Improving the Retailer Industry Performance Through RFID Technology: A Case Study of Wal-Mart and Metro Group

Abstract

This study focuses on RFID and its implementation at two retail chains, Wal-Mart in United States (U.S.) and Metro Group in Europe, who have successfully implemented this technology. It identifies the impact of RFID on improving supply chain performance in the retail industry. The researchers have concentrated on both explorative and indicative studies in an effort to understand the impact that the adoption of RFID technology will have on improving the performance of the supply chain by comparing two different case studies. This research study has found that coordination and integration operations are important for inventory management and related operations, and they are also important factors that contribute to performance improvement in both case studies. In addition, this research study has found that RFID's information-sharing support for buyers in the supply chain has promoted the accuracy of purchasing forecasts. Finally, it is found that RFID has provided increased flexibility of operations, using smart shelves and reducing the cost of inventory management.