9/24/2014
SUPPLY CHAIN
MANAGEMENT
ASSIGNMENT
RFID technology is an emerging technology that has the potential to revolutionise supply chain management Anoop Kamboj (GMAY14IT066)
S P JAIN SCHOOL OF GLOBAL MANAGEMENT
Table of Contents
Introduction .................................................................................................................................................. 2
How RFID can revolutionize supply chain management? ............................................................................. 2
Problems related to RFID .............................................................................................................................. 4
Conclusion
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It provides accurate data regarding the flow of product to both retailer and manufacturer. This further enables the improvement of each stage of supply chain. Another alternative available is bar code but due to certain limitations, RFID is a better bet and hence the popularity has increased. The greatest use of RFID can be found in the area of supply chain management where the whole process can be automated and controlled.
RFID can improve the supply chain process to a great extent in spite of the technological and social difficulties faced by the end user. RFID can help the implementation of the innovative processes like the Supply chain event management, corporate planning, forecasting and replenishment. RFID accelerates the processes of Supply Chain but at the same time increase the requirements between suppliers and retailers.
How RFID can revolutionize supply chain management?
RFID enables the process improvements in each stage of the supply chain and revolutionize the process as a whole. Dissecting the processes involved in the supply chain, the importance and the impact of RFID on roles can be discussed below as:
Production Control: In production, each item is given its own RFID tag. This tag contains an EPC (Electronic product code) which contains the relevant product information like batch id, serial no. , expiry date etc.
Given the facts in the case and as outlined in more detail in this case study, it is our recommendation that Mierdorf and Wolfram move to the case level RFID tagging process. The improvements up and down the supply chain in accuracy, inventory control, reduced labor costs are enough to at least continue with the RFID
Strong investment in Information technology to streamline information flows and product flows along supply chain(RFID, Retail-Link system)
RFID systems are currently being used in manufacturing plants to track parts, stay informed of work in progress, reduce product defects, increase throughput, and manage production of given products. Big name retailers such as Best Buy, Metro, Target, Albertson’s, Hewlett Packard, and Wal-Mart are leading the way in implementing RFID systems. These retailers recognize the need to improve inventory efficiency, ensure products are available to customers as needed, decrease theft, and cut down on costs associated with tracking and processing inventory.
However, it is important to mention about an active RFID technology in order to understand why it is not suitable for the case of the production in-house logistics. Active system provides constant visibility of inventory, they are placed in the zones wherever inventory needs to
PRADA has long been adopted management information systems into most of their business part including manufacturing, sales, and human resource management. PRADA has Group information technology director who primarily responsible for the management of the Group’s information technology system. In 2000s, by using radio frequency identification (RFID), PRADA tried to controls manufacturing system, inventory, warehousing, distribution, logistics, automatic object tracking and supply chain management. What PRADA expected from RFID technologies were improve the potential benefits of supply chain management through reduction of inventory losses, increase of the efficiency and speed of
The RFID is considered a significant improvement over the conventional barcode, which needs to be read by scanners in "line-of-sight" fashion and can be stripped away if the paper product labels get ripped or damaged. RFID can also facilitate inter-organizational E-commerce initiatives such as continuous replenishment or vendor-managed inventories (Smaros and Holmstrom, 2000).
The RFID system will open new sales opportunities to larger markets such as the Department of Defense (DoD) and Wal-Mart. Who are now demanding that RFID tracking as a condition of contracting.
RFID data is visible and trackable across the supply chain and reduces scanning error, stockouts and the labour required to move inventory (Shin & Eksioglu 2014, p. 633). Importantly, as Concept2creation (n.d.) shows picking and scanning cartons from the cages is labour intensive and requiring audits. Alternatively, RFID transmitters on pallets and cages, can automatically be scanned upon receipt. Cartons without RFID can be placed in totes to be tracked internally (Michel 2014,
Radio Frequency Identification Detection (RFID) is a technology that involves a silicon chip and an antenna, which together is called a TAG. The tags emit radio signal to devices that are called readers. One of the things that is important to know about the Electronic Product Code (EPC) is that some people use RFID and EPC interchangeably, but they are different.
Variations of RFID technology have been in use since the 1940 's. RFID is an acronym for radio frequency identification. In application RFID is the use of radio signals to wirelessly track and identify tags that have been placed on an item. RFID is an emerging technology that is helping transportation companies, retailers, and manufacturers decrease handling times of goods and increase efficiencies at factories, warehouses, and store fronts by tracking objects with greater flexibility and less human involvement. RFID technology is unique and more adaptable than other tracking systems because it does not require a direct line of sight between the scanner and the object being identified. RFID systems can also identify more than one object simultaneously. This flexibility and efficiency adds the type of value that is paramount in just in time principles. This paper will describe RFID technology in detail, and discuss its current uses in security and access control, toll roads, and supply chain management.
RFID, or radio frequency identification, is the new system that is replacing the use of barcodes. RFID tags allow users to more quickly obtain information from the object that the RFID tag
The information for the RFID system is generated when an item leaves the store shelves and is purchased and paid for at the counter. Once the payment is made the RFID system generates the system and sends it to the host system and to some of the other system at the enterprise levels that would require the information to take decisions and to correlate accounts and inventory details. The full details of the transaction data is read by the readers and transferred to the host system which also show the ways it was sold the way the payment was made and at what time the sales was concluded.
While Intel remains a leader in technologies, the manufacturing processes used are dated, and need to be changed. By implementing RFID technology within Intel warehouses, the company can find gaps within the supply chain, and develop solutions
Barcoding is governed by Universal Product Code UPC whereas RFID is governed by electronic product codes EPC. In its evolution Barcodes were categorized as 1D, 2D and 3D with increasing capacity to store information like manufacturer, product type, batch number etc. Similarly RFID has Active and Passive tags that are being chosen according to the necessity and level of security. An Auto-ID system implementation to a warehouse or a facility takes into account strategic,
• 1. Become familiar with RFID technology and its potential uses in Harley-Davidson’s supply chain using the information presented in this chapter and information you obtain through the Online Companion links, your favorite search engine, and your library. In about 400 words, evaluate the advantages and disadvantages for Harley-Davidson of replacing its bar codes and scanners technology with RFID.