RFID Tracks Oil and Gas Equipment As It Is Rented and Returned

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Since used RFID technology in gas cylinder , it is reducing labor hours and improving efficiency as it assigns, ships and receives back the rental equipment that its oil and gas customers use. Toptag cooperated d with a solution company to provides millions of RFID cylinder tags for an inventory-counting process that previously took one week and had the potential for errors can now be accomplished within a single hour.

Energy Services is a rental equipment and service provider for the oil and gas industry. Each year, the company provides thousands of pieces of equipment, including separators, phalanges and valves, as well as large items such as trailers used by companies that produce natural gas or crude oil. The firm covers Oklahoma and Texas with a main distribution center, in addition to several satellite locations nearer to the sites where the equipment is used.

After customers place orders, Energy Services can deliver those goods to their sites as needed, or customers can pick up the equipment themselves. These customers consist of oil and gas companies, as well as contractors for those businesses. Goods can often move from one site to another as they are returned from customers, maintained, inspected and made available for another project or customer.

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Tracking each item and its status is a complex task that was performed manually, while inventory-counting checks of all the assets at all sites was carried out at least quarterly. The company must meet the Sarbanes-Oxley Act’s requirement that full physical inventories be counted every quarter and every year, and they must keep track not only of their physical inventory but also the value of those goods on a balance sheet. When the inventory counts are conducted manually, the process is time-consuming, requiring approximately a week of counting and reconciling, and has the potential for errors.

 


Post time: Mar-09-2020