Inventory management is the fundamental back office function. While it may not receive as much attention as e-commerce, electronic payment and consumer mobile, its development yields significant bottom line benefits.
Major retailers noted for their global presence and steady emphasis on delivering low prices, state outstanding supply chain and inventory management are a key reason for their success. A big part of that success is coming from the introduction of RFID technology.
RFID allows retailers to identify an item’s UPC, or SKU number the same way bar codes have traditionally done, but now individual items can be uniquely distinguished, making it possible to count inventory in seconds, without handling individual items and without even being able to see every item, RFID operates wirelessly, with richer data and without need for a line of sight. These fundamental benefits save time, reduce errors and allow more frequent stock takes, greatly improving inventory accuracy.
Once items are tagged for in-store purposes, RFID benefits extend into the supply chain. The modern warehouse is far more than just a facility in which to store inventory. By leveraging the power of RFID technology, the modern warehouse can now serve as a hub to boost efficiency and speed throughout the entire supply chain. RFID is also enabling faster, more accurate delivery times to customers, increasing loyalty and reputation by improving the customer experience.