News

Posted On: 08/02/2011

Survey shows increasing adoption of RFID technology

PlantServices.com

By Plant Services Staff

Cybra Corporation (www.cybra.com) has released the findings of its latest customer survey of RFID trends. The survey showed that 34% of organizations are using, piloting or already in the process of implementing RFID technology. This is a 21% increase over a previous RFID survey conducted by Cybra in 2008. Other highlights from the survey include:

• Of organizations (regardless of their industry) who were either implementing RFID or evaluating the use of RFID, 80% of respondents agree that they will do it not only for EPC (Electronic Product Code) compliance, but because they realize they will maximize their profits.

• Improved inventory accuracy (60%) and EPC compliance (55%) remain the top two business drivers that determine RFID adoption. Of those who cited EPC compliance as a driver of RFID adoption, (24%) also cited item level tagging as a current initiative.

• The top key anticipated benefits of RFID adoption are improved inventory accuracy (29%), increased profits (26%) and overall increase in efficiency (24%).

• The payback period, or ROI, of anticipated RFID investment was less than two years (44%). Respondents assert that the reason for this time frame is because RFID can reduce labor costs; software, tags and hardware are now less expensive; and inventory accuracy can be improved.

• Only 8% of respondents answered that they will not be using RFID at all. These respondents state that their reasons are that they are worried about high costs and that there isn't enough evidence of ROI. This is down from 2008, where 15% of respondents answered that they are not using RFID, and will not be using RFID in the future.