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Benefits of RFID Integration

RFID Integration Benefits, Top-Performing Industries & Applications








Benefits by the Numbers
Benefits Overview

Near 100% inventory accuracy
Near 100% order and shipping accuracy
Reduced out-of-stocks by up to 80%
Reduced inventory carrying costs by up to 59%
Reduced labor costs by as much as 30%
Up to 40% faster order processing

Increased efficiency and productivity
Increased up-time and asset utilization
Improved customer satisfaction
Better work-in-process and material tracking
Less down-time and lower maintenance costs
Better regulatory and safety compliance
Improved asset and employee security

Major Applications

Aerospace and Aviation
Oil, Gas, and Utilities
Warehousing and Logistics

Supply Chain
Inventory Management
Asset Management
Facilities Management
Employee Safety
Emergency Planning
Quality Assurance

The ability to tag virtually any asset or item, automatically scan or track it, and easily access or maintain detailed data about it means that RFID can be applied in many ways to provide crucial benefits across industries. From supply chain, inventory management, and shipping/receiving to management of assets, facilities, materials, product quality, and even employee safety and emergency planning, the potential applications are virtually limitless.

But the benefits of RFID are no longer speculative or theoretical. Numerous studies have been conducted to quantify and assess the results of deploying and integrating the technology, including extensive studies by Auburn University’s RFID Lab, which is one of the world’s leading institutions with research insights on RFID technology.

According to these studies and findings from industry case studies, RFID offers the prospect of achieving near 100% inventory accuracy and near 100% order and shipping accuracy, along with 80% reductions in out-of-stocks and 40% faster order processing. It also raises receiving accuracy, enables electronic proof of delivery, and reduces claims and returns. These figures have helped make RFID a leading choice in warehousing, logistics, shipping, and receiving, where these benefits are at the core of operations.

RFID also offers benefits that are particularly relevant for manufacturing operations, by enabling more efficient and accurate materials management, work-in-process tracking, asset management, and better quality assurance. Also, the ability to use RFID tags on employee badges, along with fixed readers at building entrances and doorways, makes RFID an ideal choice for controlling facility access, monitoring employee movement in high-risk or high-security areas, and accounting for employees for emergency planning and response.

Regardless of the industry or the nature of the specific application, integrating RFID technology with key processes and deploying it to meet operational needs offers potentially huge increases in productivity and efficiency, greater process automation, increased up-time and asset utilization, and major decreases in labor and asset costs. The added benefits for safety, quality, and compliance are notable as well.
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