Key performance indicators of the impact of radio frequency identification technologies on supply chain management

Abstract

Although the benefits of Radio Frequency Identification Technologies (RFID) are quite well known, they are still scarce applications to agriculture and food supply chains. The aim of this study was to determine the extent to which the adoption of RFID can improve supply chain performance in agri-food supply chains. The methodology was a case study of a fruit cooperative using semi-structured interviews and other sources of evidence in order to examine the supply chain performance before and after the RFID implementation. Benefits from the RFID implementation were classified into two broad categories: strategic and operation ones. Strategic benefits included: reduction of the warehouse costs; reduction of total lead time from production to sales; improvement of customer relationship management; improved recall management. Operational benefits included: Better handling of unforeseen events; reducing lead times in warehousing and inventory; improved quality control.