RFID technology for jewellery inventory management

RFID (radio-frequency identification) makes use of radio-frequency electromagnetic waves to read data from a transponder tag attached to an object. The tag contains electronically stored information which can be read from up to several metres away. This is a big advantage over barcode technology, which requires line of sight. The RFID tag can also carry more information about the product it is attached to than a barcode can.

RFID tags have been used in many industries for many years already, but have only recently become a credible jewellery inventory management solution for jewellery stores’ all-important need to easily keep track of inventory.

In the jewellery market, stock counting is a time-consuming and physically exhausting process when the typically very small, fiddly and delicate items need to be counted one by one. Errors are commonplace and are more prevalent the longer the stock count takes to complete. In jewellery stores stock counts have to be conducted after normal business hours and the process is fraught with frustration for personnel. To count, items often need to be removed from their display and repositioned once the count is completed.

Items typically are counted by more than one person to ensure accuracy. Frequently, differences are found between the counts of each person counting and/or between the count and the expected quantity. This results in re-counts, which makes it difficult for managers to predict the amount of time staff are required for the inventory count. RFID simplifies this entire process because of its ability to provide fast tag processing. Up to 50 pieces per second can be read by the RFID readers currently available.

The RFID tag is the simplest and lowest technology part of the solution and the type attached to jewellery requires no battery and is powered by the electromagnetic fields used to read it. The associated hardware and software is what makes the solution. A high technology demand is placed on the RFID reader to be able to transmit its signal and read the result to record multiple tags as quickly as possible, but this needs the additional technology of advanced anticollision software algorithms. Only this combination makes it possible for jewellery vendors to count hundreds of items of inventory in a matter of minutes.

The use of RFID also provides an antitheft solution for both jewellery stores and suppliers. Another benefit is location tracking and inventory quantity top-ups for items that are presented in display cabinets in multiple positions in a store.

In the fiercely competitive jewellery market, RFID has quickly become a convenient and indispensable technology. It cuts labour costs, avoids the negative staff-morale effects of physical counting and drives overall profitability.