Radio Frequency Identification.
RFID is a system of identifying a small chip with a transmitter/receiver.
Each chip has a unique identification code that is recorded to a recording system through the transmitter/receiver.
The system at its basics records a time and place of a chip. The chip is attached to an item such as a Bath Towel. Therefore we can identify that the chip was at the transmitter/receiver location at a particular point in time. We can then record what activity the item is engaged in at that point in time.
For example chip 1234567 passes the reader at 7.30am 12/08/19. We record that the chip/item (A towel) is being dispatched to customer Blogs. Therefore we now know that customer Blogs has a towel with chip 1234567.
On the 15/08/19 12.33pm chip 1234567 passed through the reader and we then know that it was returned from Customer Blogs and it then was dispatched to the sorting table.
We can then place readers at various points in the production process to measure the movement of the chip. This has the capacity to measure the flow rates and identify any bottle necks.
With the correct software customer Blogs will be able to see that they have item 1234567, when they received it and when they returned it. This is important for Blogs to know and understand inventory levels.