Using RFID to overcome inventory control challenges: A proof of concept

Abstract

Using a Proof of Concept approach, this paper examines RFID's impact on inventory control of a small-to-medium retailer. Results indicate that RFID technology can function effectively in a small-to-medium hardware environment. Also, the majority of the simulations recorded reasonable read rates even though the simulations were set up over a short period of time without a great deal of fine-tuning. Moreover, RFID could have a positive impact on the inventory-related processes of the organisation by either streamlining or formalizing them and facilitate the electronic storage of information captured in real-time, relating to the movement of stock and the amount of stock held, providing visibility to members of the organisation. Despite these encouraging findings in relation to using RFID for inventory control purposes within the small-to-medium retailer, it is recommended that other alternatives aimed at improving the inventory control practices of the organisation be investigated before committing to the implementation of RFID. © 2009 Springer Berlin Heidelberg.