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Modeling the effectiveness of radio frequency identification (RFID) technologies in improving sales performance in fashion retail outlets

A. De Marco, A.C. Cagliano, M.L. Nervo and C. Rafele,    Politecnicodi Torino, Italy

Abstract:

The application of item-level radio frequency identification (RFID) technology in retail supply chains is beneficial in terms of cost savings and increased revenue. However, the economic effects of improved store operations, labor utilization and increased sales have yet to be fully explored. This chapter uses system dynamics (SD) as a means of carrying out structural modeling and simulation, to be integrated with conventional evaluations of return on investment (ROI). Building on previous research into RFID technology ...

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