The thought that the Internet of Things is a “double-edged sword,” may be troubling to some; in that it can potentially hurt as much as help you.
Yet, such is the case for countless companies seeking to adopt IoT. They are missing the mark and getting cut - as a result of not being prepared.
But the idea that IoT projects fail is not really a mystery; IoT can be troubling to any user, with challenges ranging from organizational issues, vendor or technological problems, to business aims not thought out.
Anything is possible with IoT
Many things are possible with IoT - anything, really. And that’s also part of the challenge: There can be a lack of focus. Additionally, given the variety and potential, there can be a wide scope of objectives.
Based on findings discovered by Beecham Research, the data in our report “Why IoT Projects Fail and How to Beat the Odds“ is telling. When respondents were implementing IoT projects, these objectives ranked as the most important:
- Safety and security
- Improved productivity and efficiency
- Improved data and asset utilization
- Cost reduction
- Increased revenue
- New business model development
Interestingly, increasing safety and security was the most important goal for more than 60% of companies implementing IoT. What was the least important? Developing new business models. A staggering 50% of respondents didn’t think that was at the top of their agenda.
And across these six top objectives, businesses sought an average of 3.7 of them – so maybe they are trying to do too much at once. Lack of focus is one of the core reasons why IoT projects fail. The lack of understanding and preparation to define their business goals clearly, and perhaps not choosing to focus on only one objective, tends to be the reason why companies fall short. It’s as if the massive scope of IoT ends up being a black hole of “possibilities,” and companies end up not knowing where to start. The lack of clarity builds up and companies get sucked into that black hole.
In the report, you’ll see that, on average, just 23% said they’d achieved their objective.
That should tell you two things:
- You must build a clear business case for what you want to achieve with IoT
- And then you have to get everyone on board.
This way you can avoid getting cut by the double-edged sword, while reaping the benefits.
Would you like to know more of how companies struggle with IoT – and how we address those challenges? Click and download the report below!