Radio frequency identification technology: An exploratory study on adoption in the South African retail sector

Authors:
Irwin Brown;John Russell
Affiliations:
Department of Information Systems, University of Cape Town, Private Bag Rondebosch, 7701 Cape Town, South Africa;Department of Information Systems, University of Cape Town, Private Bag Rondebosch, 7701 Cape Town, South Africa
Venue:
International Journal of Information Management: The Journal for Information Professionals
Year:
2007

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Abstract

Radio Frequency Identification (RFID) technology has recently gained widespread media coverage in South Africa. The purpose of this study was to conduct an exploratory investigation into RFID adoption in South African retail organisations, and to identify factors that have an impact on the adoption status. Quantitative and qualitative data were gathered from a sample of leading retailers in order to assess relevant factors. The findings showed that as at 2005 many retailers had not yet adopted RFID or even conducted pilot studies, but intended to in the future. This positive intention was explained by technological factors (e.g., perceived benefits), organisational factors (e.g., top management awareness and interest), and external factors (e.g., the efforts of standards-making bodies). That none of the organisations had yet reached the stage of conducting pilot studies was again explained by technological factors (e.g., cost), organisational factors (e.g., the lack of organisational readiness), and external factors (e.g., lack of global standards). The implications of these and other findings are discussed.