RFID is fast, reliable, and does not require physical sight or contact between reader/scanner and the item to be tagged or labeled. It is completely automatic and does not require any human intervention. RFID readers can scan multiple tags rapidly and simultaneously, leading to significant handling efficiencies, greater visibility of inventory and asset information, better stock rotation and improved on-shelf availability for retail customers.

Portable reader

It is believed, according to the Forrester Research Institute, to be one of many technologies that will extend the Internet to the physical world and help companies vastly improve the way they manage their physical assets.

RFID has been around for quite a while and is now mature. For instance, the US military started using RFID for shipping containers in 1994. The outcome for the organization has been a reduction of 90% in the number of containers needed.

What’s new are widely adopted data standards like the electronic product code (EPC). (EPC) will track and trace products as they pass between partners in a supply chain and across borders.

How Does RFID Work?

RFID tag

RFID involves a reusable tag, containing a tiny microchip and an antenna. It can be attached to a single item, bulk shipments or containers of items and carries detailed identification and descriptive information about that item.

1. Asset contains one of the two kinds of tags : passive or active (see the article)
2. Interrogator “reads” the tags data using radio frequency waves
3. Interrogator may write new or additional information to tag (if system is capable and the process requires)