The number of connected devices – which can include anything from wearables to cars, milk cartons to buildings – is set to hit the 50-75 billion mark by 2020. In the last of our Big Data, Big Thinking webinar series, “Internet of Things – making it real”, SAP’s Angel Morfin and Mario Dominguez explored the IoT revolution – fuelled by reductions in the size and cost of sensors, and the growing adoption of Big Data and predictive analytics. Illustrating how businesses are already harnessing sensor feeds to drive operational efficiencies and competitive advantage, this season finale should inspire you to kick-start your own IoT initiatives.

1. SAP Big Data, Big Thinking webinar series
Big Data, Big Thinking:
making it real
The number of connected devices – which can include anything from wearables to cars,
milk cartons to buildings – is set to hit the 50-75 billion mark by 2020. In the last of our
Big Data, Big Thinking webinar series, “Internet of Things – making it real”, SAP’s
Angel Morfin and Mario Dominguez explored the IoT revolution – fuelled by reductions
in the size and cost of sensors, and the growing adoption of Big Data and predictive
analytics. Illustrating how businesses are already harnessing sensor feeds to drive
operational efficiencies and competitive advantage, this season finale should inspire
you to kick-start your own IoT initiatives.

2. “IN THE NEXT CENTURY,
PLANET EARTH WILL DON
AN ELECTRONIC SKIN. IT
WILL USE THE INTERNET
AS A SCAFFOLD TO
SUPPORT AND TRANSMIT
ITS SENSATIONS.”
Niel Gross, Newsweek Online, 1999
SAP Big Data, Big Thinking webinar series
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3. SAP Big Data, Big Thinking webinar series
Connecting information, people and things
Since Neil Gross made this prediction at the dawn of the new millennium, we have changed the way things talk, the way we roam, and how we make predictions about our world. The role of the internet is evolving.
The Internet of Content: In the early stages, we saw a machine- to-people model of connection, for disseminating content.
The Internet of People: With the advent of social networks, people- to-people connections altered our notion of collaboration forever.
The Internet of Things: Today,
we live in an era of multiple connection models – people-to- machine, machine-to-people, machine-to-machine and people- to-people – that engage people, processes, data and machines in
a bidirectional flow of information
to enable brand new possibilities.
In essence, the Internet of Things (IoT) is defined by the ability of machines to monitor, analyze, predict and truly automate business in real-time.
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4. SAP Big Data, Big Thinking webinar series
Changing business
– and life –
as we know it
In 2013, there were approximately nine billion connected things on the planet. By 2020, that number is anticipated to skyrocket to at least 50 billion. With a seemingly infinite number of devices and array of sensors producing an infinite amount of data, software is playing an even more important role than hardware in making hyper-connected things smarter. 4

5. SAP Big Data, Big Thinking webinar series
How will the IoT transform business?
The IoT is not a destination but a journey. As enterprises advance along the maturity curve, their IoT initiatives stand to increase the level of business value that is achievable.
Offline Level
Most companies today are at the start of the journey. They have traditional, imprecise processes with little
or no asset information and a high cost of service.
Monitoring Level
As companies adopt some element of sensor technology, they benefit from monitoring connected assets but typically receive only fragmented information. They are able to run basic analytics and gain insights into their assets, but the model is still essentially reactive.
Managed Level
As companies add service capability to devices and assets, and expand workflows with mobile apps, they are able to effectively manage information and processes.
Integrated Level
With the addition of predictive analytics, companies
can deliver complete information based on new technologies that proliferate and aggregate sensor information, and apply predictive capability to deliver greater value to the enterprise.
Actionable Level
By adding ERP processes and workflow integration, companies are on the cusp of automating processes
and achieving autonomous control of their assets.
New Business Level
Once companies truly embrace the IoT, new
business models and processes will be created
by a new generation of employees and partners
for whom intelligent monitoring, real-time analytics
and automatic process execution are the norm to
address the needs of customers and society in general.
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6. SAP Big Data, Big Thinking webinar series
Use cases for the IoT
Whether some organizations acknowledge it or not, the IoT is happening. The challenge is to apply it. We are already seeing transformative use cases involving responsive, predictive and connected processes based on machine-to-machine (M2M) connectivity, event stream processing, Big Data, analytics,
cloud and mobile technologies. Here are just three examples:
Vertical Examples
Smarter Cities can save millions of dollars on aggregate by rationalizing energy usage, simply by dimming the LED street
lighting system when sensors detect there are no pedestrians.
The Connected Car can deliver personalized offers and relevant information. For example, it knows how many passengers are on board and whether their seatbelts are fastened. When the driver stops to refuel, the pump will connect with the car’s in-dash system to offer a discount on refreshments.
Connected Logistics are providing real-time information on vehicles and cargo to help businesses plan routes, maintain vehicles and schedule people, driving down costs and enhancing service.
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7. SAP Big Data, Big Thinking webinar series
Use cases for the IoT
Cross-industry Examples
Remote Service Management is helping to improve responsiveness, minimize service and support delivery costs, and increase service revenues by predicting faults, responding live to maintenance conditions, and taking preventative action before a failure can occur. Imagine being able to detect that a component is wearing out and automatically triggering the order of replacement parts to minimize equipment downtime.
Connected Asset Management provides visibility to manage assets on the edge, including those in hard-to-reach or harsh environments, such as wind turbines in the North Sea. Equipment health and history can be tracked, to update designs and warranty claims, devices can be remotely recalibrated, and moving equipment geo-located. Real-time fault management enables system malfunctions to be detected, isolated and recovered without having to dispatch a technician to site.
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8. SAP Big Data, Big Thinking webinar series
Spotlight: making the Digital Oil Field a reality
The basic premise of the Digital Oil Field is a web-based visualization platform from which companies can manage, measure, and track all of the data that comes in from the oil field. This is where the Internet of Things comes into play, and represents three major sources of opportunity for oil and gas companies:
Exploration
 IoT solutions are helping oil and gas companies explore new territories and discover the value in the raw materials that the land has to offer. All equipment used in the field during the exploration phase, whether stationary or mobile, is gathering data and transmitting that information to a centralized source in order to help make smarter decisions and automate tasks.
 In addition, there are many new and innovative solutions based on the seismic sensors used to explore oil fields. These give organizations a more accurate picture of where natural oil and gas deposits are located within the earth, improving excavation efficiency.
 IoT solutions and connected sensors can also be used for monitoring tanks storing the water and chemicals used in hydraulic fracturing, helping to ensure that appropriate environmental standards for water quality and safety are met.
 Fleet and asset tracking with the IoT improves safety and operational efficiency of the many mobile assets deployed during exploration. Several countries have enacted regulatory requirements for lone worker safety, and operators are utilizing personal tracking and emergency alert devices to ensure compliance.
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9. SAP Big Data, Big Thinking webinar series
Spotlight: making the Digital Oil Field a reality
Storage and delivery
 The IoT lends itself readily to monitoring the transportation of resources, by tracking tanks, trucks, and other vehicles. Businesses can monitor the location of their resources, quantities, and product security, and plan accordingly in case of emergency or equipment failure.
 IoT that run on satellite and cellular networks play a large role in all aspects of the oil and gas industry, helping to find the best places for exploration and excavation, predict and prevent potential disasters,
and track and transport resources around the globe.
Transport and custody
 IoT solutions are used to monitor pressure levels within pipelines to ensure adequate compression to push the oil and gas through the pipeline is adequate. Implementing automated monitoring in the compression process allows the operator to predict failures and problems before they occur.
 In addition, many M2M applications are used for the custody and billing process associated with oil and gas. All smart meters have some sort of IoT device that monitors flow and sends data to the gas company in order to make sure the consumer is being charged the right amount.
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10. SAP Big Data, Big Thinking webinar series
How is SAP powering business transformation with the IoT?
With the IOT, we can monitor, analyze and automate to greatly improve processes and create new business models by linking processes to cyber-physical systems through SAP. Our solutions for the Internet of Things, and co-innovation opportunities, can help businesses achieve:
 Continuous intelligence, by providing actionable
information for real-time system monitoring
 Proactive detection, by analyzing live load for patterns
to identify critical over use and update forecasting
 Integrated to plan, by connecting machine data to
planning assumptions and market requirements
 And automated response, by continuously adjusting
load to reflect current conditions
The IoT has the potential to make best practices ubiquitous for almost any conceivable scenario. The industrial driver of the IoT is the desire for insight into the state, progress and efficiency of business and manufacturing processes. With long-term observations and understanding, processes stand to evolve faster and further, based on accurate, real-time information.
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11. SAP Big Data, Big Thinking webinar series
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Catch up
That was the last session in our 2014 Big Data, Big Thinking webinar series. You can download content from any previous webinars in the season you may have missed at
bit.ly/BigDataBigThinking