The internet of things is one of the biggest technology buzzwords at the moment, and with good reason. As more devices come online, more opportunities for enterprises present themselves, and more people engage with the industry, there is a belief that by 2020 we could see almost all our frequently used home appliances become part of our networks.
From a business perspective, there are innumerable possibilities and potential pitfalls. High-speed networks, machine-to-machine platforms, big data and analytics, mobile solutions and enhanced security are all helping companies drive efficiency, increase revenue, and improve their customer experience – but only if implemented properly.
Here are four things businesses need to consider:
The internet of things provides lots of new ways for businesses to stay ahead of the curve in their respective markets. Those that don’t embrace the opportunity will struggle to survive as competitors continue to disrupt the market.
For example – companies used to manipulate their inventories to account for unknown expenditures, but machine-to machine technology now lets them able to track inventory throughout its supply chain. It lets businesses significantly decrease inventory and nearly eliminate the guesswork of demand planning. The saved capital can instead be spent on growth initiatives, thus keeping the enterprise on the front foot.
The new revenue streams created by the internet of things are opening the door to innovations that weren’t possible a decade ago.
An example of this is gun crime. Start-up ShotStopper is installing arrays of interconnected computer-powered acoustic devices in a city which can instant detects and locate gunshots, before delivering real-time data alerts to dispatch centres, patrol cars and smart phones.
The advanced capabilities of the internet of things means companies are now able to deliver more personalised applications that can enhance the customer experience – with companies now aiming to engage with their clients at every stage of the lifecycle – from identification and acquisition to service and support.
While the internet of things offers significant potential for businesses, it could have a negative impact if not managed appropriately. Whereas homes of twenty years only had very limited inter-device connectivity, the home of the future will cause will the number of daily interactions which pair consumers with internet-connected devices and touch points to grow massively.
It means the potential for misunderstanding, malfunction and misuse is vast. It turn, it means companies are likely to have a requirement for a much larger and more technically minded customer support infrastructure.
By Daniel Price
