RFID-based Supply Chain Event Management

Supply chain event management (SCEM) systems aim at detecting the occurrence of negative events -such as a delayed shipment -and suggesting measures that help limiting negative implications. The main functions of such a system include process monitoring, proactive notification of process managers in case of deviations, simulation of the effects of the event on the process, providing options for action. By monitoring processes over a longer period SCEM generates measurement data that facilitates process improvement. The effectiveness and efficiency of a SCEM system depends on the quality of the available data, which in turn is related to the identification and data capture system used. radio frequency identification (RFID) as an automatic identification and data capturing technology (AIDC) is used to enhance visibility in supply chains. The paper provides an overview of the current state of research in the field of SCEM. In the following a RFID-effect-framework is developed, that explains how the technology leads to higher process efficiency and information quality or promotes new processes. The paper then analyses how RFID supports the functions of SCEM in various ways and enables shorter control cycles thus reducing costs resulting from the handling of deviations while improving overall service levels.