RFID-enabled Inventory Control Optimization: A Proof of Concept in a Small-to-Medium Retailer

Dane Hamilton, University of Wollongong
Katina Michael, University of Wollongong
Samuel Fosso Wamba, University of Wollongong

Article comments

This conference paper was originally published as Dane, H, Michael, K and Wamba, SF, RFID-enabled inventory control optimization : a proof of concept in a small-to-medium retailer, 43 Hawaii International Conferences on System Sciences (HICSS), Organizational Systems and Technology, Implementation and Usage of Radio Frequency Identification (RFID), Koloa, Kauai, Hawaii.

Abstract

This study examines the impact of radio-frequency identification (RFID) technology on the inventory control practices of a small-to-medium retailer using a proof of concept (PoC) approach. The exploratory study was conducted using a single case study of a hardware retailer stocking 5000 product lines provided by 110 active suppliers. To analyze the present mode of operation, procedural documents, semi-structured interviews and a participant observation was conducted. The basis for the proof of concept was a future mode of operation using a quasi-experimental design. Results indicate that in a small-to-medium retail environment, RFID technology could act as a loss prevention mechanism, an enabler for locating misplaced stock, and make a significant contribution to the overall improvement of the delivery process.