Optimizing Inventory Accuracy Through RFID Audits for Major Beauty Brand

CHALLENGE

A major beauty and cosmetics company required a more accurate and streamlined process for managing their inventory across thousands of stores. After implementing RFID technology in parts of their retail network, they realized that inconsistencies persisted, such as missing RFID tags, damaged products, and incorrect labels. These discrepancies affected the overall accuracy of their stock data and created inefficiencies in store operations. The beauty and cosmetics company approached RGIS to conduct RFID audits to improve accuracy and ensure consistency across their network.

WHY RGIS?

The beauty and cosmetics company chose RGIS based on their strong reputation in the Brazilian market and their proven ability to deliver comprehensive inventory services. RGIS had already been performing inventory counts for them, and the customer was extremely satisfied with the results. The next step was to implement a standardized process for RFID audits to improve stock accuracy after RFID technology was applied.

OUR SOLUTION

RGIS provided a dedicated team to perform daily RFID audits, ensuring the correct application of RFID labels and identifying discrepancies.

Key aspects of the solution included:

• On-site Audits: Auditors visited stores daily, conducting thorough RFID audits by scanning products and identifying discrepancies such as missing or incorrect RFID tags, broken products, or products without labels.
• Real-Time Data Reporting: After completing the audit, RGIS uploaded the collected data to a central Google Sheets file, where a back-office team generated variance reports. These reports were sent to the store team, highlighting inconsistencies and offering recommendations for resolving them.
• Team Mobilization: RGIS auditors used customer-provided RFID collectors and were given transportation ensuring they could cover a wide range of stores.

RESULTS

• Increased Accuracy: The RFID audit process significantly improved the customer’s inventory accuracy, identifying and correcting several issues, such as mislabeled products and broken RFID tags. The company was able to track products more effectively, reducing discrepancies across their stores.
• Customer Satisfaction: The beauty and cosmetics company was highly satisfied with the project, praising the results and the professional approach of the RGIS team. Due to the success of the audits, they plan to expand the project to cover additional regions.
• Ongoing Partnership: The company continues to work with RGIS on various services, including RFID audits, RFID label implementation, and standard inventory services. This ongoing partnership has strengthened the relationship between the two companies.

CONCLUSION

The success of the RFID audit project demonstrated that RFID technology, combined with RGIS’s audit process, can significantly enhance inventory accuracy. The beauty and cosmetics company is now planning to expand the RFID audit service to other regions, with RGIS positioned as a key partner in maintaining their inventory standards.