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Using Hurst Exponent to Investigate the Impact of RFID Implementation on Supply Chain Dynamics

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Executive Summary

In recent years Radio Frequency IDentification (RFID) is the epochal information technology applications for the supply chain processes optimization. More and more researchers of e-Supply Chain Management (e-SCM) have devoted to measure accurately the RFID implementation benefit. This paper investigates the variability and dynamics of multi-level supply chain and proposes insights into how to manage relevant supply chain factors to exterminate or reduce system instability. In addition, the authors adopted the beer distribution model to construct the simulation model to describe the multi-level supply chain and utilized the Hurst Exponent to analyze the dynamics behavior of inventory under different factors that include lead time, demand pattern, information sharing, and RFID utilization effectualness.

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