How RFID technology benefits supply chain management

How RFID technology benefits supply chain management


Supply chain management is a very important aspect of business and RFID technology can benefit the process. By understanding how your supply chain works, you can make better decisions about where and when to place orders, as well as which suppliers to use. RFID technology can help with all of these processes by offering increased efficiency and security at all stages of the process. Here’s how:

What is RFID technology?

RFID stands for Radio Frequency Identification, and it’s a technology that uses radio waves to identify an object or person.

In this context, “object” can mean a lot of things: a pallet of product; a specific item on that pallet; the box the item is in; or even the human being who packed the box and loaded it onto the truck. The tags themselves are printed labels with an RFID chip embedded inside them. Some tags are active (they have their own power source), while others are passive (they get their power from an external source).

They’re all small enough to be attached directly to your products—or you can embed them in stickers as well—and then read by an RFID reader when they pass near it.

RFID tags can be used to track assets.

RFID Radio Frequency Identification Tag
RFID Radio Frequency Identification Tag

RFID tags are used to help identify and track items. They have been successfully used in the retail industry for years, but they are also applicable in industrial settings. For example, RFID tags can be used to track the location of items throughout your supply chain, including how close they are to being shipped out or when they reach a certain point in their lifetime (like when a part has reached its expiration date). Additionally, RFID tags can be used to monitor temperature levels of products so you’re able to prevent spoilage or loss due to overheating/freezing issues along their journey through your business processes.

RFID tags are used to improve supply chain efficiency.

RFID tags can be used to improve supply chain visibility, inventory management and asset tracking. Supply chain visibility refers to the ability of a company to track the movement and location of its products throughout the supply chain. Inventory management refers to managing inventory effectively so as not to run out of stock too soon or have excess stock lying around. Asset management refers to monitoring an organization’s physical assets such as machinery, tools and equipment through RFID tags.

The use of RFID technology can make your supply chain more efficient and more secure.

Tag & Scan Boxes with RFID

RFID tags are a type of identification device that can be used to improve your supply chain management. The following are some examples of companies that have already started using RFID technology:

  • Wal-Mart is implementing the use of RFID tags in its supply chain for inventory management, as well as for locating products in their warehouses.
  • Nike is using RFID tags to track the movement of shoes during their production cycle from start to finish. This helps them ensure quality control and make sure that each pair meets their specifications before being shipped out to retailers. It also helps them track down any problems that might arise along each step of manufacturing, allowing them to correct it before too many defective items get out into the market place (and also increasing customer satisfaction).

How does RFID technology benefit supply chain management?

In conclusion, RFID technology is an important tool in the development of a modern supply chain. It makes it easier for companies to track their goods throughout the supply chain and also enables them to make smarter decisions about inventory levels.

If you’d like to discuss RFID products for your business, fill in our contact form and we’ll get back to you.

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