The Business Case for RFID; Challenges and Opportunities

18 Pages Posted: 24 Oct 2006

See all articles by John Murray

John Murray

Trinity College Dublin, School of Business, University of Dublin

Mairead Brady

Trinity College Dublin - The University of Dublin; Trinity College Dublin - School of Business; University of Dublin - School of Business Studies

Louis Brennan

Trinity College - Trinity Business School - Institute for International Integration Studies (IIIS)

Corinne Armstrong

Trinity College (Dublin) - School of Business Studies

Date Written: September 2006

Abstract

RFID (Radio Frequency Identification Devices) are one of the next generations of technologies which could have widespread repercussions through business and society. There is a low level of RFID knowledge in business with much of the understanding and orientation currently held by technologists as they battle with both the technology itself and the standards. However as the benefits of RFID become more apparent, strategists and top management are beginning to pay attention. Although RFID has been available since the early twentieth century, most potential users of RFID and in turn the strategic decision makers with regard to RFID are not as yet familiar with the issues, opportunities and challenges of such an advanced technology.

This paper explores the potential of RFID and sets it in the context of the assimilation of information technology. This approach capitalises on what we have learnt from the diffusion of other technologies into business, many of which were seen as 'magic bullets' or with the potential to provide optimum solutions but which have not lived up to expectations (Markus, 1997; Drummond, 2000; Verleye and Marez, 2005). This paper takes a uniquely strategic and business information perspective in relation to the challenges and value that RFID deployment can bring to organisations, particularly along national and international supply chains. Organisation must assess how to drive inventory and cycle time down, while managing the world-wide physical and information flows created by RFID. It is contested that unless these issues are addressed and dealt with properly, management runs the risk of letting uncertain global environment defeat the investment proposal of RFID.

Keywords: RFID, Global Supply Chains, Information Technology

JEL Classification: M30, M31

Suggested Citation

Murray, John A. and Brady, Mairead and Brennan, Louis and Armstrong, Corinne, The Business Case for RFID; Challenges and Opportunities (September 2006). Available at SSRN: https://ssrn.com/abstract=939755 or http://dx.doi.org/10.2139/ssrn.939755

John A. Murray

Trinity College Dublin, School of Business, University of Dublin ( email )

Trinity College Dublin
Dublin 2
Dublin 2, OK
Ireland

Mairead Brady (Contact Author)

Trinity College Dublin - The University of Dublin ( email )

College green
Dublin 2
Ireland
+353-1-896 2705 (Phone)

HOME PAGE: http://www.tcd.ie/Business_Studies/research/faculty/bramai.php

Trinity College Dublin - School of Business ( email )

HOME PAGE: http://www.tcd.ie/Business_Studies/research/faculty/bramai.php

University of Dublin - School of Business Studies ( email )

College green
Dublin 2
Ireland
+353-1-896 2705 (Phone)

HOME PAGE: http://www.tcd.ie/Business_Studies/research/faculty/bramai.php

Louis Brennan

Trinity College - Trinity Business School - Institute for International Integration Studies (IIIS) ( email )

Trinity Business School
Trinity College
Dublin 2
Ireland

Corinne Armstrong

Trinity College (Dublin) - School of Business Studies ( email )

AAP College Green
Dublin 2
Ireland

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