Biz Tech’s recently published article, Automation and Analytics Emerge as Key Internet of Things Use Cases, does a nice job of defining the term Internet of Things (IoT) and developing examples of how IoT can work for both consumers and businesses. The article also covers the value IoT to businesses.
One example given in the article to support the value is from John Byrne, senior principal analyst at IHS Technology. He speaks about the significance of the IoT investment in relation to proactive maintenance. “You can fix problems before they happen and eliminate downtime, but you’re also making things more economical because you’re not fixing things that aren’t broken.”
That’s something ORBCOMM has been talking about for a while. When the appropriate tracking device is in place, equipment maintenance scheduling is no longer guesswork. The transmitted data helps identify trends and provide recommendations for action without ever having to make site visits or calling the asset in to a maintenance terminal. From afar, staff can track the performance of equipment and receive early warnings of developing problems before a catastrophic failure occurs. Data may include diagnostic fault codes, fuel consumption, idle time, temperature and pressure to ensure assets are operating at peak efficiency. Remote collection of this important data notifies supervisors in real time. This reduces repair costs because problems can be resolved before the issue gets worse and becomes more expensive to repair.
While proactive maintenance is a top reason to incorporate IoT into the enterprise, there are many other aspects that make up the ROI.These include fuel consumption, equipment security, trailer/container optimization and regulatory compliance (for example, with the new U.S. Food Safety Modernization Act). These are just a few of many.
To learn more about how M2M and IoT deliver ROI, download our whitepaper How to Measure the ROI of a Reefer Management Solution.