The development and validation of a two-staged adoption model of RFID technology in livestock businesses

Grounded on the technology-organization-environment (TOE) framework, the purpose of this paper is to develop a two-stage model of radio frequency identification (RFID) adoption in livestock businesses. RFID adoption is divided into two stages, acceptance and extension. It is argued that RFID adoption in livestock businesses is influenced by technological (interoperability, technology readiness), organizational (readiness, market scope), and environmental (competitive market pressure, data inconsistency) factors.

From a qualitative field study, along with the support of existing literature, the authors developed a research model, which was then validated with survey data of 318 livestock businesses in Australia. Data analysis used partial least squares structural equation modeling.

Empirical results showed that interoperability, organizational readiness, and competitive market pressure, and data inconsistency significantly influence acceptance of RFID technology in livestock businesses. In addition, the extended use of RFID is determined mainly by interoperability, technology readiness, organizational market scope, and data inconsistency. The results suggested differential effect of data inconsistency– it had a negative influence on RFID acceptance but a positive impact on the extent of its use.

This is one of the first studies to examine RFID adoption as a two-stage process. The theoretical basis was based on TOE framework and the factors were developed from a field study. The results of this study will provide insights for different livestock industry including technologists, farm managers, and market players.