RFID and Operations Management: Technology,Value, and Incentives

As RFID technology matures and organizations seek to deploy it in their business operations, a basic objective in the endeavor is that of extracting business value from the technology. This paper examines three dimensions of the value proposition of RFID and attempts to identify areas for further investigation. The first dimension consists of the generic architecture of RFID implementations and the drivers of value that can result from its components. The second consists of measurement issues associated with quantification of value. Since the complete benefits of RFID will only result when multiple independent organizations deploy the technology and coordinate the resulting information flows, the third dimension addresses incentives for achieving that diffusion. The collection of issues identified through this exercise offers an initial roadmap to view ongoing research and recognize additional problems for further investigation.