RFID Talk Blog

RFID takes a bite out of retail theft

Retailers like Walmart and Macy’s have always viewed RFID as a way to increase supply chain visibility and in-store inventory, leading to fewer out-of-stocks and increased sales.

Now retailers are recognizing RFID as a loss prevention solution. In a study produced by the Center for Retail Research, 19.3 percent of retailers saw the main use of RFID as a tool to enhance loss prevention. Another 32 report that the main drivers behind RFID are a combination of improved inventory visibility and enhanced loss prevention. In total, more than half of retailers believe that loss prevention is at least one reason to deploy RFID through their supply chain and store network.

According to the Center for Retail Research, global shrink increased 6.6 percent over the past year to more than $119 billion, a figure that represents 1.45 percent of Global retail sales.

The Center for Retail Research says that dishonest employees were responsible for more than one-third ($41.7 billion ) of shrink. The problem is even greater for retailers in the Americas, where employee theft represents 44 percent of shrink in North America and 42.6 percent in Latin America.

By increasing visibility into the entire retail supply chain, RFID is slowly starting to have an impact on theft, especially at the employee level.

“RFID has always been pretty closely aligned with electronic article surveillance (EAS) because the two technologies look quite alike,” Randy Dunn, sales director at Tyco Retail Solutions, said in a recent webcast hosted by the VICS Item Level RFID Initiative. “What we are seeing with some of the earliest RFID deployments is that there is a potential for RFID and EAS to converge.

“Where retailers are really seeing value today is from the ability to see what’s happening to their inventory and understanding where there is a loss or a problem. By discovering that very quickly they can then react on that information immediately.”

With RFID-enabled shipping containers and even item-level tagging of high value goods, retailers can isolate at which point during the supply chain a product went missing, streamlining the investigatory process. Dunn says that retail employees are becoming aware of this newfound visibility.

“Because of the belief that there is less opportunity to take from their employer and get away with it, the amount of shrink coming from people that handle inventory is actually starting to be reduced quite a bit,” he says. “It’s all because of the ability to see things in the supply chain much more quickly.”

EmailFacebookTwitterShare

windows 7 key generator

windows 7 key generator

windows 7 activation crack

windows7 activation crack

free winrar

free winrar

free winzip

free winzip

winzip activation code

winzip activation code

winzip freeware

winzip freeware

windows 7 product key

windows 7 product key

windows 7 ultimate product key

windows 7 ultimate product key

winrar free

winrar free

winzip free download

winzip free download

winzip free download full version

winzip free download full version

windows xp product key

windows xp product key

free winrar download

free winrar download

windows 7 crack

windows 7 crack

winzip registration code

winzip registration code

winrar free download

winrar free download

download winrar free

download winrar free

winrar download free

winrar download free