By Tom Andel, contributing editorIf you want to know whether a technology has a future, it's always wise to follow the money. When private equity buys into something, it's considered a vote of confidence. Last week forklift-mounted radio frequency identification (RFID) received that nod when Pharos Capital Group, LLC of Nashville and Dallas acquired Rush Tracking
Systems, an RFID business process consulting and systems integration company.
Rush Tracking's plans for RFID-enabled forklift applications proved to be attractive to Pharos. Rush's approach, called VisiblEdge, eliminates operator barcode scanning by combining automatic load identification with real-time indoor positioning technology. This enables real-time tracking of inventory and shipments.
Toby Rush, president of Rush Tracking Systems, tells
Forkliftaction.com News that this infusion of capital will allow his company to put its development plans on a faster track. The next stage in development involves going from feeding pick validations to a tier 1 warehouse management system (WMS) to actually filling in for a WMS where none exists.
"We're finding a lot of places don't have a Tier 1 WMS," Rush says. "We're doing more international business, and in Mexico, for instance, you don't have all the systems and processes in place. Even in the U.S. there are operations with only four to six forklifts and no WMS. So we're fleshing out our integration to the Tier 1 WMSs by augmenting financial inventory control systems. This acquisition accelerates those plans."
Rush Tracking Systems is in the design phase of its software development now and is on track for a first quarter 2010 release. After that the company will take its offering into labor management and integrate with existing labour management systems (LMS). This is a natural evolution for a company built around RFID, Rush says.
"We have all the data an LMS would want," he continues. "We know when they're picking something up, who's driving the forklift, how far, and how fast."
Ultimately, Rush sees a time when the forklift operator will be an option. Such automatic guided vehicle capabilities may be a year or two away. In the meantime Rush Tracking will continue its R&D efforts out of its Kansas City, Kansas headquarters.
"The addition of Rush Tracking Systems to our portfolio represents a true vote of confidence in the company's management team, service and product innovation, expanding client base and growth potential for Rush Tracking Systems and the RFID industry," concludes Jim Phillips, partner of Pharos Capital Group.