A brief analysis of the top ten common misunderstandings about RFID technology

With the widespread application of RFID technology, more and more companies are considering using RFID technology to realize inventory counting, Asset tracking, and automated management of warehouse incoming and outgoing. Exposing the myths, misunderstandings and mysteries surrounding RFID technology will help to correctly Look at it and save time and money wasted looking for wrong answers.

Misunderstanding 1: There is currently no fixed RFID standard.

In fact, there are already several RFID standards, and the main reason why previous standards never saw widespread adoption is because technology companies were the main drivers of these standards. EPC standards are developed by end-user companies to ensure that the technology developed meets specific business needs. The recent debate over global proposals versus liberal proposals in EPC Global Community and Corporate Litigation has added to the uncertainty.

Unlike EPC global, which only focuses on the 860-960MHz frequency band, ISO/IEC has released standards in multiple frequency bands. There are multiple sub-technical committees under the ISO/IEC organization engaged in RFID standard research. Most RFID standards are developed by ISO/IEC technical committees (TC) or sub-technical committees (SC).

Myth 2: Replacing barcode-based processes with RFID processes will achieve ROI.

In fact, feeling pressure to incorporate RFID technology into their manufacturing and logistics operations, some companies tend to implement technology for technology's sake.

Implementing RFID technology does not immediately guarantee a quick return on investment. In order to impact the bottom line, the decision to implement RFID technology must be tied to ultimate business goals. For most companies, the cost of large-scale conversion to RFID technology is too high. And, in some cases, it doesn't even make sense. Simultaneous identification has revolutionized inventory and asset tracking, and in many cases barcoding is a viable option.

Myth 3: RFID technology is the only way to automate manual warehouse receiving processes.

In fact, RFID technology may be suitable for warehouse automation in some cases, but it is not the only solution. For manufacturing companies looking to eliminate labor-intensive, paper-based processes by automating receiving functions, the cost savings can be significant. Case marking can be done using barcode (as opposed to RFID) technology and still generate tangible ROI because the company has eliminated the possibility of manual intervention, thereby eliminating human error.

Misunderstanding 4: RFID technology is only beneficial to retailers and not beneficial to suppliers.

In fact, while the spotlight on RFID technology has clearly shone on major retailers (i.e. Walmart, Tesco, Metro, Target, Albertsons), several Fortune 500 companies, including Procter & Gamble, Gillette, and others, 》Major Fortune 500 suppliers are blazing a trail to implement RFID technology throughout their supply chains.

Suppliers may not realize incremental ROI, but can reap some benefits. As Walmarts and metropolitan supermarkets around the world implement new RFID requirements, suppliers must be prepared to execute the right technology strategy to serve their business as they work to comply.

Suppliers should view RFID compliance as a means to obtain more detailed inventory information, increase visibility across the supply chain and reduce the number of claims. For example, while retailers will use RFID technology to reduce out-of-stocks and increase sales as boxes are collected into Stores and brought to the sales floor, suppliers can take advantage of this shared data.

Myth 5: RFID technology is a replacement for current barcodes.

In fact, the Electronic Product Code (EPC) used in RFID tags and barcodes should be complementary data collection technologies. Even with the large-scale adoption of RFID technology, barcodes will still need to coexist with RFID for the foreseeable future. While current barcoding provides the same number for every instance of a given SKU, EPC is the standard way to serialize all inventory. The unique characteristics of RFID technology increase visibility into supply chain dynamics and history. Unlike barcode tags, RFID tags can be reused by recoding stored data with new data.

With RFID technology, the level of information is higher, inventory can be tracked, and data can be shared more freely between suppliers and retailers. While RFID technology has the potential to provide closer technical fit and operational advantages in certain applications, it will not replace barcodes. Both technologies have their place in today's business environment.

Myth #6: It’s easy to keep reading every EPC on the pallet.

In fact, while using EPC tags is better than scanning, it is not foolproof. So many variables can interfere with accurate and reliable read rates. These may include box size, number of boxes, travel speed; tag type, tag placement, reader/antenna placement, and even the product mix itself (i.e. different substances). Reading the actual tag location is a key consideration. Avoid physically splitting the box to expose the EPC label. The goal is to eliminate any inconsistencies and increase reading rates, not dropout rates!

Myth 7: Readability challenges only apply to companies with metal and liquid products.

Indeed, while early adopters of RFID technology encountered obstacles when used with metals and liquids, the technology continues to evolve and undergo more rigorous testing in the laboratory and in the field.

When RFID tags are applied to your products, packaging and pallets, you need to ensure you are getting consistent, reliable read rates that meet the needs of your use case. Before making large-scale investments in RFID solutions, conduct experiments to test these applications thoroughly.

Myth 8: Adopting RFID technology does not require changes to facilities, equipment, and processes.

In fact, the introduction of RFID technology will require a new look at existing business processes. As emerging needs and technology evolve, companies will be forced to revisit their standard practices if they hope to gain greater efficiencies from their RFID technology implementations. Do they need to ensure a high level of compatibility when integrating RFID technology within their facilities? How is the physical layout organized, how is the workforce deployed, and even how is the equipment itself built?

Taking a forklift as an example, if it blocks the RFID signal at the RFID Reader stage, something has to be changed to get the sweet spot for the read and trigger the dock door verification on the truck. The good news is that if no company is considering using RFID technology, it will naturally promote better practices.

Myth 9: EPC technology can only be used for consumer products.

In fact, although the early focus of the automotive identification center's use of EPC technology was the consumer goods value chain, the technology is designed to be easily expanded to other industries.

Your particular application environment will essentially determine your RFID technology requirements. Remember, RFID is not necessarily an "all or nothing" proposition. It can be implemented in phases and applied to specific projects to accurately measure ROI benefits.

Myth 10: All RFID tags are the same.

In fact, not all RFID tags are the same. Different applications have different types of tags depending on the environment and business processes in which RFID technology is applied. For example, RFID applications in pharmaceutical, food, and Hospital emergency rooms require pristine and hygienic conditions, which is very different from RFID applications in automobile factories or steel plants.

Use the following checklist to determine which types of RFID tags are best for your particular application:

1. Reading distance requirements;

2. Price (which type of RFID tag is affordable and can bring return on investment);

3. The frequency/signal clarity of RFID tag operation;

4. Compatibility with temperature/humidity (factories, storage, transportation facilities);

5. Product types to which RFID tags are applied (wood, liquid, plastic, metal...);

6. Orient the building layout to maximize label readability.

Note: Other considerations will influence your selection of the appropriate RFID technology, as this list is not all-inclusive.