Understanding Radio Frequency Identification (RFID) and Its Impact on the Supply Chain.pdf

Understanding Radio Frequency Identification (RFID) and Its Impact on the Supply Chain Michael Maloni Assistant Professor of Management Black School of Business Penn State Behrend Erie, PA Frank DeWolf Director, RFID Center of Excellence Penn State Behrend Erie, PA July 26, 2006 Understanding Radio Frequency Identification (RFID) and Its Impact on the Supply Chain Abstract Fueled by initiatives from Wal-Mart and the U.S. Department of Defense, radio-frequency identification (RFID) is gaining significant momentum as a technology solution in the supply chain. Despite the considerable promise of RFID, there is still a significant lack of knowledge and clarity around the topic, however, which is possibly impeding acceptance and adoption in the supply chain. To address this problem, this document serves to educate readers on RFID topics including technology, standards, supply chain applications and benefits, industry examples, costs and ROI models, and risks and challenges. The ultimate goal of the paper is to support readers in their own assessment and development of RFID solutions. 2 of 44 Understanding Radio Frequency Identification (RFID) and Its Impact on the Supply Chain Abstract 2 Introduction 4 Objectives 6 RFID Technology 7 Reader 7 Antenna 8 Tags – Passive, Active, Semi-Passive 8 Tag Frequencies 10 Product Tagging 11 Advantages over Bar Codes 13 RFID Technology Standards 14 Supply Chain Applications and Benefits 15 Buy 16 Make 17 S