Towards a Framework for Aligning RFID Applications With Supply Chain Strategies

Supply chain management has two streams of strategies, namely lean and agile. However, current RFID applications tend to overlook supply chain strategies and are designed for obvious RFID applications, like simply replacing barcodes. However, the full potential of RFID might not be achieved when RFID applications are not aligned with the supply chain strategies. Therefore, this study analyzes the current literature to investigate whether RFID applications are indeed misaligned with their strategies. Results shows that RFID is still at its infancy and most RFID applications focus on cost reduction, a lean practice, and less attention has been paid on how RFID can satisfy customer demands, an agile practice. It is therefore suggested that management should ensure that RFID applications are aligned with their supply chain strategy, in order to gain the most benefits out of RFID

RFID in the supply chain: lessons from European early adopters

Purpose Radio frequency identification (RFID) is increasingly being presented as a technology with the potential to improve supply chain performance, but empirical evidence from early adopters is sparse. This paper aims to rectify this scarcity and contribute to a more informed discussion in and between academic and practitioner communities. Design/Methodology/Approach The paper is based on a conceptual model of factors influencing the success of adoption efforts. It then reports the results of a survey of 612 European supply chain managers, focusing on the 128 respondents who have begun RFID trials. Findings A significant influence on operational deployment is the presence of mandates from key customers requiring the technology’s use. Customer mandates also impact the anticipated benefits of a faster sales cycle and of enhanced systems integration, though the relationships are complex. By contrast, greater cost reduction benefits are anticipated in two industries where mandates are less common – industrial goods and logistics. Perceived organizational innovativeness positively impacts anticipated ROI from RFID. Companies adopting a ‘slap and ship’ approach are less likely to anticipate pricing benefits than those integrating RFID into enterprise systems Research Limitations/Implications The limitations of the paper include the limited sample size of early adopters. In addition, qualitative research is needed into RFID supply chain applications and into different approaches to IS integration of RFID, to inform future survey work. Practical Implications This paper informs supply chain managers and senior decision makers who are examining the potential of RFID technology. It offers guidance on what issues to look for when adopting this technology, approaches to take and the benefits that might be accrued. Originality/Valuer This paper offers a major contribution to understanding the current status of the adoption of RFID in European supply chains. This understanding is put in the context of the wider literatures on supply chain management and the adoption of information systems and te

Critical Management Issues for Implementing RFID in Supply Chain Management

The benefits of radio frequency identification (RFID) technology in the supply chain are fairly compelling. It has the potential to revolutionise the efficiency, accuracy and security of the supply chain with significant impact on overall profitability. A number of companies are actively involved in testing and adopting this technology. It is estimated that the market for RFID products and services will increase significantly in the next few years. Despite this trend, there are major impediments to RFID adoption in supply chain. While RFID systems have been around for several decades, the technology for supply chain management is still emerging. We describe many of the challenges, setbacks and barriers facing RFID implementations in supply chains, discuss the critical issues for management and offer some suggestions. In the process, we take an in-depth look at cost, technology, standards, privacy and security and business process reengineering related issues surrounding RFID technology in supply chains

Living with power imbalance in the food supply chain

In the context of vertical agri-food industry business-to-business relationships in the United Kingdom, the majority of control lies with large multiple retailers. Predominant in agri-food channels is a reduced supplier sourcing model; category management and network supply co-ordination, through super middlemen, also are widely applied. Power-imbalanced business relationships appear important for understanding business exchanges, and power should be a central consideration in business relationships. However, imbalance in power is no specific barrier to parties entering collaborative relationships or to their success. The acceptance of power imbalances is a key step to successful relationship building in agri-food channels, and though collaborative chain activity may be beneficial, suppliers should recognise that such activity still means operating with imbalances in power and rewards

Radio frequency identification (RFID) adoption strategy for strategic supply chain

The on-going trend of applications and implications of Radio Frequency Identification (RFID) technology, and the increasing external pressures on industries operating in the global market is no doubt making RFID adoption unavoidable. This is driving many manufacturers and businesses into “immature” RFID adoption with low records of success. Whilst most existing technology adoption readiness models can help an organisation evaluate its technology adoption readiness, there is no existing model to analyse and resolve the identified barriers in RFID adoption. This paper therefore, investigates the specific RFID adoption issues confronting industries operating in the global supply chain, discusses and develops an RFID Adoption Strategy framework for successful RFID-enabled business. The paper also offers a strategic approach to timely delivery of a successful RFID adoption under global supply chain external pressures

Towards A Reference Framework For RFID-Enabled Garment SC Visibility

In the current environment organizations can no longer compete on price alone. Supply chains are becoming important, where efficiency and effectiveness play the pivotal role. RFID is a highly heralded technology in the supply chain field, which can synchronize the information flow with the material flow. However, organizations are still not widely adopting it, as the industry is missing compelling business cases to illustrate how to implement the technology and how it actually can bring benefits to the business. In this study we develop and demonstrate an innovative information infrastructure to facilitate a smooth supply chain operation. The infrastructure is designed based on an in-depth case study of a typical complete garment supply chain. SCOR model is used to ensure that the design is applicable in various supply chain set ups

Digitalization of Fresh Chestnut Fruit Supply Chain through RFID: Evidence, Benefits and Managerial Implications

This study provides evidence of supply chain (SC) management based on the digitalization of a fresh fruit-supply chain (i.e., chestnuts) using a radio-frequency identification technology (RFID). This research adopted the value-chain operation reference (VCOR) to assess the implications, issues, and benefits of the SC digitalization, and to explore how RFID can be configured regarding the VCOR blocks. Within this framework, the SC stages, processes, and operations were assessed using a tailored performance measurement system (PMS) including a set of metrics tracked, quantified, and evaluated alongside a monitoring field campaign. The results indicated that: (i) the benefits deriving from the RFID are constrained by specific organizational procedures adopted in operations management; (ii) the PMS Indicators of the centralized warehouse, balancing the inventory between the processing line and the distribution channels, presented the most significant improvements across the whole SC

The RFId Technology for Monitoring the Supply Chain and for Fighting against Counterfeiting: A Fashion Company Case Study

The purpose of this chapter, after a brief literature review, is to analyse how the RFId technologies applied by an Italian fashion firm, Oscalito, contribute to monitoring the supply chain and are a useful tool to fight against counterfeiting, enhancing the Made in Italy. In the textile sector, characterised by a short and constantly evolving production cycle, the RFId technology has enormous potential. According to Regulation (EU) No 1007/2011 on textile fibre names and related labelling and marking of the fibre composition of textile products, consumer protection requires transparent and consistent trade rules, including as regards, indications of origin. When such indications are used, they should enable consumers to be fully aware of the origin of the products they purchase, so as to protect them against fraudulent, inaccurate or misleading claims of origin. In this context, RFId technology has emerged as a valid support for the company not only to monitor the supply chain, especially with reference to inventory management, waste disposal, logistics and transport, but also to protect the Italian origin of production. This study also has some limitations, typical of the applied methodology

The Use of RFID Technologies for E-Enabling Logistics Supply Chains

"This book explores the creation of integrated supply chains, the developments of virtual business, and the processes of re-engineering for business development"--Provided by publisher

IT Deplyment Assessment: A Two-Dimensional Supply Chain Life-Cycle Management Framework for Strategic Analysis

This paper is to develop a framework for industries to analyze their information technology deployment efforts based on operational activities along the life-cycle of their supply chains. In particular, industries that is mature and with low profit margin will find this framework applicable. It is an accepted principle in these industries that efforts to streamline and reduce cost are easier to achieve than to increase an equal amount of revenue. The framework encompasses all aspects of operations and provides a complete and comprehensive view of the whole supply chain. The first dimension of the framework includes both product-related and logistics-related activities. These are activities that range from product design to production to materials movement and warehousing. The second dimension addresses product and supply chain specific types of characteristics, which vary by industry that will impact the use of new information technology such as RFID, WiMax, and CPFR. These characteristics include the bitability, modularity, and information intensity of the product, cost structure in relation to product versus logistics, and vertical collaboration or standardization opportunities. By reviewing the life-cycle activities with these characteristics in mind, an industry can establish an information technology platform to guide new IT implementations for the future