In manufacturing, integrating the Internet of Things (IoT) into operations can create smart factories, automate daily tasks, and optimize operational performance and supply chain management. For example, in the food supply chain, smart sensors integrated with the supply chain system can measure the freshness of strawberries, the length of the logistics route, delivery time, and the location of the strawberries in the transportation chain.
In smart cities, IoT sensors installed on tram tracks can detect the precise location of track wear, enabling maintenance to be carried out before track failures occur.
In short, almost every industry is using IoT applications and integrations to reshape systems, operations, and businesses.
Advantages of IoT integration
Major enterprises are flocking to the Internet of Things (IoT), but they also realize that adopting the technology is pointless unless it can be integrated into their own systems and business processes. IoT integration can be challenging, but it can deliver tremendous value when it completes systems and business processes in an end-to-end manner.
Businesses are benefiting from IoT integration:
Supporting enterprise edge computing strategies. Enterprises are shifting towards distributed operating models, such as remote manufacturing plants and distribution facilities, and real-time on-the-go tracking of logistics fleets and goods. IoT sensors and cameras are indispensable elements of distributed business operations, but standalone IoT devices cannot play a significant role unless successfully integrated into manufacturing, engineering, service, transportation, supply chain, and enterprise resource planning systems that enable everyone across the enterprise to understand the operation's status and the location of items.
Operational automation. Integrating IoT sensors and robotic devices into manufacturing assembly lines, freight systems, payment systems, and retail systems enables businesses to streamline operations, automate processes, avoid human error, and deliver goods and services faster. It also expands the scope of a business's operations. For example, in a healthcare setting, IoT robots in operating rooms integrated into a central healthcare system connected to a dedicated network can assist surgeons in performing surgery on patients remotely or in other countries.
Cost avoidance. Utility and transportation companies are integrating the Internet of Things (IoT) into their central systems to enable predictive maintenance. IoT sensor alerts are forwarded to the central system so that managers can identify potential points of failure in communication towers or subway systems. Maintenance personnel can then be dispatched to proactively resolve issues before downtime occurs.
Personalized IoT. Healthcare companies use IoT devices integrated into their central systems to monitor patients at home so they can call for medical help when vital signs alert them. Consumers use IoT in smart homes to monitor security, turn lights on and off, and monitor energy usage. Drivers can also use IoT in their cars to determine routes to their destinations or check traffic conditions. IoT is integrated into central networks.
Enhanced sustainability. IoT integration enables organizations and consumers to monitor energy and fuel usage and reduce energy waste. This helps companies achieve their sustainability goals and contributes to reducing their global carbon footprint.
IoT Integration Challenges
The challenges of IoT integration mainly manifest in the following aspects:
Security. Security settings vary across different IoT devices, and if IT departments fail to configure each device's security to meet enterprise standards, these settings can quickly become vulnerable. Furthermore, many IoT device vendors are small companies focused on bringing their products to market, often neglecting IoT security.
Interoperability. IoT device protocols are not yet fully standardized. IoT devices from different manufacturers may not work well together, and integrating IoT devices with enterprise networks, software, and hardware can introduce other problems. If IoT integration failures occur, IT departments typically need to troubleshoot and resolve the issues due to limited support from IoT vendors.
Business process integration. Businesses have a wide variety of systems. An airline might have one system for bookings and another for baggage check-in. A financial services company might have one channel for stock trading and another for managing retirement accounts. The Internet of Things (IoT) and users' smartphones must be able to seamlessly switch between these different channels. Process disruptions caused by incomplete IoT integration can impact the user and customer experience.
IT support. IoT integration enables automation of network management, security monitoring, and software and firmware updates. On the other hand, IoT integration can also make IT support more difficult. If the IT department is trying to solve a problem involving integration, then in addition to data, system, and network integration, IoT is another factor that the IT department must troubleshoot. When integration problems are found to be related to IoT, the solution may depend on cooperation with IoT vendors, who do not always support their products.
The booming Internet of Things (IoT) is impacting infrastructure. As more and more IoT and sensor data are integrated into systems and networks, the capacity of these systems and networks may exceed expectations. If response times slow down or outages occur, resources may need to be expanded.
Financial hurdles. Fully integrating various IoT devices and smartphones with enterprise networks and systems requires significant financial investments in storage, data pipelines, data integration, security, analytics software, processing, cloud resources, and potential IT and user training—with no clear timeline for return on investment.
How to integrate the Internet of Things into existing systems
IoT integration begins with understanding the various Internet Protocol (IP) addresses of all IoT devices connected to the network and system. Furthermore, a dedicated IoT gateway needs to be created to connect IoT devices to the internet or the company's internal network. The IoT gateway acts as a transmission and filtering mechanism, securely transmitting IoT data to the central system. It also ensures the availability and quality of the IoT data.
The following are the basic steps for most IoT integrations:
1. Define IoT integration goals and understand the project scope. Clearly defining business use cases and then determining the extent of IoT based on the number and type of devices required is crucial. Equally important is estimating communication bandwidth, security, and other infrastructure investments, as well as the workload required for integration with other systems.
2. Select appropriate IoT devices based on business use cases. In most business use cases, a variety of IoT devices must be used in combination to meet different user needs. When selecting IoT devices, consider their functionality and features, interoperability with other systems and IoT devices, vendor support, and ability to meet the requirements of the business use case.
3. Determine the IoT integration approach. Some companies possess in-house expertise to perform IoT integration, but most do not. For companies lacking IoT integration expertise, best practice is to hire an external consultant to handle the task and then find a reputable IoT integration platform with integration connectors and tools. If the IoT integration project involves multiple remote or edge computing sites, internet connectivity may be involved, making a cloud-based IoT integration platform a sensible choice. Integration Platform as a Service (iPaaS) is one option, as iPaaS providers offer tools and IoT integration connectors for different systems, networks, and applications.
4. Configure the IoT gateway. After identifying the IoT devices and integration platform, a physical IoT gateway should be configured to manage data transmission between the central system and the IoT devices.
5. Implement and cross-check security across all infrastructure. As part of the IoT device deployment, all settings on each IoT device should be configured to meet enterprise security standards. Secondly, appropriate security settings should be configured on all IoT gateways and IoT integration platforms to ensure that external users and customer devices comply with enterprise security standards. The security settings of all IoT devices, IoT gateways, IoT platform systems, and network entry points should be thoroughly tested to ensure the secure operation of the entire IoT infrastructure.
6. Conduct Quality Assurance (QA) testing on all IoT workflows. After security measures are in place and all IoT devices and gateways are connected, integrated, and secure, the next step is to develop and test IoT workflows that are integral to the business use cases. Once the workflows pass QA testing and are successfully tested by users and the IT department, the IoT system is ready for deployment.
7. Continuously monitor and improve performance. Once an IoT project is in production, the IT department is responsible for continuously monitoring system performance and fine-tuning it as needed. Like any other IT system, new IoT business requirements and technologies may constantly emerge, necessitating revisions to the existing system.
IoT Integration Practice Examples
IoT integration use cases cover almost all industry sectors. Here are some examples:
Financial services. Consumers and businesses conduct transactions using contactless debit and credit cards at retail points of sale (POS) and ATMs. From the network edge (such as POS machines and ATMs), user credentials and financial transactions are securely verified, encrypted, and relayed across the network before being processed and credited to local or cloud financial accounts on mainframes that may be located thousands of miles away. IoT integration at each transaction touchpoint ensures seamless automation of workflows. IoT integration provides end-to-end service and convenience to banking customers worldwide.
Logistics. Businesses are leveraging the Internet of Things (IoT) integrated into trucking, logistics, and supply chain networks to track cargo movement and driver habits. IoT sensors are installed on cargo, trucks, engines, and braking systems to ensure safe driving and limit total daily driving time to legal limits. Since the implementation of driver monitoring systems, driver accident and injury rates have decreased. Inside truck containers, the temperature, humidity, and safety conditions of sensitive goods such as pharmaceuticals and food are continuously monitored to ensure food and drug safety and an uninterrupted chain of custody.
Utilities. Sensors on wind farms and dam turbines measure turbine performance and ensure optimal operational and economic metrics. If a metric falls below expected performance, or if a turbine component begins to show signs of failure, maintenance personnel are immediately dispatched to prevent downtime. According to research by Splunk and Oxford Economics, the world's top 2000 companies lose $400 billion annually due to downtime; therefore, IoT integration offers significant advantages in preventing downtime.
In manufacturing, companies are integrating robots and sensors to achieve automated production without human intervention. These IoT devices communicate with assembly line equipment in real time and collect IoT data. IoT also impacts workflow handover between assembly line workstations. Artificial intelligence and machine learning are built into the system intelligence operating these devices, allowing for the immediate detection and correction of anomalies in the manufacturing process. IoT process integration reduces downtime and ensures uniformity and consistency in production.
Home security. Home security cameras and sensors are integrated into cloud-based software and transmitted over the internet, allowing homeowners to monitor their homes even when they are away. IoT integration gives you peace of mind.
The Future of IoT Integration
The future of IoT integration depends on the following five cornerstones:
1. Faster Networks. Smart cities, retail stores, banks, airlines, logistics companies, financial institutions, and any other entity using IoT integrations to process thousands of transactions per minute will benefit from the expansion of cellular networks to 5G, which is 10 to 100 times faster than 4G. 5G provides low-latency, high-speed transmission of data from IoT devices, which can be integrated with networks and systems to deliver real-time data through seamless connectivity.
2. The growth of artificial intelligence and machine learning. According to Transforma Insights estimates, the number of global IoT connections is projected to reach 40.6 billion by 2034. To process all the data generated by these devices, IoT system vendors are adding more artificial intelligence, machine learning, and analytics capabilities to isolate relevant data according to organizationally defined business rules. This helps businesses make decisions faster.
3. New IoT Devices and Communication Models. The IoT wearable device market will expand into areas such as medical monitoring and personal use. Furthermore, communication will extend to more voice-activated commands, such as Amazon's Alexa. Future IoT integration will focus on the integration of voice, image, and data transmission.
4. Digital Twins. Internet of Things (IoT) sensors connect to digital twin models of physical objects. By connecting IoT devices to physical objects (such as jet aircraft) and then integrating the IoT with a digital model of the jet, engineers can view information about the physical engines and other components. In this way, engineers can digitally simulate a jet aircraft under various conditions. Digital twins eliminate the need for companies to build physical prototypes of new products and accelerate time-to-market.
5. IoT security continues to advance. Edge computing, IoT, and IoT integration create a broader attack surface for malicious actors. To address this, security technologies are shifting from network monitoring software to granular observability of network events and user activity, enabling immediate detection and action on even the slightest deviations in network activity. Technologies such as blockchain will also be used for IoT integration. With blockchain, every transaction is securely and irrevocably recorded, allowing all participants in the transaction to verify the authenticity of each step.
