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RFID boost for mySAP SCM

The latest version mySAP supply chain management software includes support for RFID and real-time response replenishment, a feature allowing retailers to respond to customer requests quicker than ever.

SAP yesterday announced new RFID technology for its mySAP supply chain management (SCM) application, and a response replenishment feature designed to allow retailers and suppliers to fill orders quickly.

The new RFID technology is built into the SAP Auto-ID infrastructure, which is part of NetWeaver, the company's strategic integration platform. The added support allows MySAP SCM applications to support RFID specifications from state and federal agencies as well as from retailers such as Wal-Mart.

We think that RFID technology will change the course of business in the future.
Jeff Woods
analystGartner Research

Jeff Woods, an industry analyst with Stamford-based Gartner Research, said SAP offers the most complete RFID package when compared to other large vendors. He stressed that companies should take a cautious approach to investing in the new technology, which uses tiny microchips to track products and goods in the supply chain.

"SAP has certainly been ahead of other vendors with RFID," Woods said. "The company has made a big investment in the technology and has produced a complete package that should be considered by enterprises."

For more information

RFID update

Crash Course: SAP APO

Yesterday's announcement also included enhancements to SAP's APO (Advanced Planning and Optimization) features to provide a feature called response replenishment. That should allow companies to view and update orders and customer requests several times a day.

"We think that RFID technology will change the course of business in the future," Woods said. "We believe that changes in managing the supply chain are beginning and will take place over the next several years."

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