Strategic use of RFID in Enhancing Supply Chain Management (SCM)

Abstract

In the 21 century business landscape characterized by global markets and hyper-competition many business organizations are beginning to appreciate that the real competition among the firms actually boils down to the competition between their respective supply chains. Traditional Supply Chain Management (SCM) has many limitations like inability to tack the raw materials, finished goods, ineffective inventory management, shrinkage, theft, lack of timely information, to name a few. Radio Frequency Identification (RFID) technology is helping the business organizations in overcoming the above mentioned weakness and providing inventory visibility throughout the supply chains. RFID is a revolutionary technology that is providing great cost savings to the supply chains of many organizations in manufacturing, logistics, distribution and retail operations. This paper is a case based study of the
strategic use of RFID in enhancing Supply Chain Management and also the challenges to its universal adaptation.