Tips for Maximising ROI of the IoT
When a company decides to execute a digital transformation, few steps need to be taken to ensure successful IoT implementation, beginning from identifying business goals and comparing direct and indirect costs against the benefits. At the same time, it is crucial to understand that it can take time before an IoT investment starts to reap tangible benefits.
Every company that undertakes the development of connected products has to recognise where the biggest opportunity for return on investment (ROI) lies and discover the best practices to reach it. The ROI for IoT almost entirely comes from the data collected from connected products. These real-time insights, if used well, can reinvent business processes through reduced costs, increased revenue and strengthened brand value — those are the main reasons why they can be so transformative.
Taking all aspects into account, these are three valuable pieces of advice for better planning of an IoT solution and getting the maximum ROI from IoT:
Determine a company’s business objectives
Although IoT solutions provide value and endless opportunities across all industries, it can be risky to just move forward without a clear direction of what the particular goals company is trying to achieve (reduce costs, transform operations etc.). For example, let’s look at the company which core business involves managing hundreds of vehicles that are geographically dispersed. Their decision-makers are aware that vehicle maintenance costs are high and want to know if IoT would be a worthy investment for this area. For this company incorporating the IoT can reduce costs, increase revenue and optimise operation through asset value and route optimisation, equipment health and location monitoring. Although benefits and goals can differ across diverse industries, the key is to define a specific objective and implement a systematic approach to decide if IoT is a proper investment.
Start small and then scale
Connecting every device right away can cause substantial upfront costs without providing tangible benefits, which could potentially deflect project before seeing the results. That’s why it’s recommended to start an IoT deployment at a moderate level. The best practice is to make the first move with a small business scenario by defining a specific area, such as operation or supply chain, to help to minimise the risks and costs. Although this scenario doesn’t offer high ROI, it enables detecting the issues and improving a deployment at small scale before rolling out broadly. Once company successfully finishes this phase, other business areas can be included within the IoT solution and make a strong foundation for deployment at large scale.
Choose reliable vendor
Although some companies are afraid to engage or struggle to find the best point of entry that can fulfil their business requirements, the consensus is that the longer companies are on their IoT journey, the more benefits they see. As above-mentioned, primary benefit for a company involved in the IoT is the wealth of collected data. An IoT platform, as a foundation of an IoT solution, helps companies to design, implement and manage solutions that fill the gap between the capability to collect data and the capacity to seize, analyse, and act on it.
WolkAbout IoT Platform integrates any device, transforms real-time readings into meaningful data and combines different devices and services into a complete IoT solution. It helps companies to make actionable insight from data generated from connected devices and create a strong IoT ROI through cost savings, enhanced revenue streams, strengthened brand value and relationships with customers.
WolkAbout’s open approach to the Internet of Things means that companies can start with the devices they already have, regardless of model, vendor or operating system and then scale to large deployments. WolkAbout IoT Platform enables the company to connect devices and then scale with efficiency, to analyse and act on collected data, and to add new capabilities and services to its business. Since it is horizontally scalable, our Platform can manage hundreds of millions of devices, projects, and tons of data.
Through the free instance of our Platform, companies can start prototyping and deploy connected applications in a matter of hours. After running a proof of concept phase, companies can easily move from development to production and scale out to reach the target business outcome with a premium instance of our Platform. This proven technology enables them to rapidly develop powerful IoT applications and control their own business ecosystem.
If you are interested to find out more about maximising the ROI from the Internet of Things, schedule a free consultation with our experts by contacting us at email@example.com or create a free account on demo.wolkabout.com and connect your first device today.