Radio frequency identification (RFID) is a simple concept with enormous implications. Basic components of a RFID System are transponder or tag (information carrier), interrogator (reader and an antenna) and a host (computer).Attach a transponder - a microchip with an antenna - on a can of Coke, a pair of jeans, or a car axle, and your host computer can "see" or "detect" it. No more labor intensive inventory counts.No more lost or misdirected shipments. No more guessing how much material is in the supply chain or how much product is on the store shelves through the use of RFID technology and applied software.