Managing corporate assets with RFID

Purpose - The purpose of this paper is to show the benefits to be obtained from radio frequency ID (RFID) for improved asset management and accountability. Design/methodology/approach - Examines the technology's potential for asset management across industry sectors. Findings - Finds that the majority of companies have very little grasp of how inaccurate the asset register can be, believing stored data could only be a maximum of 5 per cent inaccurate. RFID tags allow those responsible for managing fixed assets far greater visibility into the true condition and value of those assets. For example, workers of heavy machinery, such as mechanics and drivers, can gain instant insight to all the machinery parts' maintenance history as well as information on unique identifiers including part numbers, serial numbers and manufacturers' codes. Practical implications - By adopting RFID, scanning can be undertaken by line managers on a regular basis in a matter of minutes, without impacting the organisation's core operations in any way. The tight integration with the full asset history and general ledger ensures unprecedented accuracy and auditability of the entire asset register. Originality/value - Draws attention to the benefits of RFID and the current under-utilisation of this established technology.