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RFID, Obvious Business Benefits

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RFID, Obvious Business Benefits

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. By analyzing current practices and procedures eight main areas of benefit can be identified.These are:

● Improved Productivity and Cost Avoidance.

● Decreased Cycle Time and Taking Costs Out.

● Reduced Rework.

● Reduced Business Risk & Control of Assets.

● Improved Security and Service.

● Improved Utilization of Resources.

● Increased Revenues.

● Exception Management.

● 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 when the time required and cost of identifying items by RFID is substantially less than other methods.

RFID scanning is not a serial process, like traditional Barcode scanning, so the business can perform identical tasks much more quickly. This means processes that move goods through a supply chain are more efficient, leading to a reduction in the need for larger inventories.

As RFID scanning has a greater first time pass accuracy, this reduces the number of errors that are generated, and the number of retries that are needed.


RFID, Obvious Business Benefits


RFID tagging enables better audit and asset control. The ability to better track and trace items 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.

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.

Information obtained by RFID scanning can be used to improve planning. Processes can be improved, time can be saved, assets can be utilized better.

By eliminating uncertainty, companies will suffer less "out of stock" situations and obtain greater item availability. This will reduce lost sales and increase choice, leading to more sales.

RFID enables processes and procedures to be measured better. Until a process can be measured accurately, it often can't be improved. Decisions that are based on limited, inaccurate, out-of-date information are often poor decisions. The contribution information captured by RFID offers to IT applications will allow managers in companies to be alerted when compensatory business decisions need to be taken.

(Source: SeabreezeRFID)





Pub Time : 2016-02-21 10:46:08 >> News list
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