25 Reasons to Adopt RFID (especially #9)

Posted by on Oct 31, 2016 2:49:13 PM


There's been a lot of talk about the cost benefit of adopting RFID. Many high profile companies embrace this technology with great success such as Target, Tesla, and Zara, just to name a few. These companies see an increase in tracking accuracy, customer satisfaction, and a decrease in labor costs. 

You may be aware of all the benefits of RFID already. It is a technology that's useful for many various business sectors. Often time in many businesses the decision makers are the barrier in adopting new technologies that benefit business. In this case it may be useful to print this list out for a meeting with management, or even leave around the office to educate the rest of your co-workers. 

The top 25 reasons to adopt RFID:

1. Real-time, accurate operational data monitoring and visibility

2. Improved agility and responsiveness through end-to-end process integration throughout the supply chain.

3. It’s estimated that counterfeit fashion apparel may cost designers more than $10 billion annually. By using RFID to support electronic article surveillance (EAS), retailers can reduce these losses significantly by tracking and authenticating products from cradle to grave.

4. End-to-end process integration through the integration of disparate systems, the elimination of islands of automation and the automation of any "black holes."


5. Elimination of lag times among processes and reduction of cycle times for streamlined product movement.

6. Apparel and footwear retailers report inventory labor reductions of 75 to 92 percent. In tests, only 200 items per hour were counted using a manual process, while 5,000 items per hour were counted using a handheld RFID process.

7. Reduction in product and process errors and associated rework through the automation of standard processes, which allows human resources to focus more closely on exception processing.

8. Automation allows human intervention to be reduced -- or even eliminated -- allowing manufacturers to deal with changing workforce trends.

9. Out-of-stocks can be reduced by 60 to 80 percent with item-level RFID.

10. Improved information access via insight into execution-level activities and associated performance across the enterprise.

11. Reduction in the risk of regulatory, mandated and customer/partner non-compliance by facilitating compliance management.

12. Item-level RFID has shown an increased sale of items per transaction by as much as 19 percent and an increase in the amount of transaction by as much as 6 percent.

13. Reduction in organizational and logistical complexities and operational costs through simplified and more efficient manufacturing and distribution processes.


14. The goal of continuous, bi-directional and enterprise-wide data visibility can be realized, enabling the factory of the future.

15. Supporting technology and expertise is readily available for RFID. 

16. Global standardization is in progress so the ability to share RFID based information will be easy in the future. 

17. RFID is to the point of being a mature and reliable technology. 

18. RFID is now cost effective for many different sectors and number of items

19. Growing user base guarantees further improvements and innovation of the technology

20. RFID is much more secure than barcodes which are easily counterfeited. 


21. RFID can withstand much harsher environments than your typical barcode. 

22. Retailers are able to maintain leaner inventory levels and reduce the associated carrying costs from 30 to 59 percent after implementing RFID.

23. Taking of physical inventories using RFID technology is accurate to 99 percent.

24.  An RFID system can increase productivity – as less monitoring is needed and both goods and information are handled more efficiently

25. An RFID system makes it easier to respond to new circumstances as a result of information gained from the supply networks

20 questions to ask yourself before implementing RFID

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Topics: RFID

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