Manufacturers, regardless of the industry, need to be aware of changing consumer preferences, delays/disruptions in the supply chain, and increasing compliance requirements. Their increased reliance on manual tracking methods and outdated/legacy systems often creates inefficiencies up and down the value chain that not only affect them, but also affect the rest of the value chain, such as distributors, retailers, and consumers.
For example, manufacturers carry excess and incorrect inventory, sustain defective material/processes that end up affecting better product quality, etc. A technology-based solution, leveraging RFID, IoT, BLE, AI, and ML to identify and remove such issues, can boost smart manufacturing efforts.
Manufacturers today want an edge, translated into better efficiency, with these exact challenges in mind. Radio Frequency Identification (RFID) technology helps manufacturers to maintain a competitive edge by tracking WIP (work-in-process) in real-time, supporting effortless use of JIT (Just-in-Time) inventory keeping, reducing downtime due to defective/missing parts, and allowing for accurate demand forecasting. RFID creates efficiencies across the board; it can also provide valuable supply chain visibility, traceability, and compliance.
In this blog post, we highlight 8 key ways manufacturers can be successful, utilizing RFID, AI, and Predictive Maintenance (PdM), helping them turn everyday challenges into opportunities and improvements.
8 Ways RFID Can Help Manufacturers Drive Success
Reducing Supply Chain Delays through Real-Time Visibility
1. RFID-enabled tracking of Work-in-Progress (WIP)
For most manufacturers, the issue is finding semifinished products, which can be a huge delay in attracting supply chains. RFID allows you to track work-in-progress (WIP) in real-time if the items are tagged. This creates full supply chain transparency for production, reduces the possibility that items could be lost or misplaced, and produces scheduled delivery timelines.
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2. Quicker inventory counts and tracking information
Inventory counts take a great deal of time, but they also highlight human errors in counting. RFID minimises the amount of human error in inventory counts, as RFID can scan hundreds of items in the time it takes to count them by hand, allowing businesses to identify inventory process bottlenecks and minimise order delays. As part of RFID-enabled inventory counting, production teams are less likely to get last-minute surprises or identify order failures due to accurate counts of inventory.
Improving Quality Control and Compliance Throughout Production
3. Detecting flawed components before assembly
Bad parts can result in reworking or bad products, which is costly. With RFID tags on parts, companies are better able to track parts sooner to help avoid bad products in later stages and improve product quality.
4. RFID traceability logs for regulatory compliance
Compliance is particularly important in industries like automotive, electronic products, and food production. RFID creates automated audit trails throughout the lifecycle of the parts and finished goods to support compliance. RFID can reduce inspections, improve compliance, and eliminate paperwork.
Enhancing Inventory Management through RFID Guided Precision
5. Supporting Just-in-Time (JIT) inventory models
JIT inventory management means managing accurate data, with the aim of preventing stockouts or overstock. RFID system can give production managers real-time tracking of pieces (or parts) and assures that the production area has what is needed, and only what is needed. This process optimises output and reduces costs.
6. Improving demand forecasting precision
Demand fluctuations are a big issue for manufacturers, as learning to predict demand requires studying seasonal demand, demand fluctuations, surges, etc. Firms experience unpredictable and probably volatile demand cycles.
With RFID, tracking parts consumption and product flow helps manufacturers identify patterns of use, consequently developing their own flexible forecast, with improved precision. Ultimately, better, demand-calibrated planning means less waste.
Minimising Downtime Losses and Enhancing Performance
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7. Minimising unexpected downtime through asset tracking
Unexpected paper rolls and machinery downtime can cause significant losses due to lost opportunity. RFID-enabled asset tracking systems permit manufacturers to track their machinery, organise scheduled maintenance, and plan to replace parts that have high wear, even before they break.
8. Improving processes to reduce manual tracking
Manual tracking doesn't simply slow down operations; it introduces potential errors in tracking and studio annealing. With an RFID solution, these tasks can be largely automated, allowing teams to focus their attention on continuous improvements in production and improving processes that are value-added. In the end, this results in more throughput with fewer resources.
Finally, manufacturers cannot afford to use obsolete and manual processes in today's marketplace. RFID is a smarter way to do it all: inventory counts, demand forecasting, supply chain transparency, compliance, and downtime avoidance. When manufacturers use RFID intelligently, they understand the whims of market demand, decrease costs, and, most importantly, always deliver improved quality levels.
Frequently Asked Questions on RFID and Manufacturing
Q1: How does RFID reduce supply chain delays?
RFID uses real-time tracking of WIP, parts, and shipments, so you can find bottlenecks and allow for fluidity throughout the supply chain.
Q2: Is RFID useful for improving product quality?
Yes. RFID helps find defective parts and maintain compliance records, so that you can sustain the quality of your output.
Q3: Is RFID useful for Just-In-Time inventory management?
Absolutely. RFID provides real-time visibility to stock levels, which enables Just-In-Time (JIT) production models.
Q4: How does RFID prevent downtime?
RFID helps to track equipment and parts, to help you develop proactive maintenance strategies (using PdM) that may limit unplanned equipment breakdowns.
Q5: Is RFID scalable to large manufacturing plants?
Yes. RFID can scale from small production line applications to enterprise-wide RF digital deployments while maintaining the same visibility and transparency throughout the supply chain.
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