Reading Time: minutes

With the boom of industrial real estate, warehouse management has increasingly become more complex over the years. The onset of the pandemic in 2020 posed new challenges for various industries. Still, it has also unlocked new opportunities for the e-commerce and manufacturing sectors to innovate and be positioned for digital transformation.

The rapid progression of the Internet of Things (IoT), automation, and increasing adoption of emerging technologies in warehouse management are paving a sure path towards business resiliency, enabling organizations to keep pace with evolving business demands.

One warehouse technology set to propel warehouse management systems forward is the Radio Frequency Identification (RFID) technology. It is currently driving warehouse efficiency, productivity, and fast movement.

What is RFID?

RFID is not a new trend in technology, but has been around and developed for decades. Its full potential and value are only recognized today due to the slow adoption and high installation cost in the past. This technology works through radio waves that are used in identifying and monitoring inventory.

As a type of auto-identification technology, products and assets are attached with an RFID tag containing a unique set of serial numbers. This allows them to be easily tracked through different warehouse processes using an RFID reading device.

RFID tags are categorized as active or passive. Active tags have built-in batteries, which enable them to continuously broadcast signals at a more extended range, accurately providing the real-time location of products and assets.

The more economical passive tags, commonly used in an industrial environment, don’t have an internal power source but draw it from the RFID reader’s transmitted electromagnetic energy.

Advantages of RFID in Industrial Real Estate

RFID streamlines supply chain management and inventory processes, further maximizing a modern warehouse’s capability for optimized storage and distribution. There are several significant benefits that RFID technology can contribute to the innovation of the warehousing industry and the success of businesses in this fast-paced digital world.

Real-time Access to Accurate Data

An RFID tag’s unique serial number can be programmed to contain specific data, such as inventory status, length of time in storage, and essential operational information. These massive and detailed datasets can be easily modified at process checkpoints. With this accuracy and timeliness, repetitive manual processes and other operational inefficiencies can be avoided. Using this data, warehouse operators can also analyze internal patterns and create process improvements accordingly.

Reliable Inventory Tracking 

Data logging and collation are automated in RFID technology, reducing the need for manual intervention and minimizing human error in inventory audits. Provided with a comprehensive and real-time overview of available stocks and their location, warehouse managers can maximize the facilities’ floor space and optimize warehouse organization.

Improved Goods Entry, Receipt, and Distribution

Simultaneous receipt of goods from various suppliers is possible with RFID. Specific serial numbers can be assigned to different products and assets, improving the visibility of stocks and the inbound/outbound processes.

RFID Growth in the Future

According to IDTechEx Research, the RFID market will be worth $13.4 billion by 2022. The dynamic combination of warehouse management systems and emerging technologies, like RFID, are cutting-edge solutions for enterprises to succeed in competitive and ever-changing environments. 

With the ability to boost productivity and efficiency, improve labor management, and streamline the overall warehouse operations, RFID is beyond value-added technology but a necessary step towards the future.


KMC offers reliable and in-depth insight into the industrial and logistics real estate market to keep abreast with technological trends. Discover modern warehouses and industrial lots for lease or sale today, reach out to Ram Puno at (+63) 917-512-2289. For inquiries and more information, call us at (+63) 2-8403-5519 or send an email to [email protected].