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Writer's pictureFran Owen

RFID Asset Tracking: A Comprehensive Guide to Active, Passive, and Semi-Passive RFID Systems

Asset tracking is critical in modern supply chain management, offering companies better control over their resources, inventory, and operations.

Radio Frequency Identification (RFID) is an advanced solution that enhances visibility and traceability. RFID systems offer tailored solutions, whether dealing with high-value equipment, warehouse stock, or real-time asset monitoring.


This article explores the core types of RFID – active, passive, and semi-passive – and their key advantages and disadvantages, helping you choose the right system for your needs.


RFID used in a warehouse. Source: https://mapsted.com/blog/rfid-asset-tracking

Table of Contents:


What is RFID?


RFID, or Radio Frequency Identification, is a wireless technology that uses electromagnetic fields to identify and track objects. It consists of tags, readers, and software, where each tag stores information related to an asset. Readers capture this data when it is within range and store the tracking information in easily accessible cloud-based software.


Types of RFID Systems


Active RFID: The Power of Real-Time Tracking


Active RFID tags are battery-powered, allowing them to continuously transmit signals over longer distances, making them ideal for real-time tracking of large or high-value assets.


  • Advantages of Active RFID

    • Long range (up to hundreds of meters)

    • Real-time data transmission

    • Ideal for large-scale, high-value asset monitoring

  • Disadvantages of Active RFID

    • Comparatively expensive to implement and maintain

    • Requires battery replacements every 5 – 7 years

  • Example: FLEX Digital uses active RFID systems to track construction equipment, returnable assets, and transport containers in real time, improving efficiency and security across their projects.


Passive RFID: A Cost-Effective Solution for Smaller Applications


Passive RFID tags don’t have an internal power source and rely on the energy from the RFID reader to transmit information. These are typically used for inventory management, where the items are within 10 meters of the reader.


  • Advantages of Passive RFID

    • Low cost and maintenance

    • Long lifespan due to no battery requirement

    • Suitable for high-volume, low-value asset and inventory tracking

  • Disadvantages of Passive RFID

    • Shorter range (up to 10m)

    • Cannot provide real-time data

  • Example: FLEX Digital implemented passive RFID to track a large volume of materials in their customers’ warehouses, leveraging the technology’s affordability and durability.


Semi-Passive RFID: A Hybrid Option


Semi-passive combines both active and passive tags. These tags are useful when customers have a combination of high-volume, low-value inventory and high-value low-volume assets and seek to track both in one centralised platform.


  • Advantages of Semi-Passive RFID

    • A wholistic view with real-time data capabilities

    • Better return on investment

    • Lower cost than purely active RFID

  • Disadvantages of Semi-Passive RFID

    • Higher cost than purely passive RFID

    • Integration with peer systems is required to achieve maximum benefit.

     

selection of passive RFID tags

Industries Benefiting from Active and Passive RFID Systems


To illustrate, here are examples of how different industries leverage active vs passive RFID solutions:

Industry

Active RFID Use Cases

Passive RFID Use Cases

Healthcare

Tracking patient location, medical equipment, and pharmaceutical supplies in real-time; monitoring environmental conditions for sensitive medicine.

Tracking patient records; asset management for medical devices; preventing loss of mobile medical equipment, as illustrated in a 2016 data centre use case.

Manufacturing & Logistics

Tracking work-in-progress on the factory floor, managing inventory movements, locating assets in large warehouses, and optimising yard management.

Inventory control and tracking of parts materials; supply chain visibility logistics optimisation.

Retail

Improving in-store customer experiences; enhancing loss prevention with real-time product tracking; optimising supply chain visibility.

Self-checkout systems; smart shelves for inventory management; reducing checkout lines.

Transportation & Logistics

Vehicle tracking and fleet management for optimised routes and improved fuel efficiency.

Electronic toll collection; asset tracking for shipping containers; baggage handling at airports.

RFID vs Barcode: Efficiency and Versatility


Barcodes have been the go-to method for inventory management for decades. However, RFID offers several advantages that make it the preferred choice for modern businesses:


  • Speed and Efficiency: RFID systems can read multiple tags at once without needing a direct line of sight, significantly speeding up inventory checks compared to barcode systems.

  • Durability: RFID tags are more durable than barcodes, which can be damaged or worn over time.

  • Security: RFID systems offer more secure tracking, as tags can be encrypted, reducing the risk of counterfeiting.


FLEX Digital has implemented both barcode and RFID systems, depending on the needs of their clients. While historically, barcodes were ideal for low-cost, smaller items, the technological gains achieved with the performance, cost and smaller form factors of RFID tags and equipment returns on investment are achieved thanks to superior speed, accuracy, security, and long-term value quickly.


FAQs about active, passive and semi-passive RFID


What is the main difference between active and passive RFID?


Active RFID tags have an internal battery and offer long-range (100m), real-time tracking. In contrast, passive RFID tags rely on the reader for power and have a shorter range (10m).


Can RFID be used in any environment?


RFID can function in many environments, but certain materials like metal and liquids can interfere with signal transmission. Selecting the correct tag to ensure adequate read performance is critical.


How long do RFID tags last?


Passive RFID tags can last decades as they have no internal power source. Active RFID tags need battery replacements, generally lasting 5 to 7 years.


Is RFID technology secure?


RFID tags can be encrypted, making them more secure than barcodes. However, like any technology, RFID systems should be configured properly to avoid unauthorised access.


How does RFID save time in inventory management?


RFID allows for bulk scanning of multiple items simultaneously, significantly reducing the time needed for manual checks and improving data accuracy. Each item is allocated a unique ID, eliminating double counting and creating item-level verification. It achieves this at a count frequency of 1000 items per second.


Conclusion


When choosing between active, passive, and semi-passive RFID systems, consider the size and value of your assets, the required range, and your budget. Using the correct technology, or a combination thereof, should yield a return within the first year.


RFID technology offers an efficient and versatile solution for asset tracking. Contact FLEX Digital today to learn more.

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