RFID
RFID is becoming a key enabler
for optimising the supply chain. Among other things,
RFID can help to reduce warehousing costs, improve
supply chain visibility and assist in end to end
tracking and tracing applications. RFID technology
is becoming increasingly attractive for industrial
and retail customers due to improving standards and
dropping tag prices.
RFID is a technology that places
object-related data on the object itself, usually
on a foil-type data carrier, and transmits this data
via an integrated antenna to a reader. These generally
self-adhesive labels are made of plastic foil or
paper on an endless roll backing. The manufacturing
costs of transponders in the form of smart labels
are still too high for them to be used as information
carriers on every parcel or even every item of goods.
Current
applications include the automotive industry or
electronic security tags on goods in department
stores. RFID technology is on the threshold of
mass production, manufacturing prices of around €0.10 per label are in sight and the
breakthrough is expected at €0.05. This will
provide new opportunities in logistics as it will
be possible to always have the data and the goods
in the same place at the same time.
At the moment the intelligence for
controlling the processes is located centrally. RFID
succeeds in distributing this intelligence, enabling
local control units (storage and retrieval machines,
robots, sorters, ...) and manual work stations to
obtain their information reliably from the object
itself in the material flow, and make decentralised
decisions.
The individual systems become
easier to integrate, the material flow becomes more
reliable, the logistics system responds more quickly
and largely automatically to particular situations
and faults. The quality of manual and automated work
can be ensured directly in the process.
In this way, RFID allows the detailed
replication of the real world in the world of bits
and bytes and ensures improved availability and better
quality, while simultaneously reducing labor costs.
Supply Chain Benefits:
- Real-time data throughout Supply
Chain
- Higher throughput, higher productivity
- 100%
visibility & tracking
- Seamless
data integration
- Automatic payments
- Improved Asset & inventory
management
- Reduced costs
- Expedite recalls
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