2019 is looking like a good year for the Internet of Thing (IoT). Enterprises say they plan to spend more on the trend to connect everything to the internet so it can be controlled from a phone or other devices. Let's look at the numbers.
- Enterprises spent 4 percent more on IoT in 2018 than 2017, for a total spend of $4.6M.
- Thirty-eight percent of companies had company-wide IoT application make it to production.
- Eighty-four percent of enterprises predict they will complete their IoT implementations in as little as 24 months.
- Eighty-two percent share IoT information with employees daily.
- Sixty-seven percent share data in real-time.
What is the Internet of Things?
The Internet of Things (IoT) interconnects vehicles, devices, buildings, and other devices through the use of software, electronics, sensors, and network connections. Essentially, objects store data that is uploaded and can be accessed online.
In 2016, the Strategic Innovation Symposium introduced talking tech. The event was hosted by Harvard's Technology and Entrepreneurship Center (TECH). An Intelligent Enterprise ties the physical and digital worlds to a symbiotic relationship for a better customer experience. At the enterprise level, this drives efficiencies and lets businesses create new models.
How is This Measured?
The metrics were comprised from the index show, where a company falls on the journey to achieving Intelligent Enterprise status. Eleven aspects make up the metric: Business Engagement, IoT Vision, Adoption Plan, Technology Solution Partner, Point of use Application, Security & Standards, Lifetime Plan, Architecture/Infrastructure, Data Plan and Intelligent Analysis.
They asked 918 professionals to take a survey. Participants were IT decision makers across several fields, such as manufacturing, healthcare, transportation, and retail, as well as logistics. A total of nine countries were represented in the interviews: France, Germany, U.S., U.K./Great Britain, Mexico, China, Brazil, India, and Australia/New Zealand.
Key Insights from the Intelligent Enterprise Index
About 86 percent of enterprises are project higher spending on IoT in the new year and going forward. Enterprises have already increased spending on IoT at least 4 percent in 2018 compared to 2017, and a total of $4.6M was anticipated on average. Nearly all of the enterprises interviewed will aggressively pursue IoT investments as part of an effort to move toward a digital transformation in their business models. Meanwhile, 38 percent of enterprises have already deployed some kind of IoT deployments, and 55 percent share an IoT vision in their overall business strategy.
So far, 49 percent of participating enterprises are set to finish their Intelligent Enterprise and score in the range of 50 –to75 points. The number of enterprises earning 75 or higher on this Intelligent Enterprise Index won the most categories in the last year. These companies went up from 5 percent to 11 percent of t the respondents. The majority of companies investing resources in this new technology are also the way that they are able to scale an integration of digital and physical worlds in order to enhance tracking and monitoring capabilities and kick off actionable insights that benefit the organization. The better they got at real-time data integration that brings together the digital and physical worlds in their plans, the better the experience has been from the customer perspective, along with the gained operational efficiencies.
Some Enterprises Share Information with Employees via IoT
More than 82 percent of enterprises share information with employees in this manner; another 67 percent provide data to consumers in real-time or close to it. Of the surveyed enterprises, 43 percent say information from IoT solutions gets to employees, up 7 percent from the prior year. Three-quarters of survey takers came from transportation, manufacturing, retailing, and logistics. The results could include that companies are using current data to drive fast, accurate decisions.
Real-Time Monitoring is the New Norm
Enterprises put a high priority on IoT's role in network security and standards, using real-time monitoring is the new norm. At the same time, 58 percent of companies now always monitor IoT, up nine points from the previous year. It’s time businesses identify a new security circle that incorporates smart tech, sensor, and connected products.
Trust But Verify
At some point, you just need to trust the system without thinking too deeply. Enterprises should enforce a trust but verify interaction with clients and their own workforce. Zero Trust Privilege (ZTP) is something that can help.IT decision makers protect the system from those without the correct data. The context of the request is also important. Cloud, containers, DevOps and other sources protect a large number of use cases.
Analytics and security were the themes of the plan. This year 62 percent were investing in buffing up security to make sure IoT didn't pose any risk to their networks. Most of the survey participants were replacing legacy approaches to privilege management methodology with ZTP. Zero Trust Privilege is a way to ensure that whatever humans or devices are connecting through the system have to authenticate and face the same standard of security every time they request information from the network.
It is companies that have to compete in finance or healthcare that will lead ZTS’ adoption, coupled with government agencies around the world. Enterprises investing in Lifecycle management solutions also went up by 11 percent between 2017 and 2018.
IoT has long past become an accepted part of technology and is now becoming an essential part of business planning and strategy for many corporations, as this initiative shows.
To capitalize on this trend, contact ICS below to find the best talent to invest in this year. Talent will always be your most valuable investment, so how much will you invest into your team?