ROI Analysis Moves RFID from Compliance to Corporate Asset
Xterprise Incorporated, a leading solutions provider for the "RFID Enabled Supply Chain," announces the addition of skudynamiX™ to its suite of RFID solutions. skudynamiX™ allows suppliers in the retail value chain to accurately determine which products should be targeted to generate Return on Investment (ROI) from RFID implementation.
Dallas (PRWEB) August 17, 2005 -- Xterprise has positioned the new offering
for product suppliers with current RFID infrastructure, and suppliers starting
to develop RFID solutions. Both can reap the same ROI benefits by using
skudynamiX™, which is empowered by using an application by TrueDemand.
TrueDemand is the industry leader in RFID based value generating applications,
and recently announced a technology partnership with
Xterprise.
Through industry research, Xterprise
determined that many suppliers shipping RFID tagged products did not consider
ROI or business practices in their rollout plan. The research also shows only a
small number of suppliers with current RFID infrastructure are reviewing and
using their retailer’s RFID read data. Because of this limited insight, they are
not able to use their retailer’s data to create value, delaying the opportunity
to improve their supply chain.
"We understand the
cost of RFID affects a supplier's ROI, so we have created skudynamiX™ to allow
suppliers to fully utilize their RFID resources and financially improve their
supply chain" said Tom Abraham, Director of Solutions at Xterprise. "For
customers just starting to define their approach to RFID compliance, we can
bring significant value by assisting the selection of products to tag and
developing a strategy to get the best ROI from RFID. The combination of our
execution and planning solutions will deliver a strategic advantage for
suppliers in the retail value chain."
During the
first step of ROI assessment, Xterprise combines use of the TrueDemand
application "SKU Analyzer" and Xterprise's industry leading RFID implementation
best practices to provide customers with a roadmap for ROI, focused on value
capture. Candidate SKUs are selected and supply chain metrics are reviewed for
each SKU to understand if further improvement opportunities are present.
The second step is implementation of TrueDemand
applications that provide planning, forecasting and replenishment solutions to
generate ROI. Xterprise uses it's TraX™ retail RFID read analytics application
to prepare and present the RFID information to TrueDemand’s demand signaling
applications and allow optimized orders and replenishments.
This complete ROI assessment allows a supplier to
quantify financial results of changes to their RFID strategy not only for the
first year of adoption but also future years. The ROI assessment supports SKU
specific decisions such as which items to tag, based on seasonal demand and
promotions performance; not just assessments related to the aggressiveness of
adoption or RFID.
"Suppliers are starting to go public with information
regarding the attractive ROIs they are generating by using the RFID data to
better monitor and predict demand of product, some have publicly stated 25%
returns," said Dean Frew, CEO of Xterprise, speaking of firms who have adopted
these practices. "We are working with suppliers on maximizing the saleable value
of their inventory."
The company began offering the skudynamiX™ solution to
clients in July with pricing based on the number of SKUs to be evaluated and
complexity of their merchandising strategy.
About Xterprise
Xterprise Incorporated develops RFID supply chain solutions and has been
chosen by the many of the worlds most respected supply chains and fastest
growing companies as an RFID solution provider. Xterprise blends best practices,
supply chain processes, material handling, RFID system hardware and application
software, enterprise systems integration, data analytics, demand signaling
applications and remote solution support. This provides the industry benchmark
for system ease of use and lowest cost per case solution in the markets they
serve.
Xterprise works with other industry leaders in
logistics, RFID, and supply chain management, including Alien Technology, Zebra
Technology, Symbol, Apriso, Red Prairie, TrueDemand, DPI and others.
Xterprise is headquartered in Carrollton, TX. For
more information, visit www.xterprise.com or call
972-690-9460, ext. 300.
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Source : http://www.prweb.com/releases/2005/8/prweb273368.htm