World Industrial Reporter

Innovation Delivered Daily

  • Innovation
    • Innovation Article Archive
    • Innovative Companies
    • Innovation Strategies
    • New Equipment Innovations
  • New Products
  • Additive Manufacturing
  • Markets
    • Market Trends
    • Tradeshow Reports
    • White Papers
  • Logistics
  • Newsletters
World Industrial Reporter » Innovation » IoT to Grow Beyond Discrete Manufacturing, Transportation and Logistics

IoT to Grow Beyond Discrete Manufacturing, Transportation and Logistics

February 1, 2017

The B2B market for the Internet of Things (IoT) is all set to reach $267 billion by 2020, says a new report published by the Boston Consulting Group (BCG).

The report, ‘Winning In IoT, It’s All about the Business Processes,’ outlines the importance of the B2B IoT market, stating that services, IoT analytics, and applications will be the fastest growing of IoT technology stacks. Each of these independently, will generate $64.1 billion of spends by 2020. And together they will be responsible for 60% of the IoT growth.

BCG points out that 50% of IoT spending by 2020, will be driven by discrete manufacturing, transportation and logistics, and utilities – with the highest impact found on non-tech industries.

The main factor for IoT growth will be the need for end-to-end integration solutions that are secure and scalable, and ones that can cater to the current mix of legacy, on-premise and cloud systems. The IoT of the future will not just enable technologically, but will drive operational excellence and performance.

BCG cautions that companies adopting IoT ought to first outline where IoT can add value to their business. Predictive maintenance i.e. forecasting equipment malfunctions and breakdowns are the first and foremost use case, having a direct positive impact on operations.

Another important use case, especially in a factory set-up is Self-Optimizing Production and the advent of the Connected Factory which will surely alter the very fundamentals of manufacturing processes.

Automated Inventory Management will be equally important as it transforms supply chain capabilities. IoT networks will be used to monitor products, conditions such as temperature and pressure, and reduce stock-out and enable a just-in-time mechanism, thereby curtailing costs.

Other important use cases outlined by BCG are Track and Trace, Distributed Generation and Storage, Connected Cars, Fleet Management and Demand Response (especially for certain appliances). Companies that wish to embrace IoT and integrate it seamlessly into their business model, must have a close look at these various uses cases, and decide what suits them best.

According to the research, 40% of today’s IoT customers still prefer to use traditional and well-established software companies for their IoT solutions. Yet there is plenty of scope as the field is quite fluid, with many a customer turning into an IoT provider.

Image credits: Harman/ReadITQuik. Excerpts – BCG Perspectives

Share on

Filed Under: Innovation, Market Trends

Soybean Oil Serves as Foundation for New Graphene Technology
Origami-Inspired Radiator Controls Heat Loss with Shape-Shifting Maneuvers
Avatar

About Doug Lee

Doug has over 30 years tracking and reporting on new products and services introduced by industrial companies from around the world.

Follow me
Suppliers

State-of-the-Art Draw-Wire Displacement Sensors

wireSENSOR WPS-K100 draw-wire sensors measure displacements and distances in industrial environments. Their robust and modular design combined with an excellent price-performance ratio make them ideal for OEM and series applications. The sensors are used in mobile machines, cranes and lifting technology.
View Supplier Email this Supplier

Flexible Coaxial Cable Assembly for Microwave Applications

Flexible coaxial cable assembly for microwave applications up to 145 GHz DC. The assembly’s low attenuation and reflectance makes it suitable for long-product and armor processing specifications, while maintaining compatibility with various coaxial connector and narrow-pitch multipole coaxial connection system standards.
View Supplier Email this Supplier

Levitating, Contactless and Intelligent

With XPlanar, Beckhoff enables new degrees of freedom in product handling: Levitating planar movers float over individually arranged planar tiles. The result: maximum flexibility in product transport, increased plant output and efficient production with batch size 1 in all industries.
View Supplier Email this Supplier

High Accuracy, Non-Contact, Absolute Linear Sensor

Santest Model GY series are high accuracy, non-contact, absolute type linear sensors employing magnetostrictive, Wiedemann effect. An ultra-sonic wave generated by a moving magnet near a magnetostrictive wave-guide on which the sonic wave propagates to the head of the transducer.
View Supplier Email this Supplier

Subscribe

Get the latest WIR reports straight to your inbox.

Free Newsletter Subscription

Find us on the social web.

  • About Us
  • Contact Us
  • Advertise
  • Terms Of Use
  • Privacy Policy
FREE NEWSLETTER SUBSCRIPTION

Get the latest WIR reports straight to your inbox.

  • Innovation Article Archive
  • Innovation Strategies
  • Innovative Companies
  • New Products
  • Additive Manufacturing
  • Market Trends
  • Tradeshow Reports
  • White Papers
  • Logistics
  • Newsletters
  • Fun Stuff
  • Industry Links
Follow us

© 2021 Thomas Publishing Company. All rights reserved.

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site you agree.OkRead more