In December, I blogged about Predictions 2014: Wager on the Internet of Everything (IoE) for the Manufacturing Industry. In terms of thought and verbal capital, investments in IoE/IoT (Internet of Things) are proliferating from top of mind to tip of tongue across industry analysts, pundits, press and producers alike. Just last week, I joined a record-setting attendance at the ARC Industry Forum 2014 in Orlando, where ARC President Andy Chatha opened the forum theme “Industry in Transition: Information Driven Enterprise in a Connected World” with a keynote focused on Planning for the Industrial Internet of Things. Just last week, I joined a record-setting attendance at the ARC Industry Forum 2014 in Orlando, where ARC President Andy Chatha opened the forum theme “Industry in Transition: Information Driven Enterprise in a Connected World” with a keynote focused on Planning for the Industrial Internet of Things. Mark Houska of Control Engineering does a nice summary here of the keynote.
The hype frenzy surrounding IoE/IoT has forecasts for economic growth and value-add (EVA) in the trillions (e.g., Cisco estimates $14.4T for Private Sector EVA over the next 10 years plus another $5T for Public Sector), as Andy states: “But this isn’t just another futuristic fad.” Whether it’s Cisco’s “Internet of Everything“, GE’s “Industrial Internet“, Rockwell Automation’s “IoT Industrial Revolution“, IBM’s “Smarter Planet” or the European “Industry 4.0”, a lot of significant companies are investing significantly. Value propositions for Industrial IoT, as ARC articulates, are quickly advancing from compelling differentiators to must-have business capabilities and new business models.
ARC Value Proposition of IoE/IoT for Asset Owners
- Improve Operating Performance – reduce downtime with predictive maintenance/analytics, sharing contextual information internally and externally and collaborating with ecosystem partners to solve operational problems faster, better, cheaper. Cisco MFG Customer Example: Emirates Aluminum.
- Lower Asset Lifecycle Costs – remote monitoring, remote maintenance and service, remote upgrades and refresh (think firmware) all lower operating costs. Cisco MFG Customer Example: Anglo Platinum.
- Build a Converged Platform for Innovation – assets are no longer a product purchase, but a platform for services and innovation that–in real-time, contextual collaboration with suppliers–enable leaps in performance. Cisco MFG Customer Example: General Motors.