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How can you prioritize IoT use cases for your organization?

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The Internet of Things (IoT) is a network of devices, sensors, and software that can collect, transmit, and process data. IoT can enable various use cases for your organization, such as improving efficiency, enhancing customer experience, reducing costs, or creating new revenue streams. However, not all IoT use cases are equally feasible, valuable, or aligned with your strategic goals. How can you prioritize IoT use cases for your organization and select the ones that deliver the most benefits? Here are some steps to help you.

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Maxim Babarinow

CEO bei RUBINLAKE.com ? KI für HR und Sales ????

1 Identify your business objectives

Before you explore the potential of IoT, you need to define your business objectives and how IoT can support them. What are the main challenges or opportunities that your organization faces? What are the key performance indicators (KPIs) that measure your success? How can IoT help you achieve or improve them? For example, if your objective is to increase customer satisfaction, you might consider IoT use cases that enhance product quality, service delivery, or personalization.

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Maxim Babarinow

CEO bei RUBINLAKE.com ? KI für HR und Sales ????
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Any technological innovation, including IoT, needs alignment with an organization's strategic goals. IoT must be an enabling part of the vision, not a separate entity or a one-time project. The success of IoT projects is measurable when KPIs are in place and aligned with the organizational goals. Many IoT projects fail because they need to enhance or impact the end-user. Customer focus is vital to harvesting the potential of IoT.

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2 Assess your current capabilities

Next, you need to assess your current capabilities and readiness for IoT. This includes your technical infrastructure, data management, security, skills, and budget. How mature is your IoT platform and architecture? How well can you integrate, store, and analyze data from different sources and devices? How secure is your IoT network and data? What skills and resources do you have or need to implement and maintain IoT solutions? How much can you invest in IoT projects?

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3 Evaluate the value and feasibility of use cases

Once you have a clear understanding of your objectives and capabilities, you can evaluate the value and feasibility of different IoT use cases. Value refers to the expected benefits and impact of a use case on your objectives and KPIs. Feasibility refers to the technical and operational complexity and risk of a use case. You can use various criteria and methods to assess value and feasibility, such as return on investment (ROI), net present value (NPV), payback period, cost-benefit analysis, or scoring models.

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4 Prioritize and select use cases

Based on the value and feasibility scores, you can prioritize and select the most suitable IoT use cases for your organization. You can use a matrix or a chart to visualize and compare the use cases along the value and feasibility dimensions. You can also group the use cases into categories, such as quick wins, strategic bets, long-term investments, or low-priority initiatives. You should aim to select the use cases that offer the highest value and feasibility, while also considering your objectives, capabilities, and budget.

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5 Validate and refine use cases

Finally, you should validate and refine the selected use cases before you implement them. You can do this by testing your assumptions, collecting feedback, conducting pilots, or prototyping. You should also monitor and measure the performance and outcomes of the use cases, and adjust them as needed. You should also review and update your priorities regularly, as your objectives, capabilities, and market conditions may change over time.

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Chandershekher Joshi

Head - Technology & Innovation at Tata Consultancy Services for BFSI Europe Central (Germany, Austria, and Switzerland)
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As part of the validation and refining use cases stages, it's important to keep in mind that a few use cases would only make a cut for implementation. Hence, it's important to try out multiple ideas in parallel instead of picking one or two to test. The best way is to create a set of small teams which can start testing each use case in a short sprint say of 2 weeks, in the agile methodology. The Fail Fast and Fail Cheap is the way to go.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Chandershekher Joshi

Head - Technology & Innovation at Tata Consultancy Services for BFSI Europe Central (Germany, Austria, and Switzerland)
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Most of the organizations which can leverage IoT don't have the in-house skills to test & validate the applicability and potential ROI of the initiatives. Its recommended, hence either keep some time to develop the skills(/reskill) within the organizations or partner with suitable organizations. Crowdsourcing for the potential solution is a good idea for a few use cases.

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How can you prioritize IoT use cases for your organization?

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3

4

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1 Identify your business objectives

2 Assess your current capabilities

3 Evaluate the value and feasibility of use cases

4 Prioritize and select use cases

5 Validate and refine use cases

6 Here’s what else to consider

Technological Innovation

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How can you prioritize IoT use cases for your organization?

1

2

3

4

5

6

1 Identify your business objectives

2 Assess your current capabilities

3 Evaluate the value and feasibility of use cases

4 Prioritize and select use cases

5 Validate and refine use cases

6 Here’s what else to consider

Technological Innovation

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