RFID Association Australia is an independent association which provides complete RFID technology and its applications. RFID Association Australia explains that RFID is an automated data-capture technology which can be used to electronically identify, track and store information about groups of products, individual items and product components.
The RFID technology consists of three parts which include RFID tags, RFID readers and a data collection, distribution and management system. RFID tags can come in many shapes and sizes and can be located on the inside or on the surface of products, items or packing materials. RFID readers are communication systems that interrogate or send signals to the tags and receive the responses. The responses from RFID tags can be stored within the reader for later transfer to a data collection system.
The RFID system allows companies to efficiently collect, manage, distribute and store information on inventory, business processes and security controls. RFID technology also allows retailers to identify potential shortages or delays, eliminate or reduce item spoilage, toll systems to identify and collect roadway tolls, suppliers to track shipments, item identification and trace ability from source to user.