In the modern retail and logistics world, flexibility is a required customer experience: buy it online and take it in store (BOPIS); same-day delivery; curb-side delivery; and one-click returns. This transformation necessitated the use of omnichannel fulfillment by businesses, where various sources of inventory and delivery means must collaborate in real-time.
However, the inventory in physical stores, warehouses, and online is not a simple task to organize, at least when you are still using barcodes or spreadsheets. RFID inventory solutions are applicable in this scenario.
In making businesses visible, including actions in real-time, and automating businesses, RFID conspires to unify operations across channels, decrease fulfillment errors, and improve customer satisfaction. Here’s how.
1. Real-Time Inventory Accuracy Across All Channels
Successful omnichannel fulfillment all boils down to items: knowing exactly what you have and where it is, and how fast it can be moved. RFID inventory systems monitor the item-level data with radio-frequency tags, which can be read in bulk, non-continuous line of sight.
Designed to work with your WMS, POS, or e-commerce software, RFID software uses real-time data to make sure the inventory data is current at all times, whether your items are in a warehouse, retail store, or on their way.
Why it is important: You can make more accurate promises of services such as same-day shipping or in-store pickup without the risk of overpromising and not having them fulfilled or running out of stock.
2. Unifying Inventory Pools for Better Order Allocation
The traditional systems separate store stocks and warehouse stocks, causing silos and loss of fulfillment levels. RFID systems assist in establishing a single medium of truth about inventory, i.e., help the business to source, allocate, and fulfil the order most efficiently.
As an example, in case a local store carries an item, RFID can enable the identification of its presence within seconds, and fill the online order in the local store instead of using the central DC.
The significance: This closes down delivery cycles, cuts down on transportation expenses, and avoids obsolete stock sitting in the stores.
3. Faster, Error-Free Picking and Packing
In omnichannel environments, speed and accuracy are crucial. The RFID enables users to select numerous items in several seconds and significantly minimize human error with handheld or fixed readers on the staff level.
RFID warehouse management solution may also confirm every product in the fulfillment process, generating flags on any incorrect selection or product shortage before delivering them. This guarantees clean shipment in the processes of a ship-from-store, ship-to-store, and direct-to-consumer model.
Why it counts: A reduction in fulfillment errors will result in a reduction in returns, improved customer feedback, and reduced support tickets, all of which are time and margin-saving.
4. Enabling Smart Returns and Reverse Logistics
Omnichannel fulfillment has one significant source of friction: returns. It is streamlined with RFID tags, allowing goods to be scanned upon their return into the warehouse and have the verification accomplished in real time to verify the item ID, condition, and source without opening any boxes or making manual input.
It is quick to scan returned items back to the inventory and put them back into the market, thus enhancing the stock turnover and reducing write-offs.
Why it matters: Accelerating the reverse logistics process can minimize the waste, recapture revenue at a faster speed, and aid a more sustainable operation.
