The improvement and application of radar gave birth to the radio frequency identification technology. In 1948, the theoretical foundation of radio frequency identification technology was laid. The theory of radio frequency identification technology has been enriched and improved. Single-chip electronic tags, multi-electronic tag reading, wireless read-write, passive electronic tags for long-distance identification, to adapt to high-speed moving objects radio frequency identification technology and products is becoming a reality and to the application.
Traditional retail industry engaged in RFID technology
Inventory visualization
Inventory visualization refers to a management objective that provides complete real-time visibility into inventory status. This concept evolved from Toyota's Kanban management and has now become an indispensable cornerstone of lean management across all industries. The existence of RFID technology to make this concept in the retail industry has become a reality.
RFID technology with non-contact read, batch processing and other features, can greatly improve the inventory of inventory efficiency. According to statistics, the traditional manual manual counting method can handle an average of 200 pieces of goods per hour. After using RFID technology, the figure is increased to 14,000 pieces / hour, and the efficiency is improved by 70 times. The error and repetition are greatly reduced, and the accuracy is also obtained Great upgrade. As a result, the store can regularly frequent inventory or set up in the store several fixed RFID reader way, real-time inventory of goods in the store to eliminate the chance of loss due to out of stock. At the same time, the time it takes for the clerk to inventory the goods can also be significantly reduced, giving them more time to receive their customers.
RFID can also bring a lot of improvements to the stock shortage that is prevalent in the retail industry. Research at the Harvard Business School shows that 8% of the retail industry is out of stock for a long period of time, causing an annual loss of just over $ 69 billion in the United States. According to KurtSalmon's speculation, in the size and color of a wide range of retail apparel, the extent of stockouts may be even more serious, or even up to 15 to 20%. ABIResearch company's survey shows that such as the introduction of RFID technology can be predicted in advance may be out of stock category to remind shop timely and appropriate replenishment of the shop and warehouse inventory, stock rate of 60 to 80% lower, resulting in sales growth May reach 3 ~ 10% (according to the substitutability of the goods to float). Europe's world-renowned fashion brand stores across the board into the RFID technology, the shop out of stock problem has been fundamentally resolved, an average of each store sales increased by 4%, the annual sales of 2.5 billion US dollars to achieve growth.
In addition to addressing storefront outages, RFID can also help increase the product's average unit retail price (AUR). The traditional store management can not frequently inventory the goods, resulting in a large number of goods stacked in the warehouse did not even have access to the sales process. According to survey data, nearly 30% of the goods in the apparel industry are not "discovered" until the clearance sale, which is a tremendous waste. If this part of the goods can be properly replenished when out of stock, the average unit retail price will increase 3 ~ 5%.
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