Conclusion

To sum it up, it’s time to put Excel away and start working smarter, not harder. Successful BoM management derives from a single source of truth throughout the enterprise in regard to all the data contained in the Bill of Materials. The Digital Thread allows for the seamless automated flow of the BoM information to create a truly connected enterprise, working in sync along every step of the manufacturing process.

Not sure where to get started? We created our EAC Assessments to help. Click here to learn more or have a conversation with our experts.

Digital transformation has become a buzzword in recent years, and for good reason. Companies that embrace digital technologies are more likely to stay ahead of the curve, differentiate themselves in the marketplace, and meet the evolving needs of their customers.

The benefits of digital transformation can be far-reaching, from improved customer experience to cost savings and increased efficiency.

In this blog, we will explore the various benefits of digital transformation, and why it is essential for companies to embrace this trend in order to remain competitive in the digital age.

What is Digital Transformation?

Digital transformation is a term used to describe the process of transforming an organization’s business model and operations through the use of digital technologies. It’s important because it can help you stay ahead of your competition, improve customer experience and attract new customers.

See how JR Automation saved seven figures with embarking on their digital transformation journey:

Creating a Digital Transformation Roadmap

The first step to creating a digital transformation roadmap is to identify the scope of your transformation. What are you trying to achieve? What are the goals and objectives of your business? How will you measure success?

Once this has been determined, it’s time to set up a timeline for achieving those goals.

Once these steps have been completed, it’s time for action! You should now have a clear idea of what needs changing within your organization and how long it will take before those changes become visible.

Building a Digital Transformation Team

When you’re building your digital transformation team, it’s important to define roles and responsibilities. You’ll want to make sure that everyone understands their role in the process and what they are expected to do. For example, if someone is responsible for monitoring the performance of shop floor machines, they should know what the ideal OEE is of each machine, how they are going to collect that data, and how they are going to distribute it to enterprise decision makers.

It’s also important that you select team members who have complementary skillsets and experience levels. If one person has extensive knowledge of augmented reality while another knows nothing about it at all, this could lead to problems down the line when it comes time for them both to collaborate on projects together – and no one wants that!

Finally, creating a culture where collaboration happens naturally between team members will help ensure successful outcomes throughout your digital transformation project(s).

Developing a Digital Transformation Strategy

The first step to developing a digital transformation strategy is to define the scope of the project. What are you trying to accomplish? What are your objectives, and how will you measure success?

These questions can help guide your organization through its transformation journey by setting realistic goals for both short-term wins and long-term gains.

Once you’ve defined what needs changing, it’s time for step two: defining how those changes will happen. This involves creating an action plan that includes timelines for each phase of implementation as well as resources required for each stage (e.g., time from IT staff).

Some companies may choose to tackle multiple projects simultaneously; others might choose only one area at a time depending on their resources available in terms of money/manpower/etcetera).

EAC Assessments help companies answer all those questions and how to get where they want to be.

Adapting and Adjusting the Plan

As you progress through your digital transformation, there will be changes in the market that you need to respond to.

If a competitor introduces a new product or service, or if something happens in the industry at large, it may change how you approach your own strategy.

You might also find that your goals and objectives have changed since they were first set out; perhaps there’s been an increase in customer demand for something specific that wasn’t previously considered important enough for inclusion on the list.

The best way to handle these situations is by reviewing them regularly with other members of your team – and making sure everyone has input into decisions about how best to adjust course as needed.

Conclusion

Digital transformation is a powerful tool that can help you achieve your business goals. It’s important to remember that digital transformation is not just about implementing new technologies, but also about changing how you work and think as an organization.

Digital transformation requires commitment from everyone involved in the process – from the C-suite down through every level of your organization.

To be successful, it must be an ongoing effort rather than a one-time project or initiative. You will need to continuously innovate and improve what you’re doing if you want to stay ahead of competitors who are also pursuing digital transformation strategies.

In conclusion, digital transformation is becoming increasingly essential for companies to stay competitive and meet the needs of their customers in the digital age. However, the process of digital transformation can be complex and challenging, which is why EAC assessments can be extremely helpful.

By conducting an assessment of your organization’s current digital capabilities and identifying areas for improvement, you can develop a roadmap for digital transformation that is tailored to your specific needs and goals.

EAC assessments can help you identify gaps in your digital capabilities, streamline your processes, and develop new products and services that better meet the needs of your customers. By embracing digital transformation and leveraging the expertise of EAC assessors, you can position your company for success in the digital age.

The very definition of many industries is changing in no small part due to the of the Internet of Things (IoT) and its’ ability to disrupt and generate new business opportunities. Industry leaders across the board are starting to embrace IoT projects, use IoT devices, and build smart connected products using IoT platforms.

This article references real IoT case study stories and internet of things examples from John Deere and Nike to provide you with a better understanding of how the IoT is starting to shake up and disrupt industries.

 To paint you a picture of exactly how the IoT is creating business opportunities for organizations today, let’s start with a company you might already be familiar with – John Deere.

Before the rise of IoT

John Deere has been making tractors and agriculture equipment for over 175 years.

For many years, though, they made simple tractors that weren’t ‘smart’ or connected products, they were just mechanical.

Soon enough, over time, John Deere’s products started to become smart and connected– changing everything for the organization.

Creating smart products & connecting devices

John Deere began to equip their products with digital dashboards, engine control units, sensors to alert users if they are running out gas, if oil pressure is too high, if hydraulic pressure is too low, etc.

By doing so, John Deere began to realize the countless benefits that came along with connecting their agricultural equipment to the internet of things, which eventually would provide the ability to remotely monitor the equipment’s performance.

Now remember, at this point, John Deer was still a tractor company, but as the organization moved forward with their vision of smart connected products, they also created what is called a smart connected product system.

The evolution of a smart connected product system & Digital Transformation

At the heart of John Deer’s product system is what is called a combine harvester. Their combine harvester harvests grain from fields, separates the head or the ear from the stalk, and divides the hulls, cobs, and the husks from the kernels of grain.

Today these smart connected combines have the ability to smartly monitor how many kernels came from a single patch of land, and how many kernels came from another.

In fact, they even collect, store, and send data to the cloud for the following season – so the machine is able to perform what is called a smart planting scheme.

During the smart planting scheme, the tractor hooks up to a tiler, which is basically a plow. As the plow works the soil, the equipment frequently fertilizes it, particularly with nitrogen. The equipment then follows its smart planting scheme – if the yield was low, nitrogen application should be high in a particular spot. If the yield was high, nitrogen should decrease.

Next from the connected product system comes the tractor pulling the planter that puts kernels in the ground for next year’s crop. It’s doing the same thing.

With a wide variety of seeds, the planter makes smart decisions for specific spots as needed. The smart connected equipment even knows when to use different drought resistant seeds in particular dry patches of land.

Smart products and the internet of things

John Deere created their own unique smart connected product system with the equipment they manufacture.  By using smart connected devices, sensors, and building on top of an IoT platform, they slowly started to connect their entire product line.

This breakthrough in farming equipment enabled their products to work together and share data back and forth.

Farmers are now able to correlate their inputs and outputs, while reducing inputs and maximizing outputs. This means productivity and profits.

Taking it a step further, John Deere designed a smart farm system where, depending upon commodity prices, the equipment has the ability to plants different seeds.

Farms that irrigate now have the ability to place sensors in the soil to that read moisture levels. Using this knowledge, the smart equipment is able to determine whether it should apply more or less water to particular locations.

Agricultural equipment can now even assess upcoming weather forecasts and determine if irrigation is critical.

Today, John Deer is leading the way in utilizing IoT in agriculture. 

New business opportunities with IoT

John Deere went from selling tractors to selling sophisticated information systems that can run smart farms.

With the technological advancements around today, a company like John Deere now has to determine the actual business they are in.

IoT presents new industry opportunity

Somewhere along the way, while developing smart connected products, John Deere became a software company and a systems integrator.

The internet of things presented John Deere with an opportunity to compete within an entirely new industry. 

In fact, some say with this the new industry opportunity, John Deere even has the ability to compete with other well-known IT system integrators – such as Accenture.

The internet of things and smart connected products present a very interesting phenomenon, that’s happening right now.

Homes are beginning to transition to smart homes. Automobiles are starting to become smart. It’s happening everywhere you turn, even if in some cases it might be very subtly, or slow.

Products are evolving

Nike is another great example of how the IoT has started to accelerate and transform organizations.

Historically, Nike has made shoes, clothes and sunglasses – but today, their product line is now much more than that.

For Nike, it’s no longer just about clothes and shoes anymore. Their products have evolved from fitness equipment to fitness monitoring systems – driving personal health and wellness goals.

They too, started connecting their products by adding sensors into their shoes, clothes, and Fuel Bands.  This has enabled their smart connected products to help people maintain physical fitness and health.

Businesses possibilities of IoT

With the real-world examples from John Deere and Nike, it’s easy see how businesses are starting to expand their industry boundaries with the internet of things.

The world is changing, smart connected products are continually evolving. What is your organization doing to stay ahead?

Explore the business possibilities of IoT for your organization

Organizations today are adopting valuable IoT solutions to lower operating costs, increase productivity, and develop new products.

The Internet of Things can offer your organization an opportunity to be more efficient whether its connecting devices with automated systems that gather information, analyzing IoT data, creating an action to learn from a process, achieving the pinnacle – remote control, support and maintenance.

We want to help you achieve your IoT objectives

Not sure what the advantages of IoT are for your organization? We would love to help you define and push your boundaries!

Our technology specialists are experts at devising what IoT solutions, devices, projects, and business models are best suited for your organization. Let’s have a conversation.

Smart devices and connected products, like the Apple Watch, raise an interesting question, what are the implications of transforming traditional products into smart connected products?

Now that we have sensors, connectivity, big data, and analytics, customers and businesses are leveraging this value to create new opportunities – here’s how.

Remote Operations

Connected products can share their data with their users, and likewise with the manufacturer, unlocking new service opportunities.

For example, I have the Nest thermostat in my house. I can adjust the temperature on my way home from work just but using a simple app control.

For a Minnesotan like me, this is pretty awesome when you experience winters like we have.

Remote Services

From a company perspective, remote access services are very valuable as well.

For example, just like a smart thermostat, manufacturers can automatically send updates to assets. Or if maintenance is required, technicians can often save time and money by remotely connecting to devices to ensure software and hardware are performing effectively. This can avoid unnecessary service calls.

Innovative Product Designs

Another great use case is how companies can change their product design strategies.

For example, IoT enables a new design strategy known as evergreen design. The premise is that when products are operating in the field, new software features can be built and delivered to a device to extend functionality and the usable life of a product. The Tesla car illustrates this concept well. Tesla actually used an evergreen design strategy to avoid a major recall.

A few years back, there were several instances in which the battery cell of the car actually rubbed against street curbs as the car turned corners, causing fires. Instead of sending all the Tesla cars back to the dealer, or a mechanic shop, the company sent a software update that automatically raised the clearance of the car chassis where the battery was located.

Tesla’s evergreen design saved the company money, as well as customer time, and money associated with a traditional recall.

Big Data Analytics

Another big game-changer in business is the value to be had from big data. Now that products can share information throughout their product development cycle and useful life, there is, in essence, a stream of data that we can collect, analyze, and use to inform all sorts of business decisions.

Wouldn’t it be nice to know when the average daily usage of your products or product segments is in decline or incline? It could drive new product innovation timelines, customer success strategies, and new revenue from cross-sell and up-sell.

Data Collection & Analysis of Consumer behavior

The practice of using big data is not new. For example, in the retail market, companies are using purchasing behavior data to inform their business decisions.

A great example comes from 2004 when Walmart conducted a big data study on customer purchasing behaviors prior to hurricanes.

What they found was surprising. A few days prior to the forecasted hurricane, people bought a significant amount of pop-tarts. In particular, strawberry pop-tarts. On the day of the hurricane, they bought more beer. Based on this data, Walmart adjusted their stock supply in anticipation of the new demand. This use case is unique in that data was originating from people’s shopping behaviors. What is different now is that we can collect and analyze data from products as well.

Remote Monitoring

Take the case of smart sports equipment. A friend I play golf with had a sensor attachment that told her about her swing, ball placement, and field location. So, as we were playing throughout the day, she was pulling out her golf app, observing her golf swing, and adjusting performance based on that data. This is great for the user, and there are also added benefits for the manufacturing company!

For example, the tennis racket company Babolat has sensors attached to their play pure drive product, which collects data about a player’s swing, the speed of their ball, and impact location.

Product to service transformation

Babolat also provides a training service, where based on the player’s performance, Babolat will provide consulting, hitting tips, and other development programs. In this use case, big data is transforming a traditionally hardware-oriented company into a service company as well.

This brings me to my last example, which illustrates a radical change in how businesses perceive product value.

Product-as-a-Service (PaaS)

Namely, products are now carriers for potentially limitless services based on how you creatively leverage their smart and connected elements. This concept is not new.

Products-as-a-Service have been pioneered in the aerospace industry.

For example, Rolls Royce licenses out their engines to airline customers, and they charge airlines for the millage of the planes as well as services associated with repair, and maintenance.

This is generally known as power by the hour. This product as a service concept is gaining a lot of attention in the IoT market.

For example, there is a big software battle for ownership of the car segment. Google, Apple, Microsoft, and the original car makers are attempting to get a slice of the services associated with cars, such as navigation, entertainment, and safety systems. This new service focus is really interesting for product development and associated business operations.

Bottomline – products are carriers of tremendous value. Now that we have sensors, connectivity, big data, and analytics, customers and businesses can leverage this value, and create new opportunities.

IoT Intro Class

At EAC, we want to make sure you don’t miss out on any revolution with respect to potential capabilities that you can add to your products- while we also realize the importance of basing your IoT initiatives around your mission statement. That’s why we created what we call our IoT Development Workshop.

We have made it our mission to help guide organizations like yours to explore and embrace the uncertainty of the emerging IoT market.

The internet of things (IoT) is a business and technology revolution. It not only enables the connection and communication with ‘things’ but allows us to manage them.

It allows our organizations to do preventative and predictive maintenance on ‘things’, do guided service on ‘things’, and create digital twins of ‘things’. It enables us to improve operational efficiency, significantly reduce downtime, and to develop new revenue streams.

What makes up the ‘Internet’ in IoT?

The internet is composed of two separate communities; the internet of people and the internet of things or IoT.

The Internet of People

First, let’s break down what we mean by ‘the internet of people.’

The internet of people has grown organically over the past 20 years and has evolved into becoming an interconnected network of billions of people. That’s right, billions. Its primary purpose is to connect people, collate information, and enable people-to-people interaction.

The internet of people allows people to connect by becoming a clearinghouse of information. People post information available to other people, generating a great deal of information that is being pumped into the cloud.

The Internet of Things – IoT

The internet of things has been growing organically for the past 10 years and has the potential to become much larger than the internet of people. Its primary purpose is to connect machines, people, and data.

The IoT also enables people-to-machine and machine-to-machine interactions. In the Internet of Things, things are pumping data into the cloud so products can be monitored, controlled, optimized, and automated. During this process, information and data are streaming into the cloud from both people and things.

Combining the internet of people and things

This leads us to the internet. As mentioned earlier, the internet is the combination of internets of people and things into one integrated network. (Of course, they never were really separate, but it helps to think of them that way to facilitate the study of IoT).

Why are businesses investing in IoT?

The market for IoT is huge! Today there are over 20 billion connected devices, and that number is growing at an incredible pace. With connected devices comes a tremendous upside opportunity for IoT investments.

Through 2020, estimates are as high as 1.6 Trillion dollars! In fact, McKinsy has determined that the economic impact of IoT will top 11 Trillion dollars by 2025! The reason companies are starting to make such big investments in IoT is because so much value can be created.

How the Internet of Things is impacting product value

The internet of things isn’t about the internet – it’s all about the things. The things are what’s changing. The trend of smart connected things is really accelerating now that there’s a computer of sorts inside just about everything! 

Today, according to the US government Census Bureau, there are about seven billion people on the planet Earth. About one-third of these people are connected to the internet with smartphones, tablets, and computers- yet in 2010 we hit an important milestone where there were more things connected to the internet than there were people on Earth This suggests these connected ‘things’ aren’t just smartphones, tablets, and computers anymore – they are fitness bands, thermostats, vehicles and more! This is where real innovation is happening.

Today, almost everything we have around us is capable of connecting. I’m talking about buildings, appliances, machinery, farms, hospitals, cities – all kinds of things. Now there’s a massive investment that is feeding this rapid expansion of the smart connected products – the internet of things solutions market. The IoT solutions market includes the smart connected things, the connectivity services, the software platforms and applications, the security, the analytics, and really everything related to smart connected products.

IoT Development Workshop

At EAC, we want to make sure you don’t miss out on any revolution with respect to potential capabilities that you can add to your products- while we also realize the importance of basing your IoT initiatives around your mission statement. That’s why we created what we call our IoT Development Workshop.

We have made it our mission to help guide organizations like yours to explore and embrace the uncertainty of the emerging IoT market.