RFID a re-emerging technology

The supply chain continues to grow its digital capabilities to meet customer needs in a changing global market, with new innovation and old technologies gaining a place in everyday use, like the rising utilization of radio frequency identification (RFID) . RFID first emerged in the 1940s and is growing in popularity in the supply chain industry to match cost margins, Chris Riemann, managing director at Deloitte, said in “Smart Warehousing — Robotics, Automation, Sensor, RFID,” a webinar hosted recently by SupplyChainBrain. [caption id="attachment_57132401" align="alignright" width="382"] © Can Stock Photo / albln[/caption] Handlers utilize RFID — which uses wireless communication and radio waves to id entify and track items using tags — by operating a reader to collect and send information to systems automatically for processing and information-mapping. The tag price Cost-per-use is a primary factor in utilizing RFID tech because the system is relatively simple, Riemann said. Tracking individual products like medical devices, pharmaceuticals or high tech requires individual tags, which can increase costs, but the price margin is high enough to warrant the investment, he added. “Where you really see active tags are on high-end products that can absorb the price of the active tag,” Riemann noted. The main prohibitor in RFID adoption has been cost, and in the past five to 10 years the price has dropped, which is why the tech slowly is being incorporated, Riemann said. RFID’s technology isn’t built for every purpose, either, Riemann said, and companies that have taken a step back and are starting to narrow the focus scope are finding the best success in solutions. Some technologies, like visual recognition, may overcome RFID, but because RFID doesn’t require a direct line of sight, Riemann anticipates use cases to remain. “Most of the benefits that we’ve seen within RFID are not necessarily within the warehouse itself but in the downstream applications,” he said, citing compliance and recalls as valuable measures to invest in RFID technology. Several airlines use RFID for passenger luggage, per the International Air Transport Association’s (IATA) recommendations, but this has yet to be universally applied, Riemann said. RFID has also come into play with ULD tracking , as ULD developers explore different solutions for real-time geolocation tracking. Most developers use Bluetooth, but logistics technology groups like Descartes may see other wireless networks like 5G, near field communication and RFID grow. Overall network connectivity has been a problem for airfreight stakeholders, as developing the right infrastructure and systems to pick up real-time tracking tags remains a challenge. Automation in the industry Warehouse automation , live tracking tools and robotics have become common fixtures within stakeholders’ operations due to a variety of factors. Technology has grown more appealing as a result of less labor availability and higher labor costs , along with increased interest in accuracy and safety, Riemann said. When selecting which technology to implement, solutions are not “one size fits all,” he noted. “You need to take a look at what makes sense in your operation and what types of automation or remote sensing is really necessary to try and solve your problems,” Riemann added. Join Air Cargo World for our next webinar, “Dangerous goods in focus: Shoring up air cargo logistics,” on Tuesday, Nov. 15, at 11 a.m. ET. Click here for more information and to register.

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