RFID has been used in a number of practical applications in various industries, such as improving supply chain management, tracking household pets, accessing office buildings, and speeding up toll collection on roadways. RFID is used to automatically identify people, objects, and animals using short range radio technology to communicate digital information between a stationary location (reader) and a movable object (tag). RFID provides real-time inventory visibility with less effort. RFID readers designed specifically for enterprise automation applications track inventory on the shop floor, warehouse to distribution. It provides us the real-time inventory information that provides the data needed to improve production planning and delivery management.RFID also has several medical uses including tracking of newborns in hospitals, storing information on surgical patients and procedures, and tracking medical equipment.