Positive ID
Trouble tracking inventory? Tag it like a wild animal.
Expect Radio Frequency Identification (RFID) to revolutionize
your inventory-management system, says Luke Hughes, director of
research for consulting company Accenture.
It works this way: Tiny tags with built-in radio transmitters
are put on items you need to keep tabs on. Then, when you want to
locate a specific item or take inventory, simply click a
button-located on a Palm, a cell phone or another device that's
been interfaced with the system-and find out exactly how many items
you have and where they're located.
"RFID is a huge advance over bar coding," says Hughes.
"Research says that around 7 to 8 percent of inventory is out
of stock when customers want to purchase it. RFID cures
that-you'll never again be out of stock and not know
it."
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Not surprisingly, RFID is spreading fast. Big companies already
use it, but growing businesses are catching on to RFID's value,
too. Says Hughes, "It's such an obvious value proposition
for any size business."
Robert McGarvey is the author of How to Dotcom
(Entrepreneur Press).