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New technologies frequently cause both disquiet and excitement in equal measure, and Radio Frequency Identification (RFID) chips are no different.
New technologies frequently cause both disquiet and excitement in equal measure, and Radio Frequency Identification (RFID) chips are no different.
These tiny radio transmitters have been suggested as suitable for tracking all manner of products, from razor blades and computer components to crates of cheese slices. Researchers in the US have even got permission from the Food and Drug Administration to implant RFID chips in people.
IT services firm Deloitte has certainly got very excited about the use of RFID tags, echoing similar levels of hype from close rival Accenture. A recent Deloitte report highlights how companies such as Gillette, Kraft and Scottish Courage Brewery have made huge savings by using RFID chips to transform supply chains.
But these figures cry out for closer scrutiny, partly because other analyses have been far more cautious - but also because Deloitte has set up its own unit dedicated to helping businesses with their RFID implementations. Amid the unlikely looking results is a claim that supermarket chain Sainsbury's has saved millions through implementing RFID.
This is the same supermarket chain that in October 2004 posted its first ever loss, specifically highlighting failures in its supply chain brought about by problems in its high-tech warehouses. And the same company that says it will close four newly automated depots and recruit 3,000 staff to stock shelves.
