How RFID Labels Benefit the Automotive Industry

BY ALT Technologies | 15th July 2020

RFID (Radio Frequency Identification) has been around for years, but it’s far-reaching benefits are now coming to the fore for automotive engineering and supply chain management.

Automotive plants cater to many complex processes, equipment and system interactions. In order to keep these factories functioning smoothly and competitively, undertaking cost-effective improvements such as RFID technologies will greatly enhance processes for a smarter future.

What Are RFID Labels?

RFID technology is becoming more popular as a way to track and trace products, material flow and assets. In the automotive industry, RFID labels are used to enhance the product identification process. Data from large batches of these labels can be instantly and accurately captured.

To integrate RFIDs in the supply chain an RFID tag can be wrapped in a label. Converting the tags into labels offers the possibility for adding a regular barcode without the need of a second label.

This allows for:

  • maximum efficiency in the production line,
  • data storage from the tag in a database,

Benefits of RFID for Tier 1 Suppliers

As Industry 4.0 continues to develop, OEMs are getting on board with these sophisticated processes to better manage the supply chain. These benefits also expand to Tier 1 suppliers.

Major highlights include:

Increased Efficiency throughout the Supply Chain
The RFID gates or handheld readers reduce manual labor, which increases the speed of production and keeps the parts easily trackable throughout the supply chain. Large quantities of parts are read and documented within milliseconds using RFID.

Enhanced Accuracy of Inventory Scanning

The RFID scanning process reduces the mistakes made compared with tracking inventory manually with the barcode. For example, when someone does several identification checks on one component.

Tracking Item Location
It is easier to track parts using RFID. For example, if a box is left in the wrong location in the warehouse, the box can easily be found when you move an RFID reader device within the range of the tag. This is much more efficient compared to a physical search for lost items.

RFID eliminates the necessity of being in line-of-sight with each separate item barcode, therefore reducing wasted man-hours.

How Does ALT Technologies Provide the Right RFID Label Solutions?

Working with ALT on RFID label solutions means integral engineering support with various options and requirements; from standalone labels to RFID integration into existing barcode labels.

Our extensive knowledge of the automotive requirements also caters to technological advancements in RFID label solutions for challenging environments. Environments such as glass surfaces, electronics, near-liquid and on-metal applications. Developing solutions for difficult-to-adhere-to surfaces, including siliconized substrates, which fulfill all required automotive specifications, is part of our core business. ALT helps find the right label solutions for successful RFID implementation anywhere in the car.

Dealing with the OEM label specifications is part of our day-to-day activities and we know them like no other. We understand the OEM specifications and are aware of any requirement changes. We also comply with the VDA standards, including VDA 5501 which defines RFID container management and VDA 5500 Basic Principles for RFID Application in the Automotive Industry V1.2.

RFID labels on automotive parts provide end-to-end inventory and item tracking solutions for increased accuracy, visibility, and efficiency. ALT Technologies continues to meet these demands and any other customer requirements to secure an effective and innovative future.

If you would like more information on RFID process integration, our label converting solutions or customer-specific engineering processes, please do not hesitate to contact us.





Need Help Finding A Solution?

Back to top