INVESTIGATING THE POTENTIAL OF RADIO FREQUENCY IDENTIFICATION (RFID) TECHNOLOGY FOR ORDER PROCESSING LOGISTICS IN THE CONSTRUCTION INDUSTRY

Abstract

The dearth of modern technology and automation in construction logistics in Nigeria has affected the performance of construction sector. This research investigated the potential of Radio Frequency Identification (RFID) Technology used for order processing in the manufacturing and retailing sector which could be utilized in the construction order processing logistics. Lagos State and The Federal Capital Territory (FCT). Abuja, Nigeria were the selected geographical scope of the study, from which 5 manufacturing company, 5 retailing companies and 5 construction projects were purposely selected. Mixed methods research strategy was used. The research instruments included an observation guide (quantitative) and semi-structured interviews (qualitative). The collected quantitative data were analysed using descriptive analytical tools, including, frequencies and percentiles. The qualitative data was analysed, using thematic method. The result revealed that 100% and 80% of the manufacturing and retailing sectors respectively, observed, adopted RFID technology for order processing operations. Only 20% of the observed construction project adopted RFID technology for order processing in the following: out of which 0.6% was used for receiving process, 0.9% for put-away process, 0.6% for dispatching process, 0.6% for replenishment process, and 0.6% for tracking inventory (stock tracking). It was also revealed that utilization of the RFID technology could lead to increased speed of work in the construction industry; improvement in the quality of documents; decrease in documentation errors; allows for contactless identification with little or no manpower. It is recommended that the Nigerian construction industry should leverage on this in order to create the best ways of handling the RFID technology to improve the order processing logistics systems of construction process.