3 steps to harness IoT for generating business value

Organizations can generate business value with IoT as it delivers several business benefits spanning from operational improvements, like predictive analytics, to digital business transformation, such as smart workspaces.

Adoption of IoT is becoming widespread and profound. Competitors, suppliers, as well as business partners are all adopting IoT in various formats. To generate business value with IoT, organizations are required to adopt a systematic approach.

Take a look at the three ways to harness the value of IoT:

1.   Focus on establishing a strategic perspective to generate business value with IoT

IoT has a huge range of delivery forms and back-end services that make it difficult for organizations to identify the means of capturing business value. Organizations are required to create a flexible framework in order to understand and gain value. Managing and leveraging data is an important aspect of IoT projects. Thus, businesses require a strategic rationale for IoT and must work on creating a beneficial framework a that business planner can adapt to and meet organizational priorities. Organizations must focus on building consensus by creating a governance model across the supply chain organization and also across IT technologies. They must also focus on managing IoT investment and improve external benefit realization. This will help them in acquiring strategic deployment opportunities. Enterprise architects must also find different ways to collaborate IoT data with other significant enterprise information in order to provide a forward-looking view into near-real-time business performance and decision making.

2.   Identify Use Cases

Almost every week, innovative and novel use cases for IoT leap out across every industry. Early industry examples, such as connected homes and the insurance industry, digitalization of the patient, connected cars, all show the rapid drive towards IoT across several verticals and markets. Thus, organizations should first identify IoT use cases and their impact on an organization’s performance and customer experience. Post this, they must create a strategic technology map that can effectively measure the impact of the use cases on the organization. Organizations can learn from these use cases on how to enhance smartness in a relatively simple product. Thus, identifying use cases will help in adding new IoT capabilities for delivering business performance improvements.

3.   Demonstrate Application of IoT

IoT is now becoming a key component of digital business that helps in creating new business designs by merging the physical objects with the digital ideas. IoT, in combination with other innovative technologies such as advanced analytics and machine learning, can help in driving radical growth for businesses. Thus, businesses must identify the possible areas where this technology can be applied. Business leaders must also focus on developing innovative products or services based on a understanding of the quantified self with a focus on near-term benefits.

IoT has the ability to usher a wave of several new multichannel marketing opportunities, thereby creating significant customer experience. Businesses can, therefore, use these guidelines in building competencies and gaining business advantage from the IoT.