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The Case for Replacing RFID with BLE in Warehouse Inventory Management



RFID has long been a standard technology in warehouse inventory management, due to its bulk scanning capabilities, fast and reliable inventory processing. But a new contender is now challenging the status quo. Bluetooth Low Energy (BLE) is emerging as a cost-effective and versatile alternative, promising to transform how warehouses track and manage inventory. With its lower cost of entry, precise location tracking capabilities, and seamless integration with existing mobile devices, BLE is poised to disrupt the industry and unlock new opportunities.


Introduction - BLE vs RFID For Warehouse Inventory

Radio-frequency identification (RFID) is a mature technology that uses radio waves to identify and track items. While powerful for bulk scanning and long-range asset tracking, RFID's high costs and complex infrastructure can be limiting.

Bluetooth Low Energy (BLE), on the other hand, is a newer technology known for its low power consumption and widespread compatibility with smartphones, tablets and computers. Its affordability, ease of implementation, and ability to provide precise location data are fueling growing interest in BLE as a potential replacement for RFID in warehouse inventory management.

You can use BLE tags for more than inventory tracking. BLE tags are often equipped with additional sensors, such as temperature and humidity sensors, that help you manage perishable inventory and ensure its safety.

BLE warehouse inventory management

RFID For Warehouse Inventory Management - Its Power And Limitations

The Basics Of RFID System

RFID systems consist of three main components: tags, readers (scanners), and inventory management software. These elements work together to automate and streamline inventory tracking processes.

RFID Tags
RFID tags come in two main types: passive and active. Passive tags, the most common type used in warehouse inventory management, rely on energy from the reader to power up and transmit information. Active tags have their own battery, allowing them to broadcast signals over longer distances, making them suitable for tracking high-value assets.

RFID Readers (Scanners)
RFID readers emit radio waves that activate tags and receive information back from them. They come in various forms, including handheld devices for manual scanning, fixed portal readers for scanning items as they pass through a gateway, and mobile sleds attached to forklifts for scanning pallets.

Inventory Management Software
The heart of any RFID system, inventory management software processes data from RFID readers, tracking stock levels, item locations, and movement history. It enables real-time inventory visibility, automates replenishment processes, identifies discrepancies, and generates reports for analysis and optimization.

Pros And Cons Of RFID For Warehouse Inventory Management

RFID inventory management has its pros and cons. RFID enables rapid, simultaneous scanning of multiple items, significantly speeding up inventory tracking and reducing labor costs. Automated data capture minimizes human error, leading to more accurate inventory records.

On the negative side, RFID is quite expensive to implement. You need to invest in tags, readers, and supporting infrastructure. You also cannot use RFID in some environments. For example metal objects can weaken or completely block RFID signal. This can be particularly problematic in warehouses with metal racks, shelves, or equipment.

Liquids, especially those with high water content, can also absorb radio waves and attenuate RFID signals. This is why RFID isn't widely used in environments with a lot of liquids, such as grocery stores with refrigerated or frozen goods.

Another problem can be caused by the tag orientation relative to the reader, which can affect its readability.

The Rise Of BLE Technology In Inventory Management Applications

Bluetooth Low Energy (BLE) is a newer technology that is gaining popularity for inventory management and asset tracking applications.

The Basics OF BLE Based Inventory System

Similar to RFID, BLE inventory management system consists of BLE tags (BLE beacons), readers and a software. BLE beacons broadcast an asset or inventory identifier that is read by the scanner. Unlike RFID, BLE technology is supported by most devices people use in everyday life and for work - smartphones, tablets and laptop computers. This part alone makes BLE-based inventory system much easier and less expensive to implement.

As of now all BLE tags are active, meaning that they have their own battery and constantly advertising their ID regardless of the presence of a scanner. This option produces much better scanning range. BLE scanning range could be around 100 meters in the open space, compared to just a few meters for passive RFID tags. On a flip side it makes BLE tags more expensive. The cost might be mitigated by using existing devices (smartphones or tablets) as scanners operated by employees, or as stationary BLE gateways that do not require employees participation.

Why You May Want To Use BLE Instead Of RFID For Warehouse Inventory Management

Why would you choose BLE inventory management system over RFID? Here are some reasons you may want to do it:

  • Rapid evolution BLE-based inventory management systems are evolving at a fast pace, offering cutting-edge features and functionality that can outpace more established RFID solutions.
  • Smartphone integration Unlike RFID, BLE capabilities are built-in all modern smartphones, tablets and laptops. This eliminates the need to buy costly specialized hardware.
  • Versatility BLE tags aren't just for bulk scanning. They can help you find items on the warehouse shelves fast, making picking process faster and more efficient.
  • Automation You can use Bluetooth IoT gateways, that can be based on iOS or Android devices, to automatically track inventory flow in and out of the warehouse.
  • Leveraging existing hardware Setting up BLE gateways on existing iPads or Android tablets maximizes the use of your current infrastructure and minimizing investment into warehouse management system.
  • Beyond inventory BLE gateways can collect warehouse temperature and humidity data, adding another layer of value to your investment.

If you're looking to upgrade your inventory management system, BLE offers a modern, flexible, and cost-effective solution that can significantly boost your efficiency and bottom line.

Key Considerations for Transitioning to BLE in Warehouse Inventory Management

Making the switch from RFID to BLE involves careful consideration of several factors.

BLE System Cost Analysis

BLE typically has lower initial hardware and software costs compared to RFID. You need to factor in the cost of BLE tags, gateways, mobile devices (if needed), and any necessary software licenses. Decide if you plan to use employees with the smartphones for BLE tags scanning, or stationary gateways.

Keep in mind that employees can use their own smartphones for scanning BLE tags. You can also use an existing infrastructure of iPads or Android tablets as BLE gateways. This might be especially relevant to an automated service trucks inventory system.

Factor in the costs of replacing BLE tags with dead batteries, or replacing batteries if applicable. Normally you will need to do it each 2 to 3 years. Compare these with RFID tag and reader maintenance costs.

Analyze Your Infrastructure

The cost and feasibility of implementing BLE inventory management system depends on your exact needs and current infrastructure. Is it OK for company employees to take inventory using smartphones? Take into account that taking inventory using BLE is much faster than using RFID, or barcodes. One click in the mobile app can detect items tagged with the BLE tags within 50 meters + radius. The only thing that you need to do for larger areas is just move around with the smartphone in your pocket - there is no need to locate or scan individual items.

If using company employees for inventory management tasks is not an option, decide how granular and precise you want items location to be. More precise and granular locations require more BLE gateways. Also keep in mind that you can use existing iPads or Android tablets as stationary BLE gateways for a fully automated tracking system.

Finally, if you have inventory which is sensitive to temperature and humidity, you will need BLE sensors for areas where sensitive inventory is stored. Keep in mind that the same gateways can be used for inventory tracking and temperature / humidity monitoring, which reduces your infrastructure cost.

What Is Your Inventory Management Use Case?

Different use cases may require a different approach. Depending on how many inventory items and assets you plan to track, whether you want a fully automated system or the one where employees scan inventory, how precise you want inventory location to be, and your existing infrastructure. Weight the cost of tags vs costs of scanners. For example, if you have thousands of items to track, and you are OK with employees needing to scan items at a short range, an RFID inventory system may be preferable. For the more robust inventory management system with fewer inventory items BLE is usually a better choice.

Employee Training And New Inventory System Adoption

If you plan to use warehouse workers for scanning inventory in and out, consider how easy it would be for them to adjust to the new system. BLE has a distinct advantage over RFID in this area. An interface in the mobile apps is more user-friendly and intuitive than in dedicated RFID scanners. Plus, your employees are already familiar with their own smartphones that they use every day.

Pilot Inventory Management Project

Before fully committing to BLE, it is always a good idea to do a pilot test in a limited area of your warehouse. A BLE asset tracking test kit gives you this option. You can check how BLE inventory management system will work for you for a month in a production environment with the minimal upfront investment. A test kit includes:

  • 10 BLE tags
  • Either one IoT gateway, or an application that you can install on iPad or Android devices to make a device work as a gateway
  • Access to a cloud inventory management software for a month for up to 3 users
  • One walkthrough session to get you up to speed
  • Technical support for the entire duration of the trial

Contact us if you would like to try out how BLE inventory management will work for you.

Using Bluetooth Low Energy (BLE) To Prevent Loss Of Warehouse Assets - Case Study






PositiveCarry, LLC, a delivery company, was facing a recurring nightmare – the regular loss of their expensive Zebra handheld scanners. A QR Inventory software stepped in, implementing a tailored solution using BLE tags and IoT gateways. The results were astonishing. In the year since implementing an IoT asset tracking, Positive Carry hasn't lost a single scanner.

❱❱ BLE Asset Management - Case Study.

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