4 Reasons Why RFID Helps In Boosting Inventory Management
Inventory management is the one single thing that retailers must get right as poor handling may end up damaging one’s business hugely in a negative way. Often, managing inventory manually is a huge challenge, as opposed to using RFID.
Technology is driving several changes in most industries, such as the use of aerospace RFID in the airline industry. It allows a technician to obtain updated data about the critical parts of an aeroplane which contributes to enhanced lifecycle management; since, one will know exactly when a part will need repair.
Similarly, the retail sector is no exception. The use of real-time tracking through wireless technology has made it easier to account for inventory at all times. Business owners can know when an item leaves the warehouse and through which exit avenue. They can also monitor the products that are receiving more traction and those that are stagnant. This information helps a lot in planning and re-stocking management.
With that being said, here are some ways to boost one’s inventory management system.
Helps to identify products and items quickly
There is no longer a need to go through the hustle of looking for a specific item a client requires out of a large warehouse.
For instance, if a customer orders a jeans trouser, there are various variations to that same trouser. There are different colours, sizes, composition and even designs. Therefore, to locate the exact variant that matches the customer’s needs or wants is a lot easier through the use of RFID technology.
Theft prevention
As every product in the warehouse has an RFID tag on it, this makes it easier to track each one of them.
Theft can be prevented as the RFID reader is able to know whenever an item has not being paid. Even when it happens, it is possible to tell when the item left the store, and through which exit route.
Besides, this helps in accounting for every product that leaves the store, thus, ensuring traceability of every product. In this way, it helps in bolstering logistics too.
Increases accuracy and is cost-effective
Since a reader communicates with the exact item that has the tag, accuracy within the facility can be guaranteed upon. A business can acquire real numbers of products inside the warehouse, and know exactly how many additions will need to be made. This helps in avoiding any overstocking or understocking on items.
On a cost-effective matter, a technology like RFID tool tracking helps to reduce the number of staff needed inside the warehouse. Labour can be cut down as it is not necessary for numerous personnel to check products and ensure their security. Similarly, reducing manual labour is possible by tracking the products from the inventory to the point of sale.
Improves efficiency
Customers always appreciate efficiency and speed when dealing with retailers. Thanks to RFID technology, businesses can increase the speed of delivery to customers and improve efficiency to another level. By so doing, it will strengthen customer ties and loyalty to the store.
With improved efficiency, the return on investment will be worthwhile.
The importance of RFID technology for enhanced inventory management is extremely crucial for improved overall business performance. Hence, there is a need for businesses to invest in the right RFID tools to help the business to newer heights.
