From military to aerospace RFID, this technology has helped various business sectors significantly. In fact, it’s a data-integration technology that is prominently being used in the retail industry for its various functions within the supply chain.
RFID technology offers real-time data and unique identification of objects, which lets retail businesses accelerate processes, enhance the data accuracy, and enables the visibility and traceability of inventory. As such, it helps improve day-to-day operations as a whole.
To know how RFID helps beyond a company’s retail front, read on below.
Simplifies inventory management
Keeping track of raw materials in inventory for production is necessary for all companies that deal in any tangible process within a product.
Apart from the need to know where and when specific materials arrive, other factors must be monitored, such as tracking of work in progress and the availability of crucial parts within the production cycle. By extending RFID technology even to the company’s suppliers, a whole slew of advancements can be realised.
For starters, the timely reception of data can heavily reduce order errors, thus eradicating the possibility of overstocked or understocked inventories. Furthermore, having a stable inventory consequently results in minimising production delays, allowing operations to progress as expected and maintaining the company’s desired efficiency levels.
One great benefit of RFID asset tracking in manufacturing and supply chain management is its capability to further streamline certain processes. These processes typically cover the ingress and egress of supplies such as raw materials, partial components, and finished products, as well as the general processing of these items throughout the supply chain.
When it comes to the admission of materials in any part of the supply chain, the automation implemented with RFID tags can hasten the scanning and recording process to seconds.
Once inside the facility, the location of these supplies can be monitored at all times, allowing personnel to track their progress, find and intercept problematic shipments, and even redirect them somewhere else if needed. Finally, during the shipment phase, RFID can detect errors and other issues on every stage until the cargo is loaded onto the trucks and shipped out.
By removing the human and analogue elements in these processes, error rates are greatly reduced and eliminated, high accuracy is maintained, and warehouse operations are accelerated.
Tracks the flow of goods
From individual suppliers down to every retailer, businesses can track every possible detail about their goods with the implementation of RFID. This RFID-enabled bird’s eye view allows business owners to gain critical data to further improve the company’s bottom line.
For instance, this data could indicate which end retail branches or stores require constant resupplies of certain products and those that do not. By receiving this kind of data in a timely manner, owners can react much more quickly and employ strategies to rectify such situations, for example, by holding sales in these branches.
The implementation of RFID on all stages of the supply chain, and not just on the retail end, also brings benefits for the company in many ways. Although the investment cost may be a disadvantage at the beginning, doing so evidently allows a business to gain a huge edge over its competition.