RADIO FREQUENCY IDENTIFICATION

A RFID tag is a small, integrated circuit that communicates with a reader via radio communication. RFID tags do not require contact with the reader, nor do they require the line of sight that bar code technologies rely upon. As a result, RFID has the potential to replace bar codes by improving visibility of inventory in near real time, and materially changing how inventory is managed in warehouses, in transit, in distribution centers, and even on store shelves and checkout counters.

The basic RFID system consists of three components:
.An antenna
.A reader (transceiver)
.A RF tag (transponder) that is electronically programmed with unique information

Currently, the most common method of reading tags at close range is termed "inductive coupling," in which the coiled antenna of the reader creates a magnetic field with the coiled antenna of the tag. The energy generated by this field is used by the tag to send back waves to the reader, which turns these waves into digital information. The reader then transmits this data to the RFID system middleware, which associates the unique information stored on the particular tag with information about the product to which the tag is attached. After the middleware processes the information received from the readers, it filters the data to the company's supply chain execution software, which updates its inventory data accordingly.