With an RFID reader, users can scan an area or items to read the information that is stored on nearby RFID tags.
RFID Tag
- Also called a transponder
- Contains a microchip and an antenna
- Stores data (like an asset ID or product info)
- Three types: Passive, Semi-passive, Active


RFID Reader
- Also called an interrogator.
- Uses radio signals and antennas to detect tags.
- Captures data from tags and transmits to a computer system.

Antenna
- Enables communication between tags and readers.
Comparing Types of RFID Tags
Most RFID systems will use one of three types of tags. Each of them has benefits and constraints, so how do you know which type you need? The descriptions below have the details of each type of tag and the scenarios they best fit.
Passive Tags
These types of tags have no internal power source and are powered instead by the reader’s radio frequency field. They only activate with the reader’s signal. Passive tags work best when real-time tracking is not a priority.
- Inventory Management – retail, libraries, pharmaceuticals
- Asset Tracking – IT or office equipment, secure or sensitive assets, office furniture, tools
- Access Control – ID badges, event management, transportation
- Supply Chain & Logistics – pallet and case tracking, shipping & receiving
- Document and File Tracking – law firms, government, banks
- Theft Prevention – retail loss prevention or Electronic Article Surveillance (EAS) systems
- Patient and Medication Safety – hospital wristbands, medication tracking

Semi-passive Tags
These tags do have an internal power source, usually a battery. However, they also only activate with the reader’s signal. Semi-passive tags are best when a longer range or better performance is needed, but real-time tracking is not.
- Tracking temperature-sensitive products (vaccines, fresh food)
- Logistics and supply chains where longer range and better accuracy are needed
- Monitoring sensitive equipment that requires environmental tracking but not real-time GPS
- Inventory in high-interference zones (metal shelves, liquids)

Active Tags
These types of tags also have an internal power source and emit stronger signals. They are constantly broadcasting their information regardless of whether there is a reader in the area. Active tags offer real-time tracking where additional capabilities or monitoring is critical.
- Asset Tracking – vehicle fleets, shipping containers, aircraft parts and equipment
- Personnel Tracking and Safety – oil rigs, mines, hazardous areas, hospitals, prisons and security zones
- Manufacturing and Industrial Automation – Large equipment tracking, process controls
- Security and Access Control – Long-range gate access, military and government facilities
- Cold Chain and Environmental Monitoring – temperature sensitive goods, pharmaceuticals, food, vaccines
- IT and Data Center Asset Management – monitor high value IT assets

