Mieloo & Alexander have developed a hands-on and pragmatic approach on how to improve supply chain operations with RFID/EPC™ and RTLS technology.
Although the adoption of RFID is still at the beginning, early adopters have already been able to achieve substantial benefits.
Below are some examples of the potential benefits to be derived from the deployment of RFID solutions.
Supply chain integrity
RFID will enhance the identification and reduce the number of discrepancies between what a supplier invoiced and what a customer received. Overall goods flow docks, trucks and stores will become more transparent, subsequently the administrative processes will be further automated and thus reducing cost. As supply chains will become more effective, out of stocks will be reduced.
Accurate case picking
Within DC’s, pallets from suppliers are broken down and the rebuilt into mixed pallets. According to surveys, roughly around a third of mixed pallets contain the wrong items or the wrong quantity of items. Installing RFID solutions in the case picking area of DC’s can improve accuracy to 100%, which will further prevent out of stocks.
Reduction in labour costs
Recent studies show that labour costs still represent the most significant cost component within DC operations. RFID solutions with the ability to read without a line of sight and with limited or no manual intervention can reduce the labour currently required to manually scan barcodes by as much as 30%.
Reduction of out of stocks
Due to the overall supply chain visibility with RFID solutions and the opportunity to further enhance supply chain operations, RFID has the potential to reduce out of stocks.
Reduction of shrink and enhanced security
RFID will significantly reduce product losses in the supply chain as well as at the retail level. Manufacturers will be able to pin point where losses occurred quickly and rectify the situation.
Expansion of vendor managed inventory
RFID could enable companies to further consider using vendor managed inventory (VMI) arrangements with their suppliers. With RFID VMI can be automated including replenishment and billing with solutions such as smart shelves.
Efficient returns handling
Full visibility and automation will first of all prevent and reduce returns in supply chains. Furthermore the efficiency of returns handling will be further enhanced with RFID.
Product authenticity
RFID has the potential to play a major role in combating product piracy or theft by being to verify and authenticate product integrity.
Request further information on how we can improve your business with RFID / EPC™ and RTLS solutions;
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