Supply costs are the second largest expenditure in hospitals, accounting for more than one third of the average operating budget. RFID technology can reduce these costs, improve patient safety, and supply chain management by increasing the ability to track and locate equipment, as well as monitoring theft prevention, distribution management, and patient billing. Findings of this study have shown that the application of RFID on medical equipment and supplies have resulted in efficiency increase in healthcare with lower costs and increased quality services. Even though the cost of RFID implementation is decreasing, the total expenditures are still significant and the return on investment remains unclear.
Coustasse, A., Tomblin, S., & Slack, C. A review of radio frequency identification technologies and impacts on the hospital supply chain: 2002–2012. Paper presented at the Academic and Business Research Institute International Conference. Orlando, Florida. 2013 Jan 3.