Implementation Of Rfid Technology In Supply Chain Management

The globalizat ion of markets and new technological innovations exert influence on the development of new models and structures in supply chains. The role of integrated supply chain will strengthen in the future that will init iate a new role in functioning and development of marketing channels. The processes of globalizat ion of markets will fully promote a numerous horizontal and vertical integrations in the supply chain management. Integration of the total supply chain of products is focused on retailers th at are able to estimate accurately future sales trends. Electronic commerce business activities relate to the interaction between the various participants along the supply chain. Implementation of RFID (radio frequency identification) revolutionizes supply chain management by making it more efficient, thanks to the movement of product information between participants in the supply chain. RFID technology leads to fully reliable solutions through secure identification and monitoring of products in supply chains. These changes in supply chains come with implementation of global standards GS1 EPCglobal, which consists of a combination of radio frequency identification, using the existing communication networks and electronic product coding. Thanks to the new GS1 EPCglobal system, opportunity for identifying a unit of the product is created along the entire supply chain in marketing channels. RFID technology has completely changed the interrelationship in the supply chain management due to global standards of radio frequency identification GS1 EPCglobal.