Disclosed is a device and method for tracking one or more instrument in a surgical kit. The method comprises receiving one or more signals from a first set of sensor and activating a second set of sensor based on the one or more signals. Further to activating, the method comprises receiving data from the second set of sensors and computing, a current state associated with each of the instrument based on the data, and historical data. Furthermore, the method comprises transmitting the current state of the surgical kit, the current state associated with each of the instrument and a location co-ordinate of the surgical kit via a communication channel based on a signal strength of the communication channel and deactivating the tracking device, thereby tracking one or more instrument in a surgical kit.