How RFID will impact supply chain networks

Radio Frequency Identification (RFID) is a technology used to describe a system that transmits the identity of an object wirelessly. An RFID network includes RFID tags, the tag reader, and RFID middleware that translates and integrates data for enterprise applications. This article focuses on how RFID will affect companies' current business systems and supply chains. We review the classic Beer Game simulation to identify significant RFID issues. We introduce the key components and concepts of RFID application and summarize the benefits and risks of RFID. Based on the issues we identify in the Beer Game analogy, we suggest a RFID integration model to demonstrate different influences from different degree of integrations.