RFID‐enabled supply chain systems with computer simulation

Abstract

PurposeThe purpose of this paper is to review key points about the radio frequency identification (RFID) and the fundamental concepts of supply chain management (SCM). To understand important supply chain (SC) strategies for a complete success, main strategies are identified. Some applications of RFID in SC are briefly reviewed and three large cases of RFID implementation in SC are discussed.Design/methodology/approachProvides key elements of SCM, a brief background on RFID, and the integration of SC and RFID to generate new systems with higher level of profitability and efficiency. Three cases using computer simulation techniques for system evaluation are reviewed.FindingsThe paper finds that to make the SCM functional and successfully operational, management must be committed to high standard of performance including competitive lead times to customers, significantly reduced inventories, world‐class product quality, and reduced process and product complexity.Originality/valueOwing to the fact that a better management of a production system is related to the full understanding of the technologies implemented and the system under consideration, sufficient background on the RFID technology is provided and a SCM system including its appropriate strategies are discussed.