Ten truths about RFID

By Staff -- Modern Materials Handling, 12/1/2004

With all of the focus the past year on RFID by Wal-Mart and others, there have been quite a few stories told about this emerging technology and its capabilities. While many are true, others are not quite as true.

To help set the record straight, a panel of industry experts discussed the ten truths about RFID at a forum sponsored by the industry group AIDC 100. Rick Bushnell, who has been actively tracking RFID since the early '80s as an industry consultant and frequent columnist for Modern, compiled this list of truths.

1. RFID is not a direct, one-for- one replacement of bar codes.
2. There are many different applications for the technology other than the supply chain focus pursued by retailers. In fact, supply chain applications are vastly different from "closed-loop" applications such as container tracking.
3. Return on investment for closed-loop systems is easier to identify than for supply chain applications.
4. People involved in supply chain RFID must have a clear understanding of the EPC global network and its components.
5. Many of the benefits of a supply chain network are available today with bar codes and Internet-based communications.
6. People must understand the ramifications of sending information through a supply chain network.
7. Some of the capabilities of RFID, although theoretically possible, are not practical.
8. To be successful with RFID, people must understand both that technology and bar codes to avoid misapplication.
9. The cost of the chip is only a fraction of the system cost. The biggest expense is the system that handles the information on the chip.
10. RFID users must keep up with standards.
    

    

    

    

    

    

    

    

    

    

    

    

    

    Talkback

    We would love your feedback!

    Post a comment

    » VIEW ALL TALKBACK THREADS

    Related Content

    • Topics
    • Author

    Related Content

     

    By This Author

    • Global motion control market projected to reach $8.2 billion
    • Modern Materials Handling study names top lift truck manufacturers
    • ADC: Datalogic acquires Datasensor
    • RFID: CDO Technologies partners with Department of Defense
    • Conveyors: Billed sales drop slightly in first half of 2008
    • » MORE

    Sponsored Links