Advancing Operational Efficiency and Cost Optimization in Warehousing through IoT and RFID Technologies

Abstract

The study explores how IoT and RFID are transformative in impacting the warehousing operations toward efficient cost optimization and increased efficiency in operation. In that case, this study underlines the contribution of combining the application of IoT and RFID, thereby bringing forth the feasibility of inventory real-time tracking, hence revolutionizing warehouse management operations to better effectivity in such operations. Accuracy is brought forth through better management, where less error would result in lower stock discrepancy levels. Using primary data, the study conducted surveys, interviews, and case studies to establish how businesses apply these technologies in the management of their warehouses. The statistical analysis of the data is also indicative that adoption of IoT and RFID contributes to faster management of inventories, fewer labor costs, reduced errors during operations, and better decision-making. Besides that, the technology enhances resource optimization, ensures a better utilization of stock, and allows for an efficient distribution approach. The conclusions show that while IoT and RFID enhance the total efficiency of a warehousing system, they also do much to support cost reduction measures, thus improving the competitive capabilities of businesses with respect to increased supply chain performance, reduced overhead, and enhanced service provision. This research underlines the need to adopt these technological innovations as ways of remaining ahead in the increasingly competitive logistics and warehousing industry.