Growth Strategies

Positive ID

Trouble tracking inventory? Tag it like a wild animal.
Magazine Contributor
1 min read

This story appears in the December 2001 issue of Entrepreneur. Subscribe »

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."

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).

More from Entrepreneur

Grow Your Business at Entrepreneur LIVE! Join us on Nov. 16 in Brooklyn, NY, to learn from legends like Danica Patrick and Maria Sharapova, pitch our editors, meet with investors, and potentially walk away with funding!
Register here

One-on-one online sessions with our experts can help you start a business, grow your business, build your brand, fundraise and more.
Book Your Session

In as little as seven months, the Entrepreneur Authors program will turn your ideas and expertise into a professionally presented book.
Apply Now

Latest on Entrepreneur

My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.