The Hangzhou Cigarette Factory has adopted an RFID supply system and this week completed initial tests of the network.

The implementation team, consisting of experts from both home and abroad, believes that the RFID system used by the factory has reached an advanced level in the domestic market and should be promoted in Zhejiang Province as a best-practices example.

The Hangzhou Cigarette Factory initiated the RFID management system in November 2003. Through a year's trial operation, the system was found to have good performance and worked well with the factory's existing ERP system.

The company says complicated stock management and logistics cycle.