Business Cases for IoT
If you cannot name something, you can hold no power over it.
Let’s talk about the Internet of Things (IoT). You’ve likely heard this buzzword, sometimes along with 5G and Artificial Intelligence and a bunch of others. IoT is simply a new generation of automation. Like factory automation or office automation, IoT creates the ability to automate tasks and functions outside the factory or office that would have previously proven too complicated or too expensive.
The personal computer is a hugely powerful tool to create efficiency in a business. When computers were first developed, they weren’t widely used outside of special situations. But once they became more compact and cost-effective, they evolved into a standard part of running any modern business. The same is true for other types of automation, and right now is the inflection point where IoT is starting to be useful to the average small business.
What businesses can get value out of IoT? That’s the same as asking what businesses can get value out of desktop computers, office software or the Internet. And it’s the same answer, basically all of them. Because things are still new, there aren’t widely recognized names yet for common uses of IoT. Before computers became commonplace, “word processing” wasn’t a thing, it was called typing. In this discussion of IoT, we’ll be talking about four key aspects of IoT as business automation:
- Make money
- Save money
- Legal compliance
- Reputation protection
In the context of these items, we’ll discuss a series of concepts or paradigms where IoT fundamentally changes basic business cases. In a decade of doing IoT projects, we’ve come across the 10 business models below the most in our direct experience.
- Track & Report
- Fleet Management
- Need Based Servicing
- Preventative Maintenance
- Control/Management as a Service
- Contract Enforcement
- Vendor Managed Inventory
- US Medical Insurance Logging
- Generation of Measured Carbon Offsets both + and –
- Market Research