Radio frequency identification (RFID) technology is expected to become a critical and ubiquitous infrastructure technology of logistics and supply chain management (SCM) related processes and services. Low-cost has been the key to RFID adoption in many logistics/SCM applications. However, the deployment of such tags may create new threats to user privacy due to the powerful track and trace capabilities of the tags, in addition to tag/reader manufacturing challenges. As a result, some security mechanisms must be imposed on the RFID tags for addressing the privacy problems. This paper provides detailed discussion on our proposal of a lightweight RFID security protocol. It examines the features and issues through experimental analysis pertinent to efficiency and scalability to meet the requirements of the proposed security protocol in metering and payment e-commerce applications.