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Assessing those eager to lend a hand

Staff -- Manufacturing Business Technology, 8/1/2004 6:00:00 AM

If your supply chain's resident gorilla is pressing for compliance with its RFID initiatives, more than a dozen service providers can speed implementation, but engaging with them poses varying degrees of risk, according to the first-ever risk-assessment profile from Boston-based AMR Research.

"Short-term compliance pressures are considerable enough, but the long-term strategic potential of RFID creates a pressure all its own," explains Dana Stiffler, an AMR analyst. "The best consultants address client-specific requirements with tactical advice and road maps, but they also navigate RFID's place in the context of broader demand-driven supply network initiatives."

Stiffler says the consultants are being called in because solutions from ERP vendors "are underdeveloped." Providers like Atos Origin and Intelligroup—which have preexisting relationships with ERP provider SAP, for example—will fare better as ERP becomes the repository for data aggregated from RFID applications, Stiffler maintains.

IBM Globaland Accenture have some of the more complex reference projects with consumer products companies, and scored highest in the AMR risk matrix (see graphic). AMR also identifies the Syntegra managed services RFID solution from British Telecom as moderate- to high-risk, but notes that the company has invested largely in global RFID infrastructure and alliances with RFID technology companies.

Across the board, consultants are investing heavily in RFID expertise. "The reason for such broad agreement about the opportunity is that RFID affects so many entities: consumer goods manufacturers, distributors, logistics companies, retailers, and all U.S. Department of Defense suppliers," explains Stiffler.

Looking at RFID implementation solutions from the perspective of offerings and company attributes, the AMR report found 10 of the top 13 consultants had RFID as a top strategic initiative; eight had "larger than average" sales & marketing budgets aimed at RFID implementation sales; and 11 of 13 had some C-level participation in pursuing new business.

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