What’s Keeping You from Implementing RFID? Part 2

A GAP Marketing Research Survey conducted in March 2013 assessed the understanding and use of RFID in the manufacturing sector and how it contrasts with barcode technologies. The study’s sample was taken across all manufacturing industries, spanning many roles from staff to executive.

In Part 1 of this blog, we discussed the first two conclusions of the study — “RFID is not as well understood or as utilized as barcode technology” and “Knowledge and perceived expense of RFID are primary obstacles to adoption” — and how they relate to one another.

Now we will focus on the third and fourth conclusions:

• RFID has a unique value proposition when compared to barcode technology.
• Tracking of materials from raw goods, through work-in-process (WIP) and on to finished and shipped goods, is viewed as the most popular area of use/need.

When asked about the primary benefits that RFID adoption can provide, respondents noted its (in order of rank) accuracy, ability to read from a distance, ability to read without visual contact, speed, and labor savings. There appears to be a dichotomy among those who were surveyed: many had minimal knowledge or understanding of RFID, and quite a few were aware of the benefits of RFID technology, as well as its value when compared to barcode technology. Additionally, organizations exploring RFID often pair it with mobile device management solutions to streamline tracking, enhance security, and optimize the overall efficiency of their operations.

So, despite the general lack of understanding and perceived expense of RFID technology, it is still seen as “a valuable proposition when compared to barcode technology.”  Although 17% of those surveyed said they had no budget for RFID, 18% said it was too expensive, and 13% believed there to be no perceived need, RFID definitely has benefits that lead to a more productive and profitable workplace.

One factor to consider here is that the majority of people surveyed worked at businesses with fewer than 500 employees. Smaller companies might not be willing to risk the investment, especially if they have no glaring problems. Also, the survey was issued to a wide range of employees — from C-level to staff. Those who are not decision-makers might not be the best employees to ask about RFID implementation.

RFID is definitely an investment, but the benefits it provides will almost certainly outweigh the short-term expenses. The survey outlined a few of the reasons why RFID has not overtaken barcode technology, but it also made note of the biggest issues companies are facing.

The fourth conclusion states that respondents’ top issue is work-in-process (WIP) tracking. The time required to execute physical inventories or search for materials was also a problem, as were errors in shipment, delivery, and receiving. Ideally, an RFID project would track the manufacturing process, from raw materials to finished goods and rework.

The main problems companies have to deal with can all be eliminated or minimized through the implementation of an RFID tracking system. The performance boost RFID provides will lead to bigger profits for businesses.

While there is still a long way to go before RFID technology reaches the popularity level barcode technology has attained, it is reassuring to see that people are beginning to understand the ways RFID can help their businesses.

Moving from RFID Awareness to Successful Implementation

With the growing acceptance of RFID as a viable operational technology, organizations are moving from debating if the technology can work to how it best can be applied. RFID often realizes the most return on investment for businesses that get past initial planning when deployment is driven by business, not technology.

Rather than redesigning the whole business process in one day, most organizations start with targeted projects that deal with specific operational challenges and then scale RFID to additional business functions.

Identify High-Impact Use Cases

The most successful RFID initiatives typically start with a well-defined problem. Rather than attempting a company-wide rollout immediately, businesses often focus on areas where automation can deliver measurable improvements.

Common starting points include:

• Asset tracking
• Inventory management
• Work-in-progress monitoring
• Returnable container tracking
• Tool management
• Shipping verification
• Warehouse receiving

Beginning with a focused application allows organizations to validate performance, measure return on investment, and gain employee confidence before expanding deployment.

Evaluate Existing Business Processes

Technology alone cannot resolve inefficient workflows. Before implementing RFID, organizations should examine their current processes to identify where manual activities, duplicate data entry, or limited visibility create operational challenges.

Questions worth considering include:

• Where do inventory discrepancies occur?
• Which assets are difficult to locate?
• Which processes require excessive manual labor?
• Where do delays most frequently occur?
• Which departments would benefit from real-time information?

Understanding these operational pain points helps ensure RFID is deployed where it will have the greatest business impact.

Plan for System Integration

RFID becomes significantly more valuable when tracking information flows directly into enterprise business systems. Rather than creating isolated data, integrated RFID solutions provide real-time visibility across the organization.

Many businesses integrate RFID with:

Integrated systems eliminate duplicate data entry while improving collaboration across departments.

Build Employee Confidence

Technology adoption depends heavily on user acceptance. Employees who understand how RFID simplifies daily tasks are more likely to embrace new workflows.

Effective implementation includes:

• Hands-on training
• Clear operating procedures
• Ongoing technical support
• User feedback during deployment
• Continuous process improvements

Involving employees early in the implementation process often leads to smoother adoption and greater long-term success.

Measure Performance Continuously

One of RFID’s greatest strengths is the ability to generate accurate operational data. Organizations should establish measurable performance indicators before deployment so improvements can be evaluated objectively.

Common metrics include:

• Inventory accuracy
• Asset utilization
• Search time reduction
• Order accuracy
• Production throughput
• Labor productivity
• Equipment downtime

Regular performance reviews allow organizations to refine workflows and maximize the value of their RFID investment.

Prepare for Future Expansion

Many organizations initially implement RFID within a single department before extending it across additional operations. Planning for scalability from the beginning makes future expansion more efficient.

As business requirements evolve, RFID can be extended to support:

• Enterprise-wide inventory management
• Supply chain visibility
• Distribution operations
• Fleet and equipment tracking
• Retail inventory management
• Healthcare asset management

A scalable implementation strategy allows organizations to continue building value from their initial investment.

Combining RFID with Complementary Technologies

Modern tracking solutions often combine RFID with other technologies to create a more complete view of operations.

Depending on business requirements, organizations may integrate RFID with:

• Barcode systems
• GPS tracking
• Bluetooth Low Energy (BLE)
• Ultra-Wideband (UWB)
• IoT sensors
• Enterprise mobility solutions
• Industrial printing

Each technology contributes unique capabilities that support greater visibility, automation, and operational efficiency.

Choosing the Right Technology Partner

Implementing RFID successfully requires expertise that extends beyond hardware installation. Organizations benefit from working with solution providers that understand both technology and business operations.

An experienced partner can assist with:

• Workflow analysis
• Solution design
• Hardware selection
• Software integration
• Employee training
• System testing
• Ongoing support

This consultative approach helps reduce implementation risks while accelerating project success.

How Lowry Solutions Helps Organizations Maximize RFID Value

Lowry Solutions is a one-stop shop for your RFID solutions that offers cutting-edge tracking technologies with enterprise system integration, industrial printing, enterprise mobility, and professional services. Using RFID in concert with barcode technology, GPS, IoT sensors, and the Sonaria platform, Lowry enables companies to establish interconnected ecosystems that reduce version control errors through a permanent record of data creation, along with inventory accuracy improvement; asset visibility enhancement; workflow automation; and operational decision-making convenience.

Lowry partners with organizations for all stages of the RFID process, from initial design and deployment to lifetime system optimization, ensuring that implementations are in line with larger business goals while also being scalable for future needs.

Establishing a Solid Digital Operations Base

RFID continues to attract momentum as it solves a lot of operational problems that are commonly faced and the ensuing complexity in supply chains and manufacturing environments. RFID helps to make faster, better decisions by improving visibility, automating data collection, and giving real-time operational insight.

Moreover, organizations that take a more strategic approach to implementation—focusing on process improvement, system integration, and scaling—are the ones best suited to reap the full benefits from RFID. Even industries that are digitizing remain important in the realm of RFID as they continue to build more efficient, accurate, and agile, data-driven operations.