Logistics and Supply Chain
In supply chain management, overall success is tied to specific measurements. Successfully managed supply chains are able to achieve 99% traceability, 99% visibility, 99% efficiency, and 99% accountability. Achieving such goals can be nearly impossible using manual processes.
When RFID technology is properly implemented, it allows the supply chain to watch those percentages rise, saving money and increasing profits.
Supply chain managers can increase traceability using RFID. Tagging valuable items and setting up RFID read zones at different locations can give managers the ability to track the various steps that an item takes throughout a facility. If an item is subjected to intense processes like melting, the item can still be accurately tracked using RFID. Tagging a tote that moves with the item throughout the facility will allow the item to be tracked without potentially harming the RFID tag.
Supply chain managers can increase visibility by using RFID. Tagging items, inventory, and equipment allows supply chain managers to accurately provide important data to additional companies in the supply chain. Below are a few examples of the information that supply chain managers can have by using RFID.
1. Number of items in production
2. Number of items in specific steps of production
3. Amount of money tied up in equipment/inventory
4. Exact forecasting dates for item production
5. Amount of raw materials needed
6. Equipment wear and tear information