Integration of Radio Frequency Identification Technology in Supply Chain Management: A Critical Review

Author(s):

  • Palesa Kgobe1 (University of Johannesburg, South Africa)
  • Paul Ozor1 (University of Nigeria Nsukka, Nigeria)

Abstract:
Innovative technological devices has gained popularity with many organisations in search of operations and quality improvements. Whilst the introduction of certain technologies in supply chain management (SCM) can enhance the speed of processes, provide improvement in accuracy and streamline information storage, others can result in product visibility, reduction in inventory and labour costs. This paper critically presents a terse account of Radio Frequency Identification Device (RFID) integration in SCM using literature review analytical research approach. The RFID is a useful tool for effective management of organisations’ supply chain activities and global competitive competencies. The recorded performances are concisely analysed to display an outline of the possible spheres and benefits of RFID adoption. Reports from series of authors claim general acceptability and profitability, to an extent that precludes the invitation of any scepticism. As much as there are key issues identified during RFID technology adoption and utilization, consideration of the driving factors branded by some global organisations was fulfilled. Various approaches and concerns associated with incorporation of RFID by many organisations in SCM were provided. This forms part of an aid in drawing meaningful conclusions about the impact, status and future direction of RFID on SCM.

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