RFID can be used in many applications. A RFID tag can be affixed to any objects / products and used to track and manage inventory, assets, people, etc. For example, in a shop like Diamond World - it can be affixed to any ornament items, computer equipment, packets, etc. RFID- enabled systems help companies cut costs, improve customer service, reduce labor, increase accuracy, and improve production throughput.
2. Some of the main benefits that RFID device can provide are:
- The solution does not require a line of sight access to be able to read tags. - The tag can trigger security alarm systems if removed from its correct location. - Reader and tag communication are not orientation sensitive. - Automatic scanning and data logging is possible without human intervention - Each item can individually be labeled. - Tag internal data can be comprehensive, unique in parts/common in parts, and is compatible with data processing in ERP system. - System provides a high degree of security and product authentication - a tag is more difficult to counterfeit than a simple barcode.
3. Technical benefits for a business firm like Diamond World: The technical benefits of RFID create the basis for real business benefits. When theres less risk of errors and when theres real-time information about how the asset is being used and where its located, RFID can increase the efficiency of processes and save money. The return on investment is the key issue when reviewing the general benefits of the system. For example the encapsulated re-usable tags cost is typically justified when calculating the eventual cost per use of an asset and when comparing it to the losses. The cost savings of an RFID system are often based on the following facts: An RFID system can increase productivity as less monitoring is needed and both goods and information are handled more efficiently An RFID system makes it easier to respond to new circumstances as a result of information gained from the supply networks Less errors, higher reliability no human intervention needed for reading the data Improved visibility and traceability process monitoring, tracking of shipments and assets
4. Business benefits for a business firm like Diamond World: Use of RFID technology can increase business productivity and reduce associated costs. To ensure that companies benefit from the advantages RFID provides it is important to understand how to adopt this technology. - Improved Productivity and Cost Avoidance: Identifying items by RFID involves less work than using barcode scanning and other less automated ways. This leads to greater process effectiveness in many tasks such as receiving and putting away, picking and shipping goods where the time required and cost of identifying items by RFID is substantially less than other methods. - Decreased Cycle Time and Taking Costs Out: RFID scanning is not a serial process, like traditional Barcode scanning, so the business can perform identical tasks much more quickly. This means processes moving goods through a supply chain are more efficient leading to a reduction in the need for larger inventories. - Reduced Rework: As RFID scanning has a greater first time pass accuracy this reduces the number of errors that are generated and retries needed. - Reduced Business Risk & Control of Assets: RFID tagging enables better audit and asset control. The ability to track and trace items better means assets can be located more easily. The opportunity for enhanced data collection leads to increased accuracy of record keeping and improved asset maintenance. Regulatory compliance can be achieved more effectively.
- Improved Security and Service: Being able to validate information relating to an item enables increased security. This individual identification contributes to more effective access control, reductions in shrinkage and other losses and the ability to provide fast and efficient services at the point of need. Ability to authenticate information can prevent activities like counterfeiting and fraud. - Improved Utilization of Resources: Information obtained by RFID scanning can be used to improve planning. Processes can be improved, time can be saved, and assets can be utilized better. - Increased Revenues: By eliminating uncertainty companies will suffer less out of stock situations and obtain greater item availability, reducing lost sales and increasing choice leading to more sales.
5. Examples of the implementation of RFID in Diamond World Inc. include:
Logistics & Tracking - Real Time Item Location/ Item Visibility & Status - Anti Theft/Tamper evidence - Authentication
Payment Systems - Road Toll - Electronic Tickets - Mass Transit Ticketing
Workflow Processes - Service/Maintenance Records - Remote Management - Mobile Data