Radio Frequency Identification technology is being adopted by many countries across the globe because of its potentiality to improve efficiency, upgrade inventory management, and streamline various operations in life. In major countries like India, where the economies are fast growing with multicultural industries that include manufacturing, retail, logistics, transportation, and healthcare, among others, such new technology has been embraced with open arms. Various sectors, such as manufacturing, retail, logistics, transportation, and healthcare, which had hitherto relied on manual labour and much time-consuming processes, change into this new technology of RFID tagging. In this blog, we have discussed how RFID tagging is gaining momentum across the world, its key benefits, and scope in the near future.
What is RFID Technology?
RFID is a non-contact, wireless system wherein tags attached to objects can be automatically identified and tracked. Those tags contain electronically-stored information which an RFID reader can read at a distance. Thus, unlike traditional barcodes, the absence of line-of-sight between the RFID tag and the reading device is not necessary for it to be read; hence, RFID is a much more efficient and flexible item-tracking solution.
The Rise of RFID Tagging
In the recent past, RFID tagging has gained significant momentum due to the advancement of technology, increased digitalization of processes, and efforts from the government toward modernization of varied areas. Many sectors in this country utilize RFID tags and labels for different types of applications:
- Retail and Supply Chain Management: This retail uses RFID to track real-time inventory for loss reduction and ensures better availability of products. A country like India has such vast and diverse retailing sectors, so this is really necessary.
- Manufacturing: RFID tagging in the manufacturing sectors promotes automation of tracking: inventory, assets, and quality control. It reduces errors, labour costs, and improves the overall efficiency by the help of RFID tags.
- Transportation and Logistics: RFID is altering the logistics arena in India and world over. Companies tag shipments and vehicles with RFID. This tags help ensure timely deliveries and losses due to theft or mismanagement.
- Healthcare: Indian hospitals use the technique of RFID tagging to track medical equipment, patient history, and drugs which eventually result in better health care outcomes. RFID tagging enhances efficiency in the medical set up due to the reduction of time spent during search for equipment and ensures that the right resources reach the patient at the right time.
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Government Initiatives: The government of India is also taking benefits from RFID. This has to be in terms of so many public services. One of the most prevalent is the tagging system using RFID for vehicle tracking to collect tolls in India. The National Highways Authority of India (NHAI) brought an automatic system called FASTag, which uses the RFID system to allow automatic payments at toll plazas without halting and therefore helps reduce congestion and improve the flow of road traffic.
Advantages of RFID Tagging
RFID tagging has a bunch of advantages across all the industries such as;
- Real-time tracking: With RFID technology, there is now real-time tracking of products, assets, or vehicles. This not only helps in improved inventory management but also ensures that stock outs are avoided altogether, and more transparency in supply chains is upheld.
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Improved Accuracy: Since the RFID tags can be read automatically by the RFID readers without any kind of direct line-of-sight, they provide accuracy that is better compared to traditional barcode systems. In this way, the likelihood of human errors such as labelling and incorrect data entry is reduced.
- Enhanced Security: RFID tagging gives more security through real-time tracking and identification. Most industries that would benefit from this service are retail and logistics, as it is here that the most theft and mismanagement occur, costing a lot over loss.
- Cost Savings: RFID reduces labour costs through automatic tracking and inventory processes. With RFID tagging, labour time spent in manual counting, tracking, and checking is reduced thus increasing overall operational efficiency and cost savings.
- Better Customer Experience: In retail, RFID tagging brings with it better product availability and shorter queues at checkout. With real-time inventory level visibility, retailers can restock quickly in response to customer demand more effectively.
The Future of RFID Tagging
Rapidly developing countries like India are marching forward towards its path of modernization, and its love affair with RFID technology adoption would only gain more steam. Going forward, government patronage toward digital transformation is more likely to push more sectors to consider the benefits of RFID tagging. Such domains as health care, education, and smart cities are best poised for further growth following RFID implementation.
Another sector driving the growth of RFID technology includes the Internet of Things and the importance being given to Industry 4.0. The more devices connected are definitely the more important the need for RFID tagging so that all systems and processes will be able to communicate continuously.
The future was definitely going to see RFID tagging extend beyond the business industries to sectors such as agriculture and the livestock cycle, as well as the food supply chain. Moreover, the aviation industry could come up with superior systems of baggage handling and tracking to facilitate better travel experiences for the passengers.
This content is meant for information only and should not be considered as an advice or legal opinion, or otherwise. AKGVG & Associates does not intend to advertise its services through this.