How SAP Leonardo IoT Helps Businesses Better Their Outcomes
14 Aug, 2018
Digital Transformation and the IoT
Digital transformation is here to stay. A key enabler of this transformation is the IoT or Internet of Things. The IoT or the concept of embedding sensors in connected machines and enabling them to transmit data is not a new idea by any means. So what changed in the past decade or so? For one, we are more connected than ever before with connectivity becoming ubiquitous and the increasing proliferation of Internet protocols. Sensors have become cheaper and power consumption more affordable. As a result, every “thing,” ranging from factory equipment to you’re the light bulb in your home, is now connected and sharing data.
Concurrent advances in Cloud and Big Data technologies have vastly improved the efficiency to gather, process, and analyze and make sense of large volumes of data. The most widely used approach is to IoT data to the cloud. Then analytics, data science, and machine learning techniques are applied to the data to help spot anomalies, detect issues early, predict probable issues and optimize operations. “Intelligent edge solutions” keep data processing at the edge of the network while addressing latency, relevance, and security.
How the IoT adds value to businesses
The IoT needs to be tightly integrated with business processes to add value beyond connectivity and IoT data insights. Calculations provided by the IoT can be used to create a more dynamic maintenance scheduling process including time-of-arrival forecasts to improve logistics operations as well as detection of product issues early on to enhance service delivery efficacy and customer fulfillment. In most cases, IoT data is made available to various departments within a company to help make a wide range of decision needs. For instance, information on product usage and quality can be used by teams as diverse as engineering, manufacturing, field services, maintenance, and sales. At this point, the focus becomes less on the technology used and more on achieving desired business outcomes. Companies are now starting to reconsider traditional business models – from selling products and after-sales services to providing the product itself as a service. In the long haul, this will radically alter asset operations and management accounting.
With easy access to connectivity and networking becoming par of the course, stakeholders for IoT data are not limited within corporate and industry boundaries. They can extend to third-party service technicians/ asset operators, insurance and financial services providers, regulators, customers, and suppliers. These stakeholders jointly deliver value within the business network.
The Digital Twin Concept
Simply put, a digital twin is a live digital representation of an actual physical object. A digital twin provides valuable real-time info on the configuration, condition, and state of the asset as well as historical data that can be queried through APIs. It acts on behalf of the object by sending alerts and notifications while being able to initiate control ﬂows to act in the physical world.
Connecting digital twins from multiple providers to diﬀerent consumers creates a trusted network of digital twins. A digital twin can provide immense value when abstracting operational technology and building applications on top of a digital platform. In this scenario, the IoT opens the door to new data-driven business models that connect digital twin providers and consumers.
How SAP Leonardo IoT helps businesses
SAP Leonardo IoT intelligently connects things with people and processes across company boundaries, through business network solutions to enable unparalleled collaboration and productivity. Companies can connect to their ecosystems to increase engagement and collaboration, improve transparency, and create more value for their customers. SAP Leonardo IoT capabilities support new networked business models, such as product-as-a-service offerings and value-added services. This approach allows collaborative resolution of business and operational issues by connecting the right people with the right training and supplies at the right time and place to solve problems safely and reliably.
Click here to read the rest of the SAP whitepaper - SAP® Leonardo Internet of Things: Business Outcomes in a Connected World
To know how Applexus can help you best leverage SAP Leonardo IoT visit https://www.applexus.com/services/artificial-intelligence