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AMR Research on the Auto Industry and RFID
New survey data from AMR Research sheds light on why the automotive industry isn't embracing RFID more enthusiastically to cut down on the wildly inefficient process of replacing nondisposable containers, a process that costs the industry an estimated $1.4 billion annually. This article elaborates.
Nov 04, 2005—This article was originally published by RFID Update.
November 4, 2005—AMR Research reports that the automotive industry loses as much as $1.4 billion annually to the process of replacing nondisposable containers. It represents a huge opportunity for the application of RFID to improve a costly, inefficient process, thereby saving an industry very meaningful sums of money. But by and large, the auto industry isn't looking to RFID as a solution. AMR teamed with the Automotive Industry Action Group to survey 70 suppliers about the issue. Despite the fact that a full 75% of respondents complained about the container tracking process, 41% have no plans to use RFID. Here are some of the reasons why:
More on the survey from AMR Research
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