Going to a survey conducted by McKinsey, the Internet of Things boasts an enormous economic potential calculated at $4 to $11 trillion dollars a year by 2025. B2B applications are estimated to capture more value, – nearly 70% of it.
The Internet of Things (IoT) is advancing at an exponentially high rate. Some even say that the advancement is happening so fast that the potential uses of this disruptive technology are beyond the reach of theory. But, what exactly is the reason behind this unprecedented growth and popularity?
Well, IoT comes with a plethora of exciting business benefits that business enterprises today cannot afford to ignore. Let’s have a look at some of them.
Benefits of IoT to Business Organizations
It is amazing to see trillions of devices communicate with each other every day. The Internet of Things has become one of the fastest-growing networks of IP-linked devices that boast the potential to proffer tremendous business opportunities.
From bringing down operational costs to augmenting productivity and enhancing asset utilization, business organizations stand the chance of incurring hefty growth prospects. More prominently, IoT- driven innovations are predicted to uncover additional sources of income by considerably reducing the time to market.
1. Improved Business Opportunities
IoT has the potential to turn any business organization into a fast-growing juggernaut. Tremendously transfiguring the way in which a business approaches the world, it can help create fresh avenues of growth.
IoT can assist companies in developing strong and advanced business models and generate new revenue streams by reducing the time to market and increasing return on investment.
Read Also: Top Internet of Things Technologies for 2022
2. Enhanced Asset Utilization
IoT is greatly instrumental in enhancing asset utilization by keeping a real-time track of the assets (machinery, tools, and equipment) with the help of sensors. These sensors help in performing preventive analysis by identifying issues in the assets and providing real-time insights.
Read Also: Top IoT Trends for 2022
3. Efficient Business Operations
Business organizations can easily leverage IoT to gather real-time operational insights which can help in making smarter decisions. The data collected from the sensors and actuators can bring a lot of efficiency in operations by minimizing the time to market, energy costs as well as lost time due to maintenance.
4. Better Safety & Security
Monitoring workplaces in real-time becomes excessively easy with IoT services. This helps in ensuring asset safety and offers complete protection from physical threats.
5. Increase Productivity
An increase in the productivity of a business is directly proportional to the increase in its profitability. IoT helps in offering real-time training to all employees along with augmenting labor efficiency and minimizing discrepancies in operations. This boosts organizational productivity.
6. Cost Cutting
Better asset utilization, efficient business operations, and improved productivity can considerably bring down operational costs. Predictive analysis and concurrent operational insights can help in reducing maintenance overheads.
7. Inventory Tracking & Management
IoT has the potential to transform the way business enterprises track and manage their inventories. Instead of providing your workers with remote scanners and other sophisticated devices to keep a close track of all inventories, you can leverage smart devices to keep a record of all inventory changes automatically, thus freeing up the workers. This way, they can focus on more arduous and important tasks.
8. Information about Customer’s Needs & Preferences
IoT-enabled smart devices come with the ability to track and record user customer behaviors and patterns and therefore make significant product recommendations. Business enterprises can greatly benefit from this by using these data trends to come up with effective advertising and improved products that match the customer requirements.
They can easily gain significant insights into every stage of the buying cycle and thus, understand their target demographic on a more qualitative level.
The unprecedented popularity of the Internet of Things is credited to a large number of driving forces, which includes the aggressive growth of smart devices, ubiquitous internet connectivity, easy availability of low-cost technologies (wireless networks and sensors, big data) along with the gigantic volumes of data.
However, in order to harness the complete potential of IoT, business organizations must strive to overcome the trials, such as the issues of managing and storing the tones of data generated, security concerns as well as the skills required to manage the growing complexity of IoT.
Nevertheless, all these challenges are conquerable. Organizations need to evolve with technology to understand the potentials that lie underneath.
James Grills is a technical writer with a passion for writing on emerging technologies in the areas of mobile application development and IoT technology. He is a marketing advisor – currently associated with Cumulations Technologies a mobile app development company in India.