Every retail supply chain runs on returnable packaging. Euro containers, crates and pallets carry goods through the chain and are then returned for reuse. When nobody records these movements, containers go missing and transport planning depends on guesswork. RFID tracking replaces the guesswork with a record of every container at every stage of its cycle.
Why returnable containers are hard to manage
A returnable container does not stay in one place. It moves from a supplier to a distribution centre, from the centre to a branch, and back again. Each handover is a point where the container can disappear from the records.
Manual records struggle to keep up with this movement. As a result, a company may not know how many containers it owns, where they are, or how long they stay at each site.
What a returnable asset identifier is
In GS1 terms, these containers are returnable transport items, and the GS1 standards include an identifier for them. According to GS1 UK, the Global Returnable Asset Identifier (GRAI) identifies returnable or reusable assets that move through the supply chain.
A GRAI has up to 30 characters. It contains the GS1 Company Prefix, an asset type, a check digit and an optional serial number. The serial number distinguishes individual items of the same type, for example specific containers.
GS1 UK also explains when to use the GRAI. If an item is reused and moves between organisations, such as pallets or crates, the GRAI is the right choice.
How RFID turns an identifier into data
An identifier only becomes useful when somebody reads it. GS1 UK states that a GRAI can be carried in a barcode or in an EPC/RFID tag. Each scan then supports the capture of events such as dispatch, return or maintenance.
RFID removes the need to scan each container by hand. In the RFID system that Etisoft supplies, each Euro container or pallet carries its own identifier in an RFID tag. Readers at loading docks and at warehouse entrances and exits read the tags automatically. They need no visual or physical contact with the container.
What the system records
Etisoft describes the data that its system collects for each container:
- the current position of the container,
- the history and direction of its movement,
- the time it spends in specific locations.
From this data, the system performs routine processes automatically. It registers the release and collection of containers and checks the available stock in the warehouse. It also monitors the life cycle and rotation of each container and generates billing documents.
What changes for retailers and suppliers
The first change is visibility of losses. With automatic registration, a company can locate lost containers quickly instead of writing them off. According to Etisoft, full control over circulation eliminates losses caused by lost containers.
The second change is planning. Data on container availability makes it easier to plan internal transport and distribution between branches. Teams can also react quickly to changes.
The third change is asset care. The software records the location, history of use, return dates and maintenance of each container. Based on this data, a company can plan inspections, maintenance and purchases of new containers.
Which parts a system needs
A typical installation for RFID tracking of Euro containers combines five elements. Each container or pallet receives a permanent RFID label with an encoded identification number. RFID printers encode these labels. Fixed antennas and readers at loading docks capture each movement, and portable RFID terminals support picking and inventory.
Software then manages location, return dates and maintenance for every container in the pool.
Etisoft is a manufacturer of labels and Auto-ID systems based in Gliwice, Poland. The company has worked in product marking and automatic identification since 1993.
The practical first step
A retailer or supplier does not need to tag every container on day one. A useful first step is to define which events matter most, for example dispatch to a branch and return to the centre. These two events already help to show where containers stop moving and where the pool loses stock.
