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QuikStudy 201: IT Asset Management And Radio Frequency Identification (RFID)

I. What is RFID?
II. Is RFID taking the place of barcoding?
III. Putting RFID in your ITAM program

Radio Frequency Identification (RFID) defined:

Radio Frequency Identification is an auto identification tool that uses a silicon chip with an oscillating circuit to transmit a brief signal to a reader.

RFID has been around for years, but is just starting to gain momentum in the asset tracking/asset management realm. While RFID is fairly new to the ITAM world, it has been used with moderate success at toll plazas and gas stations as a payment method, and in hospitals to track patient care. Up until now, the biggest success with RFID has been in tracking moving objects.

RFID comes in two flavors: passive and active. The passive ID, or tag, gets its power from the radio frequency signal transmitted by the reader. The passive tag tends to have a shorter range and a smaller price tag of $1-2 per tag. Active IDs use a battery operated tag. They tend to have a greater range and come with a higher price tag, sometimes as high as $20 per tag. Tracking systems used to account for toll traffic and other large moving parts typically use active tags.

RFID vs. Barcoding

RFID is considered a technology of the future because it is designed to capture larger amounts of data. It also captures moving data at a greater distance than barcoded inventory at close range. Unfortunately, the cost of RFID makes it prohibitive for many organizations. The more powerful RFID tag can cost up to $20, while barcodes can be purchased for pennies a serving. Depending on your use and purpose, RFID tags can price you right out of the market.

Even if price were not a factor in your decision matrix, the mere fact that RFID technology is unproven in tracking IT Assets, is reason enough to put RFID on your back burner for now. RFID may do a good job counting cars at toll plazas, but up until now, there haven’t been many examples of RFID tracking individual IT Assets within organizations. In IT Asset Management circles, barcoding has had greater exposure and success, mainly due to the ease of implementation, cost, and accuracy in data collection.

Fitting RFID into your ITAM program

We recommend taking the following steps in preparing an IT Asset Management program. You’ll see where RFID can fit into a typical ITAM plan.

>>Perform an assessment of the organization's goals for asset management
Includes interviews with key personnel and other organizational stakeholders. Document and share your goals.

>>Determine specifics of data to be collected
The documented goals of your assessment will aid you in determining the parameters of your data collected.

>>Analyze the equipment lifecycle
Determine how equipment data will be kept accurate from initial purchase through retirement. Identify all the business processes required to maintain data integrity.

>>Assess the quality of existing data soures
If there is already a program in place, determine the quality and usefulness of asset data. Consider a physical inventory audit for an accurate baseline.

>>Choose barcoding or RFID technology
Scan technology will assist you with your asset management program to pdate every change in the asset lifecycle

>>Evaluate and select software tools based on documented goals
Typically, the evaluation and selection includes asset repository and configuration scanning software.

>>Prepare a detailed report of findings and recommendations
Includes a go-forward strategy for processes, tools, and people.

Whether you’re thinking about RFID for your future IT Asset Management program, or simply making a decision about your asset tracking or asset management solution, we recommend you start with a step-by-step plan. If you’d like more information about RFID or would like assistance outlining your Asset Management program, call James Tremblay at 603-863-4719. If it’s easier, email Jim Tremblay atJamesTremblay@TekMethods.com.

TekMethods, LLC is an independent provider of IT Asset Management services based in Tampa, FL. TekMethods is a women/minority business enterprise and a member of BusinessDiversity.com. Visit www.TekMethods.com.

Resources consulted in preparation of QuikStudy201:
-www.gartner.com
-www.cnet.com