IoT business models in an industrial context = IoT Geschäftsmodelle im Industrie Kontext
Weinberger, Markus ; Bilgeri, Dominik ; Fleisch, Elgar
In: at - Automatisierungstechnik, 2016, vol. 64, no. 9, p. 699-706
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- There is a broad consensus that the transformative power of the Internet of Things (IoT) will affect all kinds of industries; or, to put it in a more optimistic light, that almost no domain is excluded from the opportunities to leverage the IoT. But, what does this mean for the future of industrial processes? This article introduces the concept of high-resolution management (HRM). IoT enables the collection of high-resolution data for the physical world where, as in the digital world, every aspect of business operations can be measured in real-time. This capability facilitates high-resolution management, such as short optimization cycles in industrial production, logistics and equipment efficiency, comparable to methods like A/B-Testing or Search Engine Optimization, which are state of the art in digital business. We take the following two perspectives on leveraging high-resolution management. First, through greater insights into their industrial processes, companies that apply HRM in their operations are able to achieve higher efficiency, quality and flexibility. The example of vehicle fleet management illustrates this effect. Second, we build upon the St. Gallen Business Model Navigator in order to look in greater detail on how the IoT affects industrial processes. Gassmann et al. Gassmann, O., Frankenberger, K., and Csik, M. (2014). The business model navigator: 55 models that will revolutionise your business. Financial Times. introduce 55 generic business model patterns, of which our extended research identified 20 that could profit significantly from the IoT Fleisch, E., Weinberger, M., and Wortmann, F. (2014). Geschäftsmodelle im Internet der Dinge. HMD Praxis der Wirtschaftsinformatik, 51(6), 812-826; Gassmann, O., Frankenberger, K., and Csik, M. (2014). The business model navigator: 55 models that will revolutionise your business. Financial Times. . Analyzing these 20 patterns allowed for the identification of six key components: Remote Usage and Condition Monitoring, Object Self Service, Digital Add-on, Digital Lock-in, Product as a Point of Sales and Physical Freemium. These building blocks help companies to supply HRM-supported offerings. Finally, the example of remote monitoring of process parameters shows that these business model components can also be deployed to create offerings that enable others to apply HRM.