How IoT Data Can Help Accelerate Digital Transformation
One of the essential ways to stand your business apart from the competition is by adopting innovation and new technologies. Here is what digital transformation has come into the scenario which will help to stay linked and keep up with the market requirements.
Digital perfection will take out human errors making the business and production processes run easier. CTOs and CIOs must take benefit of the estimated 5.8 billion enterprise and automotive IoT endpoints that will be in use in 2020 to speed up digital transformation.
In spite of the awareness, more than 2.2 billion user records have already been violated due to a combination of impulsive data security by organizations and a lack of personal cybersecurity efforts by users. That contains social security numbers, driver’s license numbers and other personal as well as financial data. The absence of cybersecurity and privacy is a big risk for digital transformation. IoT, artificial intelligence (AI) and 5G are the strong supports that lead to digital transformation. Let’s see in detail the thorough view of digital transformation by means of IoT data.
How does IoT help to accelerate digital Transformation?
With increasing markets and consumers’ demands day after day, the simple way to future-proof a business is digital transformation. The IoT, the wired web of physical objects that “interact” with each other, is the way that can help to build a foundation for this digital transformation and be a perfect tool to adopt the new technologies and keep up with the world.
The Internet of Things generates huge amounts of data, which is the most important asset in the recent situation. For instance, As per McKinsey reports in the hard days of COVID-19, one of the US-based tire suppliers scheduled to continue its day-to-day manufacturing while keeping its managers off-site. The automated manufacturing-execution system delivered adequate information for the managers to control and efficiently manage the whole process, thus keeping the organization in the market.
IoT data and digital transformation providing an origin to the digital progress of the internal processes and later customer experience.
What Are the Applications of IoT?
Namely, there are various ways you can transform your business by utilizing IoT solutions. Here are a few ways IoT is driving digital transformation
Opening up New Business Opportunities
With the help of data generated by IoT devices, businesses can better interpret their customer needs and also can offer new products and services to cater to a broader audience. Furthermore, IoT data provides easier product personalization, thus improving conversion.
Improving Business Efficiency
Integrating huge data insights and autonomous sensors, IoT has the capability to improve business efficiency via process automation. By monitoring the raw reports and applying the changes to the production process, a business can improve its efficiency and cut production costs. Apart from this manufacturing businesses can profit from efficiency improvement in logistics, security, energy management, etc.
Reducing Operating Costs
Process automation and Digitization will certainly lead to cost savings and enables you to utilize your resources cautiously. Less manpower engagement in the process assists to concentrate on talent investment and wise resource allocation. For instance, IoT energy solutions can assist you better handle your utility consumption and get rid of waste. This perspective can be implemented for heating, electricity, water supply, ventilation and air conditioning systems, etc.
Improving Employee Productivity
Likewise cloud and mobile technologies, IoT can assist you to allow your staff, providing better agility and making your business systems easily available anywhere, anytime. IoT enables the simple implementation of new tools and systems that improve productivity, quickness and overall accessibility of the employees.
3 Easy Steps of Effective Digital Transformation with IoT
It is also necessary to analyze the cost of digital transformation, its complexity, several possible options and how to apply it to the specific business? How to make the correct decision and choose the accurate path for transformation?
Accumulate Data
The IoT assists to gather all the data about your employee’s motions, machines wear and tear, environment conditions, etc. With the help of IoT, data gets a chance to be gathered in one place and this is the first and very essential element of digital transformation. This data allows an organization to set up the status of its equipment, its vehicles’ location, the conditions of its environment, the implementation of its processes and much more.
Monitor the Data
The second most important step in a digital transformation is data analysis. Once IoT data gets monitored and the rules for its execution are set then the changes can be initiated. Artificial Intelligence in the business application assists to instruct machines to monitor all those terabytes of data and offer you brief graphs and reports that clearly illustrate the weak spots and the development space.
Act
- Rediscover your business model: IoT data reveals that the weather current business operations are 100% effective or not and if the further change is required. It can provide a whole new world of PAAS (product-as-a-service) or the efficacy of a B2C instead of B2B only. It is essential to rediscover a new business model, new business priorities, budgets as well as goals.
- Prioritize the changes and initiated to gradually execute them into the daily operations to assist employees, processes and customers to adapt to the new model slowly.
- Never neglect safety measures for IoT data collection and utilization. A business requires being totally sure that no data leak will happen from its servers and also offer the same level of confidence to the stakeholders.
IoT data can become a crucial element of business transformation. It clarifies the formerly unknown issues, sets the new objectives and assists to build new infrastructures with the help of new technologies. The resulting digital transformation puts new quality standards, improves business operation efficiency and opens a new outlook to companies.