Keeping Pace with RFID - Essay Example

Radio Frequency Identification or RFID is referred to a technology or system that is capable of transmitting the identity of a person or an object wirelessly by using radio waves. The identity is transmitted as a unique serial number. The term ‘RFID’ is actually a generic term. The technology uses a semiconductor in a label or tag and when this label or tag is exposed to the correct radio frequency, the stored data gets transmitted (Reigelsperger & Harkins, n.d.).

The radio frequency identification technology is in use for serving several purposes. It is greatly used by organizations for tracking their assets. They just put the RFID tags so that the assets can be easily located. The technology has also been in use in various manufacturing plants for many years. It is used for tracking the parts as well as monitoring the movement of the ‘work’. It is also used for the reduction of defects and enhancement of output levels. The supply chain of the retail chains is one of the major areas where RFID technology has been playing a crucial role for the past few decades. Furthermore, the technology has also made the payment mechanisms more convenient especially in the case of ‘road tolls’ and ‘quick service restaurants’ (Association for Automatic Identification and Mobility, n.d.).