What is Radio Frequency Identification (RFID)?
Radio Frequency Identification (RFID) can be described as a moving database that uses wireless data collection and communications technology to provide automatic monitoring and reporting on items of interest. RFID can provide excellent visibility into operations that would help (1) lower inventories, (2) reduce costs of production, shipping, and handling by lowering requirements for man-power and/or by accelerating transaction time, and (3) increase the amount of data available on a given process or product production cycle.
The RFID technology basically consists of an RFID tag and a reader. RFID uses low-power radio signals to exchange data wirelessly between chips and readers/encoders. Unlike barcode readers, direct line of sight is not needed between the tag and read/write device, thus, eliminating many of the labor and item-orientation requirements associated with the automated data collection. RFID readers can simultaneously recognize and process multiple tags within their read fields.
End Markets Benefit From Information Efficiency
The collection of data through the use of RFID is only the first step in a system implementation. Whether the data is obtained through RFID or barcode, it is the processing of that information that adds the real value to the end user. The use of RFID simply enables a more cost effective and consistent means of acquiring the data to feed these systems.