July 12th, 2004
“The technology is a tippy-toes minefield challenge of Indiana Jones proportions”
Companies looking at RFID with a critical eye should take note of German retailer, Metro Group. The company took the RFID plunge as the first to use it throughout its entire supply chain. Scheduled to go live this fall, the roll out “is expected to halve unloading time, reduce inventory counting errors, reduce shrinkage, and avoid out-of-stock situations,” according to Nigel Montgomery of AMR Research.
But will it work? Montgomery describes RFID as "a tippy-toes minefield challenge of Indiana Jones proportions." The greatest hindrance has been the inability of suppliers to comply with the expected roll out slated for this November. Metro and key partner, IBM, invested in a testing lab to let suppliers test their RFID readiness before they commit. If they like what they see and sign up, Metro’s risky undertaking could pay off. If not, join the others trying to navigate through the minefield…
