What is RFID?

RFID or Radio-frequency identification is a technology that has taken the world of wireless communication by storm.

This technology effectively implements radio-frequency electro-magnetic fields to transfer data over a wireless, no-contact network, in a manner that it can automatically identify and track tags that are attached to objects.

In simple terms, let’s say the RFID makes use of radio waves to identify objects or people

This technology is unique and very much popular because itdoesn’t need to be in contact with the objects to be able to identify them.

The functionality of an RFID depends on the microchip that is basically the tag that is identified (this tag contains information of the respective item).

This tag is scanned by the RFID reader which transmits the radio signals to the tag and accepts the ones that the tag transmits.

RFID in Stock and Inventory Control

In recent years, RFID has been used widely and effectively for inventory control, quality management and stock security. 

This is because RFID lets a business to spot their individual products and thus track them through the supply chain; right from production to the point-of-sale.

RFID has proven to be much more effective than the barcode, since a barcode needs its tag right in front of the reader to be able to read. 

But an RFID reader can read the object tags even when they are at a distance, and not exactly facing the reader.

The RFID readers can be placed anywhere in an inventory or factory and thus, all the activity that involves moving the goods can be kept track of
‍The RFID readers can be placed anywhere in an inventory or factory and thus, all the activity that involves moving the goods can be kept track of

This is an easy and effective way to track the goods using the tags than any other technology implemented to do the job of inventory control and accurate inventory-visibility.

What are the advantages of using Radio-Frequency identification over barcodes?

The distance between the object tag and the tag reader isn’t the only issue that RFID and barcodes differ in and the RFID technology excels. 

Here’s a brief insight on how the RFID has proven to be more advantageous than the barcodes when it comes to stock and inventory control:

  1. The tags on the objects can be read from a distance, not to mention even when the tags are not at the same angle as the readers or facing them.
  2. More than one tag can be read by a reader at the same time, which saves time and increases efficiency in any inventory/factory.
  3. The object tags can be assigned different identification codes, which are unique and enable individual and distinct objects to be tracked simultaneously.
  4. When the items/goods are being moved from one place to the other within the inventory, the object tags can be assigned different identification codes (old identification codes are overwritten).

Apart from these, RFID can also be used to estimate whether an inventory will be overstocked or under stocked; this implements stock control. 

RFID can also be used to implement stock security; this can be done by placing the tag readers on points of high-risk like exits so they can trigger an alarm if there’s a security breach.

RFID can also be used for controlling the quality of the items, particularly then, when the items have been stored with a limited-shelf life.

How does RFID improve inventory efficiencies?

There are a dozen ways that RFID has proven beneficial in improving inventory efficiencies

RFID not only helps keep track of all the items stored in an inventory, it’s real-time data update system enables the business to make the right decisions when it comes to ordering merchandise or shipping off items or selecting a particular item from the lot.

RFID users always have access to the real-time data updated the RFID readerand so, it enables them to take decisions faster and in an effective manner. 

This real-time data is used in improving the services provided to customers and hence increases the sales. The real-time data is also used to streamline the operations and complete the system integration.

Nowadays, it is important to pay more attention to customer experience than on inventory management.

Enterprises all around the world are updating their stock and inventory management strategies so they can come up with a much more effective strategy that helps them saves time, increase efficiency and provide the best possible service to their customers.

While inventory management is important, it is not the prime concern when compared to customer experience.

RFID and securing Security Breach at inventories

RFID is not only an effective technology, it is economical as well. 

This is why it is widely preferred by whole-sellers, retailers and distributors who have inventories to stock the items as well as by manufacturers, who need to store the items in their inventories post the manufacturing process before shipping them off.

RFID is not only an effective technology, it is economical as well
‍RFID is not only an effective technology, it is economical as well

Keeping the stock secure depends on one important factor: To know which item is stocked where, in what amount and what it is worth of.

This is what makes the tracking and record of goods essential. Stocks that can be easily moved and do not carry a business logo are at a greater threat of being shoplifted. 

This risk is significantly reduced by using RFID, which can keep track of the movement of items in the inventory.


With the rise in online shopping portals, RFID technology has been increasingly helpful in fulfilling the flexibilityefficiency and the inventory management strategy required to manage the diverse items that are stocked in the inventories.

One of the biggest advantages of RFID technology is that it can be implemented on the large-scale inventory systems without any compromise with the management of stock and security.
‍One of the biggest advantages of RFID technology is that it can be implemented on the large-scale inventory systems without any compromise with the management of stock and security

Efficient stock management leads to increase in the revenue of the business house as well, which is why RFID technology is being widely implemented in inventories both at the small-scale inventory systems to the large-scale ones.

RFID will be a major demand in the industry in the years to come.

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