Trigo, Rhesel Kate E.

BSA - 2nd Yr
09597 OM&TQM 8:00-9:30 pm MW
Mrs. Julieta A. Fabio, MBA
Case Study - Chapter 3

CASE ANALYSIS

Case Questions for Discussion

1.) How does RFID compare to bar coding?

RFID compared to bar coding has a scan time estimated to be 2 over
100ths of a second, or basically instantaneous. RFID systems also include
readily located inventory, fewer required inventory audits, and reduced
misplacements and theft.
2.) What is the economic payback in years for this possible RFID adoption? (Hint:
There are two benefits that can be quantified - labor savings due to faster scan
times and misread savings. Annual benefits divided by economic benefits equals
payback.)
The economic payback in years for this possible RFID adoption is
estimated 1 year, 3 months, and 2 weeks. The equation for solving the economic
payback is annual benefits divided by economic benefits equals to payback.
3.) What are the risks of adopting new technology too early? Too late?
The risks of adopting new technology too early is that it may not be
applicable to your business. Applying and changing technology without proper
assessment of the pros and cons could lead the business to failure or
bankruptcy. On the other hand, the risks of adopting new technology too late
could also lead the business to failure and bankruptcy due to not being able to
reach the expectations of the customers. Either way, it is a big loss to the
business or company. Therefore, a business or a company, when it comes to
adopting new technology, must adopt right on time. They should always be
updated and pay attention to the industry they are in at the same time to their
target market.
4.) What do you recommend Mr. Bracket do in the short and long terms? Explain
your reasoning.
What I can recommend to Mr. Bracket to do in the short term is to at least
try what RFID really is. Adopting it in a short term would benefit him. It could
either be the best solution in winning back Wolf Furniture business or not.
Nevertheless, he acquired RFID for only a short term so he can still go back to
bar coding. For the long term, Mr, Bracket could settle with what he and his
employees were used to. In this way, little by little, the operations are still going
on despite the loss that had happened. There is still an inflow of money. Then
maybe, if Mr. Bracket and his employees are now used to RFID and can see its
advantages and importance to the business, they can now switch and adopt the
new technology.