The supply chain and logistics space continues to evolve.
Businesses have been investing in solutions that allow them to better control their inventory movements and enhance the visibility of their goods. To accommodate this shift, G2 has expanded its Inventory Management taxonomy to include a new category for RFID software.
G2 has been very intentional in the way we represent solutions within the market, and it is the right time to expand our current taxonomy to include more inventory management solutions. Our goal remains to provide an array of solutions for buyers to explore for their supply chain and logistics needs.
What is RFID software?
Radio frequency identification (RFID) software is used to design, manage, and process data related to RFID technology, traditionally using RFID tags attached to objects. These tags contain stored information intended to maximize the inventory management and movement of goods.
As an asset-tracking system, it utilizes electromagnetic waves to identify and track RFID tags assigned to in-house inventory. This allows for more accurate inventory management, reducing the manual effort spent on stocktaking and inventory audits, thereby minimizing discrepancies.
Optimizing sales, tracking product movements, and gaining insights into stock levels enables your supply chain to ensure every transaction is backed by accurate inventory data.
Beyond barcodes: how RFID boosts inventory management and supply chain efficiency
The majority in the industry are more familiar with RFID’s predecessor, barcode. Barcode software is often a business’ first inventory management method and, by all means, a solid and popular choice for those in the industry.
However, RFID technology offers significant benefits over traditional barcode systems, including the ability to read multiple tags without any line-of-sight requirements and storing extensive amounts of data.
If recent years have taught us anything, it is that unpredictable variables can greatly impact how businesses manage their supply chain. Now, inventory and operations managers in the market have decided to invest in RFID technology to mitigate human error and reduce losses.
With RFID, a business can track its assets in real-time and enhance operational efficiency by allowing the solution to provide more accurate fulfillment data. Especially considering the rise of e-commerce and the demand for precise inventory management and tracking abilities, an RFID solution can greatly impact a business's ability to meet those demands.
Additionally, RFID can assist in optimizing warehouse usage by providing further information on where items are located and if there is an opportunity to restore stock levels. RFID even has the ability to monitor an item’s precise location data and its movements throughout the entire supply chain. Due to the advanced features and benefits of these products, it is necessary to finally represent these solutions in their own category on G2.
Applications of RFID beyond inventory management
RFID solutions can integrate with many warehouse management systems (WMS) and ERP systems to support operational inefficiencies. This allows businesses to scale their warehouse management and increase their inventory volume.
RFID technology doesn’t solely offer tools for warehouse stock and location tracking but can be applied to other industries. Many retailers utilize RFID to streamline the sale and checkout process, manufacturers have benefited from its use cases for even the smallest parts, and applications have been made within the healthcare industry to manage supplies and ensure equipment is properly maintained.
No matter the application, RFID has many use cases and has allowed many industries to meet the demands of the market and the requirements for an array of systems.
Could the future of inventory management be RFID?
Although the RFID industry faces challenges like cost, privacy concerns, and competition from other tracking technologies, much innovation and improvements have been made to establish the software as a strong contender in the market. Advances in inventory technology have become pivotal to many businesses’ success and have aided many in their logistics and supply chain management.
The RFID software industry remains a vital and growing sector. As RFID vendors continue to offer diverse tools to maximize inventory management, we are excited to welcome these products into our platform for buyers to explore.
Learn about the asset management space from this summary of our asset management software reports.
Edited by Jigmee Bhutia
Better manage your inventory
by Tian Lin