SCOR model based on RFID enable Supply Chain Management Module on ERP

Well- organized supply chain management (SCM) suitably delivers exactly packaged product, quantity and product information to the specified customer at the right time. Recently, many companies have applied ERP system to manage their supply chain; however, this system has consumed much more time and resource to collect the required data in its supply chain module. Moreover, they have also gathered a wave of indicators without the powerful framework. SCOR (Supply Chain Operations Reference) model has widely used to redesign and re-engineer in many industrial sections. Therefore, this research is to propose the integrated framework between SCOR Model based on RFID (Radio Frequency Identification) and supply chain module in ERP system. The methodology was started as follows: Firstly, the AS-IS diagram analysis used to explain the supply chain operation in each unit and to define the potential operations which can be collected the information by RFID. The lean production was also applied to define the non value added activity. Secondly, RFID enabled the supply chain based on SCOR framework shrinks, reduces total lead-time and increases traceability of the products, as the real time accurate information was shared among partners. Each process of the SCOR Model is analyzed and customized with respect to the RFID application, with a deep analysis of the improvements that can be obtained with this technology. This customized and lean configuration of the SCOR model allows a targeted representation of the main processes at each level. The Key Performance Indicators (KPI’s) in the SCOR model are then used to collect the right information to monitor these processes. The SCM, using the SCOR Model based on RFID, as well as the definition of standardized KPI’s, result in a fast implementation of the ERP software. The new postal stamp distribution on the Italian territory in 2003 was demonstrated as a case study. The case study produced also some best practices such as stamps tracking, tracing and a specific warehouse layout configuration which has led to improve some performances and operations management parameters.