Technology

Radio frequency identification (RFID) is based on the use of electronic markers – or tags – that are capable of transmitting their information content from a distance. An RFID tag may hold a variety of data elements, but in most cases it contains at least a unique identification code for the tagged object.
RFID technology can be considered as an extension of automatic identification based on barcodes, but it differentiates itself through both performance and diversity of its applications. Its advantages consist in a larger reading distance, a higher storage capacity, no need for a direct line-of-sight between tag and reader, and the potential for complete automation of the concerned processes.

Tag

An RFID tag is composed of an electronic data storage system that is able to record a certain amount of data, as well as of an antenna to receive and transmit radio frequency signals. Active tags – as opposed to passive tags – additionally include their own source of energy. Increasingly miniaturized, the tags come in many different shapes. Some are even thin enough to be embedded within a single sheet of paper, leading to what is also known as "smart labels".

Reader

RFID readers are transceivers designed for radio communication with tags of a compatible type. The radio waves that the reader emits and that the tag's antenna receives contain enough energy to activate the tag. Once activated, it is able to initiate communication with the reader and transmit its data, all of this in a tiny fraction of a second. Some very compact readers are small enough to be embedded in mobile phones or in a computer mouse, for example.

Middleware

The management of numerous RFID readers as well as of the data they generate usually requires a special intermediate software layer known as middleware. Middleware provides transparent control over all readers connected to the network. It is also in charge of routing and filtering the flow of reader-generated data in such a way that only relevant operational information is passed on to the organization's higher-level enterprise management software.

Applications

Once filtered by the middleware layer, information produced by the RFID readers is ready to be processed by the enterprise's management applications. All main enterprise resource planning software editors such as SAP or Oracle already offer RFID connectivity options.