| RFID is a technology whose time has come and | | | | It does not require any physical movement of the |
| especially its use in Inventory Management is a | | | | goods or scanning. It is a fully automated system that |
| quantum improvement over the bar code system | | | | allows precise tracking of inventory through shipping or |
| presently in use for tracking goods. Though there are | | | | receiving cycle and can even allow reports to be |
| many sophisticated Inventory Management Systems in | | | | generated simultaneously. |
| use for managing supply chains such as Enterprise | | | | RFID technology can be used in many different ways |
| Systems and Electronic Data Interchange, tracking | | | | and is, in fact, being extensively adopted by many retail |
| movement of goods through the various stages of | | | | stores in the US and other countries for inventory |
| manufacturing and supply is a complicated procedure | | | | tracking. Another advantage of the system is that the |
| as it involves movement through a number of parties | | | | data generated automatically during the usage can be |
| until the final destination. | | | | for various types of analysis and study. |
| The system being presently used is bar code system | | | | The main advantage of the RFID inventory |
| which is printed and requires use of a bar code reader | | | | management system which is computer based is that |
| in close proximity to the tag to read. This requires | | | | it has eliminated human intervention in the process to a |
| manual scanning or at best a system that is able to | | | | great extent. This has overcome the inherent problems |
| place the bar code reader strategically against the | | | | of labour intensive systems like it being time consuming, |
| moving goods. However bar codes are not immune to | | | | error prone and costlier. |
| damage during transit as they can get damaged or | | | | RFID technology makes the task of monitoring your |
| wet while being handled or while passing through a | | | | inventory very easy. It can be used not only for |
| harsh environment. This results in wrong readings or | | | | tracking your finished goods but also your inputs with |
| extensive costly manual intervention. | | | | built-in warnings for low inventory and placing orders |
| However use of RFID tagging overcomes many of | | | | for replenishing when stocks run low in your |
| these problems and helps in effective inventory | | | | warehouse. |
| management with the help of real time data availability. | | | | |