RFID is a basic term used for describing a system transmitting the identity of services and products through radio waves. It is among the most recent and most reliable automatic recognition innovations. The main purpose of RFID innovation is to enable data to be transmitted by any portable gadget generally described as a tag, which is read by an RFID reader then processed as needed by the application. It has acquired worldwide attention given that it can be used to track moving items with accuracy.

The typical RFID tag has actually a microchip connected to a radio antenna that is installed on a substrate. Each chip can accumulate to 2 kilobytes of data. The data stored can be obtained by a reader, which has its own antennas giving off radio waves that then receive signals back from the tag. The info got by the reader is transferred to the host computer in digital kind. The host computer system uses this info in numerous ways. Their biggest applications are in the field of property tracking and for supply chain mangement.

RFID Technology eases the procedure of automatic data catching and brings several advantages to applications where it is used:

Though costly, they last longer and provide value for loan with higher data storage capacity
There are no positioning issues with an RFID tag, they can be positioned anywhere and do not even need a line-of-sight to be scanned.
RFID tags are more robust and secure that can operate in severe environments and difficult environments
They help to minimize misplacement of products since they become easier to trace.
They enhance product visibility which helps with operations
The info kept on the RFID tag can be constantly and repeatedly updated
RFID tags have a longer read range and for that reason make more sense on the factory floor where they can be scanned from forklifts and scanners at a distance
They help to minimize human mistakes
It is hard to duplicate an RFID tag while other recognition approaches are easier to copy.
RFID innovation has been constantly evolving for the last fifty years. Regardless of all its advantages, one reason it has taken time to be made an application for applications is the lack of standards in the market. Furthermore, reader and tag accident are other problems faced in RFID applications. Reader collision takes place when the signals from 2 or more readers overlap, and the tag is not equipped to react to two or more inquiries at the same time. Tag collision takes place when there are too many tags within a small area. Nevertheless, these can be quickly avoided to gain the host of other benefits provided by this technology.