A clothing rack with wooden hangers holding black suit jackets and sweaters

8 min.

11.3.2020

RFID optimizes Samsøe Samsøe's inventory management

GS1 standards and barcodes are spreading far beyond the retail and healthcare sectors.

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Signe Poulsen

Photo:

Internal

At the Danish fashion brand Samsøe Samsøe, the implementation of Radio Frequency Identification (RFID) across the entire business has clearly resulted in long-term resource savings.

At Samsøe Samsøe, Tommy Nimand (CFO) and Christian Ulf Jacobsen (Supply Chain Coordinator) are happy to share their experiences with implementing Radio Frequency Identification (RFID), which now forms the foundation of the brand's entire inventory management.
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What was the deciding factor when you decided to start using RFID?

‍- A trade fair visit in Germany tipped the scales. I experienced how incredibly fast inventory counting is with RFID tags. We went home, did the math, and realized that the time savings alone during our four annual inventory counts would cover the implementation costs. After that, there was nothing left to think about, says Tommy.

During the implementation, however, Samsøe Samsøe encountered several unforeseen issues. For example, RFID tags on glitter socks are difficult to read – metal can be a challenge.

Christian and Tommy take the challenge in stride. You will always run into things like that.

How have the store employees received RFID?

- If the employees don't have a positive experience, they will push back. Basically, RFID tags had to be put on all items – that was challenging. Either the employees could re-tag every single item in every single store and warehouse, or we could decide to apply RFID tags during production alongside the regular barcodes. In just over six months, all items were RFID-tagged. And inventory counting became much faster – that experience sells itself.
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Besides the savings from inventory counting, what other benefits has RFID given you?

- Additional opportunities for extra product security. Currently, about 25% of our stores have sensors above the exits that detect items leaving the store without being sold.

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Improving the customer experience is a driving force at Samsøe Samsøe. How does RFID contribute to this goal?

- RFID is a fundamental premise for the company's digital development. This is because RFID gives us the certainty that we know exactly what we have in stock in real-time – not just in a distribution center and a few stores, but at every location.

It enables better development of customer offerings, improved collaboration across the supply chain, and support for our omnichannel strategy. It is about having no boundaries between different channels – because customers do not want boundaries.

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The broad application of RFID

What does it mean for you to develop based on technology- and solution-provider-neutral standards, such as GS1’s RFID standard?‍

- There are no boundaries in omnichannel retail, and we need open systems to create the best collaborations with customers and suppliers. We get that openness by using GS1 standards. Furthermore, it was an obvious choice, as we were already using identification numbers and barcodes from GS1.

RFID (Radio Frequency Identification) is used in many industries, including animal identification, electronic toll collection, container tracking, smart retail shelves, car keys, and pharmaceutical products. The technology ensures efficiency, faster handling, and improved security in the supply chain.

The technology identifies objects using radio waves – and RFID tags can be read from a much greater distance than a barcode, and without the tag being visible. For example, this means that all items in a logistics unit can be scanned in a single process.

What does it mean for you to develop based on technology- and solution-provider-neutral standards, such as GS1’s RFID standard?‍

- There are no boundaries in omnichannel retail, and we need open systems to create the best collaborations with customers and suppliers. We get that openness by using GS1 standards. Furthermore, it was an obvious choice, as we were already using identification numbers and barcodes from GS1.

RFID (Radio Frequency Identification) is used in many industries, including animal identification, electronic toll collection, container tracking, smart retail shelves, car keys, and pharmaceutical products. The technology ensures efficiency, faster handling, and improved security in the supply chain.

The technology identifies objects using radio waves – and RFID tags can be read from a much greater distance than a barcode, and without the tag being visible. For example, this means that all items in a logistics unit can be scanned in a single process.

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ABOUT SAMSØE SAMSØE

  • Started in 1993, when the Samsøe brothers opened a small shop in their own name in Copenhagen's Latin Quarter.
  • They originally sold only jewelry but quickly expanded to include quality T-shirts and knitwear, primarily for men.
  • In 2000, Peter Sextus and Per-Ulrik Andersen took over and transformed it into an international fashion house.
  • The style is minimalist, affordable, and easily accessible.

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