Using Radio Frequency Identification (RFID) Technology in the Pharmaceutical Supply Chain: The Impact on Competitive Advantage

Karen Crooks and Abubaker Haddud ()
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Karen Crooks: IO Biotech Inc., Newport NP18 2HJ, UK
Abubaker Haddud: College of Business & Economic Development, The University of Southern Mississippi, Hattiesburg, MS 39406-0001, USA

Sustainability, 2025, vol. 17, issue 4, 1-26

Abstract: Background: The potential sustainability perspective of RFID technology in business needs more exploration. This study investigated how RFID technology could enhance competitive advantage (CA) within the pharmaceutical supply chain (PSC) and identified implementation barriers and solutions. Methods: Data were collected through an online survey from 58 professionals working in PSC roles, addressing three research questions. Results: Key areas for RFID adoption were identified as distribution (72.40%), warehousing (53.40%), reverse logistics (48.30%), and manufacturing (24.10%). Major concerns included the high cost of RFID devices (60.34%), limited industry understanding of RFID applications (58.62%), and the cost of supporting software (44.83%). RFID technology has the potential to improve CA by reducing costs and enhancing reliability, with budget and project management addressing the financial barriers. Conclusions: Insights from PSC practitioners provided a valuable empirical perspective, contributing both theoretically and practically to the limited existing literature on RFID in PSCs, specifically indicating where RFID can be used, what the expected key benefits are, and the expected challenges businesses need to overcome. This research benefits various PSC stakeholders, especially those focused on last-mile distribution by enhancing competitive advantages and creating and maintaining long-lasting business performance sustainability.

Keywords: RFID; pharmaceutical supply chain; competitive advantage; Industry 4.0 (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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