The development of a structural equations model for the factors that influence effectiveness in public transportation schedule management

Abstract

This research study aimed to examine the development and testing of consistency for a model designed to evaluate the structure of effectiveness in public transportation schedule management using radio frequency identification (RFID) technology in Thailand. The public transportation system is very important to Thailand’s development, especially with regards to socio-economic aspects. This study used a quantitative research methodology and quantitative analysis to obtain the results. The participants comprised 320 RFID industrial entrepreneurs in Thailand selected by stratified random sampling, and the distributed questionnaires were analyzed using structural equation analysis. The research found that the testing of the structural relationship showed the effectiveness of public transportation by using RFID in Thailand. The consistency of the model was analyzed by chi-square =χ2 /df=1.348 GFI=0.972 AGFI=0.947 CFI=1.00 RMSEA=0.033 to show that the model was consistent with the empirical data. This research study indicated that the business environment is an important factor that influences public transportation management in Thailand by using RFID to manage transportation systems, which would reduce production costs in business, operating hours, transportation time, and also enable observation of real-time operating hours and application of the system to develop production and other operating systems. Corresponding author: Namchoke Somapa Email address for corresponding author: namchokekmitl@gmail.com First submission received: 1st May 2018 Revised submission received: 5th July 2018 Accepted: 12th August 2018 Background and Significance of the Problem Nowadays, applying new technology; such as, Internet-capable devices to mass transportation and public transportation systems can enhance support and service users to have more convenience, security and confidence in using the provided services. This concept supports the organizational objective of applying radio frequency identification (RFID), which is a well-known and universal technology for the management of business and activities of daily living at the present time. Moreover, RFID can be applied to various business and industry activities; such as, retail, wholesale, production, the supply chain, security and access control, barcode replacement, biological records, and animal tracking among others. RFID is an electronic data record system that is able to calculate and enhance the safety of information as well as enable the transfer of information with electronic magnetic waves instead of physical attachment. Accordingly, this increases convenience and reduces the steps of storing and checking the data in the original documents. The use of information technology is accepted by individuals and organizations as a way to analyze human behavior and as an option for describing attention as well as forecasting human behavior in the acceptance of information technology (Chaveesuk and Wongjaturaphat, 2012). Presently, RFID is used in supply chain management and logistics for businesses and factories. Various products use a RFID system in processing, especially for management, product distribution and services, which helps in reducing the steps and any complications as well as increasing convenience for management. As RFID takes a larger role in supply chain and logistics management, the popularity of Journal of Business and Retail Management Research (JBRMR), Vol. 13 Issue 3 April 2019 www.jbrmr.com A Journal of the Academy of Business and Retail Management (ABRM) 212 using barcodes would decrease because of the qualifications of the memory chip, which would have a higher operating ability together with the logistics-related processes. These features are being considered in free trade agreements (FTA) to reduce the complexity of document management systems. This may cause a price competition to replace the barcode system. Singkarin and Somboonwiwat (2010) stated that nowadays scientific technology and innovations are important mechanisms for the changes occurring in the economy, society, and politics. This makes it doubly important for the economy to recall development in all concerned countries around the world. The technological capability that has been developed is a major factor in maintaining or enhancing cooperation and national competitiveness. Although Thailand’s industries have been developing for more than four decades and created a high potential for the use of technology, science and technological knowledge cannot be extended to create innovations, especially technological innovations that are significant factors of business competition. Therefore, organizations of all sizes in production, the service or the public sectors are depending on technologies and also have to maintain their business status at the international level to compete with one another using intellectual capital. Currently, mass public transportation systems have become more diverse with buses, taxis, boats, vans, etc. Nonetheless, buses are considered the main service used in public transportation systems, and they are also very important for Thailand’s transportation system. However, there are problems and barriers in regular service use. One of the problems is based on the amount of traffic and the rapid service of bus drivers, which have resulted in a lack of effectiveness in service potential and caused risks to the passengers using the services. This issue appears in the news frequently in Thailand; such as, buses not stopping at the bus stop, making the passenger get on and off in the middle of the street, or the bus driver does not stop at every bus stop, so passengers cannot take the bus. Another problem for passengers is that there are no fixed time schedules for the buses at the bus stops; thus, this causes inconvenience due to long waiting periods at the bus stop. The problems mentioned are caused by the inefficiency of the control system. If there was an enhanced public transportation management system, this would result in higher security and a better-quality service by the bus system. From all of the significant factors stated, the researcher became interested in the development of a structural equations model (SEM) for the factors that influence the effectiveness of public transportation schedule management in Thailand by using RFID. From the literature review, past research indicated that using materials and information technology, especially Internet technology, with public transportation development and mass public transportation systems to enhance effectiveness would help passengers and service users to gain more convenience, security, and confidence in service usage. Therefore, it is significant to apply the objectives of the organizational process in RFID use and influence the employees to meet the satisfaction of customers (Olowokudejo et al., 2011). This would also increase the ability for customer support teams to provide better service quality and customer response time (Anderson, 2006; Nguyen et al., 2007). Land transport in Thailand is one the most popular and important aspects of the economic system. At present, government agencies are trying to develop and manage mass transit systems through the application of technology. RFID technology is also important for mass transit systems in Thailand, as it can be beneficial for consumers, land transport operators, and for application in logistics and other industries, respectively (Ilie-Zudor et al., 2011; Löfgren et al., 2008). Due to economic expansion, factories are located in various regions resulting in labor migration and employment; as such, people can earn an income and have a better quality of life. However, the problems of traffic jams, commuting time including the traveling routes have not been improved to cover all areas. Therefore, these are still issues, which the government sector should urgently improve and develop. Thus, this research was conducted to assist in responding to the gaps of the aforementioned problems with the introduction of RFID technology that could be applied in the management of the mass transit systems for maximum benefits. Journal of Business and Retail Management Research (JBRMR), Vol. 13 Issue 3 April 2019 www.jbrmr.com A Journal of the Academy of Business and Retail Management (ABRM) 213 Conceptual Development Effectiveness The effectiveness of public transportation schedule management can be improved by using RFID, which is a universal and popular technology. This technology can also highly benefit businesses and the daily living of human beings. This is because RFID can be applied in various activities; such as, retail and wholesale businesses, production, supply chains, logistics systems, security and access control, barcode replacement, historical records, and animal tracking among others. RFID is electronic data collection that is able to calculate and keep information secure as well as enable use of electric magnetic waves for sending and receiving information instead of physical attachment. As a consequence, this causes improved convenience for users and also reduces the steps needed for storing and checking information in the original format of documents. For the development of a mass transportation system to reach higher effectiveness and provide better services, convenience, and speed as well as be more affordable for users, all related organizations in both the public and private sectors should place significance on this topic. This would include: 1) fast service meaning services must provide the exact details; such as, the number of the service usage and the commuting time in each direction, as well as enhance problem resolution at intersections by building roads, bridges, tollways and extension of routes to support a faster commuting time in both personal vehicles and public transportation (Bangkok Environment Agency, 2009); 2) saving traveling expenses on mass tra