Collaborative Design of RFID Systems for Multi-Purpose Supply Chain Applications

19 Pages Posted: 4 Jun 2010 Last revised: 1 Sep 2015

See all articles by Hongyan Dai

Hongyan Dai

Central University of Finance and Economics

Jing Xu

Tsinghua University - Department of Industrial Engineering

Date Written: June 2, 2010

Abstract

One of the key challenges for implementing RFID systems in supply chain management is the difficulty in economic justification. Such difficulty is further amplified by its public participation nature as multiple self-interest beneficiaries may receive diverse paybacks, and their incentives to join the system are difficult to align. This paper aims to address these problems by a collaborative design from two aspects. First, we propose to introduce a centralized planning mechanism in the chain to facilitate the participation, so that the cost of the overall system can be minimized. Second, we propose to analyze the multi-facet economic return from multi-purpose applications to achieve the full potential of RFID systems. To illustrate our approach, its application for inventory inaccuracy and product recall in RFID system is presented.

Keywords: RFID, collaborative design, economic justification, centralized planning

Suggested Citation

Dai, Hongyan and Xu, Jing, Collaborative Design of RFID Systems for Multi-Purpose Supply Chain Applications (June 2, 2010). Available at SSRN: https://ssrn.com/abstract=1619243 or http://dx.doi.org/10.2139/ssrn.1619243

Hongyan Dai (Contact Author)

Central University of Finance and Economics ( email )

No 39. Xueyuan South Road
Haidai District
Beijing, 100081
China

Jing Xu

Tsinghua University - Department of Industrial Engineering ( email )

Beijing
China

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