The Role of Radio-Frequency Identification in the Sustainable Digital Transformation of the Supply Chain
Voipio, Ville (2023-12-15)
Väitöskirja
Voipio, Ville
15.12.2023
Lappeenranta-Lahti University of Technology LUT
Acta Universitatis Lappeenrantaensis
School of Engineering Science
School of Engineering Science, Tuotantotalous
Kaikki oikeudet pidätetään.
Julkaisun pysyvä osoite on
https://urn.fi/URN:ISBN:978-952-412-035-7
https://urn.fi/URN:ISBN:978-952-412-035-7
Tiivistelmä
Sustainability and digital transformation have been two leading themes for businesses as they have updated operating systems in the 2020s. This study focuses on using radio-frequency identification (RFID) to provide visibility in the sustainable digital transformation (SDT) of the supply chain. The purpose is to expose the roles and the levels of value creation that RFID takes. The theoretical background stems from Industry 4.0 (I40), which stresses the role of specific technologies in driving business renewal.
The study comprises a Europewide survey among 685 business and supply chain leaders, and four case studies with 86 days of floor-level operations tracking, 36 interviews, five round tables, and in-depth data from five organizations.
The dissertation reveals that data-capturing practices used are still partly immature and influenced by narrow industry-specific standards. Data quality is a challenge in several industries due to the lack of advanced practices fitting with the product and supply chain structures. The study argues that RFID has a role as an enabler, driver, and connector in SDT. Its key benefits are automation, itemization, and data generation to the SCM, which supports sustainable business configuration, improved customer value, and building future-proof organizations by responding to regulatory and customer pressures and resource shortages. However, feasible use cases of RFID remain limited due to a lack of universal application and reading methods across product and packaging types.
It is argued that the strategic role of supply chain visibility (SCV) has been understood by a few leading global firms, which have succeeded in building data-driven organizations e.g., in consumer-packaged goods industry. Within the SCV research community, the focus has been on inter-firm relationships in the supply chain domain, neglecting the cross-functional intrafirm aspect that is needed in a companywide digital transformation. The top-management influence is invaluable in setting the cross-functional agenda for SDT and internal data sharing and utilization. Through the stakeholder theory, it is argued that while RFID has become a standard in certain industries, the traditional view of innovation diffusion across markets should be replaced with models emphasizing co-existing technology landscapes. This would also support business model conversations, which are present in I40 but have attracted less attention in supply chain 4.0 research focusing on the performance aspect.
The study comprises a Europewide survey among 685 business and supply chain leaders, and four case studies with 86 days of floor-level operations tracking, 36 interviews, five round tables, and in-depth data from five organizations.
The dissertation reveals that data-capturing practices used are still partly immature and influenced by narrow industry-specific standards. Data quality is a challenge in several industries due to the lack of advanced practices fitting with the product and supply chain structures. The study argues that RFID has a role as an enabler, driver, and connector in SDT. Its key benefits are automation, itemization, and data generation to the SCM, which supports sustainable business configuration, improved customer value, and building future-proof organizations by responding to regulatory and customer pressures and resource shortages. However, feasible use cases of RFID remain limited due to a lack of universal application and reading methods across product and packaging types.
It is argued that the strategic role of supply chain visibility (SCV) has been understood by a few leading global firms, which have succeeded in building data-driven organizations e.g., in consumer-packaged goods industry. Within the SCV research community, the focus has been on inter-firm relationships in the supply chain domain, neglecting the cross-functional intrafirm aspect that is needed in a companywide digital transformation. The top-management influence is invaluable in setting the cross-functional agenda for SDT and internal data sharing and utilization. Through the stakeholder theory, it is argued that while RFID has become a standard in certain industries, the traditional view of innovation diffusion across markets should be replaced with models emphasizing co-existing technology landscapes. This would also support business model conversations, which are present in I40 but have attracted less attention in supply chain 4.0 research focusing on the performance aspect.
Kokoelmat
- Väitöskirjat [1037]