Rfid in Supply Chain Management

RFID IN GLOBAL SUPPLY CHAIN MANAGEMENT

Prepared for:

Dr. John Kros

LGMT 685

RFID in Global Supply Chain Management

Courtney Young

Embry Riddle Aeronautical University

Table of Contents

I. Executive Summary 3

II. Introduction 3

III. Logistics Visibility 4

IV. RFID Supports Information Use in the Supply Chain 6

V. RFID in Trade Compliance and Import-Export Management 7

VI. Conclusion 9

VII. References 10

VIII. Attachments 11

I. Executive Summary

Executive Summary

In global logistics, inefficiencies caused by the lack of visibility in the supply chain can negatively impact a company’s profitability. Inaccuracies and inefficiencies in order fulfillment and in transit errors gravely increase product costs and ultimately reduce profitability. As businesses look at ways to maximize profits and minimize losses, they are looking at advanced methods and technologies in supply chain management to improve efficiency and increase their bottom line. Companies whose businesses rely on transportation and logistics must reduce costs to remain competitive in a global environment; these companies understand the importance of streamlining processes and improving services will sustain their profitability and viability. In an effort to streamline their supply chain operations, many companies ranging from manufacturers, third-party transportation and logistics providers are now looking to Radio Frequency Identification (RFID) technology to enhance their transportation processes by providing total visibility in the movement of their products to its final destination. RFID automates the tracking processes that are required for an expedient and more accurate supply chain logistics. According to Motorola (2011), many transportation and logistics companies are using RFID to realize almost 100% receiving and order accuracy; 99.5% inventory accuracy; and 30% faster order processing and 30% reduction in labor costs.

II. Introduction

Wikipedia...