Wellbeing of the Internet of Things
The Internet of Things has progressed from the union of microelectromechanical systems, wireless technologies, microservices, and the Internet. This convergence has helped to break down the silo walls between operational technology and information technology, allowing unstructured machine-generated data to analyze insights that drive improvements. The IoT is simple: it is about connecting devices over the Internet, allowing them to talk to us, with applications, and with each other.
In recent years, much has been said about the sensors, cameras and other devices that will be exponentially connected in the Internet of Things (IoT). And, the enormous amount of revenue potential in terms of trillions of dollars of economic value that is thought to emerge from it. Although the future of IoT can be exciting, much of the industry’s messaging has gone by the wayside to people who don’t understand anything about IoT. And these people operate plants, companies and businesses and are also responsible for the implementation of the IoT-based solutions. Investors are wondering when looking at the state and thinking about what is really real, and what is the exaggerated vision of the future of IoT-based industries in the near future.
Over the past few years, organizations around the world have begun to show interest in IoT technology. Conventional industrial organizations are succeeding in disrupting outdated manufacturing processes. Furthermore, the full range of young innovative startups are redefining old notions and assumptions. It ensures that the advantages of IoT technology will not take it far from the current scenario. It is being implemented now on the fly.
According to reports, at the end of the year 2008, the number of ‘things’ connected to the Internet more than just people as Internet users. And it is predicted that by the end of the year 2020, the count will increase a lot. The number of things directly connected to the Internet will reach approximately 50 billion. The overall gains as a result of this rapid move are estimated to be around $19 trillion. The era will see huge cost savings coming from IoT over the next decade.
The concept of connected homes will become a major factor in the Internet of Things. Academics say that by the end of 2019, companies can bring about 1.9 billion Internet-connected home devices to market. This will add around $490 billion to its revenue. Tech giants like Google and Samsung are already known players in the market. Google made a successful deal to buy smart thermostat maker Nest Labs for $3.2 billion in 2015. And Samsung acquired IoT firm SmartThings for a $200 million deal.
Currently, we have very few smart devices that are used in our daily lives. Many of the smart IoT devices are virtually unused in our homes or phones. Most smart technologies and IoT devices are used in factories, corporations, and healthcare organizations. However, the study reveals that by the end of the year 2025, the value of global use of IoT technology will rise to $6.2 trillion. And the health care industry will share the highest percentage. The healthcare industry is estimated to contribute around $2.5 trillion and the manufacturing industry will generate approximately $2.3 trillion.
Wondering how these tech companies will get on the move and get started on the IoT journey? The research says that the fundamental idea should be to start from a small and defined project that enhances competition and productivity in currently existing processes. Numerous organizations small and large have taken steps to get on the IoT trend and have been successful along the way.
Here are some tips that will be helpful in taking a company on the IoT journey.
• Connected businesses
Consider the iconic American motorcycle manufacturer Harley Davidson. It is revealed that just by connecting the major operations and equipment in its production process into one of its networks, Harley-Davidson increased its productivity by approximately 80%. It has reduced its make-to-order cycle time from 18 months to just two weeks, thus increasing its overall profit by almost 3%-4%.
• Remote access
An Indian dairy company began watching its ice cream parlor freezers from remote access and issued alerts during malfunctions, such as power outages. The company analyzed and concluded that within one month it had a refund and a return five times higher than its actual investment in a 13-month period.
• Predictive analysis
Telecommunications giant Cisco used energy analysis software and sensors in its industrial plants and reduced its energy consumption by 15-20%.
• Predictive protection
Rio Tinto, a global mining company, uses sensors to monitor the condition of its vehicles, detect maintenance requirements early, before it becomes a problem, and manages to save $2 million a day if it is avoided a breakdown.
The opportunities offered by IoT in various domains are:
• New business opportunities and sources of income
The IoT ensures associated connected operations. For example, consider vertical 3D printing. These are customization and mass customization of every possible aspect of the business.
• New business models
The IoT enables equipment manufacturing companies to employ service-oriented business models. Manufacturing companies like Fanuc, the Japanese industrial equipment maker, can offer remote monitoring, analytics, and predictive maintenance services at much lower costs and reduced uptime by collecting data from devices that are installed at their customer’s site.
• New business structures
In most mainstream industries, consumers have typically opted for a single vendor for a complete end-to-end solution using proprietary and gated technologies. But, today, IoT offers features like flexibility, cost effectiveness, and less time to market. And these benefits are driving a tremendous shift toward business models based on open technology. Consequently, each participant offers the best capabilities to enable a complete IoT solution for their potential consumers.
• New value propositions for consumers
The IoT is helping companies to offer new highly relevant experiences to their customers. They are providing much faster and more accurate solutions than ever before. Think of the increasing number of holiday gift orders being placed through online shopping just around an event like “Black Monday.” The IoT is accelerating the pace of the entire fulfillment process, from placing an order to delivering.
Connected robots and radio frequency identification tags in storage rooms increase the speed of picking and packing requested items more accurately. Real-time preventative maintenance systems help get delivery carts filled and running. Sensors like telematics sensors help track temperature and humidity throughout the process. Thus, you can track your order at any time until it reaches your door, manage the on-time delivery of your ordered products, and also make sure that the items reach you in perfect condition.
The bottom line
Adapting to technology or what we call the Internet of Things is not just a matter of money, thing or place. It is a great transition from the traditional approach to life. The trend of modernizing the world towards smart technology and IoT concept will bring opportunities for launching new products and new services in the market. The Internet of Things is predicted to be one of the biggest technology trends of all time. Technology will give a great scope and opportunity in the coming years.