From MIT SMR Custom Studio
Realizing value through the Internet of Things (IoT) may begin with simple goals, but it can also catapult a business toward new horizons. The level of commitment to completing the journey really depends on the presence of four factors:
- Translating Threats Into Opportunity.
A major driver in IoT initiatives is finding a new source of revenue in the face of changing industry trends. In CISR’s survey of 352 CIOs, respondents with the highest levels of IoT commitment generated 50% of their revenues from products introduced in the past three years. These CIOs see firsthand how quickly disruptive change can occur.
Consider Schindler Holdings AG, which manufactures, installs, and maintains escalators, elevators, and moving walkways. In this increasingly price-sensitive industry, maintenance accounts for 75% of operating profits. This prompted Schindler to use IoT to not only improve equipment maintenance through the data generated by its elevators but also to reposition itself as a service provider that helps customers with building management using this data. To move in this direction, it developed a Web-based customer portal and a mobile app to provide real-time insights.