Supply Chain Mangement in simpler words is the management of the chain of supplies and it encompasses everything from collecting raw materials, delivering to factories where the product is made from it than moving the product from factories to warehouses and than finally from their delivering it to customers. Overseeing all these operations and making sure they run smoothly with minimum collateral damage and reaches the consumer at the right price yielding a good profit margin for the business owner entails the Supply Chain Management. This is the reason many businesses outsource the services of Supply Chian Management Companies.
Supply chain management is a complicated process with many things to track and keep a record of. A sub-operation of Supply chain is logistics, which encompasses movements of material in the supply chain. As there is a lot of movement of material, manually putting numbers on assets and tracking and recording them can drive anyone working in a warehouse crazy. To make the processes more efficient and operations to run smoother more and more businesses are now taking advantage of technology. A logistic Management team is responsible for delivering the right product in the correct quantity and condition to the customer at the assigned place and time for the reasonable price.
In logistic management, an important step is warehousing, which is storing the assets and data in an organised manner and keeping an up to date record of stock. Maintaining an optimum level of stock in the warehouse is crucial for a business to run smoothly as overstocking and understocking can cause problems for cashflow. To maintain this ideal stock level it is very important to have an asset and stock tracking system in place in the warehousing facility.
RFID is an abbreviation of Radio Frequency Identification and it is a technology that employs electromagnetic field to identify, locate, keep a track of, and record information regarding products, machinery, and staff members. As RFID tags are unobtrusive and have diverse applications they have recently caught the attention of supply chain management business executives who now believe that they can make the best use of this technology.
RFID tracking is cheaper than many other alternative options available and therefore a cost-effective solution for the Supply Chain Management. RFID tracking system can very effectively track assets whether mobile or fixed.
Not all assets are immobile boxes of products or fixed machinery and thus need better tracking options. For example, a business of dairy products has cows at the vast form and to keep track of the cows while they graze away on a farm you need to track them and collars similar to pet tag collars can be an efficient way of locating, identifying and tracking them.
An efficient system for asset tracking based on RFID technology can help supply chain management business a lot in performing better and deliver better results for their clients. This is the main reason that more and more professionals associated with logistic management are now incorporating the RFID technology for asset tracking in warehousing.