2. What is IoT?
Telematics Intelligent Devices
IoTM2M
Connected
Digital
Industrie 4.0 Mobile
Predictive Analytics
Smart
Big Data
Datability
Data Science
PaaS
Prescriptive Analytics
Cloud
Sensors
3. Stages of the IoT Transformation
M2M
Machine-to-machine involves
the communication between
machines to improve
productivity and safety.
IoT
Internet-of-Things
involves making the
data from connected
products available
online for monitoring
and reporting.
Connected THINGS are
a pre-requisite for IoT.
CSX - 2 Steps Ahead
Connected Service eXperience
involves using the sensor data in
real-time to trigger 1:1 interactions
between the sales, customer care,
service and the customer.
1
2
3
4. 50%
40%
30%
20%
10%
0%
The IoT Adoption Curve
Innovators Early Adopters Early Majority Late Majority Laggards
<20% of the world´s largest
1.000 manufacturers have
M2M, <10% have IoT, >3%
have CSX.
>$2.700.000.000.000 will be
invested in IoT by 2020.
6. The Gartner Hype Curve
„Where´s the
money!?“
2,7 zetabytes
of data today,
and 99% is
latent.
7. IoT CSX Story
Performance and usage
data is acquired and
transmitted every x
seconds.
Data from
many
connected
devices is
aggregated
and stored
When the data indicates an issue
that can cause a problem or
opportunity, a case is created, a
resolution is selected and assigned
to the proper actor.
Interventions are performed to
resolve the issue:
1. Customer Care provides the
operator tips and instructions,
2. Sales & Marketing proactively
sends the customer offers and
orders, and/or
3. Technical Service is dispatched
to perform maintenance or
repair.
4. System sends messages to the
machine directly.
The value of sensor data is
maximized when it is used in
real-time to automatically
trigger actions.
1
2
4 5
The resolution is
recorded. Outages and
accidents are prevented,
sales are captured, and
customer dissatisfaction
is prevented.
6
Data is
analyzed in
real-time to
identify
issues.
3
12. New Revenue Models for Machine Data
• Priority SLAs. The SLA or guaranty of the future will be pre-emptive. Instead of a 24 hour
response time, the manufacturer will offer to service a product before it breaks and before the
customer repotrs an issue. This service level will have a price.
• Personalized Rates. Companies will offer pay-for-use, where price or rates reflect
actual usage and behavior. Customers will opt-in to save money.
• Factory-as-a-Service or Product-as-a-Service. Products will be free. The
company will replace (or complement) the one-time sale of a product with recurring revenue to
support the customer. Customers will subscribe to services in order to get tips to save fuel,
improve performance, lower operating costs, and prevent accidents.
• Data Remarketing. Products will be free. The data generated by the product will be
packaged, sold and re-sold to third-parties. This revenue will more than offset the cost of the
product, because it is recurring, and the marginal cost of the data is almost zero.