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As retailers strive to implement omnichannel operations and streamline inventory management, RFID technology finds itself in an increasingly important role in helping them achieve their goals. It facilitates immediate, accurate, and automatic identification of items within the supply chain worldwide.
More granularly, RFID focuses on automated checkouts, better supply chain collaboration with CPFR (collaborative planning, forecasting, and replenishment), shelf-stock maintenance, mobility, synchronisation of physical items with system records, and warranty/return authentication.
The last-mentioned capability, i.e., warranty management, is what this article focuses on.
Tracking returned goods under warranty or ones that require testing, servicing, or calibration is challenging, not to mention that such a process is error-prone and time-consuming. Ensuring the accuracy of returning items to the correct customer involves time-intensive administration.
However, leveraging RFID technology and tagging products before sending them out of the manufacturing system means the products are traceable and identifiable whenever a return is initiated. This way, it's easier to confirm the identity of products when returned for repair or service. The approach not only saves costs but also benefits the process of handling returns and counterfeit goods identification.
RFID tags are easy to read, involve low cost, and are simple to use. So, their implementation is feasible for retailers concerned about returns, warranty cases, and their corresponding liabilities. Now, let's explore technology's benefits in more detail.
The retail market relies heavily on the value that customers can derive from their purchases. Here, value is the benefit that a customer is expected to get from their purchase against the cost incurred. Retailers can leverage this concept and add value to purchases through improved service. And this is where RFID provides multiple opportunities.
RFID increases value by providing accurate tracking and tracing from the manufacturing stage to the storage shelf and even thereafter. More profoundly, it:
All of these combine to equip retailers better when it comes to managing warranty claims. Some key benefits of RFID for warranty management are noted below:
Consider QodeNext's IntelliAsset Solution; it arms each manufactured asset with a unique UID Barcode. Mobile computers or RFID scan the code and update the data in the system in real-time, thus reducing manual intervention. As a result, the process of asset management is more accurate and precise.
With automated asset management and the use of RFID/barcodes and scanners, businesses can easily track every single asset moving in the supply chain, thus improving the overall rate of asset utilisation.
From fraudulent warranty claims to counterfeiting, retailers can leverage RFID technology to weed out both problems. By scanning the warranty material with the use of RFID, retailers can quickly distinguish real from fake claims and initiate a faster process of warranty claim validation.
Consider the case with QodeNext's intelliFIELD - a warranty tracking app. It helps engage the field agent with the retailer or dealer for RFID-driven scanning of the warranty material. As soon as that's done, the warranty claim is validated in real-time, and the resulting information is updated in the ERP. This process not only wards off the aforementioned challenges of fraudulent claims but also reduces hassles that the dealers or retailers would otherwise face — also, not to forget the time saved by eliminating the need for manually tracking the warranty.
With warranty tracking, the cost of repair and maintenance reduces significantly. Automated tracking allows manufacturers to know their assets better, which again mitigates the risks of counterfeits and redundancy. Moreover, the automated process improves asset management efficiency and increases the asset lifecycle. As a result, maintenance and repair expenses are controlled.
RFID in retail handles sensitive information and delivers promising results. It improves the accountability of products and services, logistics planning, billing accuracy, distribution strategies, warranty management, returns and replacements management, and much more. It also assists the inventory and shipping partners, warehouses, and customers with better inventory planning and management.
To eliminate frequent challenges like counterfeit products, false warranty claims, and manual warranty tracking, which lead to errors, delays, and hassles for dealer networks and customers, RFID implementation is imperative. It complements quick, holistic, and methodical solutions in real-time to validate warranty claims and deliver credit notes on the spot with instant ERP updates. No doubt, it saves time and costs.
Partner with QodeNext and leverage the capabilities of an array of technologically advanced RFID solutions to deliver seamless services to end users.
