Westbase rounds up the highlights from the Vodafone IoT Barometer report, a study into the how the Internet of Things (IoT) is transforming businesses today. The study and independent research was carried out by Vodafone IoT and was conducted with nearly 1,100 executives, giving an insight into the reality of IoT use in enterprise today.
The fourth annual IoT Barometer publication, the report consists of key facts and findings about how IoT is being used worldwide in enterprise. It illustrates how IoT remains and continues to become a huge part of today’s business landscape and is being used to drive business change. The results also show how enterprises are seeing significant ROI, therefore proving that IoT is an integral tool in enterprise models.
Key findings from the report were:
- 63% of businesses are expecting to have live IoT projects within a year
- 48% of IoT adopters use IoT to support large-scale business transformation
- Adopters measure a 20% improvement in key business indicators like revenue growth and cost reduction due to IoT
- Organisations are taking security seriously – 42% are investing in training staff and recruiting IoT security specialists
IoT at the Heart of Business
As more and more organisations build IoT into their business strategies, it’s clear that the Internet of Things is becoming a strategic focus for all types of enterprises and industries. The report found that within a year 63% of businesses expect to have live IoT projects. Whilst mobile, cloud and analytics remain strong factors in IT strategies, businesses are now spending 24% of their IT budget on IoT alone.
Whilst some businesses argue that incorporating IoT into an IT budget may be a little premature, or not worthwhile in terms of Big Data and analytics, 81% of businesses argue that in order to get the real value of IoT, organisations must use the data that it generates effectively. The Internet of Things could become a constant factor in business models over the next few years; 76% of businesses say that IoT will be “critical to future success”, with 61% of businesses saying they “consistently” see IoT as an integral part of wider business initiatives.
Driving Business Transformation
According to the Barometer Report, 48% of businesses are already adopting IoT solutions in order to engage, implement and support large-scale business transformation. Currently, 37% of these adopters already run their entire business on IoT.
Organisations in the manufacturing industry, for example, are already seeing the benefits of building an IoT (or IIoT – Industrial Internet of Things) solution into their work processes. The use cases for the IIoT are highly varied and include; better utilisation and real-time tracking of assets, monitoring of energy consumption, predictive maintenance, and pre-emptory solutions to prevent downtime. IoT solutions allow organisations to streamline workflows and optimise operational processes, therefore driving greater efficiencies and reducing costs.
IoT for Business Improvement
IoT is not only driving efficiencies in the work place. 89% of adopters have increased their investment in the Internet of Things year-on-year after seeing strong results. Business leaders who have incorporated IoT into their business strategies have measured a 20% improvement in key business metrics like revenue growth, cost reduction and utilisation. 63% say they’ve seen “significant” return on investment, proving that their IoT solutions have produced measurable results.
IoT and Security
Whilst businesses begin to reap the benefits of IoT, cyber security remains a constant factor of consideration when implementing an IoT solution. Organisations are taking IT security seriously, with 42% of organisations saying that they are investing in training staff and recruiting IoT security specialists in order to mitigate cyber security risks. The report also noted that 30% of businesses say they have changed or restricted the scope of IoT projects to limit security risks.
IT security is not something that should be taken lightly or ignored; but with the correct training, a secure network and a secure solution, organisations can significantly reduce risks of a catastrophic security breach. Achieving this isn’t out of reach either, with a large portion of businesses (60%) reporting that they already have what it takes to manage IoT security.
Connecting the IoT
It is clear that adoption of the Internet of Things is set to grow phenomenally and that organisations are already benefitting from new and improved workflows and capabilities. In order to implement the Internet of Things however, an optimal, reliable and scalable connectivity solution needs to be put in place, and this is where hybrid networking comes to the forefront.
Rolling out an IoT strategy in an organisation hinges on its deployment being cost and performance effective, otherwise it can very quickly become an expensive failure. Connectivity which can flex and scale to the business requirements is essential, and forms the cornerstone of any successful IoT solution. Hybrid networking is therefore ideal for this as it enables organisations to leverage the benefits of all forms of connectivity, to best suit all requirements, within a single, unified and secure solution.
For more information on connecting the IoT, please contact your account manager on +44 (0) 1291 437 567 or firstname.lastname@example.org.
Report Summary in Pictures