Research On The New Supply Chain Management Model Based On The Internet Of Things Technology

As one of the strategic emerging industries, the Internet of Things will certainly become an important force to promote global economic development in the next decade or in an even longer period. As a result, the face of human life will thus open a new page. As an important technology of Internet of Things, we take the Radio Frequency Identification (RFID) as an example to conduct a comprehensive, systematic study, which aim to explore the new supply chains management model based on the Internet of Things, as well as the value of RFID in specific links of the supply chain and the impact factors of the adoption of RFID.On the basis of analyzing the existing instance of implementing Internet of Things in the agricultural, retail and manufacturing supply chains, we systematically summarize the new supply chain management model of the agricultural, retail and manufacturing supply chains based on the Internet of Things respectively. It implies that the Internet of Things helps to create a much needed conditions for enhancing the transparency of the information flow of raw materials, semi-finished and finished products along the supply chains, promoting the cooperation between the members of the supply chain, achieving the automotive and intelligent supply chain management, and strengthening the quality control in the supply chain.We design the new supply chain management model based on the Internet of Things. The principle and ideas of the design of a new supply chain management model based on Internet of Things are given. Moreover, we analyze the functional and management changes of the new supply chain management model based on the Internet of Things. Compared with the traditional supply chain management model, the adoption of the Internet of Things brings three aspects functions below to the supply chain:improve the transparency and visibility, eliminating the uncertainty and improve the intelligence level of the supply chain. Correspondingly, the supply chain management mode changes in the management functions and management links. From the pespectives of space and time, the paths of turning to the new supply chain management model based on the Internet of Things include the vertical integration and horizontal integration path, and the progressive path and leapfrog path respectively.We build an inventory inaccuracy model which combines product substitution. Because most of the previous models ignore the existence of substituted product, by taking into account of the product substitution in the inventory inaccuracy model, we obtain a series of new features of the impact of inventory inaccuracy on the retailer’s profits under the product substitution condition. Moreover, we also get a more accurate estimation of the value of RFID in improving the retailer’s inventory accuracy.We also establish an improved manufacturer model with reverse supply chain. In the original model, the authors did not consider the impact of the establishment of a salable recycled product pool on the valuation of RFID, which is a more simple and direct way to eliminate the uncertainty on the reverse channel and avoids the complexity of implementing information systems. We establish a model to take into account this factor, and get the constraints under which the establishment of salable recycled product pool or implementing RFID will present an advantage respectively. We also get the variations of constrains with the parameters. Thus the model can provide important references for the manufacturers to develop related decision-making.We establish an impact model of adopting RFID in Chinese enterprises which combines the technological, organizational, and institutional and external environmental factors. Because the researches specializing on the impact factors of adopting RFID in enterprises is relatively few, and especially for China, a country in industrial restructuring, there is a lack of researches on how about the enthusiasms of adopting RFID to improve productivity in Chinese enterprises and related impact factors, our research provide insights in this area and enrich the existing theories and literatures.Based on the theoretical impact factors model we established, we develop an empirical research on the key factors to affect the adoption of RFID in Chinese enterprises. The results of the empirical research show that the proportion of Chinese enterprises adopting RFID technology is very low. The perceived usefulness, perceived ease of use, coercive pressure, mutual trust between partners and customers’privacy concerns have a significant impact on the intentions of Chinese enterprises to adopt RFID. Furthermore, perceived ease of use and senior management support have intermediary effects on their adoption decisions through the factor of perceived usefulness. However, senior management support, information systems infrastructure, normative pressure, and mimetic pressure are not significantly associated with the intentions of Chinese enterprises adopting RFID technology.Based on the China’s actual conditions, and the above theoretical and modeling researches, the paper concludes with a series of policy recommendations which include:fully aware of the tremendous value of RFID can bring to the enterprises, continue to explore the new mode of RFID implementation, to expand the application range of RFID; to enhance the mutual trust between enterprises, and eliminate the concerns of the partners on the adoption of RFID and the resistance emotions to make the adoption of RFID in its joint venture more smoothly; and the Government to intensify researches on RFID technology standards and safety standards to eliminate the people’s privacy concerns on RFID, and to promote the application of RFID in Chinese enterprises from the macro environment.