From cell phones to kitchen appliances to vehicles, the Internet of Things (IoT) is likely a large part of everyday life. The manufacturing industry has its own smart devices and connected sensor systems known as the Industrial Internet of Things (IIoT).
While the IoT often creates convenience for consumers, the IIoT is strongly focused on improving the efficiency, safety, and productivity of operations. So what is all the IIoT hype about? It’s about adding or building value in an operation utilizing the data that equipment already creates, and then combining it with other data streams to create higher level results.
Estimates regarding the economic effect of the IIoT range from a conservative $500 billion in 2020 to an aggressive $15 trillion by 2030. All vertical markets within the industrial space are benefiting from connected technology implementation, with manufacturers predicting that IIoT initiatives will increase revenue 27.1 percent from 2015 to 2018.
Taking Advantage of the IIoT
Many systems within a manufacturing plant are intranet connected. However, much of the data collected from those machines never leaves the plant. An Internet connection allows the critical data to be sent to supporting applications, analyzed, and displayed on one dashboard, in any location, available when needed. The transition to IIoT presents manufacturers with many benefits, including:
- Visibility: The IIoT can bring real-time visibility into the location and status of fixed and moving assets such as critical inventory, parts, equipment, and goods in transit. For example, if a plastic injection molding company houses its polyethylene in a silo, sensors can be added to monitor inventory levels. The connected system can sense when it is running low and send an alert to the supplier to schedule a fill, limiting downtime. Data from multiple sites is aggregated on a common platform for centralized management and analysis.
- Predictive maintenance: From cooling systems to production machinery, manufacturing equipment often requires maintenance on a regular basis. IIoT technology can be utilized to remotely monitor and alert to changes indicative of impending trouble. If a motor’s temperature increases beyond normal or the vibration of a pump has changed, the trend will show in the data and it can be addressed before it becomes a disaster, avoiding expensive downtime. The IIoT makes maintenance service proactive, not reactive. Applying analytics to the machine data opens the ability to adopt a use based maintenance methodology, saving time and money.
- Improved operations: The ability to predict potential equipment failures and repairs minimizes the number of service calls necessary. Manufacturers utilizing IoT solutions in 2014 saw an average 28.5 percent increase in revenues between 2013 and 2014, according to a TATA Consultancy Survey.
Making Sense of Your Data
Adding sensors throughout a factory to collect data 24-7 can create a massive database to sort through. In order to reap the full benefits of the data, manufacturers will need to determine which data is truly valuable and what outcomes can be derived from that data.
The outcomes then can be used to improve the manufacturing process and provide insights into processes that previously had little visibility. The ability to connect the entire custody chain to a common data source truly enables just-in-time, vendor managed inventory, dock-to-stock, or any other program that involves external service.
It’s important to note that any data monitor doesn’t have to be permanent. The flexibility of today’s monitoring and platform technologies allows the system to be adapted to many other applications.
Barriers to Adoption
Adopting any new innovation comes with its own set of challenges. Three key challenges facing the IIoT include:
- Security: Asset security is paramount in the minds of IIoT adopters. Cellular based monitors function as a self-contained system, riding on the security of state-of-the-art cellular networking and data center management.
- Flexibility: As new capabilities are added and system maintenance requirements change, monitoring systems will need to be continually modified and maintained. Yet, concerns over standardization are quickly mitigated as the Application Program Interface (API) is becoming commonplace, with tools and user interfaces developed for faster implementation. Device or system standardization barriers are removed by the creation of central data platforms that connect to a variety of data streams via API utilization.
- Status Quo: Cost will play a part as early adopters set out to make the transition to IIoT. As costs decline for equipment and data rates, the business case becomes viable on its own merit. Making the investment and taking the next step of linking data will only improve the ROI.
Implementing new technologies can seem risky, but the IIoT presents manufacturers with the potential to become more predictive with service and maintenance. Additionally, avoiding unplanned downtime and the ability to better control manufacturing production can help companies realize higher profits. Meanwhile, data analytics tools make the IIoT’s “big data” usable and beneficial as manufacturers continually strive for more efficiency.
Filed Under: M2M (machine to machine)