Supply chain integration obtained through uniquely labelled goods

Abstract

PurposeThis paper aims to examine the use of unique identities (through radio frequency identification technology, bar codes and “human‐readable” labels) on packages and load carriers in Swedish manufacturing industries. The purpose is to investigate drivers behind the adoption, the perceived improvements and visions for the coming 2‐5 years. It also covers different methods for reading the identities, locations of identification in the supply chain and how the acquired information is utilised.Design/methodology/approachThe paper uses the survey method. The survey instrument was developed in co‐operation with an expert group consisting of both researchers and industry representatives. The data were analysed using multivariate techniques.FindingsThe analysis shows that there are a number of distinct clusters of companies with similar drivers for the adoption of unique identification. Characteristics of companies in these clusters are described and compared. The analysis clarifies the essential roles of integration and information sharing to obtain logistical improvements.Research limitations/implicationsTo provide a more robust scientific justification of the survey results, in‐depth case studies should be carried out and similar studies could be conducted in other countries and/or industries.Practical implicationsManagers intending to implement unique identities need to understand the importance of having the right organisational motivation to succeed. Firms already using unique identities should note that the greater the integration and information sharing, the greater the number of improvements which could be obtained.Originality/valueThe study shows that there are links between the drivers behind the adoption of unique identities and the level of integration and improvements achieved. It also provides the current status of different identification methods in Swedish manufacturing industries.