Every country, city, industry, and business is becoming digital in order to leverage the unprecedented opportunities possible from rapidly expanding connectivity around the globe.
Digitization requires customers to rethink their business, operations, and technology strategies. Cisco’s research, along with countless business experts, forecasts that 40% of today’s leading businesses will be displaced by competitors disrupting the market with new approaches— digitization is an imperative for business survival.
Digital transformation necessitates a combining of business and IT strategy that connects everything, embraces analytics, and takes a holistic approach to data security that spans technology and operations. According to the 2014 Digital Transformation report by the Altimeter Group, 88% of companies report undergoing a digital transformation — however, only 25% have mapped the digital customer journey and have a clear understanding of new or under-performing digital touchpoints. Read More »
Next week I’m headed to the Gartner Symposium/ITxpo 2015 in Orlando – and I’m looking forward to seeing many of our top clients and many analysts from Gartner. The energy and buzz created by bringing thousands of organizational leaders, engineers, experts, and analysts together for five days of learning and collaboration is inspiring.
This year the event is very focused on DIGITAL – and the event description talks about how “a digital wave is sweeping through every industry, organization and culture.” This line sounds pretty familiar – it sounds a lot like what we at Cisco have been saying about how digital transformation is bringing together people, process, data, and things in new and important ways. From countries to businesses, it’s changing everything.
All of the momentum is behind digitization, and I’m excited to connect with our customers and partners to hear about their experiences going digital and to learn about how Cisco can continue to enable this transformation. Read More »
By 2020, 75% of business will become digital in some way by deploying solutions that leverage the intersection of people, process, data, and things—the very definition of the Internet of Everything (IoE). For example, IoE will drive an improvement of earnings before taxes and interest (EBIT) of 15.6% in retail, 14.5% in financial services, and 12.8% in manufacturing.
Connected Devices and Sensors Everywhere
The rapid adoption of IoE and the Internet of Things (IoT) has driven the number of connected devices into the billions worldwide. Cisco’s own estimate shows there are 25 billion connected devices today, and will be 50 billion by 2020.
While sheer the number of devices grabs the headlines, there is an even more powerful force at work that will add to the tremendous disruption CIOs and senior IT executives are experiencing across all industries. (For more about this disruption, please refer to my blog titled, The Digital Vortex: Relentless, Disruptive, Chaotic — and Empowering.)
The enduring impact of Moore’s Law and Metcalfe’s Law combined with unprecedented innovation is resulting in sensors that are changing the world to become hyper-aware, hyper-predictive, and hyper-agile. Cisco estimates that 54 billion sensors will be shipped this year.
Leading companies are using these new capabilities to do things like monitor and expedite the time it takes prepare planes for boarding, reduce customer wait times by predicting 40 minutes in advance when lines will become too long, increase factory production rates by ensuring workers always have the right tools at hand, and anticipate structural failures to save lives and reduce costs.
New Business Models and Value Creation
In this new environment, three digital business models are pointing the way forward: 1) Frictionless Life, 2) Hyper-Relevance, and 3) Community. Each model delivers a different type of value.
A sense of great pride came over me as I entered the Expo in Milan to attend the Cisco Internet of Food international press event. This event is where Cisco brings food and digital technologies together in a world of apps, services and technologies that are changing the way food is produced, distributed, consumed and depicted. My home town hosted this significant conference that focused on two of the most important factors that make our lives better: food and the Internet. What better place than Italy? This country is the world’s food voilà and has one of the highest number of mobile phones and Facebook users – to talk about building bridges between technology and food.
While there, I met with a group of international press and together with a few colleagues and industry luminaries, we discussed the Internet of Food, a natural offshoot of the Internet of Everything.
Cisco and THNK.ORG have been working for the last 12 months to reimagine how the Internet of Everything changes the way we grow, manufacture, distribute and consume our food. Read More »
The transition to the Internet of Everything represents one of the greatest disruptions the world has ever seen. It is expected to be the one of the most influential catalysts for industrial change. We are seeing entire industries evolve, mature ecosystems break apart, and competition rising to entirely new dimensions.
These exciting changes are just the beginning. For Cisco, IoE is a new way of doing business, a new way of reaching customers and a new way of using technology to build value. For any industry going through the process of digitization, the ability to successfully navigate our IoE-enabled world will ultimately determine its future.
The story “Sea Change” is a great example of what Cisco is doing differently to help our customers control their destinies. We identified a real and significant problem. Then we solved it with an end-to-end solution to deliver a business outcome that will have a lasting effect on our customer’s core business value.
In the “Sea Change” yacht-racing story, Mobile Asset Management is illustrated through a vivid maritime example. A team of Cisco employees visited the customer site to install and connect onboard sensors and begin extracting data from the yacht. We created a dashboard so the crew could see the data visually. The sailing team utilized analytics to optimize the ship’s equipment and shave seconds off their race time, which is their key measure of success.
To connect sensors to onboard computers at sea, we used technologies and products from the recently launched Cisco Internet of Things (IoT) System. This broad portfolio enables our customers to monitor, manage, and control previously unconnected devices.
All of this was done while securing the data communications path and providing access controls. Yeah, it was a pretty cool venue, but it was also rewarding and provided valuable insight that we have since applied to other mobile segments. In fact, we are using the same solutions approach, and many of the same solutions elements, to deliver new value for utility trucks, trains, buses, logistics vehicles and first responders today.
I’m sure each of you can think of ways that information from your mobile assets could help you optimize your operations. Do you have other ideas on how mobile assets can be used to achieve remarkable outcomes for your customers? Comment and share below.