{"id":1194,"date":"2019-02-15T10:32:00","date_gmt":"2019-02-15T10:32:00","guid":{"rendered":"http:\/\/kusuaks7\/?p=799"},"modified":"2023-07-21T15:04:49","modified_gmt":"2023-07-21T15:04:49","slug":"iot-innovation-is-not-in-the-technology-but-in-what-it-can-do","status":"publish","type":"post","link":"https:\/\/www.experfy.com\/blog\/iot\/iot-innovation-is-not-in-the-technology-but-in-what-it-can-do\/","title":{"rendered":"IoT innovation is not in the technology, but in what it can do"},"content":{"rendered":"<p><strong><em>Ready to learn Internet of Things? <a href=\"https:\/\/www.experfy.com\/training\/courses\">Browse courses<\/a>\u00a0like\u00a0<a href=\"https:\/\/www.experfy.com\/training\/tracks\/internet-of-things-training-certification\">Internet of Things (IoT) Training<\/a> developed by industry thought leaders and Experfy in Harvard Innovation Lab.<\/em><\/strong><\/p>\n<p>Industry analysts\u00a0<a href=\"https:\/\/www.forbes.com\/sites\/louiscolumbus\/2016\/11\/27\/roundup-of-internet-of-things-forecasts-and-market-estimates-2016\/#46fb5f64292d\" rel=\"noopener\">predict<\/a>\u00a0a huge market opportunity for Internet of Things (IoT) solutions. The only thing larger the opportunity is the hype over IoT. Suddenly, everyone has an \u201cinnovative\u201d IoT platform, \u201csmart\u201d connected devices, machine learning and \u201cdisruptive\u201d pricing models. But don\u2019t be fooled by the hype. While IoT may be built with innovative technologies, the real IoT innovation is what they allow organizations to become \u2014 intelligent, agile, and adaptive.<\/p>\n<p>This article describes what true IoT innovation looks like, the five innovation paths, and some best practices to create IoT enabled innovation.<\/p>\n<h2><strong>IoT innovation doesn\u2019t come out of a box<\/strong><\/h2>\n<p>&gt;<\/p>\n<p>The real IoT innovation is not in the solution. It\u2019s in the disruption of what they do, how they do it and who they do it for. IoT enabled innovation allows organizations to become \u2013 intelligent, agile, and adaptive in creating new value for its customers. What if:<\/p>\n<ul>\n<li>Automobile companies stop selling cars but offer \u201ctransport as a service\u201d instead?<\/li>\n<li>Insurance companies know exactly when your water heater is going to fail and schedules an appointment with a plumber before it fails?<\/li>\n<li>Cities provide services personalized for all of its residents?<\/li>\n<\/ul>\n<p>Innovation happens when:<\/p>\n<ul>\n<li>Different IoT devices work together as one throughout the organization<\/li>\n<li>The technology platform collects, analyzes and shares information across the IoT ecosystem<\/li>\n<li>Machine learning integrates with data analysis for prediction, autonomous decision-making and optimization<\/li>\n<li>Managers integrate infrastructure, processes, policies and people with, not on top of, the enabling technology and IoT platform<\/li>\n<li>The customer engagement experience creates new business processes, policies and organization structures<\/li>\n<\/ul>\n<p><strong>What can you innovate with IoT?<\/strong><\/p>\n<p>There are five paths of innovation. The more of these paths the innovation occurs on, the more disruptive it will be. Disruption occurs when innovative products and services are delivered innovatively and profitably through innovative business models.<\/p>\n<h3><strong>Customer Experience<\/strong><\/h3>\n<p>Customer experience innovation transforms the \u201ccustomer journey\u201d. It re-imagines how a customer uses a product or service and how sellers create value. It uses data collected to create new processes, business partnerships, organizations and technology to support the new journey. As an example, predictive maintenance transforms how technicians and operations managers perform services.<\/p>\n<h3><strong>Product<\/strong><\/h3>\n<p>Product innovation transforms how a product provides value for the user. It focuses on functionality and not technology, although it may be enabled by new technology or a service. This means more features to do new things, enhanced features to do current things better, or different form factors for new uses. For example, sensors on farm equipment measure soil moisture and allows the customer to plant and water better for improved crop yields.<\/p>\n<h3><strong>Technical<\/strong><\/h3>\n<p>Technical innovation is what most people think of when they hear the word \u201cinnovation\u201d. It is often used in place of \u201cproduct innovation\u201d but they are not the same. Technical innovation transforms the enabling techniques and is not specific to a product or application. Examples could virtual reality or machine learning.<\/p>\n<h3><strong>Services<\/strong><\/h3>\n<p>Services innovation transforms how, what and when a service is rendered, and who it is being offered to. It enhances a current value, or creates an entirely new value that was not possible before. A product can also be transformed into a service (e.g. car rentals).<\/p>\n<h3><strong>Business Model<\/strong><\/h3>\n<p>A business model describes how an organization creates and delivers value to its customers. Business model innovation redefines the value and aligns it with how the customer wishes to receive and consume it. This enhances or creates new value to existing customers or to an entirely new customer base. IoT solutions offered as a service is one example.<\/p>\n<h2><strong>Turning the Internet of Things into the Innovation of Things<\/strong><\/h2>\n<p>&gt;<\/p>\n<p>IoT enables innovation, but is not innovation by itself. IoT innovation begins when it creates change and value when it is integrated with other devices, processes and teams across the organization.<\/p>\n<h3><strong>Start with problems.<\/strong><\/h3>\n<p>Identify the biggest pain points and gains (productivity, experience, cost reduction, speed, etc.). Re-imagine processes, policies, and teams. Start with a clean sheet and ask what you could do if you had the data. Then ask your teams, customers, suppliers and channel partners.<\/p>\n<h3><strong>Examine all five innovation paths.<\/strong><\/h3>\n<p>Innovation rarely occurs along a single path. For instance, Uber innovates around customer experience, service, technical, and business model. Whether you create or use innovation to solve complex problems, it\u2019s good practice to review the various paths to realize its full potential.<\/p>\n<p><strong>Source innovation ideas.<\/strong><\/p>\n<p>Create a process to source and vet ideas from employees, suppliers, channel partners, and customers, regardless of title or roles. Innovation comes from anyone, anywhere and anytime. Some companies, such as Procter &amp; Gamble, use an open innovation strategy to solicit ideas from anyone outside the company.<\/p>\n<h3><strong>Start small, learn and expand.<\/strong><\/h3>\n<p>Innovation doesn\u2019t happen overnight. Start with small projects and add an IoT element to it. Create quick wins to gain experience, confidence, support, and knowledge of what is possible with IoT innovation. Run small tests, measure and learn, learn, learn. Fail fast, learn fast, and try again.<\/p>\n<h3><strong>Mine the data.<\/strong><\/h3>\n<p>The Innovation of Things is about data, data and more data. Insight comes from understanding the data. Assess your organization\u2019s expertise, tools, data sources, and types. Then build a strategic plan to update your data capabilities.<\/p>\n<p>Originally posted at <a href=\"https:\/\/strategyofthings.io\/iot-innovation\" rel=\"noopener\">Strategy of Things<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Ready to learn Internet of Things? Browse courses\u00a0like\u00a0Internet of Things (IoT) Training developed by industry thought leaders and Experfy in Harvard Innovation Lab. Industry analysts\u00a0predict\u00a0a huge market opportunity for Internet of Things (IoT) solutions. The only thing larger the opportunity is the hype over IoT. Suddenly, everyone has an \u201cinnovative\u201d IoT platform, \u201csmart\u201d connected devices,<\/p>\n","protected":false},"author":76,"featured_media":4370,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[195],"tags":[93],"ppma_author":[2556],"class_list":["post-1194","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-iot","tag-internet-of-things"],"authors":[{"term_id":2556,"user_id":76,"is_guest":0,"slug":"benson-chan","display_name":"Benson Chan","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/?s=96&d=mm&r=g","user_url":"","last_name":"Chan","first_name":"Benson","job_title":"","description":"Benson Chan is a Senior Partner, and innovation catalyst at&nbsp;<a href=\"https:\/\/strategyofthings.io\/\" target=\"_blank\" rel=\"noopener\">Strategy of Things<\/a>, helping companies transform the Internet of Things into the Innovation of Things through its innovation laboratory, research analyst, consulting and acceleration (execution) services. He has over 25 years of scaling innovative businesses and bringing innovations to market for Fortune 500 and start-up companies."}],"_links":{"self":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/1194","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/users\/76"}],"replies":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/comments?post=1194"}],"version-history":[{"count":2,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/1194\/revisions"}],"predecessor-version":[{"id":29508,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/1194\/revisions\/29508"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/media\/4370"}],"wp:attachment":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/media?parent=1194"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/categories?post=1194"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/tags?post=1194"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/ppma_author?post=1194"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}