IBM and Metro collaborate to use RFID to improve customer service and operational efficiency
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IBM today announced that it has cooperated with Metro Group to use RFID technology in Metro stores to improve the visibility of in-store products and supply chain efficiency. The two companies have successfully applied RFID to track goods from suppliers to warehouses, distribution centers and stores, and are also launching an innovative, customer-centric RFID project in the Metro Galeria Kaufhof department store.
Metro and IBM started cooperating on RFID projects as early as 2003, hoping to use this technology to improve operational efficiency and customer shopping experience. As part of the cooperation, Metro adopted IBM retail industry expertise, industry-leading software and RFID solutions.
“Our cooperation with IBM is a strategic part of Metro’s RFID project,” said Dr. Gerd Wolfram, Director of Metro Information Technology. “Innovation is the center of our strategy. Our RFID application improves operational efficiency and customer shopping experience.”
Focus on the supply chain
IBM and Metro recently completed the largest RFID project in Europe. The system allows Metro to track goods from suppliers to warehouses and distribution centers, and then to more than 200 supermarkets and stores in Germany, increasing the product on-shelf rate.
The clerk uses the handheld to find a specific color and size
Before leaving the supplier and Metro distribution center, an RFID tag is affixed to the pallet shipped to Metro Cash & Carry and Real stores. The store receives the goods and scans the label. The read data is sent to Metro’s commodity information system using IBM WebSphere Premises server in real time, which can collect and analyze RFID information.
RFID smart shopping
Metro Galeria Kaufhof and IBM collaborated to develop an RFID system to improve customer service, which was installed in the Galeria Kaufhof store in Essen, Germany. As part of a pilot project, more than 30,000 men’s clothing stores have installed UHF Gen2 RFID tags.
Use the touch screen to understand clothing information
Employees use this system to locate the clothes shoppers are looking for and monitor inventory to ensure that some well-selling clothes are in stock. The store is also installing an RFID-related system in the fitting room, which can not only identify tags, but also display information on the clothes to be tried, such as prices, materials, and maintenance points on the screen.
Use smart mirrors to understand clothing information
A group of experts from IBM Global Business Services designed the software architecture of this system and conducted in-depth analysis on how to better apply this system. IBM has also developed an information system for the Galeria Kaufhof store, which reads RFID tags to provide real-time information about inventory, and can also produce relevant reports based on business operations.
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