Inventory control with RFID is an important aspect of a business operation that involves managing the flow of goods and services. Companies must keep track of inventory levels to ensure they are meeting customer demand, avoiding stock-outs and minimising holding costs. Inventory control with RFID is revolutionising. In this article, we will explore how RFID is used in inventory control and its benefits.
What is RFID?
RFID is a technology that uses radio waves to identify and track objects. It consists of a reader, an antenna and a tag. The reader emits a radio signal that activates the transponder. This then sends back a signal containing the unique identification number. The reader then intercepts and decodes this signal, allowing the tag information to be transmitted to the computer system.
How RFID Works in Inventory Control?
In inventory control, RFID technology is used to track the movement of goods from the warehouse to store shelves. RFID tags are placed on individual products, parcels or pallets. Their movement is then tracked as they pass through the various stages of the supply chain. RFID readers can be installed at various points in the supply chain such as the loading dock, warehouse and retail store to track the movement of products.
Benefits of RFID in Inventory Control:
Improved Inventory Accuracy:
RFID technology enables companies to achieve near-perfect inventory accuracy. RFID technology that tracks products provides accurate information about inventory levels. This helps companies prevent stock outs and overstocking. Thus, it increases customer satisfaction.
RFID technology helps companies streamline their inventory management processes. With RFID, companies can automate inventory tracking, reducing the need for manual data entry and barcode scanning. This can save time and improve the efficiency of inventory management.
Enhanced Supply Chain Visibility:
RFID technology provides enhanced supply chain visibility, allowing companies to track products as they move through the supply chain. This helps companies identify bottlenecks and inefficiencies in their supply chains and make the necessary adjustments to increase efficiency and reduce costs.
Better Customer Service:
By improving inventory accuracy and reducing stock-outs, RFID technology helps companies provide better customer service. Customers are more likely to be satisfied when they can find the products they want in stock. RFID technology helps companies meet this demand.
RFID technology helps companies reduce shrinkage, which refers to the loss of products due to theft, damage or other reasons. By tracking products, RFID helps companies determine when and where shrinkage occurs. This allows them to take the necessary steps to reduce it.
RFID technology has helped companies improve efficiency and customer service by providing visibility of inventory levels. While there are challenges associated with RFID technology, such as cost and integration, the benefits outweigh these challenges.
RFID technology is particularly beneficial for industries that deal with high volumes of goods and require inventory tracking, such as retail, logistics and manufacturing. The benefits of RFID technology go beyond inventory control, as it can also be used for asset tracking, supply chain optimisation and theft prevention.