OT - How IoT will Impact Future B2B and Global Supply Chains - SS14

Introduction to the Internet of Things –
March 2015
Mark Morley, Industry Marketing Director

OpenText Confidential. ©2015 All Rights Reserved. 2
Today’s Businesses are Entering a
Period of Significant Digital Disruption
New Sources of Unstructured Information Will Need Managing Across the Enterprise
D
I
G
I
T
A
L
D I S R U P T I O N
4G Networks
Cloud B
Y
O
C
Internet of Things
W
I
F
I
PaaS
5G Networks
Smart Grids
Mesh Networks
Big Data
Social Networks
Remote Monitoring
Analytics
Mobile Apps
NFC Payments
SAAS
S
E
C
U
R
I
T
Y
T
E
L
E
M
A
T
I
C
S
SensorsRFID
Smart Phones
Tablets
B
Y
O
D
Connected Devices
3D Printing Drones
Wearable DevicesMass Storage
M2M
Robots

Today, Businesses are Having to
Embrace…
Wearable
Devices
Devices such as
Google Glass will
transform how
digital information
is accessed &
shared across the
enterprise
3D
Printing
3D Printers will
manufacture parts
on demand and
contribute
towards the
introduction of the
‘zero length’
supply chains
Drone
Logistics
Drone aircraft will
transform the
delivery of
parts/finished
goods to customers
across short
distance logistics
networks
Future EIM platforms will need to embrace these technologies….
Internet
of Things
Introduction of
more connected IoT
devices /equipment
will allow
manufacturers to
develop more
responsive supply
chain networks
Advanced
Robotics
Next generation
advanced robotics
will work side by
side with human
operatives, helping
to automate more
production
processes

Kevin Ashton defined the ‘Internet of Things’ Term in 2009 as part of
his research efforts at the Auto-ID Center in North America

The Internet of Things -
What Exactly is it?
Internet of Things (IoT)
Internet of Everything (Cisco)
Industrial Internet (GE Software)
Industry 4.0 (Bosch)
Machine to Machine (M2M)
Connectivity Across the Internet
“Any machine or device connected (via
fixed wire or wireless communication) to
the internet & being able to transmit
information in one form or another”

# Connected Devices by 2020 (Billions)

Global Economic Value Added ($Trillions)

Digital Information is now Feeding the
Fourth Industrial Revolution
Industrie 4.0

Gartner Technology Trends - 2015
By 2018, the total cost of
ownership for business
operations will be reduced by
30 percent through the
adoption of smart machines
and industrialized services.....
Gartner, October 2014
1. Computing Everywhere
2. The Internet of Things (IoT)
3. 3D Printing
4. Advanced, Pervasive, Invisible Analytics
5. Context Rich Systems
6. Smart Machines
7. Cloud/Client Architecture
8. Software Defined Infrastructure
9. Web Scale IT
10.Risk Based Security & Self Protection

Core IoT Building Blocks
Sensors
Dedicated
Processor
Internet /
Dedicated Network
Big Data
Storage
Analytics &
Reporting
Key Characteristics = Energy Efficient + Cost Effective+ Quality & Reliable + Secure
WiFi or 4G
Comms
Devices /
‘Things’

An Evolving IOT Eco-System
Comms & Connectivity
Processing & Storage
Industrial Automation
Consumer Devices
Platforms & Software
Embedded Devices

Recent Announcements
 Cisco to invest $150M in new start up funds to
encourage development of new IoT solutions
 Zebra Technologies acquires Motorola Solutions
Enterprise Business Unit for $3.5B
 Cisco Invests $1B to develop a new open sourced
cloud based network called ‘Intercloud’
 PTC acquires ThingWorx for $112M to link the world of
PLM and Design to IoT based solutions
 Andy Rubin appointed by Google to head up their new
Robotics division, 8 acquisitions in past 12 months
 GE establishes new Software division in California to
develop the ‘Industrial Internet’

Nest provides an internet enabled range of devices for home
automation applications, this example shows a thermostat

Domestic appliance manufacturers, such as Samsung, are expected to
invest millions of dollars in internet connected home devices

LG has developed a home hub to allow consumers to send text
messages to remotely control household appliances

Utilities companies will allow consumers to choose where their power
comes from, in this case wind, sea, solar or traditional power stations

Tesla Motors offers one of the most advanced connected cars on the
market today, the Model S sedan

E-Health is expected to be a major beneficiary of IoT based devices, for
example this e-Pill has a built in high definition video camera

IoT Related ROI
Source: Cisco

From Integrated to Intelligent Networks
Cloud ComputingSaaSASPMainframe
Enterprise
Application
Integration
Cross-Enterprise
Integration
1995
Customer Centric
Strategic/Competitive
2000
Organisation Critical
Department Specific
201520102005
Supply Chain
Visibility
Web-Based
Portals
Unisys
Integration
Business
Intelligence
Secure Web
Services
RFID and
EPC
Sales Force
Automation
Enterprise
Resource Planning
Business
Process Mgmt
Customer Data
Integration
Enterprise
Community
Management
Business
Activity
Monitoring
Sense and
Respond

IoT Interest & Adoption Levels
Respondents said that IoT
solutions will be the most
strategic technology
initiative for their
organization in a decade
80%
Respondent said ease of
integration to back end
enterprise systems was
key to the success of
deploying the IoT
45%
Respondents said that
supply chain optimization
and responsiveness was
a key benefit from the
IOT
46%
Manufacturing
respondents currently
deploying an IoT
solution across their
business
39%
Manufacturing
respondents would use
the IoT for tracking
customer, supplier, or
partner transactions
48%
Manufacturing
respondents would use
the IoT to improve
supply chain visibility
49%
Source: A commissioned study conducted by Forrester Consulting on behalf of Zebra Technologies, October 2014
Base: 593 global enterprise Internet-of-Things decision-makers

How Will IoT Impact Global Supply Chains?
 Exponential growth in data flow across future supply chains
 IoT will impact future supply chains in many different ways:
Predictive
Maintenance
Self diagnostics identify
failing components
resulting in automated
parts ordering
Pervasive
Visibility
End to end visibility of
shipments from point of
manufacture to point of
delivery
Proactive
Replenishment
Optimization and
automated ordering of
inventory at the
ultimate point of sale

1. Pervasive Visibility
 Business Case - Visibility of
shipments from the factory
to the point of delivery
 Example - Bosch developed
a virtual supply chain based
on inputs from an extended
network of RFID readers at
both their factories and
across their global network
of 3PL providers

2. Proactive Replenishment
 Business Case - Optimization
of inventory levels at the
ultimate point of sale
 Example - SAP developed a
HANA based vending machine
which tracks consumption
trends, makes alternative
buying suggestions & places
automated orders for new
stock

3. Predictive Maintenance
 Business Case - Self
diagnostics identify failing
components resulting in
automated parts order
 Example - RAC automotive
association in the UK offers a
retrofit module that can help
identify problems with a car
and notify driver before they
get too serious

B2B & Supply Chain Related Benefits
 Supply chains will become even more responsive
due to the sheer number of connected devices
monitoring the end to end movement of shipments
 Cross enterprise connectivity and collaboration will
significantly improve business process and overall
operational efficiencies
 Introduction of more closed loop, intelligent B2B
platforms and supply chains
 Significant investment in new cloud based solutions
will improve functionality and usability of next
generation supply chain platforms

Issues to Resolve
 Address the inevitable security and privacy issues
relating to IoT networks (in-house and third party),
eg ensure virus protection for connected devices
 Investment required to WiFi enable equipment,
deploy sensors, build out IP and cellular networks
 Introduce appropriate global standards to support
future IoT related platforms, setting up relevant
industry bodies such as the Industrial Internet
Consortium (Cisco, GE, IBM, Intel, AT&T)
 Avoid an IoT related ‘Dotcom’ style bubble of high
valuations on unproven companies or technologies

EDIFACT
XML
SWIFT
OFTP2
IDOC
ANSIAS3
Contract Mfg.
Distributors
Customers
3PLs
Banks
Insurers
AS2
FTP
HTTPSSuppliers
B2B
HULFT
IDOCS
External Trading Partner Community
OpenText, Managing Digital Information Across
Tomorrow’s Manufacturing Industry
ERPPLM
Internal Enterprise Community
Procurement Production
Design
Marketing Sales
Service
HQ
EIM
Business Process Management
Customer Experience Management
Enterprise Content Management
Discover
Actuate Analytics
Information Exchange

Future Vision for Trading Grid
Time
Unified
Trading Grid
• Service automation
• OpenText
technology
integration
• E2E visibility with
Active Documents
• OpenText product
integration
• Greater Self-service
for communities
and applications
• Developer APIs
Programmable
Trading Grid
• EIM SaaS
applications
• SaaS integration
brokerage
• Business process
analytics
• Predictive analytics
• Supply Chain KPIs
• Supplier
Scorecards
SaaS and Analytics
Trading Grid
• Hyper-connected
trading
communities and
digital enterprises
• Open Trading Grid
• “Things” connect
to the Trading Grid
providing new
demand visibility
• Self-assembling
communities driven
by analytics
‘Internet of Things’
Trading Grid
SaaS Ecosystem
Trading Grid
• Developer
Ecosystem
• Trading Grid as a
SaaS application
platform
• Dynamic
communities driven
by analytics
• Systems of
Engagement
integrate supply
and demand chains
for digital
enterprises
EnablingtheDigitalEnterprise

‘Facebook for Machines’
In the Future Every Connected Device Could Have an Online Profile

Tomorrow’s Digital Manufacturing
Business

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