Most organizations are transitioning business processes to the cloud; and are beginning to operate in a hybrid mode with analytics, data, and applications spread across on-premise and multi-cloud environments. This will require an analytics strategy that has flexibility as the business transitions to cloud.
Consequently, insight-as-a-service is on the rise with Deep Learning, Natural Language Processing and other technologies augmenting Cloud Analytics.
It’s not surprising that research shows growth leaders use analytics. But we are at an intersection of a growing digital innovation spectrum as the Internet of Things (IoT), sensor, streaming data, machine learning, blockchain, and business data networks combine to deliver accelerated business growth opportunities.
Customer intelligence has become paramount and is beyond what a business understands and knows about customers to a complete “720-degree view.” Matching customers up with analysis from “digital twins” provides further insights into patterns, which in turn provide organizations with an opportunity to enhance the customer experience.
While new sensor, mobile and wireless technologies are driving the evolution of the internet of things (IoT), the true business value of the IoT lies in insights and analytics rather than hardware novelties.
The potential for business organizations is access to new high-volume silos of information and the ability to generate meaningful insights for business. These could be:
The fundamental change is the speed of operation – prior to IoT driven big-data analytics, analytics information had to be designed for capture and databases had to be created and maintained. Any change in this would require a full new cycle of IT interaction. Log files and error files had to be made less verbose in order to be able to store and process them.
In the new IoT driven analytics world, the business organization can access new high volume, high velocity data sources to drive new insights.
For IT, the focus is on IoT platforms to create data lakes and repositories for insight generation. IT departments need to deliver insights-as-a-service as against “analytics reports”.
With microservices driving front end interaction, it becomes all the more important for IT to focus on insight generation and micro-data access. A big data analytics platform with microservices architecture is the key transformational focus for IT organizations.
One fundamental paradigm shift for IT is that data can now be both customer facing and internal facing, and hence requires new security and access controls at micro levels for smooth execution.
By way of example, a utilities client selling smart energy meters that don’t require meter readers. They sell into state and county governments as well as private energy providers, so that organizations can perform fraud detection on the meter data as well as revenue projections.
However, as the analytics enable portals for consumers to manage their energy consumption, see how much they’re over and under other households in the neighborhood, turn appliances on and off to determine how they impact energy usage etc.
In this case, the business generates value from the same analytics in two ways:
Financial Services typically deal with intangible and digital assets, so how does Internet of Things (IoT)—a suite of technologies and applications that provide information about things—apply?
Some of the more mature example involves the development of usage-based insurance (InsurTechs), in which sensors in automobiles or smartphone apps automatically provide insurance carriers with information on vehicles’ driving history and therefore their drivers’ performance. Using telematics to increase the accuracy of underwriting automobile collision policies, as well as the use of gamification strategies based on those data to change and incent lower-risk driver behavior, has been shown to be quite successful as in the case of InsurTechs like Lemonade and Metromile.
For most financial services businesses, the IoT’s impacts could be characterized as having a “derivative effect”: While the IoT is fundamentally about gathering, processing, and creating value from information about tangible physical objects, many financial transactions are based on information from intangible sources that may ultimately have roots in the physical world.
Retailers’ focus has changed significantly over the last 15 years. Where early IoT use cases focused on supply chain and operational efficiencies, retailers now appear to be focused on omnichannel and customer experience. They want IoT to deliver on ways to interact digitally with consumers in stores, and they want to connect the store to the online experience – by offering store inventory to online shoppers, for example. In other words, they want IoT today not only for operational efficiencies, but for enabling new and efficient customer experiences.
Wearable medical devices have transformed the healthcare industry. By allowing patients to be monitored at home, instead of in a healthcare facility, the true “connected” potential is realized for Internet of Things in healthcare.
There is significant interest in the use of medical-grade wearables, including smart fabric, glucose monitoring devices, electrocardiogram patches, pulse oximeters and other devices that untether patients from healthcare facilities. In the end, it’s all about the data gathered that is making remote monitoring so successful for healthcare providers and their patients. Rather than a hospital or doctor’s office visit, remote monitoring relies on a patient regularly taking their own blood pressure, or measuring glucose or oxygen levels and other vital stats in a home environment. Wearable devices do this automatically and report data to the healthcare organization’s platform using a cellular or Wi-Fi connection.
Clinical drug trials has benefited from IoT adoption, with a significant increase in accurately reported data, as well as improved patient engagement. In this case, connected devices are playing an important role in providing accurate readings of vital stats during the trial period, allowing the patient to remain at home instead of at a healthcare facility. Benefits are higher patient engagement, decrease in errors, and consequently, better outcomes.
Telecom is one of the biggest benefactors of IoT, both at the operational level as well as opportunities for new lines of business. Some of the key Operational Efficiency use cases are 1) Asset Management and Monitoring, 2) Physical Security and 3) Environmental Protection.Some of the new value-added services and business opportunities include Proximity Sensing that allows two devices to detect their proximity and exchange data. For example: You are attending a conference and want to know if anyone within your LinkedIn network is present there. If you and the others have enabled ProSe on their smartphones, then your LinkedIn app can quickly scan the people in your network who are nearby. It will then pop-up a list of people from your LinkedIn network on your screen.Another important application is in transportation where driver-less cars and other devices need a reliable proximal sensing network based on standards.
Smart meters are the harbingers for IoT projects in E&U. With increasingly rapid mobile connectivity speeds, smart meters provide near real-time information on energy consumption and transmission. This data allows for more efficient, demand-based electricity generation and distribution. IoT makes it possible to integrate a larger ecosystem of power sources, with electricity, hydroelectric, oil and natural gas integrated into unified distribution networks.
Smart meters are also facilitating the growth of the local, micro-production of energy such as solar panels and wind turbines. This creates potentially new revenue streams, as well as further efficiency of production and distribution. It also creates interaction with other market players in – or outside the “traditional” ecosystem.
Just as IoT can enable demand-based energy production, utilities can further influence demand by offering consumers incentives to use energy at particular times. For the end-customer, transparent pricing lead to lower bills, while the grid operator can reduce the cost of building greater capacity. Smart meters provide utilities a direct channel to offer the consumer value-adding services, such as smart home applications that automate energy usage. Realizing the full potential of IoT will allow utility operators deeper consumer relationships and new revenue streams over time.
Scadea’s practice covers both traditional reporting, diagnostics, and prediction use cases, as well as use of specialized Analytics Cloud platforms tuned for IoT.
Scadea’s trained engineers on IoT enabled analytics platforms like Oracle, SaS, SAP Cloud Analytics have experience in deploying solutions for IoT projects across industries.