RFID Vs Barcodes: What’s The Smarter Option?

Recent advances in radio frequency identification (RFID) technology have enabled the early adoption in many commercial applications like supply chain management, logistics and transportation but skeptics believe that although RFID has an advantage over plain vanilla bar-coding in logistics, it will take a while for it to become mainstream.

Radio frequency identification (RFID) is a method of remotely storing and retrieving data using devices called RFID tags/transponders. An RFID tag is a small object, such as an adhesive sticker, that can be attached to or incorporated into a product. Simply put, RFID involves putting a small radio transmitter on a tag or a label with a unique identification number (UIN) on it. When passed under a RFID reader, the number contained in the tag is transmitted to a computer, which matches it with corresponding data.

RFID is used for various purposes - among others to tag merchandise at stores, to prevent shoplifting, to tag prescriptions, over-the-counter medicines, and hospital products and to help combat the illegal trafficking of counterfeit pharmaceutical products.

But unlike barcodes, there is no global public body that governs the frequencies used for RFID. In principle, every country can set its own rules, but some standards have been made regarding RFID technology.

Because radio waves are used to sense the tag, RFID has the advantage that no line-of-sight alignment is required between the RFID tag and the reader. What this means is that the RFID reader can read multiple tags simultaneously and instantly. The tags may be embedded inside an object such as a container or in a garment. Furthermore, RFID tags can store a lot more information than bar codes. Imagine a big carton with hundreds of boxes of shirts of different sizes and colors, each tagged with an RFID. The moment the carton reaches the warehouse or the store, the RFID reader immediately identifies all the RFID tags and information about the inventory such as the number of shirts, types, sizes, colors etc, is instantly available on a PC terminal, without even having to open the carton!

Where RFID comes short

While RFID-enabled supply chain or part of it can prove beneficial, the cost of tags and scanners remains prohibitive. The technology is evolving and so are standards and systems supporting it. As the technology gains acceptance, adopters will face the daunting task of gathering and managing massive amounts of data.

Can Both Co-exist?

Although RFID has some clear advantages and it scores over bar codes mainly because it doesn’t require human intervention and more information can be loaded on to an RFID tag. Also, readability of bar codes can be impaired by dirt, moisture, abrasion or packaging contours. RFID tags are not affected by these conditions. 

Since bar-coding is inexpensive and effective for certain tasks, it is likely that RFID and bar codes will co-exist for some time. RFID is expensive and deploying it is not hassle-free. Despite that, if the prices of tags drop and standards are agreed upon•RFID will catch on fast.