Internet of Things in Everyday Business

The wave of Internet of Things (IoT) is not going to stop anytime soon. We are actually seeing an increase in the number of applications of IoT in different fields: health care, education, military, environment, etc.

 

Most of the IoT applications that we have discussed before focus on the consumers’ individual needs, today we want to continue to explore the potential business applications of IoT and how that could affect the electronic industry.

 

Much of the discussion today around IoT is focusing on wearables and smart appliances, however; some big business organizations have deployed complex IoT networks internally and have already seen positive results:

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  Coco-cola saved $2 million in capital costs and improved their order accuracy to 99.8% by installing a Voice Over Internet Protocol (VoIP) system in their facilities.

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  BC Hydro in Canada installed smart meters and smart grids across its service network, resulting in $554 million savings in meter reading and self-service tools.

 

We are not only seeing this benefit in large corporations, small businesses and start-ups are also advancing from IoT due to innovative technology and an increase in Internet connections. For example,Valarm, a start up that focuses on specialized monitoring systems, discovered that they can use out-dated smartphones as mobile sensors to help vineyards detect freezes. This application reduces the cost of sensor networks to about one tenth, which helps smaller vineyards afford a sensor network.

The benefit of IoT to business is not limited to streamlining operations and internal processes. The connectivity brought by IoT also extends the competition, from individual product features to business services.  In a connected world, products are no longer one-and-done, IoT could update with new features and functionalities on a regular basis. Real time feedback from customers allows for businesses to respond to customer behavior smoothly. Moreover, by connecting products, IoT is creating new analytics and services for more effective forecasting and customer service experiences. With all of these benefits and possibilities combined, IoT is changing not only how business models are creating values for its customers, but also customers’ expectations. It will be a long process, but to stay ahead of the curve, business owners need to start changing their model.