The Benefits of Using RFID Technology in Asset Tracking

These days, more and more businesses are using RFID technology to help with asset tracking. RFID stands for Radio Frequency Identification. This method of tracking is so named as it relates to the way that your chosen assets communicate with tracking software. The benefits of RFID for asset tracking are numerous, including improved efficiency and accuracy.

When an RFID tag is affixed to an asset, you can track multiple aspects of that asset. You can also have much more control over your assets all day, every day. This highlights one of the key benefits of RFID technology, which is constant control over your assets. This ensures that you can complete more tasks than you think, allowing your business a better opportunity to thrive. This demonstrates how the advantages of RFID technology can enhance overall business operations.

Let’s take a look at just some of the benefits that come with using RFID technology with asset tracking.

Simply put, by radio frequency signals, RFID technology communicates between an RFID tag and an RFID reader. Every RFID tag has an antenna that broadcasts data about the asset and a chip storing specifics about it. The tag responds when an RFID reader sends out a signal, enabling the reader to compile asset data. Since this process can read several tags at once and does not rely on a direct line of sight like barcodes do, it is rather efficient. This is why many businesses are choosing RFID for their asset tracking needs, highlighting why they choose RFID as a superior solution.

RFID tracking differs from conventional barcode systems in a few main respects. Barcodes need a direct line of sight; RFID tags can be read from a distance. For inventory control, RFID readers also process several tags at once, which speeds things up greatly. Conversely, barcodes must be scanned one by one, which can take time. Given that RFID offers faster, more efficient tracking of assets than barcodes, it is clear what benefits RFID offers in warehouse management you can count on. Given that fewer manual procedures are required, this also results in notable labor cost savings.

RFID technology is perfectly capable of saving you a lot of time. Let’s imagine you want to locate a specific laptop. You know that the laptop is likely to be somewhere within your warehouse but you’re not exactly sure where.

In the past, you may have spent a lot of time looking for your laptop. You may have even stopped to ask your colleagues where the laptop might be. All of this can take a lot more time than it should. However, when you bring RFID technology into the equation, you make asset tracking work for you.

At the touch of a button, you can locate that all-important laptop with ease. You can see where the laptop is and even who is currently using it. If this was not enough, you can also see whether someone else has booked the laptop for use.

There is a real chance that RFID technology can save you money. Not only can you track your assets so you know where they are, but you can also track the maintenance status. In other words, you can see when a tool, for example, needs to be inspected.

The right type of RFID asset tracking software will allow you to set up maintenance reminders. The reminders will alert you whenever a tool or anything else needs to be inspected. This can potentially save you money because it ensures that all of your assets are well looked after. As a result, it’s less likely that they will need to be replaced any time soon.

Regular maintenance can help to keep your tools in good working order so they work well for you. One of the benefits of RFID technology is that it helps maintain asset reliability. An added benefit of this is that you and your team are more likely to have the tools you all need to get your jobs completed. As a result, productivity is also likely to increase. This is something that could be of great benefit to your business.

While creating a fixed asset register may seem like a lot of work, the process can be relatively simple. All you need to do is to affix an RFID tag to your assets and create a digital profile for each one. This process has been made relatively easy by many asset tracking companies.

Within moments, you can create a profile that holds a lot of information about each fixed asset. You can add details such as the asset’s date of and cost at purchase, warranty and insurance details, and more. You can even upload photographs of each asset so they’re easily identifiable. What’s more, you can also upload the asset’s instruction manual. This ensures you can gain quick access to it when you need it the most.

You can typically add as much information to a digital profile as you wish. The more you add, the better as it allows you to have the information you need when you need it the most.

One of the additional benefits of using RFID technology to help with asset tracking is the automation of operations. You can quickly and easily assign tools and equipment to users. This means you won’t have to fill in mountains of paperwork each time. All you need to do is select the tools and equipment and assign them to the person or people in question.

Issue reporting is another operation that can be automated. If a machine you’re using, for example, stops working, you can report the issue quickly. You can even leave a note to suggest what may have gone wrong with the machine. It really is that simple, and you could save quite a bit of time. As a result, you could complete other tasks and potentially boost productivity again. These productivity gains further showcase the benefits of RFID technology.

RFID technology has numerous advantages in the various areas it is applied to, each benefiting in its field uniquely, as shown below:

• Manufacturing: The benefits of RFID in manufacturing include improved inventory tracking, reduction of manual labor, and enhanced efficiency in the production line. This allows streamlining the inventory and real-time tracking of the raw materials for the minimization of waste and production delays, optimizing the supply chain.
• Retail: Several studies have evidently demonstrated the obvious advantages of RFID in retail through better stock visibility, faster checkouts, and minimized theft. This could be used in retail applications to achieve inventory accuracy, stockouts, and improve customer experience by providing correct product availability.
• Logistics and Supply Chain Management: The benefits of RFID for logistics and supply chain management are that tracking shipment, reducing errors, and ensuring timely delivery are much simplified by RFID. This is how RFID technology assists companies in spending less time in manually tracking shipments, hence improving accuracy and visibility along the supply chain.
• Healthcare: The benefits of RFID in healthcare include the tracking of medical equipment and making sure there is patient safety, among the management of medication inventory. RFID will enable hospitals to maintain a tab on inventories of their critical supplies and equipment at the places they will be required. This will ensure that there is better service delivery to patients for better outcomes and smoother flow in hospitals.
• Business Operations: Overall, the benefits of RFID to business stand out clearly; it decreases costs and augments efficiency or productivity. Businesses can use RFID for better asset management, reduction of manual administrative tasks, or operational visibility across departments.

RFID can be used in a number of ways to accommodate specific needs, yielding customized advantages in industries to help solve particular issues while building efficiencies and cost-saving opportunities.

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