Tool identification using Balluff Industrial RFID makes incorrect tool allocation or missing tools a thing of the past. All the tool-relevant data are stored without contact on a data carrier embedded in the tool holder. Automatic loading into the system memory means all the data are always correct and up-to-date because the data are continuously updated when the tool is loaded and unloaded. These systems are suitable for industrial use and designed for extreme loads from shock and vibrations and electromagnetic, thermal or chemical effects. The core components of the identification systems BIS are data carriers in miniature design, a read/write head and a processor unit. In complex tool management solutions, they are also used in configuration and measurement devices, where, according to current practice, the first programming of the data carrier with identification and geometric data takes place.