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RFID and the Automotive Industry: Competing at a Higher Level

Innovation is taking place in every area of the industry, and one particular aspect of this innovation is radio frequency identification.
By Andre Gwilliam

Lot Management
When a car has been assembled and is complete, it is moved to a lot where it is kept until it is ready to be shipped. There are occasions when a particular car needs to be located within the lot, which may hold thousands of vehicles. A car that has an RFID tag can be located instantly, should any additional work need to be performed on it, or when it is to be shipped.

But it is not just the supply chain, production and shipping for which RFID can be used—the technology can be utilized throughout the life of the car.

Vehicle Tracking and Verification
Major car manufacturers like BMW and Audi are now using RFID technology to identify and track vehicles. Being able to identify any particular vehicle makes it easier to service it and build a service history.

The technology is also being utilized by used car check providers like HPI to verify information about vehicles. This includes a car's service history' and worth, as well as whether it has ever been involved in an accident or crime.

Other uses include automated car parking access and toll payments, for which a vehicle is only admitted to a car park if its RFID tag is recognized, and for which toll payment transactions are completed automatically. RFID and other innovations ensure that automotive companies are able to compete at a higher level.

Andre Gwilliam is a freelance writer working toward a future aim of running his own writers company. He writes across a variety of subjects that are close to the heart of the U.K. economy, including property, investments, business logistics and market trends. He has been writing for the past three years, having graduated with a degree in English literature and creative writing. Andre is open to collaborations to benefit his growing portfolio.

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