![](/images/graphics-bg.png)
Misplaced Inventory and Lead-Time in the Supply Chain : Analysis of Decision-Making on RFID Investment with Service Level
Joint Authors
Tao, Feng
Zhang, Li-Hao
Chiang, Wen-Chyuan
Fan, Ti-Jun
Source
Journal of Applied Mathematics
Issue
Vol. 2014, Issue 2014 (31 Dec. 2014), pp.1-17, 17 p.
Publisher
Hindawi Publishing Corporation
Publication Date
2014-07-22
Country of Publication
Egypt
No. of Pages
17
Main Subjects
Abstract EN
Radio-frequency identification (RFID), as the key technology of Internet of Things (IoT), has been hailed as a major innovation to solve misplaced inventory and reduce lead-time.
Many retailers have been pushing their suppliers to invest this technology.
However, its associated costs seem to prohibit its widespread application.
This paper analyzes the situation of service level in a retail supply chain, which has resulted from misplaced inventory and lead-time.
By newsvendor model, we analyze the difference between with- and without-RFID technologies in service level of centralized and decentralized supply chains, respectively.
Then with different service levels, we determine the tag cost thresholds at which RFID technology investment becomes profitable in centralized and decentralized supply chains, respectively.
Furthermore, we apply a linear transfer payment coefficient strategy to coordinate with the decentralized supply chain.
It is found that whether the adoption of RFID technology improves the service level depends on the cost of RFID tag in the centralized system, but it improves the service level in the decentralized system when only the supplier bears the cost of RFID tag.
Moreover, the same cost thresholds of RFID tag with different service levels exist in both the centralized and the decentralized cases.
American Psychological Association (APA)
Zhang, Li-Hao& Fan, Ti-Jun& Chiang, Wen-Chyuan& Tao, Feng. 2014. Misplaced Inventory and Lead-Time in the Supply Chain : Analysis of Decision-Making on RFID Investment with Service Level. Journal of Applied Mathematics،Vol. 2014, no. 2014, pp.1-17.
https://search.emarefa.net/detail/BIM-448470
Modern Language Association (MLA)
Zhang, Li-Hao…[et al.]. Misplaced Inventory and Lead-Time in the Supply Chain : Analysis of Decision-Making on RFID Investment with Service Level. Journal of Applied Mathematics No. 2014 (2014), pp.1-17.
https://search.emarefa.net/detail/BIM-448470
American Medical Association (AMA)
Zhang, Li-Hao& Fan, Ti-Jun& Chiang, Wen-Chyuan& Tao, Feng. Misplaced Inventory and Lead-Time in the Supply Chain : Analysis of Decision-Making on RFID Investment with Service Level. Journal of Applied Mathematics. 2014. Vol. 2014, no. 2014, pp.1-17.
https://search.emarefa.net/detail/BIM-448470
Data Type
Journal Articles
Language
English
Notes
Includes bibliographical references
Record ID
BIM-448470