The diffusion and impact of radio frequency identification in supply chains : a multi-method approach

As a promising and emerging technology for supply chain management, Radio Frequency Identification (RFID) is a new alternative to existing tracking technologies and also allows a range of internal control and supply chain coordination. RFID has generated a significant amount of interest and activities from both practitioners and researchers in recent years. However, the factors important for its diffusion in supply chains and the impact on supply chain performance have not been well understood. Many organizations are reluctant to participate in supply-chain level RFID projects because of this lack of understanding. My dissertation proposes to help understand RFID's use in supply chains through a multi-method approach - an empirical study to understand the diffusion and impact of RFID and a simulation study to understand RFID's impact on inventory accuracy in supply chains. My first study on the factors influencing RFID adoption decision showed that compatibility, trading partner's RFID capability, trading partner power, competitive pressure, transaction volume and financial resources are significant factors for RFID adoption in a supply chain context. The second study which looked into the post-adoption use of RFID for supply chain has found that adoption cost, complexity, organizational readiness, external pressure and trading partner readiness significantly influence RFID infusion, which finally improves firm's supply chain process performance. The third study used a simulation model to examine RFID's impact on inventory management in supply chains. The key findings were that the benefits reaped from RFID heavily depend on product type which implements RFID. The above findings indicate that organizations have to carefully evaluate their RFID project with different factors identified in this dissertation to successfully implement RFID and derive its full benefits. My dissertation has contributed to RFID research in particular, and supply chain technology adoption in general, by showing the importance of trading partner issues for supply chain technology diffusion and use

Internet-of-things enabled supply chain planning and coordination with big data services: certain theoretic implications

Recent advances in information technology have led to profound changes in global manufacturing. This study focuses on the theoretical and practical challenges and opportunities arising from the Internet of Things (IoT) as it enables new ways of supply-chain operations partially based on big-data analytics and changes in the nature of industries. We intend to reveal the acting principle of the IoT and its implications for big-data analytics on the supply chain operational performance, particularly with regard to dynamics of operational coordination and optimization for supply chains by leveraging big data obtained from smart connected products (SCPs), and the governance mechanism of big-data sharing. Building on literature closely related to our focal topic, we analyze and deduce the substantial influence of disruptive technologies and emerging business models including the IoT, big data analytics and SCPs on many aspects of supply chains, such as consumers value judgment, products development, resources allocation, operations optimization, revenue management and network governance. Furthermore, we propose several research directions and corresponding research schemes in the new situations. This study aims to promote future researches in the field of big data-driven supply chain management with the IoT, help firms improve data-driven operational decisions, and provide government a reference to advance and regulate the development of the IoT and big data industry.Published versio

A systematic literature review on the benefit-drivers of RFID implementation in supply chains and its impact on organizational competitive advantage

Application of Radio Frequency Identification (RFID) in managing supply chains has witnessed significant interest in recent years. However, the current understanding of the potential benefits that act as the motivating factors/drivers in implementing RFID technology (benefit-drivers), its link to competitive advantage, is fragmented and scattered across the literature. This formed the motivation of this study which seeks to address this gap in the literature through a systematic literature review. Based on a rigorous screening of the literature (2006–2018), the study develops a comprehensive understanding of the various 1) corporate-driven and 2) customer-driven benefit-drivers from RFID implementation. The “2 C” categorization of benefit-drivers is novel and should provide more impetus for practitioners to leverage from RFID implementation. Further, the link between the benefit-drivers and competitive advantage is understood and proposed in the form of a conceptual framework. Finally, avenues for future research are highlighted. The study findings and the framework provide a good starting point for academics and practitioners to further explore the opportunities in supply chain afforded by RFID

Operational inefficiencies in supply chains: performance, coordination and the role of information systems

Misplaced inventory is a major operational inefficiency in supply chains and it happens when items are not in their designated places and hard to find in a store. In this thesis, we focus on misplaced inventory and inventory shrinkage, which is a special case of inventory misplacement. Information technology is facilitating significant reductions in these opera- tional inefficiencies. However, such technologies are generally very expensive to implement. This dissertation intends to fill the gap of knowledge about the effects of operational inefficiencies in supply chains of various forms and the role of information systems in mitigating such inefficiencies that often get reflected in poor performance. We do this through three separate essays using analytical research methods. In the first essay, Coordination of a Supply Chain under Misplaced Inventory, we consider a supply chain where a proportion of the items ordered become unavailable for sale due to misplacement at the retailer. We investigate the effects of increasing the proportion of inventory availability at the retailer on the profits of the retailer and the manufacturer in vertically integrated and decentralized supply chains where we study uncoordinated and coordinated supply chains. In the second essay, Misplaced Inventory and RFID: Information and Coordination, we consider Radio Frequency Identification (RFID) technology to mitigate the negative effects of inventory misplacement. We consider both fixed and variable costs for RFID implementation and assume that the fixed cost is shared between the two using an arbitrary proportion while the variable cost could be charged to either the retailer or the manufacturer. We characterize the incentives of the parties in the supply chain to invest in RFID in vertically integrated, uncoordinated and coordinated supply chains. In the third essay, Inventory Management under Shrinkage and Customer-Driven Search, we consider a supply chain with a single supplier and two retailers under customer search experiencing shrinkage at the retailers, who face nonidentical random demands. Through a single-period model, we explore the effects of shrinkage and competition on the equilibrium stocking decisions and characterize conditions for the parties to benefit from a unilateral reduction in shrinkage

BUSINESS VALUE OF SMART CONTRACT: CASE OF INVENTORY INFORMATION DISCREPANCIES

Firms are increasingly interested in Blockchain Smart Contracts as a solution for the visibility of the digital supply chain. Blockchain can help realize the cost reductions by providing a “single version of the truth” for a firm and its trading partners. By sharing important information such as inventory levels, manufacturing performance and operations indicators, and order and shipment information, firms can eliminate the delays and uncertainties in the information that contributes to “the bullwhip effect” and inflates required buffer stock. This paper focuses on the impact of blockchain in an inventory operation to cope up with information discrepancies. We present and compare the cost differences between an existing technology (like EDI) and blockchain. Using technologies like blockchain and smart contracts will enable a more transparent, sustainable, and resilient supply chain

Healthcare RFID In Germany: An Integrated Pharmaceutical Supply Chain Perspective

Today’s healthcare environments are characterized by a variety of products, services, and associated data and information that are transferred across many healthcare sector participants. Pharmaceutical supply chains in particular are one example of fragmented information flows among supply chain participants. Pharmaceutical supply chain processes have a crucial influence on medication quality and ultimate patient outcomes. When manufacturing problems arise, temperature control cannot be maintained throughout the supply chain, counterfeit medications enter the supply chain, containers are damaged or sensitive medication is improperly transported and stored, the drugs’ effectiveness can be affected and this can result in serious consequences, including patient sickens or even death. In this paper, we analyze Radio Frequency Identification Technology (RFID), a technology that can improve communication of data and information, reduce counterfeiting, and enable monitoring of drug quality in pharmaceutical supply chains. The study is conducted in the context of an RFID platform implemented in Germany. The paper extends and complements previous studies by analyzing the RFID implementation and business value in an end-to-end supply chain process across multiple stakeholders in the pharmaceutical supply chain, from the manufacturer via the wholesaler to pharmacies and hospitals. The results confirm that RFID benefits are realized when supply chain processes are changed with the help of technology, but that different supply chain participants have different benefit realization perceptions. The analysis further reveals specific types of process changes for each supply chain participant and their corresponding benefits

Business process and technology lessons learned, recommendations and best practices for new adopters

Thesis (M. Eng. in Logistics)--Massachusetts Institute of Technology, Engineering Systems Division, 2006."June 2006."Includes bibliographical references (leaves 117-118).This thesis focuses on documenting learnings from a RFID data exchange pilot in the fast moving consumer goods industry. The pilot we studied is a collaborative effort between two of the largest retailers in the world and five of their major suppliers, facilitated by EPCglobal and the MIT Auto-ID labs. Currently, manufacturers and suppliers are building the infrastructure to exchange EPC data to validate standards and proof of concepts for RFID adoption. The outcome of these pilots will essentially set the stage for large scale RFID adoption worldwide. Our thesis attempts to document issues relating to data exchange from business process, organizational and technical perspectives. We have synthesized the findings and consolidated the lessons learned during the pilot in an attempt to form a set of actionable recommendations for new companies looking to start on RFID pilot projects.by Rida Chan [and] Sangeeth Ram.M.Eng.in Logistic

The importance of Radio Frequency Identification (RFID) for the effectiveness and efficiency of supply chain management by customer perceptions

The purpose of the paper is to examine the customer perception of radio frequency identification or RFID technology utilization in supply chain efficiency and effectiveness. Data from sample of 80 customers’ perception were collected and the model was assessed using a structural equation methodology. Findings indicate that utilization of RFID technology can help in improved supply chain efficiency and effectiveness.Data were collected during the growth stage of RFID technology adoption and were only collected respondents on downstream of supply chain sector.The paper describes one of the first empirically based studies investigating the customer perception of RFID technology implementation on supply chain performance