Do go straight to Gen 2 if you are starting RFID pilots now. Interoperability is a key advantage.

Don't overlook your RFID basics -- communication of data is still key to success. "[Users] still need to understand the physical requirements of laying out an RFID environment to minimize RF interference from hardware and to optimize read rates. Ideally, users should identify where RFID data is generated, transmitted and utilized, so business process and operational improvements -- such as better real-time visibility of products and inventories in the supply chain -- can be achieved."

Do thorough research and testing of Gen 2 products to ensure compatibility and feature support. "[D]ifferent antenna designs can perform better or worse when distance or orientation to interrogators is changed. Also consider that the amount of power the printer/Encoder requires to write data to the RFID chip is a complex function of the inlay's chip type, antenna design, and antenna size."

Do plan to support a multi-protocol environment. "The arrival of Gen 2 does not signal the retirement or obsolescence of other RFID protocols. Gen 1 tags will likely be used through 2007 until existing supplies are exhausted. And today's RFID technologies will evolve into future generations in the coming years. In addition, different protocol standards can be used for different applications, just as numerous bar code symbologies are used today."

Don't buy a short-term solution. "A flexible, configurable and upgradeable RFID infrastructure is required to support Gen 2 and beyond...."

Go here for the full list (PDF).