RFID : ROI opportunities after the sunk cost
Name
57342515-MIT.pdf
Description
Full printable version
Size
4.34 MB
Format
Adobe PDF
Checksum (MD5)
be4ce50c98a4f9d5239c64efdd1a5d72
Author(s)
Simeonov, Teodor D., 1977-
Advisor(s)
Larry Lapide.
Alternative Title
Radio frequency identification : return on investment opportunities after the sunk cost
Date Issued
2004
Publisher
Massachusetts Institute of Technology
Abstract
Currently many alternative options exist to satisfy the RFID mandate by Wal-Mart--tag cases at the exit doors, tag all cases at the supplier's warehouse docks, tag a certain section of the warehouse, etc. The big question is how to prevent Wal-Mart suppliers from treating the cost of EPC standard-adoption from just becoming another one of those nagging costs of doing business with Wal-Mart and how the cost of RFID adoption can be leveraged to differentiate the company's products and service levels from that of the non-RFID-adopting/non-RFID-cost-incurring competition. In addition, it is worth exploring how can all of that translate into long-term comparative advantage for a consumer electronics manufacturer. By examining the different scenarios for a Consumer Electronics Manufacturer (CEM) supplier of Wal-Mart that will be RFID tagging small ticket items on a case level, this study proposes an ROI/ROA framework within which investments in RFID can be evaluated and validates through a simulated financial model that positive value exists for early adopters of RFID technology.
Description
Thesis (M. Eng. in Logistics)--Massachusetts Institute of Technology, Engineering Systems Division, 2004.
Includes bibliographical references (leaf 63).
Subjects
Engineering Systems Division.
MIT Department
Massachusetts Institute of Technology. Engineering Systems Division
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