Since 2014, there has been a 25% increase in the number of businesses using Internet of Things (IoT) solutions. Perhaps even more startling is the projection that, by 2023, the number of IoT-enabled devices is expected to increase to 43 billion, which is threefold what it was in 2018.
So, why exactly are so many businesses adopting IoT solutions at such a rapid rate? Let’s uncover the reasons below.
What are IoT Solutions?
Specifically, IoT solutions are bundles of technology seamlessly integrated within businesses to address problems or add organizational value.
Some examples of IoT solutions include:
- Biometric scanners;
- Ultra-high-speed wireless Internet;
- Smart factory equipment;
- Wearable health monitors;
- Autonomous farming equipment;
- Internet-connected appliances;
- Smart home security systems; and
- Wireless inventory trackers.
Why More Businesses are Adopting IoT Solutions
It almost seems like a no-brainer for businesses to adopt IoT solutions, especially as they offer myriad benefits, including: cost reduction, increased business opportunities, increased efficiency and productivity, improved customer experiences, and employee mobility.
One of the biggest reasons many businesses are adopting IoT solutions at such a dizzying rate is that they can help reduce overall costs. Whether it’s workplace efficiency or cybersecurity, IoT solutions can positively impact businesses’ bottom lines.
The manufacturing industry is one of the sectors that is significantly benefiting from IoT cost reductions. In fact, a study by Deloitte showed that predictive maintenance could reduce plan maintenance time by 20 to 50 percent. This, in turn, not only increases the availability and uptime of equipment by 10 to 20 percent, but also reduces overall maintenance cost by 5 to 10 percent.
IoT solutions also help to reduce labor costs by improving the efficiency of production processes. In fact 83 percent of organizations that use IoT technology enjoy increased efficiency, which results in lower expenditures and better output quality from employees.
More Business Opportunities
Nowadays, many businesses are looking to leverage the revenue-producing power that digital services offer. However, many businesses lack the cohesive strategies necessary to pursue these services. This is where IoT solutions can help. Indeed, IoT smart utility grids, advanced analytics, and artificial intelligence can help businesses gather actionable data that will serve their customers’ needs.
Analytics offered by IoT solutions provide new insights. These insights can provide the foundation for new business models and can also optimize a company’s existing strategies. But, how exactly does this happen? Consider, for example, the IoT sensors used on automobiles. These sensors track the driving habits and speeds of users in order to optimize automobile insurance rates. In other instances, such as in the retail industry, IoT devices are used in stores to measure foot traffic to maximize the impact of the displays based on customer habits.
Efficiency and Productivity
Another reason IoT solutions are attractive to many businesses is that they can help increase efficiency and productivity. Specifically, IoT solutions can maximize company resources such as WiFi, printers, and copiers in a workplace environment to improve and streamline workflow.
Additionally, IoT can provide decision makers with big data analytics about the productivity of their employees. This will help decision makers determine which tasks are beneficial to the business and which ones require further refining.
Big data is also integral in tracking manufacturing supply chain efficiency. It can set up an efficient delivery system with monitoring features to track a company’s inventory, regardless of the demands.
Better Customer Experience
There is no denying just how much IoT solutions can benefit the back end process of a business. But, IoT solutions can also help businesses provide better front-facing customer service to their clients.
Building positive customer relationships is one of the top priorities of many businesses, something with which IoT solutions can help. That’s because 40 percent of today’s consumers don’t care whether they connect with real humans or chatbots, as long as they get the help they need. With this kind of consumer mindset, by leveraging IoT solutions, businesses can better serve their customers and gain a competitive edge.
IoT technology can also enable employees to work wherever they want as long as they have access to a strong internet connection. During this ongoing, worldwide pandemic, countless businesses have adopted IoT solutions so their employees can safely work their homes. But, pandemic or no pandemic, IoT solutions – with its collaborative features – have made working remotely efficient, cost effective and secure.
Iot for the Win
IoT solutions can help companies develop more streamlined and cost efficient business processes. At the same time, they enable businesses to provide customers with a better overall experience. With these benefits, it’s no wonder that so many businesses are eyeing IoT.