Many companies seek ways to improve their inventory management processes as technology advances. One solution gaining popularity is using Radio Frequency Identification (RFID) technology. Many companies now recognize the benefits of RFID labeling and are implementing product RFID technology in their stores. Walmart’s recent RFID tagging mandate is an excellent example of how companies use technology to improve inventory management and reduce theft risk. Other retailers are following suit, with companies like Macy’s, Target, and Kohl’s implementing RFID technology in their stores.
In this post, we will explore the benefits of RFID labeling for companies, including having more open merchandising of high-theft products. We will also explain why companies should implement product RFID technology.
How Does RFID Technology Work?
RFID technology uses electromagnetic fields to identify and track tags attached to objects automatically. These tags contain electronically stored information that can be read from a distance using a specialized scanner. RFID labeling offers many benefits, including increased accuracy and efficiency in inventory management.
4 Advantages of RFID Labeling Technology
RFID technology is a powerful tool that significantly benefits companies in various industries. It provides accurate and real-time data, reducing losses from theft and stockouts. Walmart’s deployment of RFID labeling technology is a testament to its effectiveness and widespread adoption. Other businesses should consider implementing RFID technology to improve inventory efficiency and accuracy, reduce labor costs and theft losses, and enhance the customer experience.
1. Open Merchandising of High-Theft Products
Product theft is a significant concern for retailers – high-value merchandise, such as electronics and clothing, are prime targets. RFID labeling allows companies to track inventory in real time and monitor movements throughout the supply chain, reducing the likelihood of missing or lost products. With increased accuracy in inventory tracking, companies are more confident in allowing open merchandising of high-theft products. With RFID technology, retailers can have better visibility into their inventory and reduce the occurrence of stock shortages.
2. Better Tracking and Traceability
RFID technology enables real-time inventory tracking throughout the supply chain, providing companies with accurate and relevant data. This data enables retailers to manage inventory levels effectively and make timely decisions to prevent stockouts. RFID labeling offers precise tracking and tracing of products, particularly useful in monitoring and managing recalls.
3. Improved Efficiency and Reduced Labor Costs
Implementing RFID technology in the supply chain is a significant investment but can yield long-term cost savings. RFID labeling automation improves efficiency, eliminates manual processes, and reduces errors in tracking and managing inventory – ultimately streamlining their supply chain management processes. This, in turn, reduces labor costs associated with managing inventory manually. Many businesses implementing RFID technology have reported cost savings on labor expenses and improved inventory accuracy.
4. Enhanced Customer Experience and Satisfaction
Inventory accuracy is critical in providing an excellent customer experience. RFID labeling technology helps businesses meet customer expectations by providing accurate inventory information. RFID tags let retailers know which products are in stock, their location, and when to restock. Accurate inventory management ensures customers can purchase the products they need without frustration, contributing to overall satisfaction.
Contact the Experts at EAM, Inc.
RFID labeling is becoming an increasingly popular solution for companies seeking to improve their inventory management processes. The technology offers many benefits, including increased accuracy, efficiency, and security, and can help companies to reduce their costs by streamlining their supply chain management processes. If you’re interested in implementing RFID labeling in your business, EAM, Inc. is here to help. Our experts can provide the tools and support you need to optimize your inventory management processes and improve your bottom line. Contact us today to learn more about our RFID and source tagging solutions.