Business values of RFID System

Here manufacturing information systems are mainly based on RFID. This kind of manufacturing system will create more and more performance improvements. These improvements could be done for the company development. These business values of the company finally lead to the efficiency and effectiveness of the production department

In the concept of operational development, the concept of RFID will helps in uncovering the hidden threats which were already separated previously. These threats include creation of traditional improvement, low coordination among departments. It also provides some accurate information about the company include performance evaluation and payroll calculation. 

If the organization will follow RFID based manufacturing systems, then the performance and profitability of that company will change in tangible way. Some intangible benefits are specified in the following table.

Tangible benefits
  1. Using the RFID based systems the down time of a particular machine is 30% decreased compared to last year.
  2. the factor called Lost time has decreased by 50% compared to last year
  3. delivery rate within the time has incremented to 90%
  4. the performance has increase by 50% than the last year performance
  5. Over time duty hours for sewers are decreased by 10% than last year.
Intangible benefits
  1. Using RFID, the company will provide more data with accuracy for calculation of SAM. This evaluating can be used for cost estimation and line balancing.
  2. Provide monitoring of products in real time, approaches to identify the production drawbacks. It also explains about process re engineering.
  3. Used to uncover previous hidden threats as department coordination, working performance and sewer’s inefficiency.
  4. Improve the motivation for staff by creating the awareness of the company services to employees.
  5. Organize the discussions for scientific maintenance which leads to continuous growth of the company.

Table: intangible benefits of a company with RFID systems 

  • Adoption intention

Various project planning interviews are conducted in order to fin out the factors that can easily influence a garment factory. This leads to adopt a new system called RFID manufacturing system. The analysis of this new adoption is done in terms of technology. Various motivation factors are discussed in the below table.

Technology push Need pull
         Relative benefit       Competitors
         Compatibility       Customer

Table: motivation factors of technology 

  • Technology push

There are various factors for push which are very much used to get the RFID benefits for the company. In the case study it is found that the factors of push such as difficulty, compatibility, benefits and cost of technology are affected by the advanced adoption of RFID methodologies. These factors of push are mainly influenced by the decision of adoption. Let us discuss the impacts on the push factors briefly by adopting the advanced technologies.

  • Relative benefit

This is the first kind of push factor. This can be identified by the influence of adoption. Apart from sewers, all staff can easily identify these relative benefits of RFID manufacturing system. So, based on the adoption each department except sewer can know the advantages of RFID systems.

  • Compatibility

The push factor called compatibility can be defined as the degree of technology which can be consistent with the goals of company such as practices, wants and infrastructure. At this time sewers will not include in the procedure of RFID technology adoption. Based on the explanation, the company could expect that the advanced system feel compatible with accurate information.

  • Difficulty

In a particular garment organization, the labor would not have efficient education background rather than others. So they could face problems when dealing with new adopted technology. But the manufacturing technologies of RFID are very much easier to understand. So the difficulty of new technology will directly affect the intention of adoption.

  • Expansion

The expansion of adopted technology should support remaining work platforms. Here the vendor has the responsibility to process the further rounds. The sub modules include IEES. It is a centralized solution for development and maintenance of garment production. 

  • Cost of technology

Here the factor called cost can be considered as significant factor of adoption decision. This factor is the major factor in this particular case study. Here cost tags can be recycled.

  • Needs pull

Here the pull factor yields the wants of the garment industry. These factors include competitors and customers.

  • Competitors

The desire of a garment industry is to enhance the performance and effectiveness of production. The decision of competitors would affect the adoption decision towards the advanced technology.


Here the customers are the drivers for the garment industry adoption. Here the cost of technology leads to pressure on customer. Here the cost changes however yields the efficiency improvement. 

  • Success factors

Based on the experiences of the company identifies the successful eight factors. These relevant factors are adopting from the RFID based manufacturing information system. These are discussing in below table and some factors are elaborates in the following sections.

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