Exploring the Diverse Applications of Random Number Generators (RNG) in Business Organizations

Matheen Haneef in Business Technology Mar 25 / 1 month ago

In various situations, business firms have to generate random numbers to facilitate their operations. A random number generator (RNG) is effective in generating different numbers and it can be used for various applications in business.

An RNG tool is useful to create unique employee IDs, product identification numbers, customer or market segments, passwords, ensure quality control, proper task allocation, and many other vital aspects.

Key Takeaways

Understand the diverse applications of random number generators in business organizations.
Learn the key benefits and examples of random number generation in business firms.
A step-by-step process of using a random number generator.

Applications of an RNG Tool in Business Firms

01. Employee Management

Having a unique employee number for the employee ID is a prominent aspect of employee identification and management. Businesses have to ensure providing unique employee IDs and an RNG tool is helpful in this aspect. It also generates random unique numbers within the selected range.

For example, a business has 70 employees and needs unique employee numbers in 4 digits. They select the lower limit as 1111 and the upper limit as 9999. The generated result for 70 employees is as follows:

4065, 5811, 9499, 6509, 9311, 6784, 1713, 3780, 5996, 6976, 2030, 9023, 6228, 5205, 9602, 2898, 3173, 9624, 7039, 3256, 5396, 6793, 3752, 6145, 6300, 2438, 6543, 8787, 7330, 7090, 3607, 2076, 2541, 5865, 8886, 7565, 9887, 6772, 5759, 5312, 8024, 7375, 2287, 7847, 6230, 8561, 5016, 9879, 8363, 6578, 9182, 5422, 8415, 5618, 1224, 1975, 7960, 2892, 4619, 3713, 3271, 2279, 3605, 6916, 8924, 4496, 5326, 8930, 2429, 2319

This way the business can ensure that every employee has a unique employee number. This is important to easily identify employee names and perform HR, payroll, attendance tracking, and other job-related tasks.

02. Product Identification and Traceability

A. Random serial number generation in manufacturing firm

In order to trace and identify the products in a manufacturing firm, a random serial number can be helpful. This serial number is generated easily by using an RNG. In the manufacturing process, this is a vital factor where a serial number could be helpful to quickly trace the product.

For example, a reputed car manufacturing firm produces 10 cars per day and uses a 6-digit serial number ranging from 000001 to 999999. The random serial numbers generated for ten cars manufactured in the firm are:

667984, 309636, 711910, 800764, 786692, 882468, 792894 766312, 226939, 438926

This result is for 10 cars produced a day. Hence it is a repetitive task, the firm uses the RNG tool to diversify the range to generate unique serial numbers to prevent repeat entries.

B. Importance for inventory management and counterfeit prevention

Inventory management involves proper storing, inventory stock checks, reordering at a certain level, and many other tasks. To properly manage the inventory and avoid counterfeit data, it is necessary to have inventory tracking numbers. It’s like a code to track certain inventory to check their stock level, pricing, and more.

For example, a retail firm has three different product categories that have different inventory codes. The following example of codes in each category shows the essentiality of an RNG tool for inventory management.

Grocery Products – Start as GP and range from 100 – 200
Electronic Goods – Start as EG and range from 001 – 099
Clothing Stuff – Start as CS and range from 111 – 999

Some random numbers for certain product categories:

Grocery Products - GP187, GP180, GP102, GP122, GP177, GP116, GP181, GP130
Electronic Goods - EG 77, EG74, EG85, EG55, EG47, EG50, EG17, EG48, EG15
Clothing Stuff - CS538, CS578, CS286, CS959, CS762, CS374

Each code has a unique inventory value and updating the code for a specific value in the system can be helpful to trace the specific inventory at no time. This is crucial for proper inventory management.

03. Customer Segmentation

RNG tool is helpful to segment customers based on their demography, purchasing behavior, and so on. This can help identify which customers fall under which category and help target marketing campaigns and personalized communication.

For example, a business has 8 different customers with a random number as:

Customer A – 0.576
Customer B – 0.366
Customer C – 0.278
Customer D – 0.877
Customer E – 0.629
Customer F – 0.187
Customer G – 0.456
Customer H – 0.911

Also, the company divides the customer segments from 0 to 1 into equal segments known as:

Segment 01 – 0 to 0.333 (High Spending Customers)
Segment 02 – 0.334 to 0.666 (Medium Spending Customers)
Segment 03 – 0.667 to 1 (Low Spending Customers)

Based on the assigned random numbers for the customers according to their purchasing behavior, the customer segmentation is identified as:

Segment 01 – Customer C and F
Segment 02 – Customer A, B, E, and G
Segment 03 – Customer D and H

This customer segmentation helps identify customer types and the business can easily perform marketing stuff relevant to the segment. An RNG tool is so beneficial to perform this task for a huge number of customers in an organization.

04. Task Allocation

In organizations, a fair distribution of tasks or workload is necessary to treat employees better. When some workers are offered heavy workloads while others are not, this can be viewed as partiality and lead to more employee turnovers.

An RNG tool can be effectively used to allocate work order tasks among employees fairly. By generating random numbers for work tasks, senior managers can plan and allocate relevant tasks to relevant groups with appropriate numbers.

Let’s look at the following example to comprehend this clearly:

A construction company currently involved in a medium-sized dwelling project for their client, categorized the work tasks as follows:

Employee Group 01 – Construction workers who are involved in building the structure. Total tasks 220
Employee Group 02 – Workers in the MEP installation section. Total tasks 200
Employee Group 03 – Workers in the Decoration and Interior Design section. Total tasks 100
Employee Group 04 – Engineers, Project Manager, and Commissioning Inspectors. Total tasks range between 75

Based on the task ranges the employee groups have been allocated work tasks fairly among the workers. Here is how it works.

Group 01: There are 15 workers and their tasks range between 10 – 20. The random number of tasks for all individual workers is: 19, 12, 17, 18, 10, 13, 11, 16, 14, 19, 18, 17, 10, 13, 15

Here the work tasks are allocated randomly based on the toughness of individual tasks. So, the equality and fairness are maintained.

Groups 02, 03, and 04 are allocated tasks randomly same as the first one which maintains integrity and fairness. It helps boost employee productivity and leads to a positive working culture.

05. Quality Control Processes: Random Sampling for Quality Control Inspections

In manufacturing firms, quality control processes are vital. An RNG tool is helpful for randomly selecting and inspecting product samples. This approach can effectively address quality drawbacks and reduce defective product supply to the customers.

The following example of a soft drink manufacturing company explains this concept well. The company produces approx. 500 soft drink bottles per day and random sample selection for quality inspection is done as follows:

The soft drink bottles are given series numbers 1-500 and use a random number generator to select 5% of the total products for quality inspection. So, 25 products are checked daily and the random series numbers selected for a particular day are as:

Lower Limit – 01
Upper Limit – 500
Random Numbers Required – 25

Result: 91, 487, 298, 259, 417, 195, 53, 52, 318, 47, 115, 71, 352, 262, 96, 73, 130, 108, 241, 388, 116, 97, 277, 418, 233

So, these 25 soft drink bottles are selected randomly for quality inspection without any bias. This process repeats every day and based on the random numbers generated, the soft drink bottles are checked.

This can ensure a proper quality inspection of soft drink bottles based on the series number randomly selected. It is impossible to inspect all bottles every day. So, the company uses an RNG to perform their quality checks based on the random series number generated.

06. Asset Tagging

Every organization is equipped with a different set of asset lists. It includes machinery, MEP assets like chillers, water pumps, generators, and many other systems. Asset tagging is the process of giving a unique identification number to a particular asset which is helpful to trace and identify specific asset-related information.

This is crucial for conducting facility maintenance-related tasks, implementing automation, etc. Let’s see an example to understand this clearly:

A company has different assets in its organization and plans on implementing unique asset codes to track and perform asset status and maintenance. They started with the HVAC fan coil units (FCUs) which are available in 42 in numbers.

Some random numbers generated for the FCU asset code are:

FCU-9918
FCU-4901
FCU-5038
FCU-5311
FCU-5223
FCU-2491
FCU-1163
FCU-9344

These are some random unique numbers generated for FCUs and a total of 42 unique numbers generated for specific asset codes to FCUs. Also, the company uses the RNG tool to create unique asset codes for all assets available in the organization which helps them easily track and progress maintenance and related asset management duties.

07. Incentive Programs and Rewards

Business firms offer frequent rewards and incentives to their employees. When offering rewards, they should choose participants randomly without bias or favoritism. Since an RNG tool can generate random numbers effectively, organizations can utilize the tool to offer incentives and rewards.

Let’s look at the following example:

A company plans to offer $1000 Amazon gift card vouchers to a set of employees as a reward. This reward is offered to the outstanding performers in the manufacturing division. 200 employees are working in this section and the company only offers 25 gift cards.

50 employees performed well in the last quarter and 25 employees were selected randomly. The gift cards were given random numbers and based on the matching number of employee IDs the rewards were given.

08. Password Generation

Generating strong passwords is crucial for data protection. A business should use a robust password to protect their sensitive information from cyber threats. An RNG tool can provide different numbers that can be mixed with letters to generate a strong password.

For example, a company is required to provide multiple passwords as user credentials for employee login to the company’s system dashboard. They used the RNG tool to generate 5-digit number passwords for 10 different employees. These numbers were mixed with the employees' initials and hyphens.

Alexander Johnson – Aj@24580
Emily Thompson – ET#98664
Benjamin Parker – BP$12485
Olivia Roberts – OR-74587
Ethan Harrison – EH*66732
Sophia Mitchell – SM@88021
William Davis – WD*01204
Ava Campbell – AC$68440
Matthew Brooks – MB#72188
Charlotte Edwards – CE*33342

This approach can provide fewer chances for cyber criminals to breach the company's data. Employees can feel safe regarding their sensitive and work-related information stored in their personal office computers.

A step-by-step guide to using an RNG

In order to use the Random Number Generator at Smart Tools AI, you have to first visit the page and you will see the following dashboard:

Lower Limit – Select the lower limit of the numbers
Upper Limit – Select the upper limit of the numbers
Numbers – select how many random numbers you need to generate
Once you enter the details, choose the type of result you want to generate. Choose between Integral and Decimal.
Finally, click “Generate Numbers” to get the result

The process is so simple and you can use this tool to generate as many numbers as you want and as many times as you want.

Conclusion

In business firms, generating random numbers is inevitable. There are multiple applications in an organization that mandate the need for random number generation. An RNG tool is efficient in quickly generating random numbers and it ensures that the numbers are not repeated in the selected range.

Various business applications benefit from random number generation. They can be effective employee management, quality control in manufacturing firms, strong password management, fair offering of incentives and rewards without bias, inventory management, asset tagging, and many more.

FAQ

Q1: How to generate random numbers?

A1: To generate random numbers, you can utilize the RNG tool. It will help generate random numbers quickly that don’t repeat.

Q2: What are the uses of an RNG tool in business operations?

A2: In many business areas, generating random numbers is necessary such as providing unique employee IDs, creating strong passwords, unique product identification, quality control, asset tagging, and many more.

Q3: How to use the RNG tool?

A3: By following the steps carefully, you can use the RNG tool to fulfill your purpose. For each business application, the type of result varies. As per your requirement choose between integral and decimal numbers to be generated.