While they are still a young technology, radio-frequency identification (RFID) tags are being used more and more as supply chain businesses realize their large number of benefits. Because RFID tags are still among a group of developing labeling trends, they aren't necessarily as well-regulated as other label types.

That's why the board of directors from the Voluntary Interindustry Commerce Solutions Association (VICS) released a list of guidelines for the identification, serialization and placement of electronic product code (EPC)-enabled RFID tags to help move towards universal label compliance among retailers and supplies, according to Modern Materials Handling Magazine.

"The VICS board's decision to adopt the guidelines for tag placement and performance and serialization gives a strong signal to the industry that all trading partners need to move beyond limited trials and consider full fledged rollouts of RFID systems at the item level," Joe Andraski, president and chief executive officer of VICS, told the source. "The improvement in inventory accuracy alone has proven to deliver more than enough to pay for the investment."

He added that the increasing number of standards that are available to help companies go through the process should result in decreased initial expenditures for the systems.

The VICS committee also said that they support the GS1 General Specification that claims brand owners are the proprietors of the serial codes for their products.

Bob Carpenter, president and chief executive officer of GS1 U.S., told the publication that this RFID initiative will have a similarly impactful and lasting effect on EPCs as UPC barcodes did in the 1970s. He said that a "standards-based approach to RFID" will be instrumental in promoting its use throughout various industries seeking to streamline processes and improve customer satisfaction.