Walmart RFID Technology

Walmart and the United States Department of Defense (US DOD) mandate their vendors to use RFID technology by 2005. The Walmart RFID technology strategy is to leverage EPC and ISO compliant RFID standards. "Keep it simple" is the message Linda Dillman (WalMart CIO) delivered to technology vendors at the Walmart RFID Technology session.

WalMart's supply chain partners will find benefits in the additional sales revenue generated, due to improved out-of-stock levels. Lower operating costs will be realized through labor reduction and efficient business processes. For Walmart suppliers, using RFID technology is more than just about compliance with the mandate. The suppliers will create a return on investment within their own operations as well as for Walmart.

Walmart's leadership is clear to the RFID technology vendor community that "the first to market wins" (and wins big). The Walmart compliance market is off and running. RFID technology vendors must develop effective strategies in the immediate future to meet the specific requirements of Wal-Mart and their suppliers.