Abstract
In recent years, the use of radio frequency identification (RFID) within supply chain management has received considerable attention. A significant upfront investment together with uncertain return on investment, however, remain impediments to deployments of RFID systems. This paper proposes a novel approach to analyze the potential benefits of RFID systems. We suggest deployment strategies that determine an optimal location of RFID within a supply chain network. The resulting models can be used to evaluate the value of information with respect to item losses. In addition, we discuss methods for solving the resulting large-scale optimization problems, and analyze how various system characteristics impact optimal deployment strategies as well as the overall RFID benefits.
| Original language | English (US) |
|---|---|
| Pages (from-to) | 71-83 |
| Number of pages | 13 |
| Journal | International Journal of Production Economics |
| Volume | 125 |
| Issue number | 1 |
| DOIs | |
| State | Published - May 2010 |
Keywords
- Facility location
- RFID
- Supply chain management
ASJC Scopus subject areas
- Business, Management and Accounting(all)
- Economics and Econometrics
- Management Science and Operations Research
- Industrial and Manufacturing Engineering