Cape Town Break: A tour to IoT (I)

eleonoraescalantestrategy 28 Nov 2017 Leave a Comment

Eliescalante & Volvo Ocean Race Strategy Ride 2017-2018 Capetown.jpg As I promised yesterday, during the following days before Leg 3 start date, I will write about the IoT or Internet of Things, and some other digital technology topics.

Let´s go to basics: What is really the IoT or Internet of Things? (Note: every time I write IoT, I am including the Industrial IoT for businesses and governments too).

I have been doing an extensive search for what is IoT. I searched the main consulting companies in the world which are leading writings on the topic. I also visited several strategist specialists which have written their opinions publicly either on their blogs or they have uploaded their opinions about the theme.

I am sharing with you “literally” what is “IoT” according to each of those firms. Find the next set of slides with the IoT definition.

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If you wish to download these slides, click here: Eliescalante Cape Town Tour Break IoT 27nov2017. After reading those slides,

Do you understand what is IoT?

Do you understand what is and will be the IoT impact in our lives?

What do you think?

Let´s admit it. The IoT is the beginning of many changes in the future quotidian life. For all of us and the next generations. IoT will stay for a long time. It will evolve. Little by little, we will see it in our quotidian routines. But this won´t happen automatically. Ok. And it is Ok.

Don´t be afraid of the IoT. IoT is an innovative “prototype” of doing things. What I am afraid of, is if we don´t measure the risks of re-defining our business models without taking into consideration all the IoT inherent aspects which are not fixed yet. Remember: there are several block roads to be sorted out such as cybersecurity and privacy, lack of a regulatory framework and the worst of all the problems is to get into the IoT fashion “blind-sided” without considering the current risks.

fairy godmother.gif The IoT prototype business process started recently. The IoT started in parallel with many other emerging technologies. When you have something that is so new, it is insane to think it will happen automatically. It is not as if your Fairy Godmother grants you the wish. A prototype has to be tested to avoid failures. And this is what has been happening during the last 7 years. We will make mistakes, we will correct them and move forward. We are humans. It will happen. Many companies have been doing prototyping of IoT initiatives, and it is OK: “The IDC Worldwide Semiannual Internet of Things Spending Guide forecasts IoT spending for 12 technologies and 54 use cases across 20 vertical industries in eight regions and 52 countries”.

In conclusion: I define the IoT as an innovative technology strategic model prototype. The IoT model is “a sophisticated network of objects embedded with electronic systems that enable them to collect and exchange data”. The IoT model has to be adapted for each industry or consumer needs, proven and rolled out “petit a petit”. IoT (and IIoT) will evolve for the best.

Gartner, Inc. (NYSE: IT) is a world’s leading research and advisory company based in Stamford, Connecticut. Gartner helps business leaders across all major functions in every industry and enterprise size with the objective insights they need to make the right decisions. Gartner developed the Hype Cycle to help customers understand the different stages of evolution of new technology. In their own words: “Gartner Hype Cycles provide a graphic representation of the maturity and adoption of technologies and applications, and how they are potentially relevant to solving real business problems and exploiting new opportunities. Gartner Hype Cycle methodology gives you a view of how a technology or application will evolve over time, providing a sound source of insight to manage its deployment within the context of your specific business goals.” The gartner Hype Cycle emerging technologies 2017.png

Gartner clients use Hype Cycles to get educated about the promise of an emerging technology within the context of their industry and individual appetite for risk. There are several hype-cycles created by Gartner teams. amaras law Some of these hype-cycles are the Hype-cycle for Supply Chain Strategy, the Hype-Cycle for the Digital Workplace, the Hype-Cycle for Data Management technologies, the Hype-Cycle for Storage Technologies, the Hype-Cycle for Digital Marketing and Advertising, and the most famous one the Hype-Cycle for Emerging Technologies. Gartner specialists help business owners when they question themselves such as: “Should we make an early move? If you’re willing to combine risk-taking with an understanding that risky investments don’t always pay off, you could reap the rewards of early adoption. Is a moderate approach appropriate? Executives who are more moderate understand the argument for an early investment but will also insist on a sound cost/benefit analysis when new ways of doing things are not yet fully proven. Should you wait for further maturation? If there are too many unanswered questions about the commercial viability of an emerging technology, it may be better to wait until others have been able to deliver tangible value”.

Source: Gartner.com

Each Hype-Cycle drills down into the five key phases of a technology’s lifecycle. The graph above shows the different phases. The vertical axis shows the expectations people have and the horizontal axis shows the evolution of time. Gartner explains each phase as follows:

“Innovation Trigger: A potential technology breakthrough kicks things off. Early proof-of-concept stories and media interest trigger significant publicity. Often no usable products exist and commercial viability is unproven.

Peak of Inflated Expectations: Early publicity produces a number of success stories — often accompanied by scores of failures. Some companies take action; many do not.

Trough of Disillusionment: Interest wanes as experiments and implementations fail to deliver. Producers of the technology shake out or fail. Investments continue only if the surviving providers improve their products to the satisfaction of early adopters.

Slope of Enlightenment: More instances of how the technology can benefit the enterprise start to crystallize and become more widely understood. Second- and third-generation products appear from technology providers. More enterprises fund pilots; conservative companies remain cautious.

Plateau of Productivity: Mainstream adoption starts to take off. Criteria for assessing provider viability are more clearly defined. The technology’s broad market applicability and relevance are clearly paying off”.

Tomorrow we will see the position of IoT in the Gartner Hype-Cycle of Emerging Technologies, and how it has evolved over time since Gartner Specialists positioned it there some years ago. Thank you.

thank you colorful