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Hype & hope for RFID in Distribution

Significant barriers to rapid adoption remain

June 25, 2005

Today, radio-frequency identification (RFID) technologies are being widely touted as the next major breakthrough in inventory management. Despite the rosy projections, wholesaler-distributors should be wary of the hype given substantial uncertainty about technological feasibility, costs, and the willingness of supply chain partners to embrace this technology.

Companies in many industries are experimenting with RFID for supply-chain applications. Pallets, cases or even individual items can be uniquely identified and tracked as they are manufactured, transported, purchased and used or consumed. Inventory quantities and locations can be precisely pinpointed, making it possible for products to pass through the entire supply chain ...

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