Where Will IoT Be 5 Years Out? – Part 1

Horizons are shortening for organizations with the new rapid pace of digital change.

Organizations must begin to imagine what an imminent world will look like and make investments for the future. Corporate innovation has become essential for survival. The non-linear growth path of digital adoption will give companies differentiated insights they haven’t had before – with IoT driving the way.

How will IoT be shaping business by 2024? Arrow Electronics gives us their insights.

Security

It is estimated that half of the Global 2000 companies list will implement IoT solutions without first addressing cybersecurity concerns. With malicious cyber threat actors exploiting new digital solutions we must be active in safeguarding the public.

Regulators will be forced to legislate. We are already seeing exciting government contributions like the National Cyber Security Strategy and Canada’s Digital Charter.

Digital Twin Technology

Made possible by Iot, digital twins are representations of physical assets existing in the real world. These replicas are currently making their mark in manufacturing.

By 2024, 50% of manufacturers will have a digital twin ecosystem. When pairing assets with digital twin tech, manufacturers can simulate and predict how devices perform over time. Efficiency will be driven up, while cost of quality will come down.

Field Service Management (FSM)

Managing a field force is a complex organizational task prone to human error and miscommunication. FSM tech has allowed industries to automate their field operations. Predictive capabilities will also become more commonplace. Companies will be able to proactively resolve issues, optimize resources and drive better customer experiences.

An estimated 50% of manufacturers will implement predictive FSM technologies across connected assets by 2024.

AI

Data scientists and engineering teams are collaborating more than ever before.

By 2020 successful AI implementations will reach 90%. When stored, the streams of data IoT devices transmit provide prime opportunities for AI applications.

With AI, organizations can more quickly understand trends and patterns. These valuable insights can mean increased operational efficiency, optimized asset management, mitigated risk or truly customized customer experiences.

Monetization

Although digital spend has taken off, it’s estimated that over 30% of IoT initiatives worldwide will fail to demonstrate a clear ROI.

Many organizations will lack the KPIs to gauge transformational success. Managers and senior executives are likely to fall into a metrics trap. This means that progress may get lost in poorly picked benchmarks and faulty comparisons.

To ensure IoT implementations have enough time to create impact organizations must take strides to gather the right talent to manage specialized performance frameworks.