RFID and ZigBee Technology to automate Supply Chain Management Report
Executive Summary
The main aim of this study was to explore the extent to which RFID and Zigbee technologies can be used to automate supply chains, along with exploring their benefits and limitations. The study has relied on mixed methodology, whereby quantitative data was obtained through survey methods. The sample for survey was comprised of grocery retail stores of Australia and supply chain personnel were contacted, who were closely involved with RFID. On the other hand, qualitative data was obtained from secondary sources, whereby systematic review of literature was conducted. The results of the study have revealed that RFID and Zigbee technology provide greater traceability to supply chain operations and help in real-time transmission of data. Likewise, the results revealed that RFID and Zigbee helps in improving efficiency of supply chains, assists in lowering material wastage and loss, helps in reducing supply chain cost, improved traceability of products and helps in controlling human errors in supply chain activities. Finally, the results have shown that security and privacy are key limitations of this technology when it is used for supply chain automation. These findings hold substantial theoretical and practical implications. Based on the limitations of study it is proposed to future researchers that they should focus on carrying out a more comprehensive longitudinal and simulated studies to deeply investigate the phenomenon.
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1. Introduction
With the advent of industrial revolution, the way in which businesses operate has undergone a major shift and automation has become core aspect of business operations, with an aim of enhancing efficiency of businesses. The supply chain management is one of the core areas which need automation by seeking benefit of Information Technology (IT) enablers, of which RFID and Zigbee technology are considered as most prevalent (Narayanaswami et al., 2019). In order to deal with abruptly changing demands of consumers, as witnessed during the recent pandemic, retail stores have faced huge pressure in smooth management of its supply chain (Mekruksavanich, 2020). The panic buying of consumers and rapid sales of inventory items from stores is one instance of the factors, which could cause shortage of inventory in store. The flexibility and structural adaptability are considered as core aspects of contemporary supply chain management (Neelakandan, Tyagi and Nagalkar, 2019). In order to develop needed resilience and flexibility, manual supply chain has higher associated cost, as it requires commitment of additional resources. Some instances of this cost are associated with management of buffer inventory, development of extra capacity and high level of coordination needed between personnel and sales activities (Strassner, 2005). Firms can balance the needed resilience and cost by ensuring higher level of visibility throughout the supply chain, as well as improved speed to respond to the changes.
In order to improve efficiency of supply chain management, RFID integrated with Zigbee technology can help to obtain real time status of the products in stores. Hereby, RFID technology will serve as the way of data collection system, whereas Zigbee network will be a wireless communication network that will allow to transmit the same information to various stakeholders throughout the supply chain. It has been mentioned by Angeles (2005) that both the RFID and Zigbee will act as feedback link and thus monitoring of material and items become easy. The large retail stores like Woolworth and Coles are found to struggle with the tracking of inventory, and huge personnel involvement is needed to ensure that material tracking is carried out in efficient manner (Ahmed and Bakhsh, 2017). In order to solve this issue, RFID technology and Zigbee technology network are considered as attractive solution, whereby time consumed in manual tracking of inventory can be saved and automation can be used for enhancing efficiency of supply chain (Oghazi et al., 2018).
1.1 RFID and ZigBee Network Technology
Radio Frequency Identification (RFID) is a type of wireless technology which is widely used in industry 4.0 for carrying out automatic tracking, locating as well as identification of an object or an item, without requiring any specific line of contact. RFID tags are slightly different from barcode tags, as it does not require any line of sight and tags can be scanned and identified even from a distance (Alyami, Campion and Atkins, 2016; Van Hoek, R., 2019). RFID is also recognized as intelligent form of bar code, which allows the items to be tracked in the supply chain and thus makes supply chain operations more easy and efficient.
ZigBee on the other hand is recognized as advanced wireless communication protocols, which is based on IEEE 802 standard and makes use of small and low power digital radios (Van Hoek, R., 2019). ZigBee communication network is used for transmitting data and information over a long distance, whereby data travels from intermediate devices with an aim of approaching the distant devices. These characteristics make ZigBee adhoc network, which gives it limited centralized control (Podduturi et al., 2019). The use of ZigBee is considered as less expensive, secure and simple in contrast to other WPAN applications. ZigBee uses pool of technologies to ensure scalability and self-organization, which can manage number of different data traffic patterns and thus it makes networking possible across low power devices. It has been noted by Attaran (2012) that ZigBee serves as the way of assuring fine communication between devices and thus it is one of the most effective wireless network for carrying out monitoring and analysis across different business operations.
Both the RFID and ZigBee are considered as emerging technologies which have been substantially applied in large number of industries including; logistics, supply chain management as well as asset tracking process (Wu et al., 2016; Sharma and Sharma, 2016). The shorter time lags and error free ID entries are considered as key factors for contributing in the success of the system (Zelbst et al., 2019). Moreover, the readability of RFID from remote distance and ability to read numerous tags in specific time are benefits of the anti-collision technology which are realized by many industries and departments.
1.2 Problem Statement
Most of the organizations are making use of bar code technology for keeping track of products in their supply chain, which although is economic and simpler than RFID, yet has many drawbacks. For instance, it requires substantial human intervention to scan each item and has the capacity to scan individual item. RFID technology on the other hand has capacity to read multiple tags and it provides an easy way to track movement of objects in automated manner. On the other hand, in terms of speed, quality, flexibility as well as accuracy, RFID has advantage over bar technology. Likewise, based on limited communication range of RFID and relatively high cost of data transmission, the integration of Zigbee technology is considered as suitable way to obtain greater benefits of the technology. It is noted by …. That regardless of numerous stated benefits of RFID and Zigbee technology, still organizations are reluctant to use the technology for automation of their supply chains. Therefore, the underlying study is aimed to explore the benefits as well as limitations of using RFID and Zigbee Technology for automation of supply chain of retail stores. The reason for choosing retail stores lies in the notion that retail sector is struggling to enhance efficiency of its supply chain due to greater movement of objects and goods. The errors and wastage of material is high, which incurs high cost on movement of material. Therefore, automation of supply chain seems a feasible option for this sector and exploration of RFID and Zigbee technology for automating supply chain of retail stores has greater significance.
1.3 Research Questions
The study is aimed to answer following research questions;
- What is the likely impact of RFID and Zigbee Technology in improving traceability of items in supply chain of retail stores?
- How real time information exchange is improved through RFID integrated with Zigbee technology?
- What specific improvements are brought by RFID and Zigbee Technology in supply chain of retail stores?
- What limitations of RFID and Zigbee Technology are being experienced by retail stores followed by the automation of their supply chain?
1.4 Research Significance
The automation of supply chain is one of most heightened research concern, as automated supply chains are claimed to be more efficient and effective. There are number of emerging technologies which are being considered by practitioners to automate supply chains and research on these technologies helps them in gaining wider perspective on benefits of the technology. The underlying research issue holds greater significance, as the use of RFID and Zigbee technology to automate supply chains is one of the widely focused research phenomenon in contemporary research of supply chain management. The evidences offered in the study will add positively in extending theoretical based of the research issue and will also open new endeavors of research. On the other hand, practitioners will be able to seek in depth insight of the benefits as well as limitations of the technology for supply chain automation. They can take measures accordingly to deal with any existing and potential limitations, in the light of study’s results.
2 Literature Review
The development of RFID network along with integration of Zigbee communication network is likely to benefit supply chain management in significant way. For instance, the flow of material can improve substantially along with flow of equipment and personnel. The analysis and monitoring of logistic can be carried out in real time by seeking benefit of applications, such as real time locating systems (RTLS), which can enhance efficiency of supply chain management. It has been highlighted by Coltman and Michael (2008) that RTLS can improve quality of service through utilization of time critical processes and optimization of emergency management. By using RFID, the physical tags are connected with the items which are needed to be identified. RFID applications can then read the tag from a physical distance without line of sight and signals are then transmitted through antenna (Narayanaswami et al., 2019). The same information is then transferred to communication infrastructure that helps in updating the supply chain information (Dash et al., 2019). Continual and real time monitoring of tagged objects through RTLS allows to obtain critical information about supply chain items. For instance, date of expiry, rate of sales, physical location of items in stores as well as cost and stock requirements for the items (Sharma and Sharma, 2016). It indicates that automatic identification of stock requirement is enabled through RFID, as ZigBee enabled RFID transmits all data in real time and suppliers are atomically notified about the needed stock. The involvement of sales personnel to request for the restock of inventory thus reduced substantially and time is saved through RTLS based supply chain management.
2.1 Need of Retail Supermarkets to automate Supply Chain
Automation is considered as one of the most desired aspects of the retail super markets, as mentioned by Ghadge et al., (2020) that in order to survive in retail industry it is highly needed to approach customers with goods in fastest possible way. Major supermarkets retailers of Australia, such as Coles has recently strike a deal with British based group of retailers to assure that its warehouse is effectively managed and capacity of operations is increased (Mekruksavanich, 202; Musa and Dabo, 20160).
This is only one instance of the push in high tech zone by retailers with the purpose of managing their supply chains in efficient manner along with reducing costs to substantial level (Musa and Dabo, 2016). Woolworth has also recently announced that in order to meet the enormous demand of online consumers, its existing supply chain management has proven to be overburdened (Podduturi et al., 2020). For instance, during the recent pandemic, volume of online sales has increased rapidly and in order to assure smooth supplying of goods in such situations, automation of supply chain is considered as one attractive option (Podduturi et al., 2020). It is being mentioned by Gaukler (2004) that most complicated aspect of managing demand of consumers in retail supermarkets is to keep track of items in stock and assuring that shelves never get empty. The human involvement for tracking and ordering the inventory is exposed to many errors. Additionally, there is high level of associated cost and time with manual supply chain management, as tracking and tracing of goods is complicated process, requiring continual human input and involvement (Khan, Asim and Manzoor, 2020). Therefore, implementation of RFID for automatic tracking and monitoring of goods and Zigbee for communicating demand for stock to suppliers in real time, is considered as an effective solution for managing supply chain in effective manner.
The understanding regarding implementation of RFID and ZigBee technology to automate supply chain can be best generated through recognition of process centric view of supply chain (Sharma and Sharma, 2016). According to this process, supply chain is divided into different activities including; source, make, deliver and return. In terms of sourcing, automation through RFID and ZigBee technology can enable virtual control over supply chain, whereby real-time tracing and tracking of good leads to efficient sourcing of goods to retail stores (Musa and Dabo, 2016). For instance, the data obtained through RFID and communicated through ZigBee provides real time visibility to suppliers and thus enables efficient planning of product assortment. The next step in supply chain management process is to use big data obtained through RFID to support smart manufacturing, whereby suppliers can efficiently meet the demand of business and retail stores will never go out of stock (Narsing, 2005). Subsequently, the deliver stage is core of logistics, whereby decisions regarding storing of inventory and delivery of goods are made. RFID can solve the issue of incompatibility existing between supply partners (Lin et al, 2006; Narayanaswami et al., 2019). The data shared in real time allows all supplying partners to get on the same page and thus use the opportunity of predictive modelling and smart decision making. End to end visibility thus supports synchronization among different supply chain activities and delays are substantially reduced (Sharma and Sharma, 2016). One instance of smart delivery is the use of programmable automated guided vehicles, which allows to automatically store RFID tagged items in inventory. Finally, it is noted that RFID also supports smart returning, by support e-reverse logistic framework. It has been noted by Narayanaswami et al., (2019) that product life cycle integrity is enhanced by the use of RFID and with automation of return, any environmental hazards are controlled (Neelakandan, Tyagi and Nagalkar, 2019). These evidences clearly highlight that use of RFID and ZigBee networks to automate supply chain management can smoothen the whole process of supply chain management from sourcing to production, delivery and return (Coltman and Michael 2008). The retail supermarkets are likely to seek substantial advantage from this automation, as they can control cost, can minimize time of supply chain processes and can limit any delays in supply chain activities (Van Hoek, R., 2019).
2.2 Limitations of using RFID and ZigBee network for Supply chain automation
Although, RFID enabled and integrated with ZigBee has numerous benefits for managing supply chain of retail supermarkets, yet it has been mentioned by researchers and practitioners that there are some associated drawbacks as well (Oghazi et al., 2018). The key issue which is being identified by researchers in general for Internet of Things (IoT) is internet scalability. The scalability refers to the capability of networks and internet of things to handle the load of data, as businesses grow (Khan, Asim and Manzoor, 2020). It is generally accepted that there is not the case of one size fit all situations. Internet of things might slow down as data burden enlarges followed by growth of business. The supermarket retailing is expanding rapidly and scalability is crucial for automating supply chain management (Strassner, 2005). This aspect is relatable to both RFID and ZigBee technology, yet the advanced RFID applications are highly scalable, as they can process larger amount of data in real time. The new platforms and protocols are constantly introduced to further enhance scalability of RFID integrated with ZigBee communication network.
On the other hand, security and privacy have also been regarded as significant issues which have specific association with RFID integrated with ZigBee. It is noted that data in RFID based applications is being transferred by making reliance on unsecure wireless channels, such as ZigBee communication network, which lowers the security and privacy of data being identified and transmitted through RFID (Srivastava, 2010). Moreover, in order to enhance scalability of RFID system technology, linear search is mainly used to identify tags and it creates serious security and privacy concerns. Some of the solutions have proposed to use tree structure to store keys, but they can only provide a weaker level of privacy (Van Hoek, R., 2019). For instance, the tree protocols are highly vulnerable of attack, as one adversary including tag might also reveal the secret of other tags (Coltman and Michael 2008). It is noted that although efforts are made continuously to develop protocols for improving privacy and security of RFID, yet mean while the practitioners are highly concerned about the existing privacy provisions of RFID (Neelakandan, Tyagi and Nagalkar, 2019). The limited privacy aspect might be considered as threatening by retail supermarkets while automating their supply chains and thus data protection and security features are needed to be improved further (Wang, Lin and Lin, 2007).
Finally, the aspect of resource efficiency with respect to cost and energy capacity is also an important concern for both researchers and practitioners while implying RFID and ZigBee. It has been noted that in contrast to barcode technology, RFID has higher level of associated cost, which makes it a difficult option to adopt. The cost of redesigning the organization to imply RFID and ZigBee networking is considerable, yet it is mentioned by Wu et al (2016) that in long run RFID substantially contributes in lowering the cost of supply chain management. The wastage of material and goods throughout the supply chain processes reduces with the use of RFID, thus indicating that in long run this solution is highly efficient for controlling the resource utilization in supply chain (Narsing, 2005). On the other hand, the questions are raised regarding energy capacity and environmental impact of RFID technology in supply chain (Zelbst et al., 2019). Some researchers argue that energy capacity is high for implying RFID in supply chain management. On the other hand, it is maintained by practitioners that RFID based architecture supports energy efficient products and logistics. For instance, higher capacity utilization is enabled in transportation, while using RFID technology. Likewise, stocks are reduced, reliance on paper is minimized and electronic transmission of data assures that positive impacts are brought on environment (Wang, Lin and Lin, 2007). In conclusion, it is noted that although there are some limitations of RFID and ZigBee networks, yet improvements are made to minimize any potential limitations and to assure enhanced efficiency of supply chain management.
3. Research Methodology
As mentioned by Bergman, (2008) the selection of appropriate research design is crucial to effectively and reliably answer the research questions. From the available research designs, the underlying research study has adopted mixed methods of research. The mixed research methodology is regarded as emergent research design that integrated both qualitative as well as quantitative research designs. The reliance on this research methodology can be justified by the notion that integration of two methods allows to carry out complete and synergetic inquiry by combining quantitative and qualitative data (Amaratunga et al., 2002). The validation of research findings can be done effectively through this method, as comparison of results is easy. Moreover, the research can be conducted in two stages; whereby qualitative analysis might guide quantitative exploration.
3.1 Data Collection Methods
The study has made reliance on two types of data sets, quantitative and qualitative. The quantitative data is comprised of figures and number, which will add in generalizability of the study’s results. The quantitative data was collected by making reliance on primary data collection method, which allowed collection of fresh hand data that is more specific to the focal research issue. The primary data was obtained through questionnaire design, whereby a survey instrument was designed and administered by the researcher. The population that has been approached for data collection through survey was comprised of retail stores of Australia. Given the large size of population, the specific focus was maintained on retail grocery stores and sample was drawn by using simple random sampling. The benefit of simple random sampling was associated with the notion that it has offered equal chances of selection to each population unit and thus drawn sample was highly representative of the population. The sample size of 100 was chosen, as given the time constraint it was not possible to approach large number of people.
On the other hand, the qualitative data was obtained by using secondary data collection approach. The secondary data has been obtained through systematic review of literature, whereby studies about automation of supply chain through RFID and Zigbee technology was chosen from 2010 to present. The inclusion criteria was to choose studies which focus on retail supply chain and include both RFID and Zigbee technology. Likewise, the studies that address either limitations or benefits associated with RFID and Zigbee technology in supply chain of retail stores are included for review in the study. The studies which are published before 2010 are not included in the study. Total of 8 studies were considered for systematic review.
3.2 Data Analysis Methods
In order to analyze quantitative data obtained through survey, the descriptive method of analysis was used, which has allowed to plot histograms and bar charts to provide visual representation of the data. The interpretation of charts and diagrams has been carried out to report the findings of survey.
On the other hand, the qualitative data has been analyzed by descriptively stating the findings through thematic analysis. The common data themes are being extracted from the collected data, which were aligned with underlying research questions. The themes of data are then explained to answer research questions.
3.3 Limitations of the Methodology
In terms of limitations of mixed research methodology, the implication of this research design is complex, as embedded and parallel nature of both quantitative and qualitative data is desired for better results. However, in order to deal with this complexity issue, the present study has chosen to rely on mix of primary and secondary data. The qualitative data will be collected from secondary scholarly sources, which will lower the complexity. Additionally, another limitation which pertains to this method is about intensive utilization of resources to collect two different kinds of data. Although, this process will be highly time taking, yet use of secondary qualitative data can help in managing the resources. Finally, the stated benefits of this research methodology clearly outweigh any expected drawbacks and it can be regarded as appropriate selection to investigate the underlying research issue.
4 Research Analysis
4.1 Questionnaire Analysis
The questionnaire has obtained data in two sections, of which first was comprised of demographic information of respondents and second section has been developed in accordance with underlying research questions. The inclusion condition of respondents was that there retail organization must use RFID and Zigbee technology for supply chain automation.
4.1.1 Demographic Analysis
The figure 1 shows that higher proportion of males (62%) has contributed in the underlying study in contrast to females (38%).
Figure 1. Gender of respondents
The figure 2 shows that most of the respondents were from small and medium scale retail stores (58%) while remaining 42% were from the large retail chains. This difference might be an indication of the notion that regardless of random selection of sample, more small and medium stores were approached. While, it is unreasonable to conclude that more large retail chains have low inclination towards adoption of RFID and Zigbee for supply chain automation.
4.1.2 Questionnaire Analysis
4.1.2.1 Traceability support offered by RFID and Zigbee Technology
In order to assess traceability effect of RFID and Zigbee technology in supply chain of grocery retail stores, the first question focused on whether traceability is improved followed by automation of supply chain. The survey results have shown that there was high agreement (see figure 3) among retail stores regarding the improvement in supply chain traceability with the implementation of RFID and Zigbee technology. Additionally, the results of the study have also indicated that ability of RFID to read multiple tags has made it easy to track the goods (figure 4) and thus movement of goods can be easily traced in supply chain of retail stores (figure 5). Additionally, it was further found from analysis that with automation of supply chain, the location of any specific item can be easily found (figure 6), as RFID and Zigbee generate information of where the item exactly is at any given moment. The high agreement level of respondents on all of these items indicate that RFID and Zigbee Technology offer substantial support in traceability of goods and thus retailers can automate their supply chain with an aim of improving traceability of their supply chain.
4.1.2.2 Real time Data transmission through RFID and Zigbee technology
With respect to the real time data transmission aspect of RFID and Zigbee enabled supply chains, it was found that plenty of data which is being generated by RFID networks, is transmitted to all stakeholders in real time by using Zigbee enabled wireless communication network. The results can be seen in figure 7, where 20% and 40% of survey respondents have strongly agreed and agreed to the statement, respectively. Moreover, it was found that status of product in the shelves is also communicated in real time to supplying partners (see figure 8) and thus products are easily and automatically restocked. The reverse item was also included (see figure 9) to gauge the real time transmission data of data through RFID and Zigbee and it was found that inventory status is realized in real-time and thus retail stores no long go out of stock for any products based on its vague inventory status. The results for all these items clearly show that real time data transmission has become easy followed by supply chain automation with RFID and Zigbee technology.
4.1.2.3 Improvements brought by RFID and Zigbee technology in retail supply chain management
The survey has then asked respondents about the improvements which are being brought by automation of supply chain with RFID and Zigbee technology. It was indicated from findings that efficiency of supply chain activities has substantially improved in retail stores that have automated their supply chains. As seen in figure 10, around 70% respondents have shown either agreement or strong agreement to the statement and thus it is deduced that time spent of different supply chain activities is reduced after supply chain automation with RFID and Zigbee. Additionally, it was found that material loss and wastage reduced when retail stores use RFID and Zigbee technology for supply chain activities, as shown in figure 11.
Followed by this, the cost aspect of supply chain automated with RFID and Zigbee technology was explored and results have indicated that cost is not reduced. It can be seen in figure 12 that most of respondents have shown disagreement with the statement and thus it is considered as costly solution to manage supply chains of retail stores. Additionally, the findings have further revealed that while using RFID enabled with Zigbee technology, the traceability of supply chains improves and human error is also controlled (please see figure 13 and 14 respectively). The automation leaves limited chances for manual errors and thus overall efficiency of supply chain activities improves. These findings show that there are lot of improvements brought by RFID and Zigbee technology, yet it is a costly solution.
4.1.2.4 Limitation of RFID and Zigbee Technology experienced by retail stores following by supply chain automation
Finally, the survey has encompassed questions about limitations of RFID and Zigbee technology which might be experienced by the stores that have automated their supply chains. It was found that security aspect of RFID and Zigbee technology is considered as less trustworthy, as indicated in Figure 15, most of the respondents have agreed that any unauthorized party might access the data that is being generated through RFID networks and can even manipulate it. Moreover, it is also perceived by the respondents that their privacy has been challenged followed by automation of supply chain through RFID and Zigbee technology, which could be seen in figure 16.
With respect to scalability of RFID, the results of the study have shown that most of retail store respondents have disagreed with the statement (figure 17). It indicates that RFID has large scalability and this aspect does not count as limitation of RFID. Moreover, with respect to resource efficiency of RFID and Zigbee technology, it was found that implementation of this technology for supply chain automation lays substantial burden on resource base of organizations, indicating that technology adoption is substantially costly. Finally, with respect to energy efficiency perspective of the technology, the results of the study show that energy efficiency of RFID is high, as most of the respondents have shown disagreement with the question (please see figure 18).
4.2 Results of Systematic Literature Analysis
Based on the data obtained from review of relevant research sources, the four themes has been formulated; traceability of RFID and Zigbee enabled supply chains, real time data transmission through RFID and Zigbee, benefits of RFID and Zigbee technology for retail supply chain and limitations of RFID and Zigbee technology for retail supply chains.
4.2.1 Traceability of RFID and Zigbee enabled supply chains
The findings of secondary review have shown that integration of RFID and Zigbee technology in supply chain can provide advantages of traceability to the organizations. The ability to track and trace the product can add positively in enhancing product recalling. Ahmed and Bakhsh (2017) have mentioned that it is not less than a miracle that fast moving goods in stores can be easily tracked without any need to scan individual items. Likewise, study of Attaran (2012) has also supported the findings by mentioning that in integrated supply chain with RFID and Zigbee technology retailers can quickly account for goods that are in transit. The data can then be shared with other supplying partners, and need to make manual inventory requests is eliminated. The cross connections with all stakeholders enable the maintain data centric traceability of supply chain and thus product status and movement is both traceable in effective manner (Khan, Asim and Manzoor, 2020). Finally, the review of Srivastava (2010) study has shown that traceability enabled through RFID cannot only help in optimization of resources but it can also help in creation of sustainable supply chain, as end to end traceability allows to monitory product life cycle and then take measures for controlling sustainability of business.
4.2.2 Real-time data transmission through RFID and Zigbee
RFID networks which are supported by Zigbee technology are highly suitable for real time transmission of data. It was found from analysis that Zigbee is scalable and highly organized data transmission network which is self-healing and can transmit large amount of data in real time (Zelbst et al., 2019). Being connected to central computer, the data can be transmitted to multiple parties and thus supply chain information becomes more transparent (Mekruksavanich, 2020). The findings show that real time data transmission is suitable for controlling any material wastage and lowers the time which was traditionally wasted in communication related inventory status. The automated supply chains through real time data transmission has made it easy to assure that products never go out of stock and thus retail operations are made easy and efficient (Khan, Asim and Manzoor, 2020). These results were consistent across multiple reviewed studies, indicating that real time communication is highly beneficial aspect of RFID and Zigbee technology for automating supply chain of retail businesses (Mekruksavanich, 2020; Khan, Asim and Manzoor, 2020).
4.2.3 Benefits of RFID and Zigbee technology for retail supply chain
With regard to benefits of RFID and Zigbee technology, the chosen secondary data sources seem to have substantial level of agreement on the notion that automated supply chains are highly efficient. Through real time tracking and communication of data, all supplying partners and stakeholders come on the same page, whereby time and resources to manage supply operations are saved. Khan, Asim and Manzoor (2020) mentioned that when accurate stock levels are traced through RFID, then risk of loss is substantially reduced and material wastage is no longer the key issue for automated supply chains. Moreover, the data has indicated that with RFID technology retailers become able to accurately track that whether products are stored in containers, are on the way to the store or already placed in the shelves (Oghazi et al., 2018; Mekruksavanich, 2020). The stock levels can be checked in real-time and ability to have full shelves allow the retailers to enhance customer experience. The study involving leading retailing groups has indicated that accuracy of RFID based inventory control activities has reported to increase from 65-75% to 93-99% (Musa and Dabo, 2016). Likewise, the stock accuracy has been reported to be around 98%, which was previously reported to be around 70% (Musa and Dabo, 2016). These improvements in stock and inventory accuracy are result of continuous improvements in the RFID technology. Moreover, the secondary data has indicated that RFID and Zigbee technology has offered greater control over supply chains and has substantially lowered the errors which were based on human input and manual work (Podduturi et al., 2020).
4.2.4 Limitations of RFID and Zigbee technology for retail supply chains
With respect to limitation of RFID and Zigbee technology, most of the studies have shown concern about privacy of the technology, mentioning that any information can be misused by the authorized individuals that might violate privacy of business (Srivastava, 2010). Moreover, with respect to security concerns, it was found that data extracted from this technology is vulnerable to be approached by unauthorized individuals and can be manipulated (Podduturi et al., 2020). It shows that confidential information is susceptible of attack. The reviewed studies have provided recommendations to develop special security mechanism with which issue of security and privacy can be dealt (Zelbst et al., 2019; Srivastava, 2010). For example the universal readability of tags might be restricted to prevent illegal tracking of the tags.
Along with this, the analysis of secondary data has revealed that scalability of RFID is not questionable and it can handle large number of data with its ability to read multiple tags. On the other hand, evidences have indicated that RFID and Zigbee technology is although costly to implement, yet its long run benefits are huge (Podduturi et al., 2020). The resource efficiency of RFID and Zigbee technology is was considered with respect to the notion that it eliminates manual work and reduces the number of human resources needed to do the job. Likewise, it lowers the wastage of material which makes it resource efficient (Mekruksavanich, 2020; Khan, Asim and Manzoor, 2020). Finally, the results have indicated that with respect to energy efficiency, both the RFID and Zigbee technology hold substantial importance, as it reduces the time of transportation and material movement and thus helps in saving energy resources (Srivastava, 2010). Therefore, these normally perceived limitations of RFID and Zigbee technology are not considered as its drawback by contemporary researchers and security and privacy are key concerns for businesses to automate their supply chain with RFID and Zigbee Technology.
5 Discussion
The key aim of the research was to investigate the use of RFID and Zigbee technology for automation of supply chain and key focus was maintained on retail supply chain. The results of the study have clearly contributed in answering the underlying research questions, indicating that RFID and Zigbee technology are highly suitable for improving traceability of supply chain, for transmission of real-time data, for enhancing efficiency of supply chain, for lowering wastage of material and for reducing errors. Further, with respect to limitations of RFID technology for supporting supply chain management of retail stores, the privacy and security are regarded as key concerns.
5.1 Validity of the results
In order to assure validity of the research findings, two different data sets are being used to investigate the research questions. It has been noted that results of primary research conducted through questionnaire administration were highly aligned with the research findings generated by systematic review of literature. For instance, it was concluded from both primary and secondary data analysis that traceability of supply chain increases followed by implementation of RFID and Zigbee technology to automate the supply chains of retail stores. The previous studies conform to these findings, showing that they are aligned with reality and can be generalized to the wider settings (Zelbst et al., 2019; Podduturi et al., 2020; Oghazi et al., 2018; Mekruksavanich, 2020). On the other hand, the results regarding real-time data transmission ability of RFID and Zigbee based supply chain network and the improvements which are introduced by automation of supply chain are all aligned with previous studies, showing evidence of validty. Finally, with regard to last research question pertaining to limitation, gain the greater compliance with real business perspectives is witnessed, indicating validity of findings. The compliance of the research results with previously conducted studies show the evidence of reliability as well as validity of the results. These results can be easily generalized to all the retail stores, in spite of the fact that underlying study was conducted only in the context of grocery retailers.
5.2 Limitations and future research guidance
In terms of limitations of the study, the sample size for primary research was not very large which might have restricted action ability of the findings. The future researchers might consider larger sample size. Another limitation was associated with the notion that only grocery retail stores were chosen for primary analysis and it is an important avenue of research for future researchers that can conduct cross comparison of two different sectors. It will enhance breadth and depth of the study and will more detailed insight of the benefits associated with supply chain automation with use of RFID and Zigbee technology. In addition to this, the future researchers are suggested to perform a simulated longitudinal study on the research issue, whereby they will be able to track any issues with RFID and Zigbee based supply chains over the specified period of time. Such study will be highly valid in terms of measurement and can provide specific evidences to practitioners for further improvement of the RFID and Zigbee technology and automated supply chains.
5.3 Implications for Practice and theory
The results of the study have implications for both theory and practice. In terms of theoretical implications, it has provided a detailed and comprehensive review of the previous studies that focused on the automation of supply chain by implementing RFID and Zigbee technology. Likewise, the results were supplemented by obtaining fresh hand data from grocery retail businesses of Australia. These results have thus supplemented the theory by providing most recent evidence in the context of Australian retail businesses. Additionally, reliance on mixed methodology has also added positively in research paradigm related to implication of RFID and Zigbee technology.
On the other hand, with respect to practical implications of the research findings, the retailers can clearly identify the specifics of both benefits and limitations of implementing RFID and Zigbee technology for supply chain automation. These results can guide them to choose ways through which they can plan automation of their supply chains. For instance, actions might be taken by them to overcome limitations of the technology and by assuring that privacy and security aspects are enhanced through adoption of appropriate measures.
6 Conclusion
The aim of research to investigate the use of RFID and Zigbee technology in supply chain automation has bene well addressed by the results of the present study. In compliance with the stated research questions, firstly, it was found that RFID and Zigbee technology enhances traceability of supply chain and it becomes easy to keep track of goods, which then helps in keeping the optimum level of inventory in shelves. Secondly, the findings of the research has provided that real time data transmission is made easy with automation of supply chains with RFID and Zigbee technology and thus it has become easy to maintain greater control over the supply chain. With respect to third research questions, the results of the study have indicated that RFID and Zigbee technology helps in improving efficiency of supply chains, assists in lowering material wastage and loss, helps in reducing supply chain cost, improved traceability of products and helps in controlling human errors in supply chain activities. Finally, with respect to limitations of RFID and Zigbee technology, the study’s findings have shown that privacy and security concerns are evident for automation of supply chain based on this technology. Therefore, in order to further enhance effectiveness of automated supply chains, improvements are needed in security and privacy aspect of the technology. In conclusion, the results of the study have supported the argument that RFID and Zigbee technology hold enormous importance for automating supply chains and this automation has the potential to strengthen supply chain of businesses.
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