There is a need for a more sophisticated means of managing and tracking the complex movement of goods from place to place throughout a supply chain. Which of the following is one example of a mechanism used to manage and track inventory?

There is a need for a more sophisticated means of managing and tracking the complex movement of goods from place to place throughout a supply chain. Which of the following is one example of a mechanism used to manage and track inventory?

• A. Barcode scanning
• B. Manual counts
• C. Radio-frequency identification (RFID) technology
• D. GPS tracking

Answer: (C)

Automatic identification and data capture that provides real-time visibility across the supply chain is essential for managing inventory. RFID technology uses tags attached to items and readers that can detect multiple tags at once without requiring direct line-of-sight, updating inventory records as goods move through warehouses and across locations. This enables more accurate stock levels, faster receiving and shipping, and less manual counting. Barcode scanning, while common, typically requires scanning items one by one and relies on line-of-sight. Manual counts are slow and prone to error. GPS tracks the location of vehicles or shipments, not the detailed inventory data inside facilities. Because RFID directly supports item-level visibility and bulk reads across the network, it best fits the need for a sophisticated inventory management mechanism.

Automatic identification and data capture that provides real-time visibility across the supply chain is essential for managing inventory. RFID technology uses tags attached to items and readers that can detect multiple tags at once without requiring direct line-of-sight, updating inventory records as goods move through warehouses and across locations. This enables more accurate stock levels, faster receiving and shipping, and less manual counting. Barcode scanning, while common, typically requires scanning items one by one and relies on line-of-sight. Manual counts are slow and prone to error. GPS tracks the location of vehicles or shipments, not the detailed inventory data inside facilities. Because RFID directly supports item-level visibility and bulk reads across the network, it best fits the need for a sophisticated inventory management mechanism.