In an increasingly global economy, supply chains are becoming more complex. This complexity includes the uncertainties associated with fraud, lost inventory, counterfeit products, and the inability to see inventory flow. Today's consumers and businesses want to know more about the authenticity and efficiency of the movement of goods from the point of origin to the point of destination.
Blockchain tnd RFID are two technologies that work together to provide a next-generation smart supply chain transparency that can track, confirm, and timestamp the movement of goods in rreal time fully transparently, at every point in the supply chain.
Let's examine how this crucial combination functions and why supply chains in industries like manufacturing, food, retail, and medicines have found it to be extremely beneficial.
Understanding Blockchain and RFID Technologies
RFID: Instant data gathering
RFID tracks and identifies products by utilizing tags that are attached to goods or packaging and that are activated by radio waves. These RFID tags are readable wirelessly and allow for automated, immediate tracking of products as they flow within a supply chain by having a unique identifier on the tag. This reduces errors, speeds up processes, and has no manual scanning involved.
Blockchain: The Untouchable, Transparent Document
A blockchain is a distributed, network-based, separate digital ledger that records transactions. The record is visible and resistant to unwanted alteration since each entry is time-marked and cryptographically connected to the one before it.
5 Ways Blockchain and RFID Bring Transparency in Supply Chains
The power of combining blockchain technology with RFID creates a robust supply chain transparency system. Here are 5 ways Blockchain and RFID bring Transparency in Supply Chains:
1.Improved Transparency in Data Capture and Data Use
RFID tags provide continuous real-time data (location, temperature, and handling) as a product progresses through the supply chain. The information being tracked correctly from the source and every destination point is facilitated by capturing distinct RFID tag information at every location, e.g., batch numbers or expiration dates.
The blockchain is then used to create an unassailable, time-stamped record of every transaction, movement, and status change by automatically logging each RFID event.
2. Enhanced Automation in Supply Chains
Using information provided by the RFID systems throughout the supply chains, Blockchain can execute smart contracts that allow for automation, such as launching alerts for anomalies, releasing money on delivery, or verifying product authenticity at each checkpoint.
Automate your business with RFID.
EnCstore offers all kinds of RFID Tags, Readers, and Antennas.
3. Enhanced Security Measures in Supply Chains
While RFID solutions track each order, delivery, and order fulfilment in real-time, blockchain secures all transactions. Combining the two, businesses in the supply chain can put enhanced security measures for all business operations.
4. Reduced Risks in Supply Chain
By facilitating publicly observable and verifiable transactions and movements, the blockchain reduces the likelihood of fraud and errors. As the data can't be modified, blockchain's immutability helps you verify product authenticity and prevent counterfeiting without hesitation. With RFID, the manual errors are severely minimized, and that reduces risks for businesses as well.
5. Better Compliance and Sustainable Supply Chain Practices
Automated, auditable records ensure easy introduction of quality assurance and traceable regulatory reporting. With RFID and Blockchain technologies, supply chain and logistics businesses can unlock compliant and sustainable supply chain practices as well.
Why Choose EnCstore?
EnCstore provides asset management, inventory, logistics, and other software in addition to total RFID hardware solutions (tags, readers, and antennas) - all of which come "blockchain-ready" based on your adoption of supply chain transparency, fit for the future. We also provide RFID-based anti-counterfeiting and warranty management systems that can be enhanced with blockchain technology to provide verifiable product authenticity.
Moreover, our RFID solutions meet the specific needs of a diverse group of industries, including retail, healthcare, logistics, jewelry, parking, museums, and others.
EnCstore also provides scalable solutions with personal support for both local and international customers, ensuring a reliable support structure. We connect real-time RFID data collection with blockchain transparency and immutability, allowing organizations to make transparent, efficient, and reliable supply chains.
Example of RFID and Blockchain Working Together
Let's think of the drug industry supply chain, where drug safety is obviously a high concern. Contemporary RFID tags, quietly placed on medicine packaging, contain significant amounts of data on the RFID chip-batch number, manufacture date, etc.
Whenever the package travels through the supply chain, the RFID reader scans the product status and location. This data is written directly to a blockchain ledger in real time, creating an indelible record accessible to manufacturers, distributors, regulators, and most relevantly, the consumer. When sold, the consumer is able to scan the RFID tag and verify that the product is authentic and trace every step of its passage through the supply chain, thus building trust & safety.
To summarize, together RFID and blockchain will enhance supply chain visibility by establishing real-time awareness, product authenticity, and traceability from origin to end-user. Combining these two will reduce the risk of fraud and counterfeiting, and enhance compliance and consumer confidence since the authentication of product authenticity and traceability to origin can be accomplished using reliable and real-time data.
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