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What is an RFID Vehicle Tracking System?

  • Akansha Sharma
  • Nov 07, 2023
  • RFID
What is an RFID Vehicle Tracking System?

Transportation and logistics are fulfilling the demands of many industries whether it is retail and e-commerce supply chain, city transportation, warehousing, or Healthcare. The use of advanced technologies such as GPS and other RTLS (Real-time Location Services) technologies including Ultra Wideband and LPWANs is also on the rise in this regard.

It is of utmost importance to implement an efficient and reliable vehicle-tracking solution with accurate data collection and tracking capabilities and RFID technology is one such solution that is quite efficient and cost-effective. RFID is revolutionizing the way industries manage and monitor their vehicles with RFID-based vehicle tracking systems, leveraging RFID tags, Readers, and Antennas. 

RFID Vehicle Tracking System

RFID is a wireless technology that uses radio waves to identify a person or object. In RFID-based vehicle tracking system, vehicles are equipped with unique RFID tags namely RFID windshield tags. These tags are encoded with vehicle-relevant data such as vehicle owner’s name, license no., vehicle model, digital wallet integration, etc. When vehicles affixed with RFID tags pass by one of these RFID reader-enabled premises, the reader scans the encoded data from the tags with the help of RFID antennas. The data thus captured about the vehicles is transmitted to a central vehicle tracking database system for tracking and analysis purposes. 

RFID vehicle tracking system is beneficial in various industries including fleet management, access control, supply chains, warehouse management, etc. 

Components of RFID Vehicle Tracking System 

An RFID vehicle tracking system has three key components: RFID tags, RFID readers, and an RFID-based vehicle tracking software system.

RFID Tag:  An RFID tag is a small electronic device equipped with a microchip and antenna, which is installed in a vehicle for transmitting data to a reader. Most of these tags are placed on the windshields or bumpers of the vehicle. RFID windshield tags are available 

RFID Reader: An RFID reader receives and reads data from a tag. These readers emit radio waves and receive signals from RFID tags through their antennae. The main flow of tracking requires the proper installation and functioning of both RFID tags and readers.

Vehicle tracking software system: It collects and processes the data received from a reader. The data received from a reader can be analyzed for various vehicle tracking operations such as tracking vehicle locations, monitoring entry and exit times, and generating reports.

Benefits of using RFID-Based Vehicle Tracking System

RFID vehicle tracking system is a valuable tool for tracking and managing vehicles. It provides real-time tracking information on vehicles, can improve efficiency, and reduces the cost of the entire process. 

Therefore, an RFID vehicle tracking system can help companies to improve their supply chain management.

Let's explore the benefits of RFID vehicle tracking system briefly: 

Enhanced Asset Management

RFID in vehicle management systems helps various businesses maintain a record of their vehicle inventory, a better solution for asset management, and maintenance scheduling of vehicles.

Efficient Vehicle Management

RFID-based vehicle tracking systems can reduce unauthorized use and prevent theft of a vehicle. It only allows an authorized person to access and operate a vehicle.

Improved vehicle Tracking

RFID helps in tracking the real-time locations of vehicles by making it easy to monitor the movement of vehicles and quickly respond to incidents or deviations from planned routes.

Automated Entry and Exit Tracking

RFID in vehicle tracking systems helps to streamline the access control process in a location. RFID readers at entry and exit points will automatically record the timing of a vehicle.

Maintenance Scheduling of Vehicles

RFID in vehicles will trigger a maintenance alert by maintaining a report of vehicle mileage or operating hours. It ensures vehicles are serviced on schedule, reducing breakdown time.

Fleet Management

RFID-based vehicle tracking system collects and analyzes data from the vehicle usage report. So, businesses can optimize the size and composition of their fleet. It will ensure that they have the right vehicle for their need.

Enhanced Customer Services

RFID in real-time tracking of vehicles will lead to more accurate delivery of shipments or goods and improved customer service for transportation and logistics industries.

Cost and Fuel Saving

Using an RFID system in a vehicle tracking system will optimize the delivery path and usage of fuel, which results in a reduction of overall cost.

To conclude, RFID-based vehicle tracking systems will help businesses by providing an efficient and cost-saving solution to improve their supply chain management. It offers enhanced inventory management, efficient vehicle management, improved vehicle management, improved vehicle tracking, maintenance scheduling, and improved customer experiences. It helps various businesses to streamline their business operations.

RFID technology has become ubiquitous and finds several other applications in the form of RFID-based parking management system, RFID-based library management systems, RFID warehouse management system, RFID Asset Management System, etc.

Frequently Asked Questions

Q1) What is an RFID vehicle tracking system?

An RFID vehicle tracking system is a solution where vehicles are monitored or tracked by scanning an RFID tag from a reader. These readers and tags are responsible for tracking the location of the vehicle and transmitting data to a central vehicle management system.

Q2) How do RFID vehicle tracking systems improve their safety and security?

An RFID vehicle tracking system offers real-time tracking to minimize the potential risk of theft or unauthorized access. RFID in vehicle tracking systems offers advanced features such as geofencing and anti-theft prevention.

Q3) What makes RFID better than GPS for a vehicle tracking system?

GPS tracking is less reliable in areas with limited space or enclosed environments due to weak satellite signals whereas RFID technology uses microchips and antennae to communicate, suited for indoor locations, offering accurate records of vehicles passing through RFID gate systems. 

Disclaimer: The information presented here is for general information purposes only and true to best of our understanding. Users are requested to use any information as per their own understanding and knowledge. Before using any of the information, please refer to our Privacy Policy and Terms and Conditions.


  • Created on Nov 07, 2023

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