Quick response healthcare apparel supply chains: Value of RFID and coordination

Hau Ling Chan, Tsan Ming Choi, Chi Leung Hui, Sau Fan Ng

Research output: Journal article publicationJournal articleAcademic researchpeer-review

30 Citations (Scopus)


Radio frequency identification (RFID) is an important tool for enhancing the performance of inventory management. Motivated by our real-world observations in local hospitals, we study the case where a hospital, which is using a bar-coding system, considers switching to an RFID system because the RFID technology can potentially enhance the hospital's inventory management under the quick response system (QRS). In order to examine the value of RFID, we develop a formal analytical Bayesian model for the information updating process. We derive the expected value of information of the RFID system, and reveal the conditions in which the RFID system outperforms the bar-coding system. In addition, we evaluate the impacts of the QRS toward the expected profit and level of risk of the hospital, the supplier, and the whole supply chain (SC) system. We further propose two policies to help achieve SC coordination. Numerical analyses are reported and important insights are generated.
Original languageEnglish
Article number6979266
Pages (from-to)887-900
Number of pages14
JournalIEEE Transactions on Systems, Man, and Cybernetics: Systems
Issue number6
Publication statusPublished - 1 Jun 2015


  • Quick response system (QRS)
  • radio frequency identification (RFID) system
  • SC systems
  • supply chain (SC) management

ASJC Scopus subject areas

  • Control and Systems Engineering
  • Software
  • Human-Computer Interaction
  • Computer Science Applications
  • Electrical and Electronic Engineering


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