Smart, Connected Products Enable Capabilities Manufacturers Must Adopt

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The Internet of Things

Smart, Connected Products Enable Six New Capabilities Manufacturers Must Adopt Strategically

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• For manufacturers, the implications of this emerging “Internet of Things” are huge

• So how did we get here?

• A convergence of market forces and innovation of enabling technologies

The Internet of Things

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Major Forces of Transformation in Manufacturing Sector

DIGITIZATIONREGULATION

CONNECTIVITY

SOFTWARE-INTENSIVE PRODUCTS

GLOBALIZATION

PERSONALIZATION

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SERVITIZATION

External forces are reshaping the manufacturing

Products are evolving to be smart and

connected

When combined, these forces will

transform the industry

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• Computing Infrastructure

– E.g. Increasing Processor Performance/Efficiency

• Communication Infrastructure

– E.g. Evolution of Connectivity

• Things– E.g. Miniaturization and

Efficiency of Components

3 Categories of Innovations in Enabling Technology

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The IoT is comprised of the three core components

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1. Personalize and Customize

2. Monitor Condition and Operation

3. Monitor Environment

4. Remote Control

5. Service/Upgrade

6. Autonomous

Six Unique Capabilities of Smart, Connected Products

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• Value is Shifting from Hardware to Software

• Value is Shifting from Product to Cloud

• Value is Shifting from Product to Service

The Sources of Value and Differentiation are Shifting

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• Manufacturers must rethink how they create, operate, and service products in the IoT

• To learn how, download the eBook:

Responding to the Internet of Things