Xterprise has said that the pilot has been designed to enable American Apparel validate the solution’s store item, level inventory and operations management capabilities in an actual store environment.

American Apparel uses a vertically integrated business model, which minimizes the use of sub-contractors and offshore labor. With over 225 retail stores, American Apparel is looking at establishing a repeatable, scalable store item level inventory management.

Doug Wallace, chief operating officer of Xterprise, said: “We are excited about the prospect of helping American Apparel to manage out-of-stock issues and item level security in their stores. American Apparel is a recognized leader in the use of RFID technology to solve business problems.”

The Clarity-ARS Store Inventory Management from Xterprise uses Microsoft BizTalk Server 2006 R2 and its BizTalk RFID capabilities, providing scalability. American Apparel will also be able to use business intelligence to respond to stock movements and in-store consumer behavior.

David Gruehn, US retail industry director at Microsoft, said: “Xterprise’s Clarity-ARS Advanced Retail System solution, using Microsoft BizTalk RFID, will help American Apparel optimize inventory availability on the selling floor and respond more effectively to shoppers wants and needs in a way that will differentiate their experience at the local level.”