One of the interesting applications of RFID for SMEs is replacing bar codes with RFID tags. Every producing business would eventually come up against this question of labeling its goods.
Fremont, CA: Many businesses agree that RFID is a technology of the future. The abbreviation indicates Radio-Frequency Identification. The system utilizes radio waves to identify RFID chips. These chips are already used in devices like electronic car keys and credit cards.
How Does RFID Work?
RFID systems contain a chip and a transponder, reader, or scanning device. Most of the chips used in daily life are passive RFID chips. They are small with a short antenna and can be attached to goods as labels or stickers. But their range is just a few centimeters, and they can only store a little bit of information. Next comes the active RFID tags. These rags generally have their own power supply and can store much more data. They can send and receive data without a reader.
How can SMEs Profit from RFID Technology?
RFID has the potential to help in servicing and maintaining machines and vehicles. An RFID chip is capable of reporting the defective part autonomously. Also, RFID can be used in the mass labeling of food. Transponders can automatically scan products upon exit, generate an invoice, and send it to the customer. This eliminates the need for standing in line at a checkout. Amazon is testing the chip and reader principle in the USA.
Another interesting application of RFID for SMEs is replacing bar codes with RFID tags. Every producing business would eventually come up against this question of labeling its goods. There is hardly any difference between tags and bar codes in terms of size or weight. But RFID chips can be a bit expensive. However, the time they save can increase profits since it allows staff to work more efficiently. Given the logistical time and expense, small and medium-size businesses need to carefully calculate their prospects and decide whether introducing RFID technology is worth the effort.