7 Benefits of IoT for Business
Industry leaders are rapidly recognizing the manifold advantages that the Internet of Things (IoT) offers to businesses spanning all sectors. According to projections by Business Insider, the sheer number of IoT devices integrated into various industries is poised to soar to an astonishing 55 billion by the year 2025.
IoT empowers businesses to upgrade from antiquated manual asset tracking systems by deploying automated sensors. These sensors effortlessly link to the internet and harmonize with centralized systems, facilitating the live monitoring of critical company assets.
Moreover, IoT harbors significant potential for elevating customer satisfaction to unprecedented levels through the provision of advanced features and personalized experiences.
Benefits of the Internet of Things
The essence of IoT is encapsulated by two fundamental features:
- Automation: IoT centers on the concept of direct communication among diverse devices and hardware components, eliminating the necessity for human intervention. This technology facilitates effortless connectivity and interaction among these entities.
- Connectivity: IoT fosters heightened connectivity within a global network, granting effortless access to extensive volumes of information and resources.
For example, Machine Learning, Artificial Intelligence, and Big Data are essential for enabling automation, while cloud computing & wireless communication techs greatly improve connectivity.
Now, let’s study the numerous benefits of IoT techs & services, especially focusing on their advantages for businesses. It’s crucial to note that while this review emphasizes the business perspective, the Internet of Things also has apps for people and households. Also, these benefits are interconnected, often leading to a chain reaction of positive effects.
1. Optimal Asset Utilization
By integrating IoT into their operational frameworks empowers organizations to effectively oversee and supervise their assets. This encompasses the deployment of sensors in transportation vehicles and remote sites for real-time event tracking. Through IoT, businesses can take a proactive stance in monitoring the condition of their equipment, thereby ensuring peak performance consistently.
2. Insightful Data from Sensors
IoT empowers companies to collect invaluable insights from every facet of their operations, with data assuming exceptional importance in time-sensitive or critical scenarios. One such example is the transformative impact of IoT in the field of healthcare. IoT devices offer myriad opportunities for healthcare professionals to conduct efficient patient monitoring, while also enabling patients to take an active role in tracking their own well-being. These devices facilitate seamless data gathering, remote monitoring, and instantaneous communication, ushering in a revolution in healthcare practices. Furthermore, businesses have the capability to deploy remote sensors in critical locations, such as oil wells, establishing direct connectivity to their central headquarters through cellular networks. This permits remote monitoring, control of equipment, real-time data collection, & the capability to create predictive models for future forecasts.
3. Enhanced Client Service
IoT empowers enterprises to optimize their operations, leading to reduced turnaround times and resource demands in asset management. An exemplary case is Amazon, which has harnessed IoT to elevate customer satisfaction. This encompasses the utilization of AI-driven robots for automating item sorting and placement, along with the deployment of remotely controlled drones for local product deliveries.
Although IoT technology initially had a more pronounced impact on back-end processes, given its relatively recent emergence, it has now undergone a profound transformation in the way consumers engage with businesses. This shift has prompted a reevaluation of front-end customer engagement strategies.
Organizations now prioritize engaging better with their audiences through IoT devices. Modern clients wish to interact with businesses through their smartphones, whether it’s through automated chatbots, reliable mobile websites, or dedicated applications. 40% of customers do not mind whether they obtain assistance from a chatbot or a human, as long as their requirements are met.
Innovative enterprises harness cutting-edge technology and integrate it with IoT to deliver superior customer service. The convergence of internet-connected devices and the provision of a seamless user experience across various IoT devices has evolved into a compelling selling proposition for contemporary businesses. This drives many organizations to invest in custom applications that cater to their audience on any device or endpoint. The rise of decisions like low-code development environments has empowered IT leaders, with 90% stating that the flexibility & speed of these platforms have improved client experience.
By using the Internet of Things devices commonly found in clients’ backpacks or pockets, businesses guarantee they are easily available at all times. Realizing the importance of extending key business processes to daily IoT devices becomes necessary for maintaining future competitiveness.
Notably, clients’ perception of the Internet of Things has also shifted, with 30% of consumers feeling completely comfortable with companies utilizing IoT devices.
4. Enhanced Mobility & Agility
The rise of IoT technology has enabled businesses to embrace greater mobility and flexibility, delivering significant benefits, particularly for small and mid-sized enterprises (SMBs). By enabling employees to work from diverse locations, it reduces the dependence on expensive office rentals. Consequently, this has prompted a surge in SMBs embracing “work from anywhere” arrangements and expanding their workforce with more full-time remote employees.
Implementing the Internet of Things policies in organizations has enhanced business agility, with about 43% of businesses experiencing enhanced operational processes. This agility has taken on heightened importance in the wake of the pandemic, as organizations had to implement remote work policies to adapt to new requirements. Remote workers have now become an integral component of contemporary workforces, and this trend is projected to endure.
To harness the complete advantages of IoT technology for communication across all devices, it is imperative to prioritize robust strategies for securing these endpoints. Security considerations hold utmost importance, especially when deploying IoT in non-traditional office settings. Many businesses, approximately 42%, cite difficulties in managing security as a key challenge in the Internet of Things implementation. Addressing security concerns comprehensively is crucial, encompassing the safeguarding of devices used by remote workers as well as other IoT devices such as edge devices.
While 29% of companies may view the potential risks of adopting IoT as surpassing the benefits, the safe and effective integration of the Internet of Things into business operations is achievable with a strong cybersecurity policy. Especially for organizations implementing a remote-first approach, prioritizing the security of IoT devices used by employees is paramount to protect the business network and its data from potential cyber threats.
As the advantages of enhanced mobility through IoT become increasingly apparent, both in remote work scenarios and on-site tasks involving IoT devices, it becomes crucial to acknowledge the potential vulnerabilities and the broadened attack surfaces they present. Therefore, the development of a comprehensive security plan and policy for IoT device usage within organizations is indispensable in today’s evolving landscape.
5. Cost-Effectiveness
The automotive sector holds significant potential to reap substantial rewards from IoT advancements. IoT’s advantages in manufacturing extend to the creation of self-driving cars capable of communicating with internal devices. This connectivity not only reduces labor expenses but also improves fuel efficiency, rendering it especially promising for transportation services such as Uber.
The implementation of IoT brings about significant cost reduction, it’s the primary IoT benefit, mainly in specific industries such as manufacturing.
For example, according to a study by Deloitte, predictive maintenance (PdM) can lead to a 20% to 50% decrease in the time required to prepare maintenance, while also raising equipment uptime & availability by 10% to 20%. General, maintenance costs can be decreased by 5% to 10% via PdM implementation.
The potential for cost savings is especially advantageous for manufacturers. Nevertheless, the advantages of adopting IoT extend to a diverse array of small and medium-sized businesses (SMBs) operating in various industries.
A prominent domain where cost reduction takes place is in labor expenses due to enhanced process efficiencies. A remarkable 83% of organizations that have embraced the Internet of Things technology have witnessed enhanced efficiency, resulting in decreased costs & enhanced output from employees.
Also, McKinsey highlights that activity monitoring, facilitated by the Internet of Things, can boost productivity by 10% to 12%. This implies that businesses extract greater value from their investments, ultimately leading to a higher return on investment.
6. Enhanced Business Possibilities
Leveraging IoT solutions empowers companies to broaden their portfolio of services or products and enhance their quality relative to competitors, all while remaining competitive in terms of pricing. Alternatively, businesses can tackle more intricate production tasks, whether in terms of complexity, time, or quantity. In essence, the integration of smart solutions enhances an enterprise’s competitiveness and makes it more attractive as a potential business partner.
For example, the implementation of the Internet of Things sensors in automobiles allows insurers to optimize rates on automobile insurance by tracking speed & driving habits. Retailers have the capability to utilize IoT for tracking in-store foot traffic, enabling them to optimize displays for maximum impact by tailoring them to customer behavior patterns.
The extensive influence of IoT on business systems is of such magnitude that a notable 36% of companies are considering new directions in their business strategies due to the outcomes of their IoT initiatives.
7. The Trustworthy Image of the Company
Organizations that adopt cutting-edge solutions, such as IoT, cultivate a favorable image in the eyes of customers, investors, and business partners who appreciate the myriad benefits brought by the Internet of Things. Additionally, attracting seasoned and highly sought-after professionals becomes more straightforward when a company offers a safe and secure work environment facilitated by a network of smart devices.
Our Experience
Remote Control Device for Street Warning Sirens
A project initiated by the Regional Military Administration in Ukraine resulted in the development of a device desired to effectively control street sirens in remote areas. Read the full case study
Utilizing the GSM alarm controller manufactured by the Ukrainian company OKO as the basis, the team adeptly devised a device that effectively met the pressing requirement for remote control of street sirens amidst the Russo-Ukrainian War.
An application for working with a smart lock
Our team was assigned the responsibility of crafting software that could interface with a smart lock, facilitating smooth interaction and control. The software had to offer the functionality to remotely unlock and lock the home’s door using commands sent from a smartphone.
Furthermore, it was developed to generate and oversee virtual reality passwords, granting authorized access and enabling the revocation of permissions as needed. Moreover, the software integrated advanced functionalities like automatic door opening, utilizing owner recognition, and provided control not just within the line of sight but also over the Internet.
To Sum Up
Utilizing advanced IoT analytics, enterprises can access a spectrum of advantages, including heightened efficiency, amplified productivity, and cost savings. The adoption of IoT technology not only fosters innovation but also reshapes conventional business operation paradigms, unveiling fresh avenues for expansion and achievement. Giving precedence to enhancing the customer experience is paramount for revenue growth, and IoT furnishes valuable insights for monitoring customer behaviors, and empowering businesses to make influential decisions. To guarantee optimal security and uninterrupted service, organizations must implement measures to protect the data transmitted to and from IoT devices, mitigating potential risks and preserving the trust of their customers. If you’re interested in creating an IoT-based solution, contact us, a free consultation is available.
Originally published at https://stfalcon.com.
