IFS, the global enterprise applications company, released a research study of 200 North American executives revealing substantial year-over-year gains in the internet of things (IoT) usage in industries.
Executives at respondent industries, ranging from manufacturers to trade contractors to oil and gas industries, are gathering more data from connected devices, integrating it with other systems in new ways, and making IoT data more central to their businesses.
The study shows:
- Companies collecting IoT data on entire work cells or production lines rather than individual machine components or an individual machine itself has increased by 17 percent, enabling more advanced use cases, which helps explain a 30 percent increase in the use of IoT to support asset performance management.
- Respondents using IoT to monitor their customers’ equipment sees a 10 percent increase, potentially signaling transformational approach to field service management.
- Despite these advances, the percentage of respondents who integrated IoT data streams with their enterprise resource planning (ERP) software hovers at 16 percent. This reluctance may represent a barrier to leveraging IoT to deliver revenue opportunities or net new business models.
According to IFS Chief Product Officer Christian Pedersen, enterprise IoT integration allows us to take incoming data from connected devices and use it to create business events in ERP. The software can either present that data to humans or act on it as it comes in.
And according to Antony Bourne, President, IFS Industries, IoT is a big disruptor, but if industrial companies do not embrace digital transformation, chances are that their business will be the one that’s disrupted by more agile competitors. IoT helps companies transform their businesses, enabling them to explore new revenue sources, making them more efficient, and fundamentally changing business processes.