Evaluating the impact of technologies on supply chain performance: a hybrid analytical-simulation modelling approach

What the paper says

Purpose Despite the growing importance of technology-enabled monitoring systems in supply chains, there remains a gap in understanding the specific impacts of Second-Generation Radio Frequency Identification (2G-RFID) technology on the integrity, safety and overall performance of Halal meat supply chains (HMSCs). This paper aims to address this gap by evaluating the effects of 2G-RFID-enabled systems on meat safety and supply chain performance, focusing on reducing flow time, inventory and total costs while enhancing service levels (SLs). Design/methodology/approach This study uses a simulation-based approach to modeling two HMSC scenarios: one with 2G-RFID technology and one without. The simulations were conducted using ARENA software to evaluate each scenario’s performance. Additionally, bi-objective programming models were developed to mathematically assess the potential for maximum SLs and minimal costs in these scenarios. Findings Applying the 2G-RFID-enabled HMSC results substantially improves key performance indicators. Specifically, adopting RFID technology led to a 30% reduction in total costs and an increase in SLs from 92% to 99%, highlighting the opportunity for improved efficiency and competitiveness in the supply chain. Practical implications This study provides managers with a practical framework to evaluate and implement RFID and sensor technologies within supply chains. The findings of this study highlight significant benefits, including cost reductions (up to 30%) and service-level improvements (92% to 99%). Managers can use these insights to build strong business cases, adopt pilot testing and develop long-term strategies that integrate advanced technologies, fostering a culture of continuous improvement and operational excellence. Originality/value This study contributes to the literature by providing an in-depth analysis of how advanced technologies like 2G-RFID can transform HMSC operations. The findings offer valuable managerial insights and a structured operational framework for adopting RFID technology in supply chains, facilitating better decision-making for technology implementation that can lead to significant cost savings, operational efficiency and enhanced service delivery.