The Penetration of RFID for Smart Digital Transformation in Supply Chain Management

1. The Penetration of RFID for Smart Digital Transformation in Supply Chain Management Experts around the globe are opinionated that Supply Chain Management (SCM) exists only because of new-age information technology (IT) which has made an IT revolution enabled supply chain management. The experts may be perfectly right. SCM, as a dominating discipline as well as profession, gained immense prominence in the 1990's. It was exactly the time when a large number of important information technologies were coming into foray. The two most significant technologies are the development of the World Wide Web and ERP (enterprise resource planning) systems. This article sheds lights on how retail supply chain management software system has reduced costs and grown sales- There are principally 6 methods that most supply chain professionals use to reduce costs. These include the following-       E-marketplaces Internet auctions RFID Digital workflow Integration of information streams ERP systems to globalize information for global operations and suppliers Digital workflow drastically reduces data entry and transmits information to the next person who is in need of it. The most comprehensively used of these is EDI which means electronic data interchange. It is a set of some specific IT standards which many different firms can utilize to share order and inventory information. The orders which are entered into the system connected through EDI fully wipe out the need to re-enter the order. The same is true and applicable on internet ordering systems, enabling customers to place orders directly into the system. Customers who directly enter orders are expected to eliminate thousands of potential data entry errors. Proper integration of diverse information streams betters visibility of inventory as well as customer demand. The same electronic data interchange systems mentioned here, and other software programmes which allow supply chain partners to share information in a seamless manner, help foreshorten over and under ordering due to unknowns. The penetration of RFID for smart digital transformation in supply chain management RFID is called the technology of the future and it has only one purpose - to create enhanced visibility in the supply chain with no need of counting or scanning. RFID tags being passive by nature can be scanned by a reader, for example, at the dock-door of a warehouse while checking in the whole pallet with no data entry. More expensive RFID tags have active nature and broadcast what exactly they are, so even the supplies/goods in transit can very easily be tracked with complete visibility. All this checks ordering goods which you either have in warehouse, and don't have any knowledge about it, or have ordered and are in transit. As a result, RFID drastically reduces labor and

2. betters inventory accuracy in the entire supply chain. Therefore, the future in supply chains belongs only to RFID technology.