Target To Use RFID In Backroom

Discussion
Feb 24, 2004
George Anderson

By George Anderson


Target wants its largest suppliers to have radio frequency identification (RFID) tags on pallets and cases by spring 2005 and everyone else to have the tracking technology in place by spring 2007, reports the Star Tribune.


“As we plan our technological strategic direction for 2004, we will move forward to build our supply chain infrastructure to support RFID. We will make the best use of these technologies to benefit all our partners in the retail supply chain,” Paul Singer, senior vice president and chief information officer, Target, wrote in a letter to the company’s vendors last week.


Target’s announcement that it will transition to RFID follows Wal-Mart’s lead. The home improvement product retailers, Home Depot and Lowe’s, are expected to follow according to the Star Tribune report.


Moderator’s Comment: What will Target’s announcement mean for RFID adoption by the industry?


The retailer is not asking vendors to do away with bar codes, just yet. Target has asked vendors to “place RFID tags on pallets and cases as a supplement
to bar codes — but not a replacement,” according to the newspaper account.
George
Anderson – Moderator

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