Integration of RFID Technology is a Key Enabler for Demand-Driven Supply Network

Abstract

Radio Frequency Identification (RFID) technology can be considered as a key enabler of pull-based supply chain systems. In the present world, supply chains need to be responsive and supply networks need to be demand-driven. These Demand-Driven Supply Networks (DDSNs) require a new supply network technology which will enable efficient and effective time-phased integrated planning, supplier collaboration, synchronization of distribution requirements and transportation activities. Such a technology requires integration of all the systems, which collect information at various points in the supply chain, and such a system also poses challenges of collecting the data in real time, handling voluminous data, and the ability to present finer details of the data collected. Movements toward Real World Awareness (RWA) by introduction of RFID support the above-mentioned challenge of implementing a DDSN. The present study looks into the possibilities of RFID technology in supply chain information integration. It also discusses the architecture of RFID technology suitable for the requirements of DDSN.