Radio Frequency Identification: Supply Chain Impact and Implementation Challenges

Radio Frequency Identification (RFID) technology has received considerable attention from practitioners, driven by mandates from major retailers and the United States Department of Defense. RFID technology promises numerous benefits in the supply chain, such as increased visibility, security and efficiency. Despite such attentions and the anticipated benefits, RFID is not well-understood and many problems exist in the adoption and implementation of RFID. The purpose of this paper is to introduce RFID technology to practitioners and academicians by systematically reviewing the relevant literature, discussing how RFID systems work, their advantages, supply chain impacts, and the implementation challenges and the corresponding strategies, in the hope of providing guidance for practitioners in the implementation of RFID technology and offering a springboard for academicians to conduct future research in this area

A Comparison of Information Technology Mediated Customer Services Between the U.S. and China

Information technology mediated customer service is a reality of the 21st century. More and more companies have moved their customer services from in store and in person to online through computer or mobile devices. Using 442 responses collected from one USA university (234 responses) and two Chinese universities (208 responses), the study investigates customer preferences over two service delivery models (either in store or online) on five types of purchasing (retail, eating-out, banking, travel and entertainment) and their perception difference in customer service quality between those two delivery models in the U.S. and China. The results show that the majority of the U.S. and Chinese students prefer in-store and in person for eating out and prefer computer/mobile devices for ordering tickets for travel and entertainment. In addition, more than half of the U.S. students prefer in person services for retail and banking, and this number reduces to 40% for Chinese students. In most customer service quality measurements, the results also show that Chinese students give higher ratings for ordering through a computer/mobile device than ordering in store, indicating ordering through computer/mobile devices has become more acceptable in China and has been perceived as having better customer services quality than in-store ordering

An Exploratory Study of RFID Implementation in the Supply Chain

The purpose of this paper is to investigate the barriers and motivations for adopting radio frequency identification (RFID), the level of RFID implementation, the processes RFID is utilized in, and issues in the deployment of RFID. A survey instrument was developed based on a literature review. The survey was then distributed to the members of the Association for Operations Management Rhode Island and Boston chapters. The results were then analyzed. It was found that the majority of the surveyed firms are not considering RFID implementation. Lack of a business case and lack of understanding were cited as their main concerns. For firms considering RFID implementation and firms that had implemented RFID, better inventory management, obtaining competitive advantage, and cost reduction were the three most important motivations for adopting RFID. Financial concerns and the lack of a business case were the most prevalent issues. In addition, product tracking (pallets, cases, and items) in shipping was the most cited RFID application. It was also found that considering firms are facing less pressure from customers to adopt RFID and reported a much higher degree of apprehension regarding potential issues than implementing firms reported for actual difficulties faced. One of the limitations is the small sample size (n = 49) which may limit the generalizability of the results. By identifying barriers, motivations, and issues in the implementation of RFID, this study further educates practitioners on the challenges and opportunities of RFID, as well as providing direction to academicians for further research on this area

Accessing Antecedents and Outcomes of RFID Implementation in Health Care

This research first conceptualizes, develops, and validates four constructs for studying RFID in health care, including Drivers (Internal and External), Implementation Level (Clinical Focus and Administrative Focus), Barriers (Cost Issues, Lack of Understanding, Technical Issues, and Privacy and Security Concerns), and Benefits (Patient Care, Productivity, Security and Safety, Asset Management, and Communication). Data for the study were collected from 88 health care organizations and the measurement scales were validated using structural equation modeling. Second, a framework is developed to discuss the causal relationships among the above mentioned constructs. It is found that Internal Drivers are positively related to Implementation Level, which in turn is positively related to Benefits and Performance. In addition, Barriers are found to be positively related to Implementation Level, which is in contrast to the originally proposed negative relationship. The research also compares perception differences regarding RFID implementation among the non-implementers, future implementers, and current implementers of RFID. It is found that both future implementers and current implementers consider RFID barriers to be lower and benefits to be higher compared to the non-implementers. This paper ends with our research implications, limitations and future research

Reviewing the Drivers and Challenges in RFID Implementation in the Pharmaceutical Supply Chain

Counterfeiting is a global phenomenon that poses a serious financial threat to the pharmaceutical industry and more importantly jeopardizes public safety and security. Different measures, including new laws and regulations, have been put in place to mitigate the threat and tighten control in the pharmaceuticals supply chain. However, it appears that the most promising countermeasure is track-and-trace technology such as electronic-pedigree (E-pedigree) with Radio Frequency Identification (RFID) technology. In this study we present a framework exploring the antecedents and consequences of RFID applications in the pharmaceutical supply chain. The framework proposes that counterfeiting and E-pedigree regulation will drive the implementation of RFID in the pharmaceutical supply chain, which in turn provides strategic and operational benefits that enable competitive advantage. Meanwhile, the implementation of RFID requires overcoming many operational, technical and financial challenges. The framework provides a springboard that future study can explore using empirical data

Radio Frequency Identification Technology: Applications, Technical Challenges and Strategies

Purpose - The purpose of this paper is to discuss the technology behind RFID systems, identify the applications of RFID in various industries, and discuss the technical challenges of RFID implementation and the corresponding strategies to overcome those challenges. Design/methodology/approach - Comprehensive literature review and integration of the findings from literature. Findings - Technical challenges of RFID implementation include tag cost, standards, tag and reader selection, data management, systems integration and security. The corresponding solution is suggested for each challenge. Research limitations/implications - A survey type research is needed to validate the results. Practical implications - This research offers useful technical guidance for companies which plan to implement RFID and we expect it to provide the motivation for much future research in this area. Originality/value - As the infancy of RFID applications, few researches have existed to address the technical issues of RFID implementation. Our research filled this gap

An Empirical Investigation Of Information Technology Mediated Customer Services In China

Information technology mediated customer service is a reality of the 21st century. More and more companies have moved their customer services from in store and in person to online through computer or mobile devices. Using 208 respondents collected from two Chinese universities, this paper investigates customer preference over two service delivery model (either in store or online) on five type of purchasing (retail, eating-out, banking, travel and entertainment) and their perception difference in customer service quality between those two delivery model. Results show that a majority of Chinese students prefer in store and in person for eating out. For ordering tickets for travel and entertainment, they prefer computer/mobile device. For retail purchasing and banking, less than half of the students prefer in person services. In general, the results show that ordering through computer/mobile devices has become more popular in China and has received higher rating for most of customer service quality except security compared to ordering in store. In addition, it is found that there exist a gender difference in purchasing preference and perception in service delivery quality in China

Empirical Evidence of RFID Impacts on Supply Chain Performance

Purpose - The purpose of this paper is to investigate the actual benefits of radio frequency identification (RFID) on supply chain performance through the empirical evidence. Design/methodology/approach - The research reviews and classifies the existing quantitative empirical evidence of RFID on supply chain performance. The evidence is classified by process (operational or managerial) and for each process by effect (automational, informational, and transformational). Findings - The empirical evidence shows that the major effects from the implementation of RFID are automational effects on operational processes followed by informational effects on managerial processes. The RFID implementation has not reached transformational level on either operational or managerial processes. RFID has an automational effect on operational processes through inventory control and efficiency improvements. An informational effect for managerial processes is observed for improved decision quality, production control and the effectiveness of retail sales and promotions coordination. In addition, a three-stage model is proposed to explain the effects of RFID on the supply chain. Research limitations/implications - Limitations of this research include the use of secondary sources and the lack of consistency in performance measure definitions. Future research could focus on detailed case studies that investigate cross-functional applications across the organization and the supply chain. Practical implications - For managers, the empirical evidence presented can help them identify implementation areas where RFID can have the greatest impact. The data can be used to build the business case for RFID and therefore better estimate ROI and the payback period. Originality/value - This research fills a void in the literature by providing practitioners and researchers with a better understanding of the quantitative benefits of RFID in the supply chain