Implementing advanced
information technology enhances
the effectiveness and efficiency
of supply chains. Enterprise
Resource Planning (ERP),
Electronic Data Interchange
(EDI), Supply Chain Planning
(SCP) and now RFID are all
technologies that are helping
supply chain partners to integrate
their operations and strategies
to lower the total system costs
and to achieve a high customer
service level. Large retailers see
the potential of RFID and claim it
will also benefit their suppliers in
the long term. Suppliers, however,
are more reluctant to invest in
this emerging technology. Viewing
RFID as ‘stages of integration’
is useful towards aligning
technical and business objectives
that are consistent with an
organization’s willingness to take
risks. A ‘stages of integration’
approach also provides an overall
architecture to assist in the
development of a robust RFID
system.