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RFID For Cars & The Automotive Industry

Radio frequency identification (RFID) has become fairly commonplace in the manufacturing sector. However, its necessity is increasing and reaching across all sectors of the automotive industry, not just manufacturers. Much of this is driven by Industry 4.0 demands since RFID for cars can help simplify increasingly complex processes.

Embracing this technology can give you a competitive edge in this quickly changing industry. RFID tracking doesn’t just help you keep up with Industry 4.0, it also makes it easier for your team to adapt to the changes that you need to make to keep up.

As you may already know, the automotive industry encompasses a wide range of business models. What a manufacturer needs is not going to be the same as what a dealership or rental service could use. So, this article will take a look at RFID across the automotive industry. We’ll examine its benefits across the industry and some practical applications of the technology.


Benefits of Using RFID in The Automotive Industry


“RFID isn’t just about cars and parts, it’s about people. A good solution makes everyone’s work easier which reduces stress and boosts the bottom line.” – Sean Lowry, President, Lowry Solutions


Inventory Management

RFID technology can greatly improve inventory management by providing real-time updates on the location and status of parts and vehicles. This is a simple yet effective way for manufacturers and dealerships to prevent stock-outs, overstocking, or miscounts.


Supply Chain Efficiency

RFID technology enhances operational efficiency by automating certain tasks such as tracking and vehicle identification. This reduces reliance on manual work and decreases the chance of human error.


Cost Savings

RFID technology can lead to substantial cost reductions across the automotive industry. By enhancing inventory management and operational efficiency, you can reduce waste and optimize resource usage.


Quality Control

Using RFID for parts tracking is an excellent way to enhance quality control. This is because you can monitor each part through every phase of the production line. As a result, defective parts are caught and removed from the production line earlier.


Enhanced Customer Service

RFID readers provide accurate and timely information about vehicle availability and service history. This transparency leads to better customer experiences and satisfaction.

You can also use it to get prompt notifications about maintenance requirements. This prevents your company from giving a customer a vehicle without unknown maintenance needs.


See How GM Increased Their Efficiency With Lowry Solutions

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Practical Applications of RFID in The Automotive Industry


RFID Vehicle Tracking System

You can use RFID tags to track vehicles throughout the manufacturing process and in dealer lots. This tracking capability ensures efficient management and control of vehicles which leads to smoother operations.


Parts Verification

RFID technology can be used to verify that the correct parts are used at each stage of assembly. This verification process maintains quality and prevents errors, ensuring that vehicles are assembled correctly and to the highest standards.


Tool Tracking

RFID tool tracking helps prevent loss and ensures that tools are readily available when needed. This leads to smoother operations and reduces lost productivity due to missing tools.


Proactive Maintenance

RFID is often used to continuously monitor the condition and performance of various vehicle components. When this process is implemented, the technology can alert maintenance personnel about potential issues before they become serious problems.


Supply Chain Management

You can leverage RFID to reduce bottlenecks and delays within your supply chain. This is because RFID provides real-time data on the whereabouts of parts and materials from your suppliers. Therefore, you can be proactive about any potential slowdowns.


Access Control

RFID technology can be utilized to regulate entry to protected areas within a manufacturing plant or dealership. This enhances security and reduces labor costs for human security guards in these areas.

Need an Automotive RFID Solution Right Away?

What Are RFID Vehicle Tags?

As the name suggests, RFID vehicle tags are RFID tags used to identify vehicles. Each one emits a radio signal that conveys information about the vehicle to an RFID reader. This information includes the vehicle’s make, model, and identification number.


Why RFID Vehicle Tags Are Important

RFID vehicle tags don’t need to be in direct line of sight with the reader to be picked up. Therefore, you can track the vehicle’s location without seeing it directly. There are several benefits to this that vary depending on which sector of the automotive industry you’re in.

  • Transportation companies can better track large fleets in real-time
  • Car dealerships can quickly gain information about which vehicles are available, rented, or need maintenance
  • Rental services can instantly provide customers information about which vehicles are rented out
  • Auto manufacturers can streamline parts tracking and gain insights into usage patterns so they can predict what to build next

Unlike other forms of technology, RFID tags are resilient to water, mud, and oil. They can also be read through materials like plastic or glass. This makes them ideal for vehicle tracking tags.


What Else Could Your Business Be Doing With RFID?


Introduce The Right RFID Solutions to Your Automotive Company

Deciding to introduce RFID to your business is step one. Your next step is to choose an RFID partner who can adapt to your evolving needs.

Lowry Solutions has extensive experience implementing various types of  RFID solutions for over 20 years. We’re well-equipped to deal with evolving industries because we’ve had to adapt time and time again over the years. We also take the time to get to know your unique business needs so we can recommend a tailor-fit solution.

Contact us today to get more details.

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