Physical Asset Management
Today there are many technologies to help ease the daily tasks of Asset Managers who are responsible for a company’s physical assets. These assets can, for some companies, be valued in the millions of dollars. Of the available technologies few solve more property management headaches than the use of Auto-ID platforms like barcodes and Radio Frequency Identification (RFID).
Inventory/Reconciliation Pain – Ease the hurt.
Industry experts indicate that one of the major pain points in property management is having to conduct, locate and reconcile inventory. Many organizations have not evolved beyond the basic pen and paper method. Some companies have moved to the use of spreadsheets and software programs to track inventory. This has sped up the inventory process to a degree, but manual data entry and updating of information is inevitably error prone. The onset of mobile computing has increased the use of barcode technology. This has greatly sped up the inventory process, allowing property managers to scan items and automatically update inventory software. Although barcode is an adequate technology for some processes, in property management where demands for speed and accuracy are paramount, the advantages of RFID has made it the optimal choice of forward thinking companies for conducting and managing inventory. When using RFID, inventory processes that take days or even weeks to conduct and reconcile can often be completed and reconciled in hours. The reason for the pronounced time savings is that barcode requires that each tag be read individually. Reading barcodes requires direct line-of-sight with the scanner and the tags have to be clear of debris and in good condition to be read. With RFID technology, multiple tags can be read at once with no clear line-of-sight required.
There are several types of RFID tags. Some use the radio waves that are emitted from the reader to generate an electromagnetic field to power themselves (passive tags) and some have an internal battery and can broadcast their signal independently (active tags). Active tags have a greater read distance but are more expensive. Passive tags have a relatively shorter read distance but cost less. Which tags are used depends on the requirements of the application.
- Reading an entire room full of tags at once is possible using larger, battery powered, longer read distance, Active RFID solutions
- Items at the pallet, shelf, or box level can be captured using passive RFID, non-battery powered, UHF (Ultra High Frequency)
- Identifying single products is achieved by Near Field Communication RFID technologies
All of these different technologies make taking inventory more efficient. Deciding which type of RFID tag to use can be easily made based by doing an asset to value analysis. Once inventory is complete, reconciling it is just as efficient. The inventory information is synchronized with the property management software and cross-referenced with the existing inventory–creating an automated reconciliation report.
Inventory on the Move Headaches–Relieve the pressure.
RFID will not only increase efficiencies associated with conducting inventory, but it will also increase the overall accuracy of the inventory process. Strategically placed RFID-enabled door portals can track items as they are moved in or out of a room. Portals can automatically read the asset’s tag and feed that information into the property management software giving property managers the ability to know what has been put in or taken out of a room. RFID further increases inventory accuracy by enabling cycle counting at more frequent intervals, instead of waiting for a quarterly, bi-annual or even annual inventory.
Employee Accountability Worry – Eliminate the guessing game.
More often than not, missing or misplaced items are because of employee carelessness; an employee uses an asset and forgets to return it or leaves it in another area of a plant, etc. RFID can help hold employees directly accountable for all items in their possession. RFID enabled employee badges can be linked to each RFID enabled item a person is using, allowing you to reconcile items that are checked out with items that are returned. If an item goes missing, you can simply look in the software to see who the last person was to use it. RFID can also help deter unscrupulous employee or visitor activities, by using doorway portals to monitor items as they exit the building. RFID technologies are clearly making waves in property management solutions. Through increased inventory speed, accuracy and reconciliation, RFID gives property managers a quick and easy way to justify ROI. On top of solving inventory management headaches, RFID also helps monitor employees and the items they are using; keeping employees accountable for workplace asset management.