Radio frequency identification and time-driven activity based costing: RFID-TDABC application in warehousing

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

Purpose: This paper extends the use of Radio Frequency Identification (RFID) data for accounting of warehouse costs and services. Time Driven Activity Based Costing (TDABC) methodology is enhanced with the real-time collected RFID data about duration of warehouse activities. This allows warehouse managers to have accurate and instant calculations of costs. The RFID enhanced TDABC (RFID-TDABC) is proposed as a novel application of the RFID technology.
Research Approach: Application of RFID-TDABC in a warehouse is implemented on warehouse processes of a case study company. Implementation covers receiving, put-away, order picking, and despatching.
Findings and Originality: RFID technology is commonly used for the identification and tracking items. The use of the RFID generated information with the TDABC can be successfully extended to the area of costing. This RFID-TDABC costing model will benefit warehouse managers with accurate and instant calculations of costs.
Research Impact: There are still unexplored benefits to RFID technology in its applications in warehousing and the wider supply chain. A multi-disciplinary research approach led to combining RFID technology and TDABC accounting method in order to propose RFID-TDABC. Combining methods and theories from different fields with RFID, may lead researchers to develop new techniques such as RFID-TDABC presented in this paper.
Practical Impact: RFID-TDABC concept will be of value to practitioners by showing how warehouse costs can be accurately measured by using this approach. Providing better understanding of incurred costs may result in a further optimisation of warehousing operations, lowering costs of activities, and thus provide competitive pricing to customers. RFID-TDABC can be applied in a wider supply chain.
Original languageEnglish
Title of host publicationProceedings of the 21st Annual Logistics Research Network Conference
Publication statusPublished - 7 Sep 2016
Event21st Annual Conference of the Chartered Institute of Logistics & Transport, Logistics Research Network (LRN) - Hull, United Kingdom
Duration: 7 Sep 20169 Sep 2016

Conference

Conference21st Annual Conference of the Chartered Institute of Logistics & Transport, Logistics Research Network (LRN)
CountryUnited Kingdom
CityHull
Period7/09/169/09/16

Fingerprint

Radio frequency identification (RFID)
Warehouses
Costs
Supply chains
Managers
Identification (control systems)

Bibliographical note

-Published by the Chartered Institute of Logistics & Transport, Logistics Research Network. Bahr, W & Price, BJ 2016, 'Radio Frequency Identification and Time-Driven Activity Based Costing: RFID-TDABC Application in Warehousing'. in Proceedings of the 21st Annual Logistics Research Network Conference. Chartered Institute of Logistics and Transport , 21st Annual Conference of the Chartered Institute of Logistics & Transport, Logistics Research Network (LRN), Hull, United Kingdom, 7-9 September.

Cite this

@inproceedings{61e64a555e454f23910a5f65924b3cd2,
title = "Radio frequency identification and time-driven activity based costing: RFID-TDABC application in warehousing",
abstract = "Purpose: This paper extends the use of Radio Frequency Identification (RFID) data for accounting of warehouse costs and services. Time Driven Activity Based Costing (TDABC) methodology is enhanced with the real-time collected RFID data about duration of warehouse activities. This allows warehouse managers to have accurate and instant calculations of costs. The RFID enhanced TDABC (RFID-TDABC) is proposed as a novel application of the RFID technology.Research Approach: Application of RFID-TDABC in a warehouse is implemented on warehouse processes of a case study company. Implementation covers receiving, put-away, order picking, and despatching.Findings and Originality: RFID technology is commonly used for the identification and tracking items. The use of the RFID generated information with the TDABC can be successfully extended to the area of costing. This RFID-TDABC costing model will benefit warehouse managers with accurate and instant calculations of costs.Research Impact: There are still unexplored benefits to RFID technology in its applications in warehousing and the wider supply chain. A multi-disciplinary research approach led to combining RFID technology and TDABC accounting method in order to propose RFID-TDABC. Combining methods and theories from different fields with RFID, may lead researchers to develop new techniques such as RFID-TDABC presented in this paper.Practical Impact: RFID-TDABC concept will be of value to practitioners by showing how warehouse costs can be accurately measured by using this approach. Providing better understanding of incurred costs may result in a further optimisation of warehousing operations, lowering costs of activities, and thus provide competitive pricing to customers. RFID-TDABC can be applied in a wider supply chain.",
author = "Witold Bahr and Price, {Brian J}",
note = "-Published by the Chartered Institute of Logistics & Transport, Logistics Research Network. Bahr, W & Price, BJ 2016, 'Radio Frequency Identification and Time-Driven Activity Based Costing: RFID-TDABC Application in Warehousing'. in Proceedings of the 21st Annual Logistics Research Network Conference. Chartered Institute of Logistics and Transport , 21st Annual Conference of the Chartered Institute of Logistics & Transport, Logistics Research Network (LRN), Hull, United Kingdom, 7-9 September.",
year = "2016",
month = "9",
day = "7",
language = "English",
isbn = "978-1-904564-52-2",
booktitle = "Proceedings of the 21st Annual Logistics Research Network Conference",

}

Bahr, W & Price, BJ 2016, Radio frequency identification and time-driven activity based costing: RFID-TDABC application in warehousing. in Proceedings of the 21st Annual Logistics Research Network Conference. 21st Annual Conference of the Chartered Institute of Logistics & Transport, Logistics Research Network (LRN), Hull, United Kingdom, 7/09/16.

Radio frequency identification and time-driven activity based costing : RFID-TDABC application in warehousing. / Bahr, Witold; Price, Brian J.

Proceedings of the 21st Annual Logistics Research Network Conference. 2016.

Research output: Chapter in Book/Report/Conference proceedingConference contribution

TY - GEN

T1 - Radio frequency identification and time-driven activity based costing

T2 - RFID-TDABC application in warehousing

AU - Bahr, Witold

AU - Price, Brian J

N1 - -Published by the Chartered Institute of Logistics & Transport, Logistics Research Network. Bahr, W & Price, BJ 2016, 'Radio Frequency Identification and Time-Driven Activity Based Costing: RFID-TDABC Application in Warehousing'. in Proceedings of the 21st Annual Logistics Research Network Conference. Chartered Institute of Logistics and Transport , 21st Annual Conference of the Chartered Institute of Logistics & Transport, Logistics Research Network (LRN), Hull, United Kingdom, 7-9 September.

PY - 2016/9/7

Y1 - 2016/9/7

N2 - Purpose: This paper extends the use of Radio Frequency Identification (RFID) data for accounting of warehouse costs and services. Time Driven Activity Based Costing (TDABC) methodology is enhanced with the real-time collected RFID data about duration of warehouse activities. This allows warehouse managers to have accurate and instant calculations of costs. The RFID enhanced TDABC (RFID-TDABC) is proposed as a novel application of the RFID technology.Research Approach: Application of RFID-TDABC in a warehouse is implemented on warehouse processes of a case study company. Implementation covers receiving, put-away, order picking, and despatching.Findings and Originality: RFID technology is commonly used for the identification and tracking items. The use of the RFID generated information with the TDABC can be successfully extended to the area of costing. This RFID-TDABC costing model will benefit warehouse managers with accurate and instant calculations of costs.Research Impact: There are still unexplored benefits to RFID technology in its applications in warehousing and the wider supply chain. A multi-disciplinary research approach led to combining RFID technology and TDABC accounting method in order to propose RFID-TDABC. Combining methods and theories from different fields with RFID, may lead researchers to develop new techniques such as RFID-TDABC presented in this paper.Practical Impact: RFID-TDABC concept will be of value to practitioners by showing how warehouse costs can be accurately measured by using this approach. Providing better understanding of incurred costs may result in a further optimisation of warehousing operations, lowering costs of activities, and thus provide competitive pricing to customers. RFID-TDABC can be applied in a wider supply chain.

AB - Purpose: This paper extends the use of Radio Frequency Identification (RFID) data for accounting of warehouse costs and services. Time Driven Activity Based Costing (TDABC) methodology is enhanced with the real-time collected RFID data about duration of warehouse activities. This allows warehouse managers to have accurate and instant calculations of costs. The RFID enhanced TDABC (RFID-TDABC) is proposed as a novel application of the RFID technology.Research Approach: Application of RFID-TDABC in a warehouse is implemented on warehouse processes of a case study company. Implementation covers receiving, put-away, order picking, and despatching.Findings and Originality: RFID technology is commonly used for the identification and tracking items. The use of the RFID generated information with the TDABC can be successfully extended to the area of costing. This RFID-TDABC costing model will benefit warehouse managers with accurate and instant calculations of costs.Research Impact: There are still unexplored benefits to RFID technology in its applications in warehousing and the wider supply chain. A multi-disciplinary research approach led to combining RFID technology and TDABC accounting method in order to propose RFID-TDABC. Combining methods and theories from different fields with RFID, may lead researchers to develop new techniques such as RFID-TDABC presented in this paper.Practical Impact: RFID-TDABC concept will be of value to practitioners by showing how warehouse costs can be accurately measured by using this approach. Providing better understanding of incurred costs may result in a further optimisation of warehousing operations, lowering costs of activities, and thus provide competitive pricing to customers. RFID-TDABC can be applied in a wider supply chain.

M3 - Conference contribution

SN - 978-1-904564-52-2

BT - Proceedings of the 21st Annual Logistics Research Network Conference

ER -