Applications Of RFID Technology in the Supply Chain management

By : Aasma Khan

Roll No: Bb-16-68

Submitted to: Dr.Noman Abbasi

Category: logistics management

Paper type: General Review

Abstract:

Today's unique and

competitive business
condition squeezes
organizations to advance,
upgrade procedures, and
influence the capability of
associations along the supply
chain.One of the advances
offering an answer is Radio Frequency Identification (RFID). RFID can be utilized to robotize and
hence smooth out distinguishing proof procedures, which implies that more checkpoints along
the supply chain can be built up at diminished expenses. moreover, the innovation can give
further advantages whichmake it better than the as of now far reaching programmed automatic
identification(Auto-ID) innovation of the bar code . Be that as it may, as RFID is just an approach
to gather the information at the most minimal level, the innovation must be incorporated with
the supply chain the board frameworks of the organizations. Additionally, the different data
frameworks along the supply chain must be incorporated to allow for an exchange and so as to
give a significance to the information.
Key words : RFID innovation, technology, Unique Supply chain Management, efficiency,
competitive advantage,item tracking monitoring technology.

Introduction:

The current paper analyze application of RFID innovation in supply chain management.supply
chain management is the flow of services or products from the providers, through the makers,
distributers, and to the end users.Have you at any point envisioned a reality where each thing
could be automated., so that, for instance, stock control should be possible consequently or
clients could self look at without holding up in line in shop? As whimsical it might appear, this
can be acknowledged to a certain stretch out gratitude to RFID. RFID represents radio
frequency identification and has gotten one of the most discussed and promising
advancements in the market today truly the field of radio frequency identification (RFID)
innovation in supply chain management is one of the most creative and testing, since data
innovation (IT) is a continually changing and developing territory Companies try to increase
upper hand through the all-inclusive utilization of IT.The adoption of technology by the
organizations has been as of late invigorated by a few elements including falling usage costs,
the foundation of key gauges, retailer and government commands and improved innovation
execution. In reality, an ever increasing number of organizations are thinking about investing or
are investing in this fast growing automatic data collection technology for the reason of
improving accommodation, exactness, wellbeing and security.better operational effectiveness,
predominant nature of items, lower stock ventures, decrease in the income process duration,
diminished process durations, lower material procurement costs.

Core ingredients:

The core ingredients are identification, alerting, monitoring and authentication. The best
possible resource perceivability can forestall misfortunes because of ruining of perishables,
robbery and duplicating.

RFID Systems and System Components:

RFID is a wireless automatic identification(Auto-ID) and information catching innovation that

offers the chance to screen objects by utilizing a label that conveys data. In RFID systems there
are distinctive programming and equipment prerequisites for data gathering and management.
One of the most significant

segments of RFID frameworks is tag. A tag can be distinguished as a microchip that has an
electronic circuit and reception apparatus on it. For tracking the movement of merchandise,
labels can be set anyplace, for example, cotainers,pallets , cases or even on singular items. The
other segment of RFID is reader which interfaces the tags to outside world. In each reader,
there are a few sections that read labels/tags accumulate information and handle
correspondence. While the reader recieving wire gets/sends the radio waves, it manufactures
the sign and unscrambles the sign which is sent from tags.

RFID in the Supply Chain Management Area:

As indicated by the literature and exploration by scholastics, global business has made the
associations look for the guide of technologies to improve their business processes .numerous
associations are adopting new technologies and developments so as to accomplish an upper
hand, and to computerize the procedures inside and outside their associations. These usage go
about as a solid apparatus for an association's advantage and to give esteem. . Data
synchronisation, real-time tracking, planning, scheduling and reporting are some of supply
chain management issues that organisations are attempting to robotize and solve problems
that might exist.Radio frequency identification technology is turning into the imaginative
innovation to give answers and take care of the majority of the issues. RFID is the most recent
enchantment shot in the innovative degree that can possibly roll out clearing improvements to
the manner in which associations approach their supply chain.

How RFID helps improve supply chain management

To accomplish its purpose/goals supply chain management needs precise distinguishing proof
and tracking of products and also information about what stock an organization have, where it
is, the amount it has and in what condition. Such data is vital today with the goal for
organizations to endure and flourish. Besides, like never before previously, there is a pressure
on producers, merchants and retailers to amplify process productivity, limit cost and give the
most ideal incentive to end-client, which comes down to additionally improve supply chain
proficiency. On the given circumstances RFID has all the earmarks of being a perfect technology
to fulfill these perpetually squeezing necessities. In fact, as RFID underpins better detectability
and better ID, it is fundamentally an answer for the following and recognizable proof issues
gracefully tie the board needs to manage so as to deal with the development of materials along
thesupply chain. RFID along these lines adds to all the more likely supplychain proficiency,
perceivability and responsiveness and in one path as well as from multiple points of view
contingent upon which level and on which supply chain activity it is applied to. Eventually, this
empowering innovation gives the correct item at the perfect spot at the ideal time, along these
lines expanding deals and benefits.

How RFID can be used in the supply chain management

Tracking the movement of products from bar code/scanner tag to RFID technology Tracking
issues can without much of a stretch rise as things truly start moving from one point then onto
the next in the supply chain. They can get lost, taken, lost, harmed or ruined during their
vehicle. Organizations additionally experience issues of tracking/following under ship,over-
transported, client disappointed things or reviewed things, particularly as they may not be
appropriately recorded in the framework. Therefore, overabundance, inactive and copy things
may accumulate in the distribution center. Taking care of these issues without RFID innovation
brings in a great deal of human intervention because humans have to manually track down the
information that cannot be added to the bar-coded labels. On the other hand, when using RFID,
less human intervention is required essentially because no more employees are needed for
scanning. Tags can be automatically read and written many times to follow each and every
moment.such as arrival, reshipment and takeoffs times at vital areas. The correspondence
among products and stock frameworks is immediate and abstains from composing data into a
database or examining an inappropriate scanner tag, which extensively decrease human
mistake and work costs. To accomplish this programmed/automatic recording of movement of
merchandise from the creation line, perusers are introduced in manufacturing plants,
dispersion focuses and storerooms and on store racks. Commonly, when a readerr peruses a
tag, it goes to a host PC framework the label ID, the readers own ID and the time the tag was
perused. Given that organizations know which perusers are in which areas, they can know
where an item is, just as what it is, and as a result of the time stamp, they can know when it has
been the place. As it very well may be watched, with RFID, the following of physical
development of things happens continuously, which is a property explicit to this innovation.
Labels/tags can be check with databases progressively and send online alarms to the officials on
conceivable request and shipment disparity. To summarize, RFID can possibly significantly
improve the supply chain perceivability . to its capacity to follow each thing anyplace in the
gracefully chain consequently, safely and continuously and its capacity to recognize
exceptionally every containers, pallets, case and thing being produced, delivered and sold. This
for the most part clarifies why numerous organizations are putting resources into RFID as a
substitution or expansion of customary bar coding forms. In all actuality, RFID ought not be
considered as straightforward substitution for scanner tag innovation, since it separates itself
through both execution and decent variety of its applications and through its capacities

Benefits

Expressly,sonally speaking, there has been many times that a person has told me, “how are you
going to grow as an individual if you never take the risk of trying something new” or “if what
your doing is not working then change it.” These words can definitely speak some truth when
looking at the amount of failing companies in the current economy that did too little too late. .
This is the ideal opportunity for organizations to change, presently like never before. What
would they be able to do? How might they change? There is just one response to these
inquiries; have a go at something new. Radio frequency identification can make generous
advantages for an organization and their supplychain. RFID can give stock following and the
executives, supply chain automatization/ robotization, supplychain partner ship and
correspondence, better data perceivability, more excellent assistance and a general decrease in
costs.

•) RFID can give stock following and the management from the earliest starting point as far as
possible.

•)RFID innovation makes supply chain computerized in light of the fact that with the framework
set up everything is finished electronically.

•)the innovation can give improved supply chain association and correspondence.

•) radio recurrence distinguishing proof can improve flexibly chain perceivability due to the
synchronization of data sharing

•) the supply chain integrate with RFID can bring about more excellent assistance and a
decrease in by and large expenses because of mechanization

Difficulties:

RFID innovation has numerous advantages for supply chain management there are likewise
numerous difficulties that are causing hesistation for organizations thinking about its reception.
In the economy of today, numerous organizations are searching for approaches to improve
their flexibly bind tasks so as to reduce expenses and make better proficiency, yet many are not
ready to chance the interest in the odds that execution doesn't happen appropriately. This
faltering is with acceptable thinking, yet it doesn't imply that the advantages are not justified,
despite any potential benefits. The difficulties that organizations face in appropriation of RFID
incorporates; lack of management and supply chain partner commitment, cost, legitimate and
patent issues, operational robotization, determination of equipment and programming, and
innovation support for reception. Alongside the difficulties for appropriation, there are different
issues that are available in RFID innovation.

•) Companies that embrace RFID innovation need to confront the test of incorporating the RFID
with the frameworks that the organization is as of now utilizing.

•)companies will confront is the protection, security and honesty of the framework.
•)The cost of executing RFID into the supply chain is very high, which is causing a major barrier
for the innovation's appropriation

•)The determination of equipment and programming is a major test in appropriation of RFID in

light of the fact that there are a wide range of label types, norms, and frameworks to browse
while actualizing the innovation into an organization's tasks, just as their accomplices.

Examples of companies involved in RFID

Wal-Mart requires that its top hundred suppliers use RFID on their supply pallets. Other global
organizations, such as Gillette, Procter & Gamble, Coca-Cola and even the U.S. department of
Defense are also implementing RFID. For example, Procter & Gamble implemented an RFID-
based system to identify the pallets in order to increase dock loading throughput and eliminate
bottlenecks at the loading docks and costly mistakes.

Advantages of RFID that prompt companies to transition from bar code to this technology are
the following:

•)Higher storage capacity

•)Programmability:

•)Larger reading distance.

•)Much wider scanning area.

•)No unobstructed line of sight required with the reader to transfer information, as it is

sent via radio waves.

•) Faster read rate (100 to 1000 tags per second).

•) No human intervention.

Conclusion

RFID innovation and the effect on the supply chain can be significant, from the incorporation
and usage to the advantages and difficulties it faces today. There is no uncertainty that
organizations can develop with the utilization of the technology and its commitment to the
following period in stock administration. The challenges and issues can be overcome, if more
development is completed within the technology. One thing is subsequent after reading various
articles technology is here to stay and the effect it had on the supply chain will contribute to
our future economy. Globalization is taking place and this only speeds theprocess up, therefore
companies should be equipped and aware for the new era of change. There is no uncertainty,
that a few organizations will understand this point later, , yet there will be some that
additionally grasp the change and develop past where they could have ever envision. My work
will be is fruitful if this review has provide a superior comprehension among RFID and the
supply chain, or if nothing else started further enthusiasm for the point. Simply recollect this,
the era is here and is only going expand in the coming yThe technology can be utilized for some
sorts of utilizations and its potential uses guarantee the improvement of astounding future
applications. Given its purpose, RFID is exceptionally advantageous to use for supply chain
management, where precise ID and merchandise following are of essential concerns. To be
sure, RFID can give quick and substantial advantages all through the supply chain. RFID can be
applied to a wide range of coordinations tasks, for example, stock control, transporting and
accepting and resource the executives, just as to assembling and retailing. AExecuting a RFID
framework requires an enormous starting speculation and along these lines requires a cautious
arranging so as to consider the different issues organizations face when revealing the
technology.