Stock visibility for retail using an RFID robot

Abstract

Purpose The combination of the latest advancements in information and communication technologies with the latest developments in AutoID technologies, especially radio frequency identification (RFID), brings the possibility of high-resolution, item-level visibility of the entire supply chain. In the particular case of retail, visibility of both the stock count and item location in the shop floor is crucial not only for an effective management of the retail supply chain but also for physical retail stores to compete with online retailers. The purpose of this paper is to propose an autonomous robot that can perform stock-taking using RFID for item-level identification much more accurately and efficiently than the traditional method of using human operators with RFID handheld readers. Design/methodology/approach This work follows the design science research methodology. The paper highlights a required improvement for an RFID inventory robot. The design hypothesis leads to a novel algorithm. Then the cycle of development and evaluation is iterated several times. Finally, conclusions are derived and a new basis for further development is provided. Findings An autonomous robot for stock-taking is proven feasible. By applying a proper navigation strategy, coupled to the stream of identifications, the accuracy, precision, consistency and time to complete stock-taking are significantly better than doing the same task manually. Research limitations/implications The main limitation of this work is the unavailability of data to analyze the actual impact on the correction of inventory record inaccuracy and its subsequent implications for the supply chain management. Nonetheless, it is shown that figures of actual stock-tacking procedures can be significantly improved. Originality/value This paper discloses the potential of deploying an inventory robot in the supply chain. The robot is called to be a key source of inventory data conforming supply chain management 4.0 and omnichannel retail.