Preview

RFID Technology and Inventory Control Systems

Good Essays
Open Document
Open Document
753 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
RFID Technology and Inventory Control Systems
RFID technology and Inventory Control Systems
Radio Frequency IDentification (RFID) is one of the revolutionary technologies in recent years. Magazine articles, papers, and journals are frequently praising the potential benefits to users of this technology. RFID can provide immediate and tangible benefits throughout the supply chain. Organizations who take the time to understand the technology’s capabilities and limitations can increase their inventory visibility while streamlining their operations.
RFID is a generic term that is used to describe a system that transmits the identity (in the form of a unique serial number) of an object using radio waves. It consists of three main components: an antenna, a trans-receiver (with decoder), and a transponder (RF tag) electronically programmed with unique code. The purpose of an RFID system is to enable data to be transmitted by a portable device, called a tag, which is read by an RFID reader and processed according to the needs of a particular application. The data transmitted by the tag can provide identification or location information, or specifics about the product tagged, such as price, color, quantity, date of purchase, etc.
The main benefits to using RFID in the supply chain come from improved inventory tracking, especially when the technology’s capabilities are used to collect information and provide visibility in environments where tracking was not done before. Manufacturers, distributors, logistics operators and retailers as Wal-Mart, Tesco, Best Buy, etc use RFID for inventory applications, and in carefully planned systems, may share the same tags to reduce implementation costs. Because it can be read through packaging, without concern to orientation, without direct line of sight between object and reader and can withstand exposure to dirt, heat, moisture and contaminants that make bar codes unusable, RFID can remove blind spots from inventory and supply chain operations. Additionally, annual inventory

You May Also Find These Documents Helpful

  • Satisfactory Essays

    As the CTO of a retail organization, the use of RFID technology will allow for better inventory management of stock. RFID allows better tracking of products from when it leave the warehouse until it arrives at the store. It keeps a detail log of its every movement along the way and can allow for grantee of available of stock. It can be used to keep costumers informed about something is available in the store as well as how many. By using the new technology my organization could gain a competitive advantage that others retailers do not have which will increase profit margin sine it would allow for better pricing and inventory management.…

    • 545 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Quad is a company which leases and services the plastic containers which are used from industries to grocers to transport the products. They are facing some difficulties with them supply chain and following processes for each container. SAVI proposes some new technologies to facilitate this tracking and the inventory management. So in my opinion, if I were SAVI, I would like to position the tracking technology to companies like Quad as a value-adding. The SAVI’s technologies will come for the other companies more like an advantage to improve their efficiency. Such technologies offer the possibilities to manage better the visibility of physical goods, to increase the supply chain efficiency and to facilitate the inventory’s management. The RFID technology adds value not only to the product but also to the QUAD Company. By using such service, they will increase the productivity and improve their products but also reduce the spendof-time. It is really a value—adding service. SAVI offers different kind of RFID tags: active or passive. The active tags are an evolution of the passive tags. They have the ability to transmit their location and other information like the time spending at the same place. Moreover they can be monitored by readers not far from them. So with all these capacities, it could be a great choice for QUAD to invest on this evolution. It will provide them more flexibility, give them the capacity to better organize them inventory and to improve the inventory…

    • 459 Words
    • 2 Pages
    Good Essays
  • Better Essays

    Student

    • 3849 Words
    • 23 Pages

    Jack S. Cook, and Laura Cook. “RFID: Revolutionizing Inventory Management Across the Supply Chain.” APICS. http://www.apics.org/industry-content-research/industry-resources/publications-database (accessed April 4, 2014).…

    • 3849 Words
    • 23 Pages
    Better Essays
  • Powerful Essays

    RFID tags placed in shipments by the vendors are small (less than .5 mm square) and relatively inexpensive radio devices that communicate with scanners providing pre-defined information (Wikipedia). The scanners would automatically pick up the information in the tag without requiring any human intervention. When the shipment is identified by the RFID tag, the system will retrieve the information that has been transmitted by the vendor and compare it to the order in the database. If vendors do not place RFID tags in their shipment, wireless bar code scanners must be available for receiving personnel to scan the labels of the shipment to check them into the system. When the materials are moved from receiving to the warehouse, a similar system will record the materials as ready for use after workers have placed the materials in pre-defined kits or in lots of standardized amounts. During the process of preparing materials for production use, workers will attach bar codes or RFID tags, depending on the type of material, to the item or lot so that inventory reduction can be noted when the material is removed from the warehouse and can be tracked throughout the production phase. When a product or lot is completed in production, the identifying label or tag should be used to update the status of the product and indicate its status to be moved to the warehouse or shipping department.…

    • 3551 Words
    • 15 Pages
    Powerful Essays
  • Powerful Essays

    Riordan Information Systems

    • 3338 Words
    • 14 Pages

    Caton, M. (2004). RFID reshapes the supply chain. eWeek, 21(16), 45. Retrieved from MasterFILE Premier database.…

    • 3338 Words
    • 14 Pages
    Powerful Essays
  • Best Essays

    Susan Reda (2005, September). What you don 't Know About RFID! Stores, 87(9), 26-27. Retrieved July 16, 2008, from ABI/INFORM Global database. (Document ID: 895457311).…

    • 2147 Words
    • 9 Pages
    Best Essays
  • Better Essays

    Walgreens Swot Analysis

    • 1563 Words
    • 7 Pages

    The successful implementation of technology in both the store and supply chain is a real strength for the Walgreens Company. They have successfully implemented the use of radio frequency identification (RFID) throughout its chain of stores. RFID allows Walgreens to monitor the impact of sales from specific displays. Wow! It provides Walgreens with the tools to maximize both its efficiency and profits. (Wilson 2006)…

    • 1563 Words
    • 7 Pages
    Better Essays
  • Good Essays

    Wal-Mart Controversy

    • 755 Words
    • 4 Pages

    In order to maintain the motto, the suppliers are forced to provide a product at as low a price as possible for retail. As many have recognized, the continual push to lower cost of goods annually attributes to forcing labor in foreign countries that in turn negatively affects American jobs (Smith & Young, 2004). If a supplier is unwilling to meet the reduction, Wal-Mart will find a supplier that is and drop the existing product (Ferrell, Fraedrich, & Ferrell, 2013). Wal-Mart also emphasis the importance of utilizing technology in production to aid in reducing cost. The use of radio-frequency identification (RFID) affords the supplier a tracking mechanism from shipment through sale at a Wal-Mart location (Ferrell, Fraedrich, & Ferrell, 2004). This technology provides insight into sales and reduces shipping delay as both companies are aware of product movement and can accommodate future need. However, the majority of the cost lies on the supplier, but they are forced into use by Wal-Mart. There have been companies discontinue supplying Wal-Mart with products based on cost reduction tactics, some have continued success while others have folded. There are also ethical challenges faced by the retail…

    • 755 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Case Study 4

    • 1780 Words
    • 6 Pages

    According to the case study, Westminster’s vice president of SCM Alex Coldfield visualized three important changes to the supply chain. First, introducing a new and faster technological system such as POS driven information system, with the help of a team-work it will give the company and customers accurate information at the point of sale. Second, Westminster Company should have the ability to reduce order cycle times. At this point, the company will be able to mix merchandise from the three different companies and create a customize order and increase the demand for direct store delivery. Third, by creating customize orders, the need of new programs such UCC 128 and RFID will facilitated the procedures and modify the traditional order fulfillment.…

    • 1780 Words
    • 6 Pages
    Powerful Essays
  • Better Essays

    Bolan, C. (2005). Is RFID 's tag too pricey? RFID tagging is revolutionizing supply chain management and data synchronization for suppliers and retailers (The Power of Packaging) (radio frequency identification equipment) (Cover Story). In Global Cosmetic Industry, 173, p24 (5). Retrieved October 07, 2006, from InfoTrac OneFile via Thomson Gale: http://find.galegroup.com/ips/infomark.do?&contentSet=IAC-…

    • 1734 Words
    • 7 Pages
    Better Essays
  • Better Essays

    Rfid Tags

    • 1620 Words
    • 7 Pages

    Swedberg, C. (2003, February 5). Retrieved from http://www.rfidjournal.com/article/view/10391 Wolff, J. A. (2001). Rfid tags – an intelligent bar code replacement. Retrieved from ftp://ftp.software.ibm.com/software/pervasive/info/tech/gsoee200.pdf…

    • 1620 Words
    • 7 Pages
    Better Essays
  • Powerful Essays

    This paper outlines the cost‐benefit analysis of using Ultra High Frequency (UHF) Radio Frequency Identification (RFID) technology in an asset‐tracking application. To facilitate the analysis, RFID will be compared against the incumbent technology, bar‐coding. An experiment comparing these two technologies was conducted, and the findings from this experiment are further analysed.…

    • 1381 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Rfid at Walmart

    • 2895 Words
    • 12 Pages

    Walmart opened the first store on July 2, 1962 in Rogers, Arkansas by Sam Walton. The mission for Walmart is to provide lower prices so people could live better. In 2012, Walmart has over 2.2 million associates worldwide and 200 million customers per week at more than 10,000 stores in 27 countries (“History Timeline”, 2013). Effective and efficient supply chain management plays a key role to maintain everyday low prices, great customer service and quality merchandise that Walmart continues to dominant the market as the number one retailer in 2012. Over the past years Walmart made improvements in technology by updating from cash registers in 1983 to computerized point-of-sales systems for faster and accurate checkout. Next, Walmart installed the largest satellite communication system, linking operations with voice, data and video communication (“History Timeline”, 2013). Technology advancements with Walmart’s…

    • 2895 Words
    • 12 Pages
    Powerful Essays
  • Powerful Essays

    Review of Scenario Planning

    • 8515 Words
    • 35 Pages

    Successful management of extreme market and demand volatility has become the new mantra of supply chain managers around the globe. Macroeconomic cycles of growth, contraction and recovery have become erratic, making reliable end-to-end supply and demand planning increasingly challenging. Disruptions caused by recent natural disasters have added to supply chain volatility. In business-to-business relationships, long-term loyalty and predictable order flow seem to have become relics of the past. At the same time, customers are tightening their requirements in terms of throughput time and perfect-order delivery while demanding continuous reductions in supply chain cost. The increasing use of online channels is driving the reduction of response times and forcing supply chain managers to find new answers for global micro-delivery of multiple small-customer orders, instead of the large-batch movements. Maximising supply chain flexibility and managing multiple supply chain configurations have become the new imperatives for today’s supply chain executives. In addition, radiofrequency identification (RFID) and other digital technologies lead to…

    • 8515 Words
    • 35 Pages
    Powerful Essays
  • Powerful Essays

    Due to the rapid advancement of technology such as pervasive or ubiquitous wireless and internet networks, connective product marking technologies like RFID and emerging standards for the use of these defining specific locations using global location numbers, the basic supply chain is rapidly evolving into what is known as a Supply Chain Network. Since the mobile phone industry is a vast and much spread one it needs to be really competitive among other brands. One single mistake could lead to loose the whole market share…

    • 1434 Words
    • 6 Pages
    Powerful Essays