Can intelligent IoT help you to reinvent your enterprise? As virtually everything becomes connected and data proliferates, Industrial Products companies are exploring how the Internet of Things (IoT) can help them to optimize production operations and plant efficiency, improve worker safety and environmental compliance and drive the shift to data-enabled services and customer-centricity.
The IBM Institute for Business Value (IBV) has published a paper exploring the ways Industrial Products companies can streamline product development and reinvent their enterprises with intelligent IoT. According to the paper: Industrial products, intelligent connections, successful CxOs are using IoT and AI technologies to harness real-time insights around their processes and equipment. By applying these insights, they are driving smart manufacturing, increasing operational efficiency and designing new, valuable customer experiences with IBM’s product development solutions.
IBM and Oxford Economics researchers interviewed 271 Industrial Products industry CxOs to examine how they use IoT technologies in their business. The most successful group, the ‘Reinventors’, had a robust IoT strategy and are embracing emerging technologies such as AI. By applying predictive analytics to operational processes and equipment, Industrial Products organizations are fundamentally transforming their enterprises for the better.
Three opportunities for Industrial Products companies
According to the IBV paper, 60% of Industrial Products CxOs see IoT as a substantial component of their reinvention strategy. These CxOs identified three major opportunities arising as a result of IoT technologies:
- Optimize productions operations and plant efficiency
- Improve worker safety and environmental compliance
- Drive the shift to data-enabled services and customer-centricity
By instrumenting factory equipment and assets with connected sensors, Industrial Products companies are able to gather real-time data about how these assets are performing. Furthermore, applying AI-led analytics to this data offers critical insights into the location and cause of potential flaws or faults – which can be dealt with proactively.
An IoT strategy offers moment-to-moment visibility into what’s happening on the factory floor. It also makes it easy to track products, assets, procurement and even people in real-time, to identify and avert possible issues ahead of time.
The customer experience
Beyond the resulting increased uptime and operational efficiency, there are further benefits, including:
- The ability to activate remote monitoring / automation
- The ability to drive innovation and reinvent
- New insights from integrated data sources
- Increased supply chain visibility
- Improved understanding of customer usage
- The ability to pursue new services, businesses and revenue models
The last two points are of particular interest in terms of product and service development. IoT data integrated with other data sources provides new insights that offer an improved understanding of customer usage. The implications are twofold:
First, companies can understand how their customers are using particular products, and have a clearer idea of which aspects of the product are performing well.
Second, by infusing customer experience with data from intelligently connected devices, product engineers can pinpoint and eliminate factors that negatively impact efficiency.
These combined insights pave the way for designing new innovative capabilities and products. By understanding their customers’ needs, Industrial Products companies can design customer-centric experiences and develop new products and services that offer greater satisfaction and value to consumers.
The paper’s main takeaway is that companies with a robust IoT strategy outperform their industry peers both financially and in terms of innovation. This is because when Industrial Products companies become intelligently interconnected, everybody wins.
Employees know their well-being and safety is safeguarded by real-time environment monitoring. Customers get products whose development is based on accurate usage data and designed with their convenience in mind. And companies see reduced operating costs through increased throughput and greater operational efficiency.
How IBM can help
If you’re not sure how to begin your IoT journey, or you’re ready for the next step, we’re here to help. IBM has assisted many clients to accelerate product development, streamline their operations and reinvent their enterprise with IoT technologies.