antenna in front of the safe door, policies. The system reacts and responds to confirming the transfer before being cut off as the the behavior of employees, and alarms alert the safe door is closed. Additional services, such as manager if company policies in handling goods the transfer of items from one shop to another, are not met. consignments, and returns from clients, are all tracked by Asset Trail using the RFID readers. To further improve security measures, each employee is issued an RFID badge which is used to log their activities on the main server and 2 CASE STUDY: Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security
  • 3. The results: RFID Improves Business greatly improved our operational efficiency. “Motorola’s RFID “Since implementing Motorola’s RFID solutions We are looking to implement this system in all in January 2008, there have been no internal our stores following this successful pilot project, ” solution together thefts, providing Jade Jewellery with an ROI of Mackie concluded. with the Asset Trail approximately 400%., said Mrs. Sukaina H. Mackie, ” Owner, Jade Jewellery. “Prior to implementing As a result of the successful implementation, Application has met DEPCO Systems’ RFID solution, missing items Jade Jewellery is now looking at additional ways all our concerns and would go unnoticed until a month or two later. to improve their systems. The team is investigating solutions to make the current RFID hanging tags enabled us to grow Periodic inventory done manually usually took 2-3 working days to audit all stores, costing valuable more resilient and tamperproof, as well as creating our business.” company time and resources. With the new RFID a mobile solution for road shows. Mrs. Sukaina H. Mackie, system, it takes about 10 minutes to audit the Owner, Jade Jewellery entire stock.” About Depco Systems DEPCO Systems a Saudi-based company with With the help of the Asset Trail-Intelligent Store headquarters in Jeddah. DEPCO Systems is application, Jade Jewellery is able to track all specialized in high-end Telecom & IT systems processes and activities relating to managing a integration. DEPCO’s core business is the profitable retail business. development of RFID solutions spanning multiple markets and subsequently has become a leader “Because we work with very expensive pieces of in Radio Frequency Identification (RFID) solutions jewellery, the company cannot risk losing any of its with several leading edge clients paving the way pieces by internal or external theft and therefore for closed loop RFID systems. The company was we needed top security, tight in-store management created in 2005 for the sole purpose of targeting and a monitoring scheme we could depend on, ” the growing need for state of the art RFID solutions continued Mackie. “Motorola’s RFID solution envisaged in Saudi Arabia and the GCC region. For together with the Asset Trail Application has met all more information on our products & solutions please our concerns and enabled us to grow our business. ” visit www.depcosystems.com Additional benefits include screen reports showing About Motorola in-store goods activity. This will capture customers’ Motorola is known around the world for innovation behavior, tastes and preferences towards the and leadership in wireless and broadband selected jewellery. Jade Jewellery can now clearly communications. Inspired by our vision of seamless and quickly establish the type of goods that are mobility, Motorola is committed to helping you popular with customers per store; this helps the connect simply and seamlessly to the people, team as they select which new lines they should information, and entertainment that you want introduce when ordering new stock from suppliers, and need. We do this by designing and delivering which can reduce stock turnaround time. “must have” products, “must do” experiences and powerful networks -- along with a full complement “By giving Jade’s management the ability to track of support services. A Fortune 100 company with sales, and employees’ activity inside the shop, global presence and impact, Motorola had sales of performance bonuses can then be justified based on US $42.8 billion in 2006. For more information about exerted efforts to close a sale with a new customer our company, our people and our innovations, please or an existing one, said Mackie. ” visit www.motorola.com “The RFID implementation has made Jade Jewellery the first and only “intelligent store” of its kind in Saudi Arabia. The RFID system monitors our daily operations in real time and allows us to apply company policies in handling goods, which has 3 CASE STUDY: Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security
  • 4. motorola.com Part number CS-JADEJEWEL Printed in USA 10/08. MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. ©Motorola, Inc. 2008. All rights reserved. For system, product or services availability and specific information within your country, please contact your local Motorola office or Business Partner. Specifications are subject to change without notice. 4 CASE STUDY: Saudi Arabia’s luxury retailer Jade Jewellery implements Motorola’s RFID technology to improve inventory management and security