“ Stores have eyes . Now they ’ re getting brains . Soon tiny wireless chips stuck on shampoo bottles and jeans will track all that you wear and buy .
The Internet of Things
The future is under construction at a Sam ’ s Club warehouse store near Tulsa , Oklahoma , but you can ’ t see or hear it . Microchips inside cases of razors and detergent silently alert wireless sensors that the goods have arrived at the doors of the loading dock . Additional sensors built into store shelves alert staffers when a product needs replenishment .
It is the ultimate in inventory management : No handcounting necessary – just let the chips speak up to vouch that every unit ordered has indeed arrived , on time and intact . In ten years nearly every consumer item will probably bear a tiny chip that continually broadcasts its existence to radio-frequency readers at loading docks , store shelves , entrances , security stations and parking lots – just about everywhere .” — Chana R . Schoenberger , 2002 Forbes article
No longer a futuristic dream , the Internet of Things ( IoT ) is here . According to the excerpt above , the Internet of Things — the connected network of smart objects — was just beginning to hit its stride in 2002 with the rise of radio-frequency identification tags for inventory . And it ’ s continuing to evolve and grow .
The Internet of Things is the system of devices with embedded sensors connected to a network through the Internet , Bluetooth , cellular , WiFi , and nearfield communications . Objects in all industries , from manufacturing and retail to residential and automotive , are connected , sharing data , and communicating .
How do smart objects support business ?
> Allow us to streamline processes . Manufacturing utilizes point solutions to indicate technical problems or when inventory is low . The IoT enables businesses to leverage these process improvements not just at a single point or transaction — like restocking — but across the lifecycle at each touch point . Consider how “ smart factories ” could influence and affect the supply chain to realize efficiencies in logistics and shipping . Consider how connected devices could alter how companies develop and deliver products .
> Drive new business models . IoT-connected devices can inform strategies to improve performance , operation , and utilization of facilities . Business owners can strengthen and build on customer relationships without necessarily introducing a new product . They can leverage existing smart devices and data retrieved from them to address and predict customer needs .
> Alter how companies create and capture value through products . The IoT forces companies to take a close look at how customers use products and reframe their value as needed , avoiding their status as obsolete . The IoT product provides realtime information and data . It can be refreshed constantly .
Sterling National Bank can provide the support your need to leverage the IoT for your business . Contact your relationship manager or Client Services about services than can help your company grow . Call 855.274.2800 .
8 | SNB . COM // CONNECT TECHNOLOGY SUMMER 2015