Most of the attention surrounding EPC®-enabled RFID in the apparel industry focuses on what happens in the store, specifically how item-level tagging helps streamline receiving, replenishment, and inventory management.
These use cases are certainly worthy of the attention, as EPC-enabled RFID has been documented to reduce inventory cycle counting time by 96 percent, raise inventory accuracy from an average of 63 percent to 95 percent, prevent up to half of out-of-stocks (OOS) at retail, and increase sales lift between 2 percent and 20 percent as a result of better on-shelf availability.
These impressive benefits highlight the tremendous value item-level tagging can provide, but they are only part of a bigger picture.
By looking upstream into the supply chain for more opportunities to use EPC-enabled RFID, apparel manufacturers can anticipate additional cost savings and efficiency improvements.
Think about the benefits listed above. EPC-enabled RFID does not provide them directly. Instead, it enables the processes that provide the benefits.