By-PRAVEEN SIDOLA 1021026

None of Our Business?

SUMMARY

• The case revolves around the use of RFID technology in tracking customers, in order to enhance customer shopping experience

• Raydar Electronics – Raydar is a technology firm which is into making and integrating RFID and identification tags and readers

• CEO of Raydar – Dante Sorella• There operations are mostly confined to manufacturers, and

retailers in helping them to streamline supply chain operations• Craig Davis CEO of KK stores, wants to implement RFID tracking

systems in their front end operations, hence approaches Dante for advice

• The intention is to enhance customer satisfaction and experience

• Dante raises the question of risk and threats which can arise from both the customers and the Government

• On a recent visit to the newly opened KK store, which was few blocks away from the Raydar headquarters, Dante was impressed and hence convinced about the KK’s products popularity.

• On one hand Dante is tempted to except the offer as he is able to foray in to the retail sector

• But Dante is in a dilemma as his lawyer and the company’s chief of communication officer discouraged him from accepting the proposal

Identification of concepts in the case

Achieving Superior Innovation Incremental innovation

Positioning Strategy

A company must ensure cross functional integration among R&D, production, and marketing.

Learn from experience

Research and development

Achieving superior responsiveness to customers

Problem Identification

Primary Problem• Ethical use of RFID…??? • Invasion to privacy….!!!!Secondary problems• Not so equal ground for application of RFID on the global

level due to different regulations in different countries.• Thinking only locally & not globally when it comes to

market expansion

Alternatives

1- Using alternatives other than RFID, like Biometric recognition at the shops.Merits:

• Lesser invasion to the privacy, and database is also maintained

• Access to customer information only at the stores when the customer enters the store.Demerits:

• Database is maintained, but it is not strong and detailed enough.

• May still remain a privacy invasion issue for some extremist.

Cont.• 2- Continue tagging the products with RFID

Merits:• Better inventory control, avoiding stockouts.• Faster billing system, as RFID tags can be scanned in bulk at given

point of time.• Better database, leading to customer satisfaction

Demerits:• Non-acceptances of customers in terms of invasion of privacy.• With fast moving markets and rapid change in trends, the tagged

product may become obsolete in short duration.• Mismatch of data, as the customer may not be the end consumer.

Cont.

3- Connecting the RFID tagging process with the Government, making it more transparent.

References

• An RFID can be valuable for retailers because clerks do not have to directly scan the tag like they do a barcode, and the

readers can scan up to 1,000 tags at any given time. • It is used widely in the public and private sector to assist

businesses with asset tracking and security.• Hospitals use RFID equipped bracelets and patches to track

newborn movements, prevent accidental switching of infants, reduce prescription medicine and surgical errors, and monitor the location of equipment

Cont.

• Public transportation systems worldwide use RFID equipped cards to track and bill use of the services, such as "EZ Pass" type equipment for toll roads or payment cards for mass transit systems.

Ref:www.rfidjournal.com www.naturalnews.com

Concept screening

Advantage

• The movement of inventory can be tracked - Goods can be received and shipped faster - Ease of predicting product demand - Shoppers can save time - Out of stock situations can be avoided - Shoppers get a better deal as system becomes more efficient - The right products are available at the right stores at the right time - Boost sales

Limitation

• Cost of product increased at least by 25 to 20 cents.

• Use ,Storage & Security of data a huge issue• Ethical Issue

Demarcation

• There should be proper demarcation b/w Process & Customer