Are you exploring how to switch from barcode to RFID for your warehouse management and manufacturing processes? If so, this case study on Tennessee-based manufacturer PMC Biogenix offers a roadmap for making the transition. It details how the company moved beyond the limitations of manual barcode scanning to boost efficiency, accuracy, and its bottom line with an integrated RFID solution.
For many manufacturing and supply chain operations in Tennessee, the familiar barcode solution has been a long-standing tool for inventory management. But as business demands increase, the limitations of manual scanning can lead to inefficiencies, inaccuracies, and rising labor costs. One Tennessee-based global manufacturer, PMC Biogenix, faced this exact challenge and found a powerful solution by upgrading its systems from barcode to RFID.
The Challenge: Manual Processes in a Modern Facility
Located on a sprawling 50-acre campus in Memphis, PMC Biogenix is a leading manufacturer of specialty chemicals derived from renewable resources. With multiple production buildings and a vast array of products, the company’s reliance on manual processes for tracking finished goods was a significant hurdle.
Every morning, employees would spend hours manually counting the products made the previous day and then dedicate even more time to entering that data into their Oracle ERP system. According to Frederick Lee, Manager of Infrastructure at PMC Biogenix, controlling inventory, labor, and quality were “monumental tasks” that needed a modern solution. The company needed a way to automate these key processes to enhance accuracy and optimize operational efficiencies.
What Was the Right RFID Solution?
After assessing the company’s production volume, workflows, and product types, MSM Solutions determined that RFID technology was the ideal fit. RFID offered the speed and mobility needed to keep up with PMC’s fast-paced business.
The implementation involved a robust hardware and software overhaul:
- Hardware: The facility was equipped with over 40 Zebra Fixed RFID readers, ceiling-mounted antennas, and Zebra Handheld RFID Mobile Computers. RFID tags were placed on products, bins, and pallets, allowing items to be read automatically as they passed by a reader.
- RFID Software: At the heart of the system is MSM Solutions’ PortalTrack software. This cloud-based platform gathers data from the RFID readers and seamlessly delivers it to PMC’s Oracle ERP system. PortalTrack provides a real-time view of the warehouse floor, allowing workers to instantly locate products by batch number, expiration date, or other critical data points.
What Was the ROI of RFID for Warehouse Operations and Manufacturing?
The transition to an RFID-powered system delivered remarkable results. “This solution has been a game changer for our business,” said Lee. “The visibility we’ve gained has enabled us to make informed decisions in real-time, so we are always operating at optimal efficiency”.
One of the most significant improvements was in cycle counting. What used to be a multi-day annual event is now a monthly task that takes only a couple of hours. This newfound speed and accuracy have been transformative. The entire system paid for itself in under two years by reducing product write-offs and enhancing quality control.
Ready for all the details? Read the full case study here: https://msmsolutions.com/resource/pmc-biogenix/
Frequently Asked Questions About RFID Implementation
For businesses considering a similar upgrade, here are answers to some common questions.
Can we still use our barcode solution with RFID?
Yes, you can. At PMC Biogenix, while RFID is the primary tracking technology, barcoding remains an integral part of their productivity landscape. The Zebra mobile computing devices used for their monthly cycle counts incorporate both technologies, demonstrating that RFID and barcodes can coexist effectively to create a comprehensive inventory management system.
What is the typical ROI for an RFID warehouse management system?
While results can vary, PMC Biogenix saw a full return on its investment in under 24 months. The ROI was driven by several key factors:
- Reduced labor hours
- Reduced product write-offs.
- Enhanced quality control.
- Reduced inventory levels.
- Faster and more accurate stock counts and shipping verification.
How do we select the right technology that integrates with our current ERP system?
This was a key concern for Frederick Lee, who wasn’t exactly sure how to choose a system that would integrate with their existing Oracle ERP. The solution lies in a capable RFID software platform. MSM Solutions’ PortalTrack software was designed to be the core of the application, gathering data from the hardware and delivering it directly to PMC’s ERP. This allows the company to continuously manage its production and capture critical data like batch numbers, quantities, and timestamps within the system they already use.
Ready to see if an RFID or barcode solution is the right fit for your facility? Contact us today to schedule a facility assessment and take the first step toward optimizing your inventory needs.
