Discussion with Professor Adrian Beck: Why RFID Is Not a Plug-and-Forget Technology

The Reality of RFID: More Than Just a Tech Upgrade

Retailers and businesses are increasingly turning to Radio Frequency Identification (RFID) to improve inventory tracking, reduce shrinkage, and enhance the customer experience. However, during our recent conversation with Professor Adrian Beck, Emeritus Professor at the University of Leicester, emphasizes, "it's not a plug-and-forget technology—it's a significant investment."

Unlike barcodes, which have long been the standard for product identification, RFID offers item-level visibility, allowing businesses to track individual products throughout the supply chain. This level of granularity provides immense value, but it also introduces complexities that require careful planning, strategic alignment, and ongoing management. Organizations that view RFID as a simple software or hardware upgrade often struggle with implementation challenges, leading to wasted resources and suboptimal results.

The key to successful RFID deployment lies in addressing four critical factors: senior leadership commitment, source tagging strategy, system integration, and ongoing management. Without a dedicated approach to these elements, companies may fail to realize RFID’s full potential. In a discussion hosted by Datascan, Dave Erasmus and Professor Adrian Beck outlined these crucial considerations and why businesses must think beyond the initial rollout.

1. Senior Leadership Commitment: The Foundation of RFID Success

RFID is a tipping point for inventory management, but it comes with a high upfront cost and requires alignment across departments. Without senior leadership buy-in, organizations risk underfunding the project or failing to provide the necessary resources for long-term success.

Professor Beck highlights the need for organizational commitment:

"Making sure that you've thought through the organizational commitment; that you recognize that this is something that needs to be managed on a day-to-day basis; that staff need to understand how RFID works; and thinking through the tagging strategy and working out how you're going to integrate it into your existing strategies are key things to think about when deciding to invest in RFID."

Executives must recognize that RFID is not just a tech upgrade—it is an operational transformation. Investing in proper training, ensuring cross-functional collaboration, and setting clear expectations for long-term use are essential for success. Without leadership commitment, RFID initiatives often stall or fail to deliver their intended benefits.

2. Source Tagging Strategy: The Long-Term Key to Efficiency

Tagging products with RFID labels is a crucial step in implementation. While some retailers attempt to apply tags in-store, this approach is fraught with inefficiencies. Professor Beck underscores this challenge:

"We've seen companies who try to tag in-store and it can work, but it's very challenging to keep that working over a long period."

The alternative, and more sustainable, approach is source tagging, where RFID tags are embedded at the manufacturing stage. This ensures consistency, reduces labor costs at the store level, and allows for more seamless integration into inventory management systems. Companies that successfully implement source tagging gain a competitive advantage by minimizing errors and ensuring accurate data collection from the beginning of the supply chain.

Retailers must work closely with suppliers and manufacturers to ensure proper source tagging implementation. While this requires upfront collaboration and investment, it pays off in the long run by improving efficiency, reducing manual labor, and ensuring real-time inventory visibility.

3. System Integration: From Barcodes to Item-Level Tracking

One of the biggest challenges companies face when implementing RFID is data integration. Traditional barcode systems provide basic product information, but RFID generates individual item-level data, requiring a significant shift in how information is processed.

Professor Beck explains the complexity of this transition:

"You know, you're often moving from a world where you've got barcode data, which is relatively macro—it recognizes it as a product at a certain price and so on—to moving to RFID data, which is much more micro. This is individual item identification, and that can generate a lot of challenges in terms of making that data work within existing retail systems."

Retailers must ensure that their Point of Sale (POS) systems, inventory management software, and analytics platforms can handle this more detailed level of tracking. This may involve upgrading software, improving data infrastructure, and training staff to interpret and act on real-time insights.

Failure to address data integration challenges can lead to inconsistencies, mismatches, and frustration among employees who rely on accurate inventory data for decision-making.

4. Ongoing Management: RFID is a Continuous Process

Unlike traditional barcode systems, RFID requires continuous oversight, adaptation, and staff training. Retailers cannot afford to install RFID readers and tags and then assume everything will run smoothly indefinitely. Processes must be monitored, updated, and refined over time.

To sustain RFID’s value, companies must:

• Regularly audit RFID accuracy to ensure that data collection remains reliable.
• Provide continuous training for employees to understand how to use RFID technology effectively.
• Stay updated on new developments in RFID hardware and software to enhance performance.

Organizations that fail to actively manage their RFID systems risk seeing diminishing returns, as inefficiencies creep in and employees revert to outdated inventory management practices.

Final Thoughts: How Datascan Helps Businesses Maximize RFID Success

Implementing RFID is not simply about installing new technology—it is about transforming the way a business tracks, manages, and optimizes inventory. Without executive buy-in, a well-planned source tagging strategy, effective system integration, and ongoing management, RFID projects can struggle to deliver meaningful results.

Datascan specializes in helping businesses navigate these challenges. With expertise in RFID deployment, inventory tracking, and seamless integration, Datascan works closely with retailers to ensure that RFID implementation is strategic, efficient, and sustainable. By offering tailored solutions, advanced data analytics, and ongoing support, Datascan ensures businesses fully realize RFID’s potential.

Companies looking to leverage RFID must approach it as a long-term investment and ensure they have the right strategies in place for success. With Datascan’s expertise, businesses can achieve greater accuracy, improved efficiency, and enhanced customer experiences—all while staying ahead in a rapidly evolving industry.