Using System Dynamics to assess the impact of RFID technology on retail operations

▶ Analyzing the economic impact of item-level RFID technology with System Dynamics. ▶ The case of a leading Italian fast fashion retailer is explored. ▶ Simulations reveal that RFID implementations are able to reduce operational costs. ▶ Results also show that RFID technology contributes to increase sales and revenue. ▶ The approach may be applied to other complex and highly volatile industries.